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Avalanche (AVAX): The Future Of Scalable Blockchain?

Avalanche (AVAX)
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Avalanche is a groundbreaking cryptocurrency and blockchain platform designed to challenge industry titans like Ethereum. Known for its speed, scalability, and innovative approach, Avalanche is becoming a prime choice for developers and investors alike.

The Basics of Avalanche

  • Native Token - AVAX: Integral to the platform, AVAX is not only a cryptocurrency but also a tool for securing the network, paying transaction fees, and facilitating operations within the Avalanche ecosystem.
  • Performance: One of Avalanche's major selling points is its ability to process a staggering 4,500 transactions per second, presenting an answer to the scalability issues that plague many blockchains.
  • Open-Source Nature: A testament to its commitment to community-driven growth, Avalanche is open-source, allowing anyone to contribute to and refine its codebase.

Features that Set Avalanche Apart

  1. Dynamic Governance: The rate of AVAX coin creation and transaction fees are governed by the AVAX holders. They have the power to adjust these parameters, fostering a democratic environment.
  2. Unique Consensus Mechanism: Transactions achieve finality through a distinct consensus method that involves random subsets of network participants, speeding up the confirmation process.
  3. Incentivized Participation: By ensuring high uptime and swift responses, network participants can potentially increase their AVAX rewards.

Avalanche vs. Ethereum

While Ethereum currently dominates the market with a vast array of projects and transactions, Avalanche boasts superior scalability. This potential advantage might position Avalanche favorably in the long run. Additionally, unlike Ethereum, which burns only a portion of its transaction processing fees, all Avalanche transaction fees are removed from circulation. This scarcity model, governed by user-driven decisions, differentiates Avalanche's approach.

Is Avalanche Secure?

Yes. Avalanche's unique consensus mechanism and decentralized structure enhance its security. The platform boasts features that make it less susceptible to common threats like 51% attacks.

Investing in Avalanche

For those looking to dive into the Avalanche ecosystem, AVAX tokens are readily available on major centralized exchanges and will be available to purchase via your Savl Wallet in Q1 2024. As with any investment, understanding associated risks is crucial. Cryptocurrencies are inherently volatile, so potential investors should exercise caution and due diligence.

AVAX coins were first sold through a seed sale in February 2019. This was followed by a private sale in May 2020 and an initial coin offering (ICO) in July 2020. Let’s take a look at it’s performance to date:

  • Seed Round Price (1st - 28th Feb 2019): $0.33
  • Private Round Price (1st - 31st May 2020): $0.50
  • ICO Price (15th July 2020): $0.50
  • Earliest Mainnet Price (14th Dec 2020): $3.33
  • All-time-low (31st Dec 2020): $2.79
  • All-time-high (21st Nov 2021): $146.22
  • Current Price (30th Nov 2023): $21
    • 357% increase since 14th Dec 2020
    • 86% decrease from all-time-high
    • 4116% increase since ICO ($0.5 to $21.08)

Although, the overall performance is significantly down from the heady highs of 2022, AVAX has remained quite stable over the course of 2023 and for those who got in at the ground level (ICO), AVAX represents incredible value.

Essential Highlights

  • Avalanche stands as a blockchain platform, featuring its native cryptocurrency, AVAX.
  • As a rival to Ethereum, Avalanche emphasizes enhanced scalability and rapid transaction processing.
  • AVAX plays a crucial role in securing the Avalanche blockchain, also serving as the medium for paying transaction fees network-wide.
  • The determination of transaction fees and the creation rate of AVAX coins are governed by a specific governance model within the platform.

Final Thoughts

The promise of Avalanche lies not just in its impressive technical specifications but also in its potential to revolutionize the blockchain landscape. With its emphasis on scalability, security, and user-driven governance, Avalanche is positioned at the forefront of the next wave of blockchain innovation and offers a fresh perspective on blockchain capabilities, inviting developers and investors to envision a more scalable, democratic, and efficient decentralized future.

AVAX is compatible with Savl Wallet in three forms: AVAX (native), AVAXC (supporting USDT and USDC), and WAVAX (wrapped version). Within your Savl Wallet, you have the option to buy AVAX (native) and manage, as well as exchange, all other variations.

DISCLAIMER: All cryptocurrencies are high-risk investments and you should not expect to be protected if something goes wrong. Don't invest unless you're prepared to lose all the money you invest. The contents of this blog post do not constitute financial, legal or investment advice of any nature and are simply a reporting of publicly available facts and data. Savl does not and will not make financial or investment recommendations EVER. Your capital is always at risk.

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