What is Theta?
Theta is a decentralized network designed to allow a worldwide network of machines to run permissionless video streaming.
Today, end-users pay content distribution networks (CDNs), which are geographically distributed networks of providers, to access video stream content. Current CDNs are unable to keep up with exponentially high-quality sources due to geographic constraints. Theta honors its worldwide pool of users for relaying videos by allowing them to give their spare bandwidth and computational power. As more people enter the Theta network, more capacity becomes accessible, which improves the video streaming experience.
Theta has two native cryptocurrencies: THETA coin, which is used to vote on protocol updates, and TFUEL, which is used to execute transactions on its blockchain. Theta is also a free and open-source program. This, it says, expands the ability for everyone to build innovative apps and utilities on top of it.
How does Theta work?
Theta is a blockchain developed from the ground up for video and data transmission. A committee of 20–30 Enterprise Validator Nodes and a second layer of 1000s of community-run Guardian Nodes make up Theta’s special multi-BFT consensus architecture.
Guardian Nodes finalize blocks and serve as a check on malicious or otherwise non-functional Validator Nodes. Validator Nodes propose and generate new blocks in the chain, while Guardian Nodes finalize blocks and act as a check on malicious or otherwise non-functional Validator Nodes.
Blockchain Ventures, Samsung, Binance, and Theta Labs are running Corporate Validator Nodes on Theta, with some other large corporations in the process of entering. More than 400 Theta group members are already testing Guardian Nodes on the Theta testnet, and they will go live on mainnet on May 27, 2020 with the introduction of Theta Mainnet 2.0.
Theta Token (THETA) is the Theta protocol’s staking and governance token. THETA is used to stake as a Validator or Guardian node on the Theta Network, leading to block development and protocol governance. Users can win a proportional share of the new TFUEL created by staking and running a node. THETA’s stock is limited to one billion units and can never be increased.
Theta Fuel (TFUEL) is the Theta protocol’s operating token. TFUEL is used for on-chain operations such as payments to Edge Node relayers for exchanging a video source, as well as the deployment and interaction with smart contracts.
Any video stream that relayers transmit to other users on the network earns them TFUEL. Theta Fuel may be thought of as the protocol’s “steam.” At the time of Theta blockchain’s inception, there were 5 billion TFUEL in circulation, with the supply increasing annually at a defined percent set at the protocol stage, which is currently 5%.
What is the History of Theta?
Mitch Liu, who previously formed startups in social games and online ads, and Jieyi Long, who previously worked on VR live streaming technologies, created Theta in 2017. Steve Chen, co-founder of YouTube, Justin Kana, co-founder of Twitch, and Rakuten Viki and CJ Hello, senior executives from Verizon, are among Theta’s board of advisors.
In 2017, the Theta team conducted a private token auction, offering 30% of the 1 billion unit supply of the THETA coin, earning the equivalent of $20 million.
How do I hold Theta?
Theta can be held on the official Theta Wallet and others such as Trustwallet.