What is Elrond (EGLD) and how does it work? All you need to know

What is Elrond (EGLD)?

Elrond (EGLD/USDT – Trade it Here) is a cryptocurrency and blockchain platform engineered for high scalability, speed, and security, catering to extensive transaction volumes. It serves as a technology ecosystem for various sectors like fintech, DeFi, and the Internet of Things (IoT), with its native currency, eGold (EGLD), at the core.

Who are the creators of Elrond (EGLD)?

Elrond was founded by brothers Beniamin and Lucian Mincu, along with Lucian Todea, in July 2017. The network was launched three years later, in July 2020. Elrond was created to address the issue of blockchain scalability. Before founding Elrond, Beniamin and Lucian Mincu co-founded MetaChain Capital, a digital asset investment fund, where Beniamin served as CEO and Lucian served as the chief technology officer.

Key features of Elrond (EGLD)

Adaptive state sharding

Elrond's strategy for enhancing blockchain sharding, known as "Adaptive State Sharding," integrates the benefits of State, Transactions, and Network sharding types. This approach enhances communication within shards and significantly boosts performance by leveraging parallel processing.

Secure proof of stake

Elrond's "Secure Proof of Stake" eliminates the computational waste of PoW, combining stake-based eligibility, rating, and random validator selection. This approach, along with an optimized consensus group dimension, maintains a high level of security through a BFT-like consensus protocol. The protocol achieves security through random sampling of the consensus group and reshuffling of nodes across shards, utilizing an unbiased randomization source.

Elrond VM

The Elrond Virtual Machine (VM) serves as a dedicated smart contract execution engine, operating on WebAssembly (WASM). It broadens the range of languages accessible to smart contract developers, including Rust, C/C++, C#, and Typescript. This flexibility allows developers to write smart contracts in their preferred language, compile them to WASM, and debug them in a human-readable WAT format.

How does Elrond (EGLD) work?

Instead of relying on mining, Elrond utilizes a secure proof of stake mechanism for validation. Here's an overview of how the Elrond blockchain operates:

Validators validate and record transactions by staking EGLD tokens Validators stake EGLD tokens to earn the privilege of processing transactions on the Elrond blockchain. They collaborate to process transactions simultaneously and append new blocks to the blockchain.

Fishermen actively search for fraudulent transactions and users Fishermen within the Secure Proof of Stake (SPoS) network validate new blocks added by validators. Their role involves identifying any invalid blocks or malicious participants within the network.

Observers passively maintain the Elrond blockchain's history Observers store the complete history of the Elrond blockchain. They are passive participants in the network, solely responsible for maintaining the blockchain's history without creating new blocks or receiving EGLD rewards.

Understanding the tokenomics and recent performance of eGold (EGLD)

The initial issuance took place on the BNB Smart Chain platform. From the platform's inception in 2018 until September 2020, Elrond operated with its native currency called Elrond (ERD). However, starting in September 2020, a conversion took place where ERD holders received 1 EGLD for every 1,000 ERD they held. While ERD had no maximum supply, EGLD was limited to 31,415,925 coins.

Currently, there are 23,532,224 tokens in circulation. EGLD reached its all-time high (ATH) of 490.35 USDT on November 22, 2021. The lowest price since the ATH date was 41.63 USDT on June 13, 2022. Over the past 30 days, the highest price was recorded at 56.21 USDT on October 5, 2022, and the lowest at 45.43 USDT on September 28, 2022. As of now, its current performance is 54.27 USDT with a market capitalization of $1,277,051,371 and a fully diluted market capitalization of $1,704,885,624.

How to buy Elrond Gold (EGLD)?

The entire process can be completed in as little as 10 minutes, requiring only a smartphone or computer, photo identification, and a payment method.

• Compare crypto exchanges: We provide a list of the top cryptocurrency exchanges where you can purchase Elrond (EGLD).
• Create an account: Sign up and verify your email address and identity.
• Make a deposit: Add funds using a debit card, credit card, wire transfer, or Bitcoin.
• Buy Elrond: Utilize your deposited funds to purchase EGLD.

We compile a list of the top 7 exchanges that enable purchasing Elrond (EGLD) with credit cards, debit cards, or Bitcoin (BTC).