What is THETA? Do you believe that the world requires a decentralized broadcasting alternative to youtube or twitch, THETA could be it and we’re going to learn about this interesting project in this article we’re going to explain what THETA is and who created it, It’s functions, where to buy it, the difference between THETA crypto and TFUEL and what my thoughts are on it.
What is THETA crypto?
A blockchain network called THETA network seeks to offer a decentralized video streaming infrastructure. With its cutting-edge peer-to-peer network, THET aims to revolutionize how streaming goliaths like YouTube and Twitch share their content with the world.
Contrary to popular belief, it does not compete with YouTube but instead aims to lower costs and improve the infrastructure for streaming videos. Traditional video streaming infrastructures make use of numerous servers located all over the world. These servers offer content to users in a timely and effective manner. This entire system is referred to as a content delivery network or CDN. The issue with CDNs is that they’re fairly pricey. CDN service providers often charge based on the amount of data utilized. Essentially as a video streaming site rises in popularity so does its operating expense.
It offers a novel and creative answer to this challenge it lessens the pressure on CDNs by offloading some of the load to its peer-to-peer network. It allows its many users all over the world to relay videos by leveraging their spare bandwidth and computing resources. These users are then compensated for their network contributions.
Who created THETA?
The network’s parent firm is known as THETA labs mitch Liu and g.a long launched in 2017. Entrepreneur Mitch Liu previously co-founded businesses in mobile gaming and internet advertising. Ga long on the other hand is a virtual reality video streaming expert. Initially, 30% of the total coin was available for purchase in a private token cell. This raised approximately 20 million dollars for the network’s initial development.
It’s labs have its own streaming service THETA-TV. In addition to the I’ts network, this website rewards its users with a token known as TFUEL in exchange for watching video content.
How does THETA work?
As previously stated the THETA network uses a peer-to-peer protocol that allows users to be paid for their contributions to the network. In this sense, user contributions can be classified into three categories enterprise validator nodes, guardian nodes, and edge nodes.
Enterprise validator nodes
Enterprise validator nodes are often in large corporations that stake THETA coin in order to process and validate network transactions. These nodes serve as the network’s initial line of defense ensuring its security. Sony google talent shop and Samsung are some notable enterprise validator nodes. The user must stake one million THETA coins to become an enterprise validator node.
Guardian nodes are community nodes that serve as a second line of defense. These nodes are in charge of ensuring validation at preset points in order to preserve consensus. They also ensure that the blocks generated by validator nodes are correct. This means that if a malicious block passes undetected past the validator nodes it will be detected by the guardian nodes. A user must take a thousand THETA coins in order to become a guardian node.
Finally, edge nodes are in charge of relaying video streams and sharing bandwidth making the entire video streaming process considerably more efficient. TFUEL is given to the edge nodes in exchange for their extra bandwidth and computational capacity. This enables the network to stream peer-to-peer obviating the requirement for a CDN.
What’s the difference between Theta coin and TFUEL?
Unlike standard blockchains which typically contain only one native token, THETA has two native tokens each with its own use and purpose. These two go by the names THETA and TFUEL.
THETA is used to manage the network’s governance, users can stake their tokens in order to become network validators. To become a guardian node a user must take at least a thousand tokens and one million tokens to become an enterprise-level validator. Users also have the option to stake theta to earn TFUEL. Theta’s supply is limited to 1 billion tokens.
TFUEL serves the same purpose in the network as gas does on the Ethereum network. TFUEL tokens can be used to compensate node relayers for distributing unique content. It can also be used to interface with THETA blockchain smart contracts. TFUEL is also given as a reward to individuals who watch videos on THETA tv.
TFUEL was initially worth five billion dollars when it was released alongside the THETA main net. It does however have a fixed 5% inflation rate which implies that the amount of TFUEL is increased by five percent per year.
In terms of backing and funding it’s one of the market’s most prominent initiatives. It has the support of industry titans such as Samsung and sony. It’s supported by its investors which include the sony innovation fund and other venture capital businesses.
These companies are mostly in charge of running validator nodes on the THETA blockchain. These venture capital firms have also just announced that they will invest 100 million in tokens. It also has an outstanding roster of investors including steve Chen co-founder of youtube, other advisors include twitch co-founder Justin kan and Rakitan Viki’s Jonathan Wong. THETA labs were granted three patents by the u.s patent and trademark office. These patents covered data streaming via a decentralized network.
Where to buy THETA?
This coin may be purchased using the Binance exchange in the same way that any other cryptocurrency can. You have the option of placing a market buy or limit buy. You select the price you’re willing to pay with a limit purchase and your order is filled once the token price hits your limit price, or, if you require the token immediately, you can place a market order, agreeing to pay the current going rate in exchange for having your order filled almost immediately. If you want to purchase it you can do so at Binance or Okex.
What are my thoughts? The fundamental issue with the THETA network is that it requires a large number of users to function properly until and unless this platform is widely adopted and a large number of people elect to become nodes it will be unable to deliver on its promises. Essentially this means that the greater the number of users on the network the greater the speed and performance of the entire network.
Another serious issue with the network is that it’s attempting to extend into other domains such as Dapps and NFTs. While this may be beneficial to the general network it may have a detrimental influence on their streaming services due to network congestion. A recent notable setback was the delay in the launch of Mainnet 3.0 which prompted a drop in the price of the token. I hope you got value from this article and learned something new about THETA. So I’m curious what are your thoughts on THETA and TFUEL leave a comment below.