NEO vs Ethereum
Both Neo and Ethereum have common block diagrams representing developer tools, their goals are different, which we will look at in this article.
NEO is a non-profit blockchain project with an active community of developers around the world. How it works: the project uses blockchain and digital ID for digital assets and automation of their management using smart contracts to implement smart contracts with a distributed network.
Ethereum is a decentralized computing platform. This system cannot function on just one device. Ethereum, like bitcoin and other cryptocurrencies, is used to transfer digital money. However, the possibilities of this network are much broader – you can use your own code and use with applications that are created by other users. Due to its flexibility, Ethereum allows you to run many programs of varying complexity.
The bottom line is that developers can create and run code on a distributed network instead of a centralized server; in theory, the work of such applications cannot be stopped or censored. Experts often refer to NEO as “Chinese Ethereum” and “highlighting the similarity of the two projects.” The NEO platform, like Ethereum, supports smart contracts, allows third-party developers to deploy decentralized applications (DAPPS) and conduct initial token offerings.
Both projects have very similar philosophy, open source and Turing completeness. Serious responsible teams are engaged in their development in the extended crypto communities. You can invest in cryptocurrency and increase your income level without having special skills and knowledge. These, for example, include ICOholder, where they are responsible for cryptocurrency.
Here are the main differences between NEO and Ethereum:
One of the most important competitive advantages of NEO is its geographic focus. The project is aimed at China. The strategy has helped Chinese companies climb higher in the rankings on more than one occasion. NEO’s goal is to serve the real economy, which is why we welcome regulation, ” Da Hong Fei explains his strategy.
The second major advantage of the NEO platform is the ability to process over 1000 transactions through the use of a proprietary consensus mechanism called the Byzantine Generals Delegated Task. Ethereum, which runs on an outdated, expensive and rather energy-consuming Proof-of-Work protocol, is currently limited to only 15 transactions per second. Ethereum developers claim to be actively working on solving this problem.
Smart contracts and decentralized applications on the NEO network can be created in any of the popular programming languages such as C # and Java, for example. This lowers the barrier to entry for all developers. In Ethereum, writing smart contracts and DApps requires learning the new programming language Solidity.
The presence of two domestic currencies in the NEO blockchain makes it flexible. NEO tokens are positioned exclusively as project shares. They are indivisible and can only be stored in integers. Additional NeoGAS (or GAS) tokens are issued in the NEO system to pay for transactions, launch smart contracts and other expenses. 100 million GAS coins are periodically accrued in the form of dividends to each NEO token holder for 22 years.
Ethereum has only one internal currency, Ether. It can be divided into fractional numbers, and small volumes of it are used as fuel to feed the network. Transaction fees are relatively high here, averaging $ 0.50, while NEO is still absent at almost zero.
The expected emergence of quantum computers poses a threat to the cryptocurrency industry. New computers can very quickly break cryptographic algorithms, blockchains are based on them. NEO developers claim to have already created an anti-quantum cryptographic engine called NeoQS. Ethereum and almost all other accompanying cryptocurrencies do not have this protection.
NEO has some advantages over Ethereum, the Ethereum platform has already gained acceptance. NEO’s value lies in its focus on regulatory compliance for a platform suitable for the smart economy.
By and large, NEO and Ethereum are meant to play the same role in the crypto community. They both want to be platforms for the new internet: for DApps (decentralized applications), ICOs (initial coin offerings) and smart contracts, of course you choose, we wish you every success.