What is Internet Computer?

Sep 13, 2022
5 min read

This blog post will cover:

  • What is Internet Computer?
  • Where did Internet Computer come from?
  • What are the advantages of Internet Computer?
  • What are the disadvantages of Internet Computer?
  • How to buy Internet Computer on SimpleSwap?

What is Internet Computer?

ICP is the Internet Computer coin that allows participation in the governance of the network. ICP was developed by the Swiss blockchain project Dfinity Foundation. It was founded by Dominic Williams in 2016. The main goal of the project is to improve the outdated IT industry and the whole Internet. Using the Internet Computer, developers can create websites, enterprise IT systems and internet services by installing their code directly on the public Internet and dispense with server computers and commercial cloud services.
With the development of the Internet, almost all data is under the control of Google, Facebook, Microsoft and Amazon. This facilitates government oversight and censorship. This has also posed privacy concerns. Personal information about people is used for advertising campaigns on the Internet - in DWeb, according to Williams, targeted advertising is not possible, since information about users is confidential. Decentralized Internet (DWeb) offers to be independent from intermediaries. To create it, developers use blockchain technology - it provides anonymity and security.

There are three options for interacting with the network:

  • basic use without having ICP coins;
  • store part of the data (blocks) on a device. The user loses resources and device memory, but receives ICP coins as a reward (it can be used into the DWeb network);
  • ask other users to store data and pay for it with ICP coins.

Unlike the "regular" Internet, DWeb is better secured. For example, it makes no sense for DDoS attack to a decentralized network: a simultaneous large number of requests that can disable an ordinary Internet resource in DWeb will be distributed across network devices and will not affect its operation. In addition, it solves the problem of censorship: it will be more difficult for the government to block any site - data will come to the user's device from different places, and not from one server.
With the help of DWeb, users will be able to exchange information with other users not through centralized services, but directly.
The ICP crypto is an interoperability tool on the DWeb network. The coin is an entry to the register, distributed over blocks and indicating the digital balance. When users buy ICP coins, they have a tool for interacting within the decentralized network.
ICP coin holders can start managing the network in the NNS app. To start using it, they should pass the identification procedure.

The ICP coin performs the following functions in NNS app:

  • facilitating network management with the help of neurons participating in voting on proposals;
  • production of cycles for calculations;
  • reward for voting participants and node providers.

Where did Internet Computer come from?

Since the early 2000s, Dominic Williams has worked in distribution systems - databases that are distributed across multiple network nodes or computing devices. In 2014, he started working on algorithms for cryptocurrency platforms, and a year later he had a global idea, which became the beginning of the Dfinity project.
In 2018, the Dfinity project was supported by large investors: the Andreessen Horowitz venture capital fund and the Polychain Capital cryptocurrency fund invested $ 102 million in it. Amino Capital, CoinFund, Aspect Ventures and Eterna Capital also invested in Dfinity. In total, the project raised over $166 million.
The development of the project took five years and four phases of the project (Copper, Bronze, Tungsten and Sodium), as well as the alpha and beta versions of the main network as part of the Mercury phase.
The Dfinity team held a token sale in 2017 and ICP airdrop in the summer of 2018. The ICP coins were unlocked on May 7, 2021.

What are the advantages of Internet Computer?

  • The project was supported by many well-known investors, including Andreessen Horowitz.
  • ICP is one of the few cryptocurrencies that managed to get into the top 10 of the capitalization rating in May, 2021.
  • Developers have ready-made technical solutions that can be used in practice.
  • The cryptocurrency of the project was supported by many popular crypto exchange platforms, which conduct a strict security check of coins before listing them.

What are the disadvantages of Internet Computer?

  • Currently, the ICP coin has started to lose the attention of new investors. This is evidenced by the continued drop in the ICP rate after the start of trading.
  • Despite its promising potential, the project may turn out to be unclaimed and lose its relevance.
  • The source code is not open source and is considered the private property of the Dfinity corporation, which raises doubts about its transparency.

How to buy Internet Computer on SimpleSwap?

ICP is quite an interesting project with high chances of success, so getting ICP coins may be a pretty good idea for developing your crypto portfolio. You will receive the ICP crypto when you complete these few simple steps:

  • Choose the currency you want to exchange (e.g. BTC) in the first drop-down list. Enter the amount you would like to swap.
  • Select ICP in the second drop-down list. You will see the estimated amount that you will receive after the exchange.
  • Enter the Recipient's Address. ICP will be sent to this address. Be careful and make sure you use the correct address.
  • Check all the information you have entered. If everything is correct click the Exchange button.
  • You will see the Bitcoin deposit address. You need to transfer the necessary amount of BTC to this address to start the exchange.

Thank you for choosing SimpleSwap!

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