Komodo is a multi-coin blockchain platform with an emphasis on security. It offers the most comprehensive range of features in the industry, including atomic swaps, cross chain interoperability, and more.
Komodo is a cryptocurrency that uses the KMD coin. It has many features, including Atomic Swaps, which allows for cross-chain transactions between different blockchains.
Caldwell, Justin contributed to this article. 19 January 2019
In bitcoin, there are hundreds of currencies, and distinguishing one from the other is difficult. Fortunately, the Total Crypto staff is ready to assist you. You’ll learn a lot more about the Komodo coin after reading our review. We’ll explain what it is, what it accomplishes, and why it’s beneficial to cryptocurrencies in general.
Before we go too far into our review, it’s essential to remember that investing in cryptocurrencies may be dangerous, so do your homework before buying any digital currency. Furthermore, this review is not intended to be financial advice.
Let’s get into Komodo now that that’s out of the way.
What is Komodo Coin (KMD) and how does it work?
Komodo coin, often known as KMD, is a decentralized and open-source cryptocurrency. Komodo was released in the third quarter of 2016 by the same team that created BitcoinDark (BTCD). The software that runs it is a fork of Zcash. Furthermore, Komodo operates on a platform known as “SuperNet.” Later, we’ll go through SuperNet in more detail. For the time being, simply know that Komodo makes use of its software and infrastructure.
The Komodo blockchain technology conducts anonymous, private, and fungible transactions using its open-source Komodo currency. The use of Bitcoin’s blockchain adds an extra layer of security to these transactions. A delayed Proof-of-Work (dPoW) protocol is used to accomplish this.
When dealing with Komodo’s blockchain, one thing to keep in mind is that cryptocurrencies who opt to utilize the Komodo platform will benefit from transaction costs that are much cheaper than those on the Bitcoin network.
Komodo is a mysterious creature.
Because Komodo is a project that values privacy, it’s not unexpected that many of the team members decided not to use their real names. James Lee, the main developer and creator of Komodo, goes under the pseudonym JL777.
The current CTO and general manager is Kadan Stadelmann. Until recently, Stadelmann, like many other members of the Komodo team, remained unknown. With the Komodo platform’s expansion and new investors, team members thought it was important to enhance openness and build confidence with those involved in the project.
KMD ICO
In October of 2016, Komodo launched its Initial Coin Offering. Komodo exclusively took Bitcoin as a method of payment during its ICO. One KMD was worth 0.00012908222 Bitcoin. One BTC was worth 7,747 KMD at the time of the ICO. The Komodo Initial Coin Offering (ICO) ended on November 20, 2016.
Komodo released 100 million tokens during its first coin offering. Over 90% of the tokens were sold to Komodo investors, with the rest serving as operating cash for the company’s marketing and development staff. The Komodo ICO received a total of $2,639. The Komodo currency raised almost $2 million USD using the Bitcoin pricing at the moment.
What is Komodo’s Purpose?
What Komodo doesn’t do may be a better question. Komodo has its own secure blockchain that it maintains. It allows users to conduct private transactions. It provides developers with a platform on which they may create their own digital infrastructure. As a result, they will be able to take their private transactions to a new level of sophistication and complexity.
While Komodo has its own cryptocurrency, the platform also aims to provide businesses the ability to build their own digital money or blockchain. Komodo intends to do this by providing them with everything they need to succeed, including a development platform, decentralized ICO capabilities, and a trading platform.
The Komodo Platform is a platform that was created by the Komodo
The smart contract feature of Bitcoin is used in Komodo’s development platform. Many people are unaware that such a feature exists; nevertheless, Komodo makes excellent use of it. Komodo, on the other hand, does not end there. The platform provides smart contracts based on a variety of protocols in addition to Bitcoin’s smart contracts. Developers will be able to introduce their own decentralized apps (dApps) to a secure and private blockchain as a result of this.
Additional use cases for companies are created by the ability to build decentralized apps that run on a private blockchain. Komodo is also a more developer-friendly platform owing to its lack of a programming language. To build decentralized blockchain applications on the Komodo platform, a new developer does not need to learn a new language.
Komodo’s Crowdfunding
Komodo also provides a crowdfunding platform for its users to generate money. The Komodo blockchain has a fundraising mechanism built right in. As a result, dApp developers may find new methods to finance their projects. The crowdfunding platform, like the rest of the Komodo ecosystem, is based on decentralization.
The fundraising process is completely self-contained and, once launched, will function without the need of any third-party software. The anonymity that is frequently linked with the blockchain is supported by the crowdfunding platform. As a consequence, users may rest certain that their identities are safe and won’t be revealed to the public.
All of this implies that users of the Komodo platform may develop and launch their own ICOs and tokens. It also implies that users can trust the ecosystem in which the tokens are created, ensuring that individuals who invest and utilize the platform remain anonymous.
Jumblr
Jumblr is a fantastic solution that is part of the Komodo platform. This solution is a bitcoin anonymizer that is decentralized and open-source. Using it on the Komodo system may greatly improve your privacy and security.
Anonymizing your money is a basic and easy procedure. Your KMD tokens sent from a non-private address are accepted by Jumblr. These tokens are sent through a set of zk-SNARK addresses. These addresses are untraceable, and they erase all traces of the tokens you transferred.
Jumblr distributes your tokens to a new address that you choose at this stage. Your tokens are now completely anonymous. There is a 0.3 percent charge for the transaction, however it may be paid using KMD tokens.
Because Jumblr is linked to the BarterDex, you may use it to anonymize any other tokens you trade. This is now done manually, however the Komodo team is aiming to automate this functionality once the platform has gained greater user acceptance.
Exchange that is not centralized
Not only does Komodo provide the two services stated above, but it also provides a decentralized exchange alternative to its customers. Users have access to Komodo’s BarterDex, a sophisticated exchange that takes use of atomic swaps’ features. This isn’t something you’ll find in many other Dex services.
Why should you be concerned about atomic swaps? Because you’ll be able to exchange Ethereum and Bitcoin, as well as their network currencies and forks, between them. All of this is accomplished via the use of a decentralized platform. Atomic swaps let each user to do cross-chain transactions. These transactions may be carried out amongst themselves in the privacy of their own wallets.
This eliminates the need for consumers to utilize a third-party platform to conduct these transactions. Furthermore, atomic swaps utilize hash-time locked contracts to safeguard all parties involved. These sealed contracts guarantee that both participants in a cryptocurrency trade fulfill their obligations. Komodo is trying to push the boundaries of atomic swaps by making the procedure simpler for its customers.
The Right to Exchange
A user does not need to download each blockchain for each coin they wish to trade using Komodo’s platform. Individuals may now use the BarterDex decentralized platform, which is already included within the solution. With this system in place, Komodo’s BarterDex has assisted in the facilitation of over 100,000 atomic swap transactions.
HyperDex is Komodo’s graphical user interface for the BarterDex code. This allows developers to distinguish between the GUI and the core engine with ease. The Dex solution from Komodo provides the same level of anonymity that sets the platform apart from its rivals. It also provides users with a secure way to purchase and trade bitcoins while staying anonymous.
Users of BarterDex have access to more than just atomic exchanges. Liquidity, decentralized ordering, and lightweight swaps are all available on the exchange. Additionally, utilizing the Komodo decentralized exchange will result in much reduced costs.
Services Fundamentals
Komodo’s main services include these three characteristics. The platform distinguishes itself by including a built-in exchange as well as the HyperDex GUI, which is based on the BarterDex engine. With these development-based solutions, Komodo stands head and shoulders above its rivals. Few, if any, other blockchain and cryptocurrency companies can match Komodo’s capabilities.
Komodo also provides its users with their own consensus algorithm. Rather than depending on Bitcoin or Zcash to complete the task, Komodo offers its own solution. Komodo refers to this consensus method as delayed Proof-of-Work, or dPOW.
Delayed Proof of Work: What It Is and What It Isn’t
On their blockchain, everyone wants transactions to be quick and safe. The delayed Proof-of-Work (dPOW) method is Komodo’s response to this. This method makes advantage of the security characteristics of Proof-of-Work technology, but with a Komodo twist.
Bitcoin’s Proof-of-Work system Work, as well as all subsequent consensus algorithms, are all designed to solve security vulnerabilities in previous encryption systems. This includes a pattern of duplicating information on a regular basis. This is taken to the next level by Komodo.
The “longest chain rule” that happens in Proof-of-Work is addressed and changed in Komodo. This occurs when there is a disagreement among blockchain miners. Most networks address this issue by allocating the block to the chain with the largest current length.
While the longest chain rule is useful and has a role in blockchain mining, it is not without flaws. According to the longest chain rule, if a 51 percent assault occurs via altering the blockchain and therefore gaining control, the blockchain’s value may be destroyed.
Furthermore, Proof-of-Work blockchains are more costly to maintain than other types of blockchains. Mining Ethereum and Bitcoin is very expensive. This opens the door for ASIC mining equipment, which profits more from blockchain than the people who work on it.
One of the most serious issues with Proof-of-Work is the time it takes to process each chain. Overall expansion and scalability are hampered as a result of this. PoW-based cryptocurrencies are fast learning that scaling is difficult when employing this approach. With its delayed Proof-of-Work method, Komodo tries to solve these problems.
PoW vs. dPoW: What’s the Difference?
The security elements of PoW are preserved in Komodo, however the longest chain requirement is removed entirely. Komodo, on the other hand, makes backup copies of each transaction on the blockchain, records them, and stores them separately from the current chain. As a result, the operational blockchain is unaffected and continues to function efficiently and effectively for its users.
However, this does not imply that Komodo entirely eliminates the security provided by the PoW method. Komodo wants to keep its users safe, therefore it goes to great measures with its dPoW architecture to guarantee security and anonymity.
To take control of Komodo’s blockchain, a hacker would need to take control of the impacted chain’s broader consensus, as well as backup data from the same chain and the Komodo main chain. This significantly reduces the chances of a successful assault on Komodo’s blockchain.
The blockchain’s immutability makes it more difficult for a hacker to get access to the network. Much if acts against the blockchain are done collectively, Komodo’s dPoW and backup make it even more difficult. For Komodo users, the dPoW offers a secure blockchain while also allowing for quicker transactions.
Privacy at Komodo
Despite the fact that Komodo is a fork of Zcash, it retains Zcash’s Zero Knowledge Proof mechanism. Each transaction on the Komodo blockchain is completely anonymous thanks to this technology. Transactions may be as clear as required, depending on the circumstances and the needs for each transfer.
Cryptocurrency relies heavily on privacy. Users may conceal the sender, recipient, and amount of each transaction using Komodo. Miners, on the other hand, may still validate every transaction without risking double-spending. Furthermore, transactions may remain honest, displaying the same information as if they were conducted via the Bitcoin network.
Anonymity aids users in protecting and securing their personal information. It also serves a more significant financial purpose by maintaining fungibility. This is a fundamental need for every currency: it must be able to be traded for other commodities and assets.
Competition
It’s tough to say who should be regarded a competitor since Komodo is involved in so many different aspects of the blockchain. The platform does, however, face competition in some regions.
Decentralized exchanges, for example, are seeing considerable development. Waves, EtherDelta, and BitShares are all direct competitors to Komodo’s BarterDex exchange. There are also a number of smaller exchanges that are beginning to gain market share in this sector.
KMD is a privacy currency that competes with bigger cryptocurrencies like Monero and Dash. Of course, Zcash, the currency from which it split, is a rival as well.
Komodo faces competition from Ethereum, Stellar, and other more established blockchains in its ICO. They’ll also run against other networks like Waves and NEO, which are all vying for market dominance. The fact that Komodo is the first decentralized ICO gives it an edge. That, though, is unlikely to continue long.
Should You Put Money Into Komodo?
Pros
- When it comes to cryptocurrency, Komodo provides stability. Despite the fact that it does not have the same attraction as Bitcoin, it has a significant number of users that are ready to mine and support it.
- Users may operate with their currencies on both mobile devices and desktop PCs or laptops using the Komodo platform.
- Komodo is virtually invulnerable to even the most persistent hacker assaults because to its delayed Proof-of-Work protocol, which improves on the Zcash code.
- Despite the fact that other cryptocurrencies have distanced themselves from decentralization ideas, Komodo adheres to the concepts associated with digital currency. Only when the whole Komodo community is on board can changes be made to the platform.
- Because Komodo is a relatively young cryptocurrency project, transactions on the network are completed quickly.
- Komodo has a lot of promise. The coin is still in its infancy and has a promising future ahead of it. There’s no reason Komodo can’t reach new heights if the team makes the correct development decisions.
Cons:
- Obtaining Komodo coin using fiat money may be difficult. Users must first convert their fiat money to Bitcoin or Ethereum via an exchange like Coinbase, and then locate an exchange that accepts KMD. It would be preferable if there was a more streamlined procedure in place.
- Several projects are vying for control of different parts of the Komodo platform. Many of Komodo’s rivals are well-known in the cryptocurrency industry, making it difficult for the coin to acquire traction.
- Komodo’s marketing isn’t as powerful as it is for other cryptocurrencies. If Komodo did a better job of promoting itself and the features it provides, it might acquire greater momentum and acceptance in the market.
Image courtesy of Coinmarketcap.com.
Last Thoughts
Komodo is a large-scale project that aims to address many of the problems that afflict the cryptocurrency market. The project’s primary goal is to address the centralization problems that plague many digital currencies and blockchains today. Not only does Komodo have its own coin and blockchain, but it also offers a decentralized ICO, a cryptocurrency exchange, and atomic swap capabilities.
The Komodo platform will offer users with a one-of-a-kind delayed Proof-of-Work algorithm that guarantees anonymity, privacy, and security. All blockchains based on the Komodo network are affected.
It’ll be fascinating to see whether Komodo can keep up with the load. The crew has taken on a large task, and keeping up with it will be difficult. In a world where missing deadlines by months is the norm, the Komodo development team regularly delivers on time. The team at Komodo has shown the capacity to rapidly pivot in response to what the community wants or needs.
This is a project worth keeping an eye on in the near future. If the team continues to produce on schedule for the platform, it has the potential to have a long-term effect on the bitcoin industry. It’s too early to say, but it’s definitely worth keeping an eye on.
Visit TotalCrypto.io for more information.
1) Looking for more Komodo-style innovative projects? Learn how Siacoin is disrupting the decentralized cloud storage space.
2) Are you interested in Komodo’s privacy features? Why not have a look at our dedicated guide to learn more about privacy coins?
3) Komodo’s Decentralized Initial Coin Offerings (ICOs) Could Be The Next Big Thing. But why not hedge your bets with Smartlands, a STO platform? Learn all there is to know about this cryptocurrency and why it should be on your radar.
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DISCLAIMER: The activity of the cryptoassets discussed in this paper is uncontrolled. This post is not intended to provide financial advice. Always do independent research.
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Author Biography
Justin Caldwell
Justin has an MBA from Baker University and is interested in learning more about the real-world uses of blockchain and cryptocurrencies. He is a bitcoin investor with a long history of writing experience. Justin has his own Medium site, https://medium.com/crypto-pilgrim, where you may follow him.
Komodo is a cryptocurrency that was created in 2014. It has been designed to be the Swiss Army Knife of cryptocurrencies. Reference: crypto.com coin news.
Frequently Asked Questions
What is Komodo coin used for?
Komodo is a cryptocurrency that is designed to be used as an exchange for other cryptocurrencies.
What is Komodo Crypto?
Komodo is a cryptocurrency that uses the SHA-256 algorithm. It was developed by James jl777 Lee, who is also known for developing NXT and Ethereum.
What is the best crypto coin to buy now?
Right now, I would say that the best crypto coin to buy is Bitcoin. It has a market cap of $142 billion and is still growing.
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