Often referred to as an "Ethereum killer," Avalanche (AVAX) is a leading proof-of-stake (PoS) blockchain.
Avalanche aims to create "greater blockchain interoperability" by inviting leading DeFi ecosystems to build projects on the platform.
Let's learn more about Avalanche (AVAX).
What is Avalanche (AVAX)?
Avalanche is a multi-chain smart contract platform that is used extensively to launch and deploy dApps (decentralised applications).
The blockchain was made with the intention of creating an ecosystem that facilitates the healthy development of decentralised financial applications.
Because the blockchain is divided into three sub-chains, Avalanche can process transactions at breakneck speed.
While Avalanche's X chain (exchange chain) is used to create and trade digital assets, the P chain (platform chain) and C chain (contract chain) are used to coordinate Avalanche's validators as well as the creation of smart contracts via Ethereum virtual machines (EVMs) powered by the network.
In terms of network processing, Avalanche has been regarded as incredibly efficient with the ability to process up to 4500 transactions per second.
Advatages of Avalanche (AVAX)
Avalanche allows developers to create their own blockchains that can run on the network. Users are then able to customise their chains, including creating their own independent tokens and fee structures.
Often referred to as a "rival chain to Ethereum," Avalanche is surprisingly compatible with Ethereum. Avalanche users can transfer tokens from Ethereum to Avalanche easily via the Avalanche Bridge.
AVAX
Avalanche's native token, AVAX, is one of the largest cryptocurrency tokens in the market going by its market cap and is used by traders for a variety of different purposes.
The tokens act as a primary medium of exchange within the Avalanche network and can be used for staking purposes and paying transaction fees when using Avalanche's growing DeFi applications.
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