Avalance (AVAX) is a third-generation blockchain platform developed by researchers at Cornell University, USA. It is the only blockchain in the world that supports the entire Ethereum Virtual Machine (EVM). In addition, AVAX is the first smart contract platform that can verify and finalize transactions in less than 1 second and supports all Ethereum development tools. There are also further advantages that make AVAX’s future look promising.
What Problems are solved by Avalanche (AVAX)?
Avalanche was built to solve multiple problems found in a lot of blockchain networks. The platform promotes decentralization by providing an alternative to networks like Ethereum and it even has some advantages with more programmability, speed, and functionalities. AVAX is the main cryptocurrency of the Avalanche ecosystem. Users receive rewards and pay fees using this token.
Benefits of Avalanche (AVAX)
- Low Fees
In terms of operating costs, the Gas fees on Avalanche are much more affordable than Ethereum. There are fees for creating and minting assets. You also pay fees on transactions, staking, and the creation of blockchains. These fees are then burned.
One of the core desires of the developers behind Avalanche was to allow businesses to create application-specific blockchains and Decentralized applications. Avalanche tokens can represent financial instruments like debt, bonds, fractionalized reak estate, and more and can also be coded as NFTs.
- Crazy fast processing speed
According to the developers, AVAX is among the fastest blockchains in the world with transaction finalization within 1-3 seconds.
The Avalanche Protocol provides for a token burning mechanism as well as a maximum issue amount of 360 000 000 AVAX to prevent inflation of the token.
The Avalanche blockchain supports the entire Ethereum Virtual Machine (EVM), so it can be used as an Ethereum replacement, and programming frameworks for smart contracts are also supported. The future will show whether it will prevail against a long-established cryptocurrency like Ethereum. But one thing is clear, technically speaking, AVAX has some advantages.