Internet Of Coins’ Hybrid Asset Works On Different Blockchains
On March 14, 2017, Internet of Coins, a non-profit technology development organization headquartered in the Netherlands, announced the launch of “Hybrid Asset,” an intersystemic, cross-blockchain token. The IoC team has been working on the project codes since the launch of its whitepaper in 2014. The asset, which is still currently under development, enables transfer of value between blockchains without needing any update of the existing cryptocurrency source code.
Internet of Coins also recently announced Coinstorm, the project’s launch campaign, which “encourag[es] a revolutionary collaboration among cryptocurrency enthusiasts to decentralize the alternative economy scene further.” IoC’s crowdsale goes live March 21, 2017.
The IoC team also recently presented a live demonstration of the transactional operating system and graphic user interface (GUI) that powers their hybrid asset technology, on Bitcoin Wednesday at A-lab in Amsterdam.
What It Is
IoC is a decentralized platform that interlinks all digital forms of value, that allows users to trade digital assets (tokens) and currencies peer-to-peer with an easy-to-use interface. Additionally, participants can serve as “allocators” of digital assets and earn fees for their participation.
A hybrid asset is defined by IoC as a “blockchain-agnostic set of tokens allocated on multiple digital value exchanges or multiple blockchains.”
IoC believes that the decentralized trust models can be pushed further than the current paradigm that involves third parties to mediate transactions. A benefit of using a hybrid asset on multiple blockchains would be the reduction of price manipulation and increased liquidity.
How It Works
IoC proposes a network daemon known as “hybridd” that would essentially provide digital assets flexibility to pass value from blockchain to blockchain. The organization states that owners can “transfer an asset to another blockchain by cryptographically proposing a transaction to which any other peer on the hybridd network may respond.”
This works by introducing allocators on the network who hold a certain amount of cryptocurrency (or asset) to be used for inter-blockchain transactions. Allocators would stake their personal digital assets in a transaction and be rewarded fees for doing so. More information on how this process works can be found in Internet of Coins’ whitepaper titled “Hybrid Assets for Peer-to-Peer Intersystemic Value Transfer.”
Internet of Coins co-founder, Robert de Groot, said:
“With this system, we aim to make everyone an exchange, to take away the risks of trusting a centralized third party and to connect alternative economies across geographical borders. Exchanging value should become as easy as swapping files; we aim for Internet of Coins to become the Bittorrent of cryptocurrencies and asset systems.”
Internet of Coins’ hybrid asset spreads the risk associated with volatile cryptocurrencies by storing their value on multiple blockchains instead of only one. Internet of Coins founder Joachim de Koning has stated that supported blockchains include Bitshares, Nem, Waves, Omni Layer (Bitcoin), and Ethereum, to name a few.
The organization’s website further states:
“Existing wallets need no changes or adaptations to have their blockchains and value systems hooked into this decentralized network.”
Operating on this blockchain-agnostic model, Internet of Coins is inspiring the blockchain community to work together with their open source technology for optimal cross-platform interoperability (including mobile platforms) in a simple and secure manner.
“We want to integrate all token value system into an interconnected and financially liquid web. The current developments in cryptocurrencies are already overflowing with creativity, and we’d love to see these developments continue without imposing any artificial or technical limitations,” said Internet of Coins.