Book Image

Tokenomics

By : Sean Au, Thomas Power(GBP)
Book Image

Tokenomics

By: Sean Au, Thomas Power(GBP)

Overview of this book

Tokenomics is the economy of this new world. This is a no-holds-barred, in-depth exploration of the way in which we can participate in the blockchain economy. The reader will learn the basics of bitcoin, blockchains, and tokenomics; what the very first ICO was; and how over a period of 5 years, various projects managed to raise the enormous sums of money they did. The book then provides insights from ICO experts and looks at what the future holds. By comparing the past, current, and future of this technology, the book will inform anyone, whatever motivates their interest. The crypto shift of blockchains, ICOs, and tokens is much more than just buying bitcoins, creating tokens, or raising millions in a minute in an ICO. It is a new paradigm shift from centralized to decentralized, from closed to open, and from opaqueness to transparency. ICOs and the creation of tokens during the craze of 2017 needed a lot of preparation, an understanding of cryptocurrencies and of emerging legal frameworks, but this has spurred a new movement to tokenize the world. The author gives an unbiased, authoritative picture of the current playing field, exploring the token opportunities and provides a unique insight into the developing world of this tokenized economy. This book will nourish hungry minds wanting to grow their knowledge in this fascinating area.
Table of Contents (18 chapters)
Tokenomics
Contributors
Preface
Index

ICOs on custom blockchains


While Omni and Counterparty were busy building new features, based on the existing bitcoin blockchain, and providing services to companies such as MaidSafe, Tether, and Storj, others in the crypto space saw the limitations of the bitcoin blockchain technology. First of all, there were technical limitations in terms of speed, performance, and scalability. The programming language script was not widely used, and it was limited in features; progress and innovation were dependent upon the bitcoin developers. From all of this, several projects emerged, such as Ethereum, Lisk, Waves, and Tezos:

Figure 9: ICOs developing custom blockchains

The first project, though, was Nxt, which appeared very early on in 2013.

Nxt

Nxt (pronounced "next") calls itself a "cryptocurrency constructed from scratch using open source Java" and states in its white paper:

"A total quantity of 1 billion available tokens were distributed in the genesis block." (https://www.dropbox.com/s/cbuwrorf672c0yy...