What is NEAR Protocol?

Sep 13, 2022
3 min read

This blog post will cover:

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

What is NEAR Protocol?

NEAR Protocol is the project with a main focus on providing the best user experience and being a developer-friendly ecosystem. The project aims to make a contribution to the Web 3.0 development. The platform utilises PoS (Proof-of-Stake) consensus mechanism, which provides scalability to the platform via the usage of sharding technology.
NEAR is the native coin operating within the platform. NEAR coins are used to pay for transaction fees and to reward stakeholders. As the platform is a PoS platform, users get paid for completing transactions on the blockchain with NEAR coins.
There is a NEAR protocol treasury with 0.5% of the total NEAR supply each year, which is constantly being reinvested in the system development.

Where did NEAR Protocol come from?

The first concept of the project emerged in 2017 and was formed by Illia Polosukhin and Alexander Skidanov. One had the experience of being a leading contributor for TensorFlow at Google and the other worked as a lead engineer at MemSQL.
The first testnet of the project was launched in April 2020, in October that year the official testnet went live.

The NEAR Protocol is created by the NEAR Foundation. It is represented by the community of researchers, developers, and enthusiasts from all over the world. They altogether wrote the first code of the platform and continued the project development. They have been managing all the bugs and updates on the platform since then. Besides, the NEAR Protocol is an open-source project, so anyone can take part in its development.

What are the advantages of NEAR Protocol?

  • Proof-of-Stake mechanism
    PoS enables users to stake and get rewards, as well as enhance the scalability of the project.
  • Nightshade technology
    NEAR Protocol applies the Nightshade technology to boost the throughput capabilities of the cryptocurrency. It also allows cross-chain interoperability.
  • Doomslug
    Doomslug is a novel consensus mechanism that is here to boost efficiency of the performance on the platform. It is responsible for ensuring high-speed transactions and making validators’ work even.

What are the disadvantages of NEAR Protocol?

  • Governance
    Voting is available only for validators at the moment, which leaves other users non-involved in the growth and development process of the project.

How to buy NEAR Protocol on SimpleSwap?

If you want to purchase NEAR coins, SimpleSwap is here to help you. Just follow the simple instructions below to get some coins:

  • 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 NEAR in the second drop-down list. You will see the estimated amount that you will receive after the exchange.
  • Enter the Recipient's Address. NEAR 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.

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