In previous blog articles, we’ve covered a broad view of cryptocurrency and offered a closer look at Bitcoin, Ethereum and several other altcoins.
👀 In this article, we’ll take a closer look at the cryptocurrency and platform – Flow and provide information on what it is and how it works. Here is our brief guide to get you on a clearer path to understanding.
🌰 FLOW IN A NUTSHELL
👉 Flow is a blockchain-based decentralized ecosystem and platform with scaling solutions for interactive experiences, NFTs (non-fungible tokens), decentralized application (dApp) projects and blockchain-based games.
🪙 The FLOW token is the native token of the Flow network. It is designed to be used for every activity on the network, including creating new accounts and participating in governance.
📜 FLOW HISTORY
The Flow platform was created by video game developer, Dapper Labs, who also created the popular NFT-based game Crypto Kitties😺 in 2017 and more recently, the NBA Top Shot NFT collection. The company features an experienced blockchain team led by founders Roham Gharegozlou, Dieter Shirley and Mikhael Naayem.
The Flow blockchain platform was launched in September, 2019.
In 2022, Meta Platforms Inc. (formerly known as Facebook) announced a partnership with Flow where the platform will host NFTs on Meta’s subsidiary social media platform, Instagram. Consequently, Flow now supports NFTs across 100 countries.
⚙️ PIPELINE ARCHITECTURE
The primary purpose of Flow’s creation was to address the issue of low transaction throughputs in leading blockchain⛓ networks.
Most traditional blockchains run as homogeneous systems with full nodes. In this setup, nodes handle all on-chain data, including collecting transactions, generating blocks and reaching consensus.
🐢The problem with this is that each node acts like a microprocessor that forces the network to execute one instruction per step, limiting the throughput.
The Onflow team under Dapper Labs created Flow to leverage a multi-role pipelined architecture, unlike other conventional blockchains. This system separates the consensus process from transaction computation, fostering decentralization, streamlining throughput and maintaining security🛡️.
The Flow network is based on a Proof-of-Stake (PoS) consensus mechanism. It also has an easy-to-learn programming language, known as Cadence, for smart contracts📄 to build dApps and create NFTs.
🌐 SPECIALIZED NODES
With its pipelined architecture, Flow assigns different functions to specialized nodes. These node functions include:
- Collection nodes – ensures network connectivity is in order for dApps and supports data availability for all hosted applications.
- Consensus nodes – determines which order transactions should be validated.
- Execution nodes – supplies computational power for executing transactions.
- Verification nodes – double-checks all Execution node activity before validating transactions
Consensus and verification are light tasks that can be conducted by network adopters who use a home internet connection🏠. This low-entry barrier and its crypto rewards encourage people to sign up for these nodes. More work-intensive nodes such as Execution nodes are carried out by large-scale data centers.
🪙 FLOW TOKENOMICS
The finite supply of Flow totals just over 1.4 billion FLOW. Currently, the supply of FLOW in circulation amounts to 1.036 billion FLOW. The current market capitalization of FLOW is approximately USD$1.24 billion.
💲 FLOW PRICE
When FLOW initially launched in early 2021, it entered the market at a minimal value of approximately USD$9.00. Within its first month or so, FLOW reached an initial peak of USD$37.45. Later that year, shortly after the Meta partnership announcement, the FLOW value reached an all time high price of USD$38.57. After reaching another peak at USD$27.71 by the middle of the year, its value began to depreciate with the softening crypto market. For most of 2022 and into 2023, Flow’s value has been sitting at between USD$3.07 and USD$0.65.
👉 EARNING FLOW WITH BLOOM
📲.The Bloom shopper rewards app allows you to earn Flow and other crypto (like Bitcoin, Ethereum and a range of other altcoins) with every purchase made on your Visa card 💳.
🦉 All you need to do is download the Bloom app, register an account, link your Visa card and shop anywhere using your credit or debit card.
🪙 With every purchase, you will earn Bloom Coins by simply using your Visa card 💳. The more you use your card, the more Bloom Coins you will earn.
💰 The Bloom Coins you earn can be spent within the app 🎁 and converted into Flow.
🆓 Converting crypto on Bloom, such as Flow, is free of charge and has no gas fees!
💎 Earn exclusive 3x Bloom Coin rewards with a Premium Membership.
The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the website's content as such. Bloom does not recommend that any cryptocurrency or NFTs should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.