To maintain the decentralization of blockchain networks, each node collectively works together to process data and store them on the ledger. However, one challenge for most blockchain networks is the low throughput to finalize transactions or process data. Newer blockchain protocols have been built to solve this scalability problem, and Zilliqa (ZIL) is one of them. Following the emergence of Zilliqa, many sectors are now adopting blockchain technology without any scalability issues.
What is ZILLIQA (ZIL)?
Zilliqa is a scalable blockchain network that supports smart contracts and uses the sharding method to process larger transactions simultaneously. The Zilliqa blockchain is capable of handling 2,828 transactions every second.
Notably, its capabilities relate to blockchains like Avax and Solana, built to tackle slower networks. ZIL is the native coin of the Zilliqa blockchain, officially introduced in 2017. This native token is used to pay transaction fees on the Zilliqa network.
The ZIL Team
Zilliqa was created by two researchers, Amrit Kumar, and Xinshu Don, in 2017. The team consists of two board members and seven executives. Namely, Juzar Motiwall, Mark Hemsley, Tom Fleetham, Bradley Laws, Richard Watts, Advien Gheur, Alex Spells, Max Kantelia, and Matt Dyer.
How does Zilliqa work?
Zilliqa employs a technique called “sharding” to process bulk transactions. This means the entire Zilliqa blockchain data is divided into smaller units called shards. This way, each node only stores and processes data about its assigned shard rather than having each node process the entire network’s load. Zilliqa spearheads its competitors with this sharding technique it implements. It has become the choice of many financial services.
The ZIL consensus mechanism
Zilliqa utilizes a distinct consensus mechanism, which combines Practical Byzantine Fault Tolerance (pBFT) and Proof-of-Work (POW) to verify transactions on the blockchain. pBFT synchronizes all nodes to ensure that a relatively higher number of nodes agree on data accuracy before storing it on the network.
The ZIL token has a fixed maximum supply of 21,000,000,000, with a total supply of 17,538,476,000.87. The Zilliqa team intends to reserve 20% of its tokens until 2027, while about 80% will be mined for four years.
Use cases of the Zilliqa Token (ZIL)
- Earning rewards through staking
- Connecting with the Zilliqa ecosystem
- Transaction payment means
Before its launch, 12.6 billion ZIL tokens were created, while the remainder was created through mining. Currently, 15,867,699,446.77 ZIL is in circulation, equivalent to 75.56% of the total supply.
ZIL – The Road Ahead
No doubt, ever since its introduction, ZIL has experienced a tremendous increase and adoption. It is the first of its kind to operate on a sharded network. Its team is constantly working on improving in terms of infrastructure.
The Zilliqa network currently processes millions of transactions monthly. The blockchain once averaged 900 blocks produced daily. Now though, the blockchain produces up to 2500 blocks daily. Undoubtedly, the Zilliqa team will continue to compete with other scalable blockchains in the coming years.
How is ZIL different from gZIL?
ZIL is used to transact on the Zilliqa network and motivate miners to earn block rewards through mining. On the other hand, gZIL serves as a Zilliqa governance token that allows community members to contribute to improving and developing the protocol. Essentially, each user possessing gZIL can actively vote and participate in the platform’s governance. Users can earn gZIL by simply staking their ZIL tokens.
How do I Buy ZIL?
If you’re interested in buying ZIL, you can find it on a list of exchanges like Gate.io, Bithumb, Bitfinex, and Binance. You can trade ZIL against other cryptocurrencies, stablecoins, and fiat currencies on any of these exchanges.