​Finding an appropriate blockchain solution to issue your token or launch your project on is a big deal. With so many options out there, it can seem daunting to take the time to research all of them to discover what you need to consider and look for before launching your token on one of them. Moreover, it is important to first know the basics beforehand. 

How Blockchains Work

Blockchain technology produces data with built-in security qualities. It’s based on principles of cryptography, decentralization, and consensus, which ensure trust in transactions. In blockchains, the data is structured into blocks and each block contains a transaction or bundle of transactions. Each new block connects to all the blocks before it in a cryptographic chain in such a way that it’s nearly impossible to tamper with. All transactions within the blocks are validated and agreed upon by a consensus mechanism, ensuring that each transaction is true and correct.

With that being said, let’s look at some features to consider before selecting a blockchain to launch on.

1. Safety and Security 

Public vs Private blockchain

Public blockchains which are decentralized, typically allow anyone to join and for participants to remain anonymous. A public blockchain uses internet-connected computers to validate transactions and achieve consensus through mining. There is no single point of failure and a single user cannot change the record of transactions.

 Public/Permissionless blockchains are the safest because they

• Open source code and offer more security
• Are decentralized and not controlled by one person or any organization
• Anyone can join or exit as a node and usually have a large number of nodes

Private blockchains, which are centralized, use identity to confirm membership, and access privileges and usually allow only known organizations to join. Together, the organizations form a private, members-only network. Only members with special access and permissions can maintain the transaction ledger. This network type requires more identity and access controls.

There are some hybrid blockchains that are partially permissionless. Both Private blockchains and the hybrid blockchains presents different level of security concerns. For example, Bitcoin blockchain, Ethereum blockchain and Fast Access Blockchain are public blockchains. The blockchain with limited nodes, such as EOS, Binance Smart Chain, Tron blockchain are not true blockchains, which have security concerns. 

Hacks and Breaches

Many different blockchains are vulnerable to hacks and security breaches. In fact, as recently as Oct 6, 2022, Binance, the world’s largest crypto exchange by volume, was hacked, reportedly for $570 million. The hack caused Binance to pause all of its services while it recovered. Binance CEO Changpeng Zhao said in a tweet that tokens were stolen from a blockchain “bridge” used in the BNB Chain, known until February as Binance Smart Chain.

Blockchain bridges are tools used to transfer cryptocurrencies between different applications. Criminals have increasingly targeted them with some $2 billion stolen in 13 different hacks, mostly this year, in August. On Oct 7, 2022, Binance services were resumed to normal. 

When choosing a blockchain application, public and permissionless networks like Fast Access Blockchain (FAB) and Ethereum can achieve greater decentralization and distribution.

2. Costs of Launching Smart Contract and Transaction fees

Smart contracts, also known as digital contracts, use blockchain across a network of computers to fulfill a preprogrammed contract. When the contract’s conditions have been met, the smart contract executes, sending a payment to one of the parties to the contract, as an example. Smart contracts can be used for many purposes such as NFT transactions, gaming, real estate, decentralized finance, and more.

When choosing blockchains, it is important to look at the cost of launching smart contracts. The Ethereum blockchain costs over $2000 USD to launch a smart contract, while BNB chain costs over $200 USD vs on Fast Access Blockchain (FAB), you can launch a smart contract as low as $0.20 USD. 

Transaction fee or gas fee is another cost to consider. These fees are paid to miners to maintain the blockchain. The transaction fee or gas fee is to ensure the cryptocurrency transactions are being processed on the blockchain in a timely manner. The transaction priority depends on the age of the transaction, the value of the transaction, and the size of the transaction. Miners intend to prioritize the transactions with higher gas fees. 

The gas fee on Ethereum blockchain costs a whopping $10+ USD per transaction, sometimes can cost over $100 depending on the traffic. This means that if you were to pay $2 for coffee, you would still pay an additional $10+ just for the gas fee. On Fast Access Blockchain (FAB) the gas fee can be as low as $0.002, which is very affordable for smaller transactions.

3. High Throughput 

Throughput is a measure of how many units of information a system can process in a given amount of time. When you issue a token or launch a project, consider a public blockchain with high throughput is necessary. Projects like blockchain gaming, blockchain ecommerce or on-chain exchanges do require high throughput blockchain technology. While launching your project on public blockchains, we need to compare the throughput of the popular public blockchains: 

Bitcoin blockchain can process 7 or 8 transactions per second (TPS); Ethereum blockchain can process 15 TPS (Ethereum 2.0 is supposed to reach 100k TPS) ; Fast Access Blockchain can process over 1 million TPS. 

4. Ecosystem

The main question that you need to ask yourself when selecting a blockchain to launch your token on is how will this blockchain’s ecosystem benefit you?

The distributed nature of blockchains is the perfect example of network technology. It can bring new functionalities for the employees and customers of an organization. It will revamp the complete workflow and how projects are developed, from the starting stage to the end. The biggest advantage of a blockchain’s distributed ledger is the shared repository.

The FAB ecosystem includes the revolutionary payment system Pay.Cool, which not only provides on-chain near real time settlement, cross-chain functionality, most importantly it is also implemented with the long-term incentives for crypto payment. This application allows users to pay with crypto for daily transactions, as well as earn referrals for long-term financial advantages. Like all other FAB applications, Pau.Cool is secure, fast, and easy to use, with the added bonus of having the lowest gas fees for transactions among many major blockchains. Other FAB ecosystems include the NFT market (CollectionGala.com); on-chain ecommerce, two decentralized exchanges include eXchangily (order book model) and Biswap.com (AMM model), decentralized supply chain and ID dock etc. The exchangily wallet is the open source on-chain wallet that can be used, accessed, and restored across all FAB applications, it is secure, fast, cross-chain and easy to use. Like all FAB applications, it is secure, fast, and easy to use, with the added bonus of having the lowest gas fees for transactions of any blockchain. 

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Also, be sure to check out our official websites below for even more!

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pay.cool to learn how you can turn your consumption into investments

collectiongala.com to buy, sell and discover NFTs 

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