The new Cronos blockchain can, and will certainly be, a game-changer for the Ethereum network. The crypto.org team has developed a new EVM-compatible chain that brings new and exciting features. Amongst other features, the feature of the Cronos blockchain that will excite most crypto developers is the considerable reduction in transaction fees.
Undoubtedly, the Ethereum blockchain has been one of the most used blockchains in the cryptocurrency sphere. However, the blockchain has faced criticism over the past years, with competing blockchains providing a sizable decrease to transaction fees. Besides the high transaction fee, the Ethereum blockchain also takes more transaction processing time. This has seen many crypto projects migrate to other networks with lower transaction fees and a faster rate of processing transactions.
What is Cronos Blockchain?
The Cronos Blockchain is one of the latest additions to the crypto sphere. The Cronos blockchain mainnet was launched on November 8th and before the launch date, the CRO token spiked up by over 100%. The Cronos blockchain is an EVM-compatible chain; all dApp or smart contracts on the Ethereum network can easily migrate to the new chain. The Cronos blockchain adopts the use of the Proof of Authority consensus mechanism in validating transactions, which means transactions are processed faster and cheaper.
With the Cronos ecosystem developing fast with increasing investors, it is easy to wonder “why develop a new blockchain?” 2021 saw the fast pace development of different aspects of the crypto sphere; the notable ones were the DeFi and NFT industries. However, the growths of both industries was limited by the high gas fee on the Ethereum blockchain, which led to complaints from artists and new dApps. Where many saw a problem, the Cronos development team saw an opportunity to move the ecosystem further. To add toppings to the cake, the Cronos blockchain offers the first Cosmos EVM chain for DeFi, NFTs, and Metaverse.
Pros and Cons of the Cronos Blockchain
Let’s consider some pros and cons of the Cronos blockchain as compared to Ethereum’s chain.
Pros of the Cronos Blockchain
- Low gas fee: The Cronos blockchain uses the Proof of Authority (PoA); this makes it faster and requires a lesser transaction fee.
- Faster transaction processing rate: As compared the Ethereum’s’ Proof of Stake, the PoA consensus mechanism adopted by Cronos blockchain allows it to process transactions faster, hence allowing for more transactions.
- EVM Compatibility: Cronos blockchain supports any dApp or smart contract running on the Ethereum blockchain or any EVM compatible chain. This makes it easy for projects to migrate to the new chain for faster and lesser transactions.
- Interoperability: The Cronos blockchain is the first EVM compatible chain that accommodates NFTs, Metaverse, GameFi, and Web 3.0. It provides both the market and the customers where both investors and the customers can thrive.
Cons of the Cronos blockchain
- Relatively new: With the high rate of security breaches experienced across different chains over the past months, the Cronos blockchain is relatively new to be considered fully secure. However, since the launch of the new blockchain, there have been no security concerns till now.
What features does the Cronos blockchain offer?
First, let’s iron out some misconceptions about the Cronos blockchain. Contrary to what most investors and developers might believe, the Cronos blockchain is not affiliated with the Ethereum blockchain, nor is it an upgrade to Ethereum’s chain. Rather, it is an innovation to tackle the high gas fee and slow transaction processing rate currently being experienced on the Ethereum network.
Second, the Cronos chain doesn’t just make up for what Ethereum’s network lacks, but also works on unifying the crypto marketplace. The Cronos blockchain is the first EVM compatible chain built for NFTs, GameFi, Metaverse, and the much more expected Web3.0.
Lastly, Cronos blockchain enables the easy migration of the Ethereum project to the new chain with a low gas fee. Projects can enjoy cheaper transactions; leveling the playground for both developers and investors.
What more do you need to know?
There are loads of more exciting features to be added to the Cronos blockchain. How do we know this? The crypto.com team has been provided with $100 million funds to support the development of the chain. With such funds at the disposal of the developers, we can expect 2022 to come with loads of exciting updates to the Cronos blockchain.
Before the launch of the Cronos blockchain, the crypto.com token CRO pumped in reaction to the news of the launch. We can expect to see fast growth in the value of the CRO token as the blockchain develops and expands. For investors in the CRO token, there is a possibility for bountiful rewards soon.