What Is Loom Network?

About Loom Network (LOOM)

Initially, Loom Network set itself the goal of solving the problem of speed and scalability that is inherent in the Ethereum blockchain that Loom is based on. To do this, the project team creates DApps chains that consist of sidechains. Thus, when developers want to create their own application or program, separate sidechains are allocated for them, which are connected to the Ethereum blockchain through hashing. The second, in turn, ensures the interaction and reliability of sidechains. Thus, the load from the main network is removed and the scalability problem is solved.

Loom Network encourages developers to create new DApps, since the more there are, the greater the computing power, and the more commissions are reduced. It also stimulates the network infrastructure to process any number of transactions.

In addition to Ethereum, Loom Network works with Bitcoin, Binance Chain, and Tron (cooperation with EOS and Cosmos is expected in the near future). Developers can use their assets from all of the above networks. Thus, now the platform is multi-chain, but the principle of operation remains the same.

LOOM is the native ERC-20 token of the Loom Network platform. This cryptocurrency was created for the interaction of the platform, developers, and users of all segments, as well as for the development of the project by the founders and team.

Where did Loom Network (LOOM) come from?

Loom Network was created in October 2017. Its co-founders are James Duffy (crypto enthusiast and software developer), Luke Zhang (who had experience as a developer in Workopolis, BlockMasonInc, and Elemica), and Matthew Campbell (he was a member of ErrPlane, ThomsonReuters, DigitalOcean, HyperworksInc projects).

Since 2017, the LOOM token has been traded on many large and small exchanges. It has become more popular.

What are the advantages of Loom Network (LOOM)?

1. The possibility of instant development
   
   Developers don't have to wait for the remote scaling issue to be resolved, they can build their applications immediately without any hassle.
2. High speed and scalability even during working with large DApps
   
   Such indicators can be achieved thanks to the DPoS (Delegated Proof of Stake) consensus.
3. Benefits for users of such DApps
   
   Users don't have to pay fees and the transaction speed is lightning fast.

What are the disadvantages of Loom Network (LOOM)?

1. Not fully decentralized
   
   Loom Network is not fundamentally decentralized and its security, despite the implementation of sidechains that provide basic protection for application performance and data safety, is still not the best.
2. There is no roadmap
   
   Due to the lack of a roadmap, it is not so easy to understand immediately what plan the developers have for the near future and in what direction they will develop.

How to buy LOOM?

To become a part of the Loom Network community, you can buy a LOOM token by following SimpleSwap's instructions:

1. Choose the currency you want to exchange (e.g. BTC) in the first drop-down list. Enter the amount you would like to swap.
2. Select LOOM in the second drop-down list. You will see the estimated amount that you will receive after the exchange.
3. Click the Exchange button.
4. Enter the Recipient's Address. LOOM will be sent to this address. Be careful and make sure you use the correct address.
5. Create the exchange.
6. You will see the Bitcoin deposit address. You need to transfer the necessary amount of BTC to this address to start the BTC to LOOM crypto exchange.

Now you know more about the Loom Network and its own LOOM token. Stay with us to learn something new every day!

SimpleSwap reminds you that this article is provided for informational purposes only and does not provide investment advice. All purchases and cryptocurrency investments are your own responsibility.