Given China’s government’s restrictions on cryptocurrency transactions, NEO may become the preferred cryptocurrency in the country, and possibly the world.
Unlike other cryptocurrencies, NEO’s Onchain technology was designed from the start to be regulator-friendly.
This may help it survive and grow in China, where government authorities are wary of bitcoin. The government is worried about cryptocurrency speculation. En outre, its enormous cryptocurrency mining activities have drained the country’s electrical supply, threatening its environmental ambitions.
All about NEO
Da Hongfei and Erik Zhan launched NEO as AntShares in China in 2014, and it calls NEO in June 2017. It’s a blockchain-based platform with its own coin and the ability to create digital assets and smart contracts. It is similar to the Ethereum blockchain network, which is situated in the United States.
NEO wants to use smart contracts to automate digital asset management and create a distributed network-based smart economy.
NEO’s Digital Equivalents
As NEO states, “Digital Assets + Digital Identity + Smart Contracts = Smart Economy.” The NEO blockchain allows for easy asset digitization that is open, decentralized, trustworthy, traceable, and transparent.
Different types of assets can record, bought, sold, exchanged, or circulated by users. The NEO platform allows you to link a tangible object to a digital avatar that is unique to its network. NEO supported asset protection. Assets registered on its platform have a verified digital identity that is legally protected.
Digital identification allows for the verification of important information about participants, companies, and other entities.
Smart contracts enable transactions and agreements between parties without relying on a legal system or a central organization. The network’s coding allows for transaction traceability, transparency, and irreversibility, as well as contract execution.
NEO is a cryptocurrency that supports two coins: NEO and GAS. It supports all major programming languages, including C#, Java, Go, Python, and Kotlin, allowing a broad developer community to quickly contribute to the platform.
NEO distinguishes itself from other basic blockchain networks by focusing on regulatory compliance. While other blockchain systems, such as Ethereum, have digitized assets and smart contracts, NEO stands apart because of the third crucial element of its “digital identity.”
On the NEO platform, every individual, business, or other organization must have a unique digital identity that can confirm. People, corporations, and projects may only transact with each other if the other party has the proper identification, making the NEO network compatible with regulations.
Even nodes on the NEO network may require identity before participating in transaction verification and other tasks like accounting and bookkeeping.
While working on NEO, Da Hongfei and Erik Zhan drew the attention of businesses seeking private blockchain solutions. As a result, Onchain, an independent technology corporation, creates in 2014 to provide blockchain solutions to businesses.
Onchain focuses on the building of private and consortium blockchains to address the specialized demands of the sector. Whereas NEO functions similarly to Bitcoin and Ethereum.
Onchain’s main product, Distributed Networks Architecture (DNA), creates private and public blockchains using digital asset applications to assist enterprises. DNA thinks to be a blockchain platform that can tailor to solve a variety of challenges in both the private and public sectors.
NEO versus Onchain
NEO and Onchain are two distinct entities that exist on their own. Neither owns the other. Onchain concentrates on business-to-business (B2B) corporate services, whereas NEO targets the business-to-consumer (B2C) segment. Where the “C” might refer to a client or even a community.
NEO supports by the public, whereas China’s largest private business Fosun backed Onchain.
“Their business includes banking, medical research, entertainment, and lifestyle, all of which have excellent synergies with blockchain technology,” said creator Da Hongfei. To demonstrate blockchain technology, Onchain chose Fosun Group as an investment partner.
NEO and Onchain founders want to achieve cross-chain compatibility in the future. An infrastructure linking public and private blockchains, such as NEOs, will construct.
As the number of blockchain-based systems grows in both the public and private sectors, interoperability will become increasingly important. Through their continuous efforts, the NEO and Onchain teams intend to close this gap.
However, trust and identity become crucial in enabling such interoperability. The intrinsic Digital Identity function, which is an important element of the NEO blockchain platform, will replace that need.
A vital link between decentralized, unregulated, and anonymous blockchain systems like Bitcoin and today’s standard KYC compliance.
NEO and Onchain may be able to provide a holistic solution to the ongoing rift between closed-economy regulators and open-system cryptocurrency enthusiasts by involving and serving all parties (individual users, network contributors like miners, transacting participants, private businesses, and even regulators).
Onchain’s DNA idea builds around the NEO platform. NEO is a decentralized public blockchain, whereas OnChain’s DNA is a private blockchain. By connecting these systems, the best of both worlds may realize.
Guiyang, the seat of Guizhou province in southwest China, has already approved Onchain’s DNA.
However, rumors suggest that the government is looking for an alternative option. As well as it is willing to work with enterprises that comply with its rules. If this is true, Chinese firms NEO and Onchain would be the frontrunners.
NEO usage will surge if the Chinese government and corporations grasp the potential of Onchain technology.