NEAR has grown tremendously from 2021 to the present. From January 1st, 2021, to the present, NEAR has increased by approximately 1930%. Many people have taken notice of Near’s incredible growth. Many people have recently wondered, “Can the NEAR lending protocol be a good business opportunity?” We will research NEAR PROTOCOL today to answer all of your questions. Let’s take a look at the post below!
What is NEAR PROTOCOL?
NEAR PROTOCOL (NEAR) is a decentralized app platform dedicated to advancing the “Open Web.” $NEAR focuses on resolving stability issues and allowing users and developers to reap the benefits of smart contracts and blockchain technology. The platform uses Proof-of-Stake protocol and Sharding technology.
Highlights of NEAR PROTOCOL
Solving System Design Problem
NEAR strives to solve problems related to System Design daily and focuses on developing Dapps (Decentralized apps) that can provide expandability, efficiency, and other benefits. Furthermore, the “cloud-based” infrastructure employs the New Consensus mechanism, and Sharding Structure wishes to assist NEAR in achieving even greater scalability.
Core technologies
When mentioning NEAR, we can only say something about their technologies. NEAR possesses several novel technologies.
- Sharding: The system is designed to scale horizontally and near-infinitely by distributing computation across multiple parallelized shards.
- Consensus: The new Nightshade algorithm achieves consensus across all nodes that comprise the network operators across all shards.
- Staking Selection and Game Theory: Stakeholders are chosen to participate in the validation process through a secure randomized method that optimally distributes seats across parties and provides incentives for good behavior.
- Randomness: NEAR’s randomness approach is unbiased and unpredictable. It can tolerate up to one-third of malicious actors before liveness is compromised and two-thirds of malicious actors before anyone can influence its output.
Principles of technology design
When designing these technologies, the project team had to consider ease of use, friendliness, scalability, simplicity, and long-term decentralization.
Projecting the future of the NEAR
NEAR is currently focused on Defi and the development process. Furthermore, the lending segment promises to be a source of significant cash flow in the future. Burrow Cash (on NEAR) and Aurigami Finance are currently Dapps in the important lending segment (on Aurora). It will be the foundation for many other development applications, including yield farm leverage, derivatives, etc. Furthermore, bridges are gradually being completed, and NEAR’s ecosystem will attract additional cash flow.
Aside from the preceding, statistics from NEAR’s ecosystem show potential in Defi as well:
- Builders and developers are becoming more prevalent.
- Farming maintains APY levels to retain TVL or uses models to combat token inflation while maintaining a high yield, such as veNomics, or waits for new models to emerge in the Market (such as the recently released Ve(3,3) on Fantom);
- On NEAR, there are approximately 30 dApps related to Defi.
In addition to Defi, NEAR has a segment that can attract cash flow, such as NFTs and Metaverse. All are in the works.
Back to the question, “What is the future of NEAR PROTOCOL?”. Bitcoin’s Dominance continues to have an impact on cryptocurrency markets. So we cannot be sure that NEAR PROTOCOL will boom in 2022, mainly since a lot of News influences the world’s finances, such as information about “Russia and Ukraine.” However, many people are confident that NEAR will thrive in the long run. Not only them but many well-known investment funds are currently holding and believing in NEAR. It’s no coincidence that investment funds are so focused on NEAR. In conclusion, whether NEAR will boom or not in 2022, NEAR promises to increase.
Conclusion
NEAR has a lot of potential for growth in the future. NEAR still needs to be listed on Coinbase, and annual inflation is around 5%. Remember that Trend Web 3.0 is forming, and NEAR is “the spear” that cuts through all barriers to approaching Web 3. Besides the NEAR lending protocol, contact SmartOSC to get complete blockchain development services if interested.
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