While most cryptocurrencies and blockchain projects give users a single service, Nxt changes the landscape; it brings to you a host of decentralized services through its platform. Nxt is a blockchain written in Java; it provides you with many decentralized apps and services like storing documents, exchanging assets in a peer-to-peer environment, etc. All the services are used by the Nxt token in the platform.
How Nxt Blockchain Project Works
While most of the cryptocurrencies and blockchain projects built themselves on Bitcoin’s source code, Nxt came up with its own blockchain and source code written in Java. It is not a dapp platform, but it provides a number of different decentralized services.
Free Exchange of Assets
At Nxt, you can exchange assets freely. These can be anything from legal bonds to movie tickets.
The Nxt marketplace brings sellers and buyers in direct contact without any middlemen benefitting from playing the role of mediator. The sellers provide the buyers with the download link to the product once they make the payment
Nxt Cloud Storage
You can use the Nxt cloud storage to store any kind of documents and files. You don’t have to rely on Google Drive or Dropbox for the security of your sensitive documents.The blockchain ensures data immutability and provides high-level security.
All the document storing, though, comes at the cost of Nxt, with most documents requiring payment of 1 Nxt.
Nxt Monetary System
You can create your own cryptocurrency using the Nxt Monetary System. Once you have created it, you don’t have to wait for a second before trading in it within the Nxt platform or any exchange supporting the Nxt Monetary System.
Nxt helps you make private and anonymous transactions through coin shuffling. While other cryptocurrencies don’t always offer this feature and you have to use a third-party service for the same, Nxt gives you this benefit from within the platform.
However, in order to do this, you have to create a new account and then have your funds distributed in a random manner before they are transferred to the new account.
Nxt Pros and Cons
The voting system allows for account control where access is possible only when multiple parties authorize it
Uses Proof of Stake instead of Proof of Work
A great venture for start-ups looking to come up with their own cryptocurrency or looking to reach to a wide audience with the least hassle
Data cloud service is really beneficial for storing documents of importance
The marketplace cannot control the selling of contraband items because it’s difficult to remove items owing to the decentralized nature of the platform
There is considerable centralization of power in the organization
Scalability issues since transaction fees on crypto tokens create on the platform are charged in Nxt tokens
Nxt was launched in 2013 and has seen its share of highs and lows. It spiked to more than $2 in January with the launch of Ardor and their IGNIC ICO which successfully raised 15 million dollars. Nxt is looking to host similar ICOs in the future and that could boost its price further. Currently, it has a daily trading volume of $5.6 million and a global market cap of $154 million.
Buying & Storing Nxt Tokens
Storing is possible through the Nxt Client which requires you to set up an account.
Nxt is a blockchain project that is truly innovative; people need such projects. Whether developers and start-up owners or consumers, a platform where everyone has access to a host of decentralized services that make the most of the blockchain technology is always welcome.
However, while Nxt indeed provides a lot of useful services, there are areas of concern. The centralization of power is something users always frown upon in a blockchain project.
The scalability issue could be a huge problem since all transaction fees, regardless of which crypto token you use in the Nxt world, are charged in Nxt tokens. Also, there are competitors like NEM that provide a better and more streamlined and finished product than Nxt.
While the development of the project has been ongoing, the team faces a race against time as more and more of such projects are bound to pop up sooner rather than later.