Lisk – Innovative Blockchain Application Platform
How Does Lisk (LSK) Work
This enables powerful programs, smart contracts and sidechain applications to be developed on top of the Lisk network in a secure and decentralised manner.
Sidechains or off-chain applications are additional networks which can be linked to the respective primary Blockchain, this means a Blockchain can scale and implement new applications without straining the primary Blockchain.
An example of this is with Bitcoin itself, developing off-chain applications such as lightening network and RSK (smart application builder) to meet market demands without compromising or changing the original bitcoin Blockchain.
DPOS Algorithm And Voting
Lisk uses a Delegated Proof Of Stake algorithm (DPOS), this means each LSK coin carries one vote, enabling the largest holders of LSK to have a majority say in implementing solutions for the Lisk eco system.
Bitcoin, Litecoin and others use the Proof Of Work algorithm (POW), meaning the more hashing power your machine can generate the more likely you are to mine in profit and out compete other miners on the network.
With Proof of Stake, rather than hashing power being the deciding factor, it is based on how much of the native digital assets you own, which gives the user more influence on the network like hashing power.
Interestingly, Ethereum is currently in the process of switching from POW to POS, a transition that will take a few years but is currently underway.
Recent Price Movement
Lisk’s price movement has been one of the more stable and tamer ones if compared to other cryptocurrencies, despite not performing well against Bitcoin (so far) it has been an excellent investment in fiat terms.
Could this be a sleeping giant? innovative application building platforms are usually something the cryptocurrency market is bullish on and Lisk could have a very bullish 2018.
Where To Buy
Where To Store
Please remember to invest what you can afford to lose, conduct sound research in all assets before investing.