What is ICON?
ICON’s goal is to create a decentralized network of networks based on cryptocurrency.
ICON sees its purpose as creating a “digital country” where diverse economic players may issue and govern their own kinds of value under their own set of rules.
The architecture is based on the structure of real-world economies, in which corporations, NGOs, and government entities all use a similar unit of account (a national currency) while being independent but interoperable economic actors.
To put it another way, the concept is that computer programs may utilize the Icon software to build their own currencies and economies. Computers using the software (nodes) may then choose to support the ICON ecosystem’s economies based on their preferences.
How does ICON Work?
To select which nodes may contribute new blocks to the Icon blockchain, it employs a delegated proof-of-stake consensus mechanism.
The concept, which is also adopted by big cryptocurrencies like Tron and EOS, is that by not deciding blocks via competition (like mining), the network may achieve agreement more rapidly.
Loopchain is the algorithm that underpins the Icon blockchain, allowing all nodes in the Icon Republic to communicate with one another. Loopchain does this by using the Loop Fault Tolerance (LFT) algorithm.
Loopchain assigns nodes to aggregate transactions into blocks, add those blocks to the blockchain, and distribute those blocks to other network nodes, similar to other delegated proof-of-stake (DPoS) methods. Validation nodes, on the other hand, authenticate the block’s formation, verify the block hash, and validate the block contents.
ICON distinguishes itself from typical DPoS blockchains by reducing the amount of steps required for consensus.
LFT employs a method known as Spinning to simplify the mechanism for determining who may produce blocks and the validator nodes that validate them.
What is the History of ICON?
ICON was founded in 2017 by the Icon Foundation, a South Korean nonprofit that oversees the project’s progress.
In September 2017, Icon’s cryptocurrency, ICX, raised 150,000 ETH (approximately $42 million) in an initial coin offering (ICO) that comprised half of Icon’s token supply. In January 2018, the Icon blockchain was officially launched, and ICO participants got their ICX coin in June of that year.
Icon’s own token standard, IRC16, was announced in 2019, allowing users to create tokenized assets and securities.
How Do I Hold ICX?
ICONex is the native wallet created by the ICON Foundation.