Lisk Coin Review
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Cryptocurrency is a digital cryptographic-based currency that serves as a medium of online exchange. It is secure, fast and reliable. There are different types of cryptocurrencies, and Lisk is one of them. Lisk started when Beddows and Kordek decided to leave Crypti and forked another blockchain project, which is now popularly known as Lisk platform. During this, an ICO (Initial Coin Offering) publicly announced to help fund the development of Lisk. This gives Lisk access to raise $5.8 billion, giving it a chance to become the second most announced cryptocurrency that many embraced.
What is Lisk?
The primary goal that Lisk has set ahead of itself is making the development of blockchain as accessible as possible. For this reason, Olivier Beddows and Max Kordek started Lisk on May 24, 2016, when it was forked from Crypti.
Mechanism of Lisk involves the use of algorithm known as Delegated Proof of Stake (DPOS). The DPOS is guided by 101 democratically delegates which makes it more active and well secured. The DPOS brings a number of benefits as it is efficient, very fast, requires minimal fees and highly profitable. However, it also has a few drawbacks as DPOS is less decentralized and cannot function effectively without a large number of consistent users.
LSK cryptocurrency was able to solve one of the problems facing other cryptocurrencies, which is scalability. Lisk purpose is to make Blockchain technology easily accessible and make developers have the ability to create their own block chains with the use of SDK thereby giving developers a full control.
How does Lisk work?
This makes the process of scaling not only easier but also with a lot less bloat. In case something wrong happens on a blockchain of a different application, it will not make Lisk have a hardfork as it will not be able to have influence over Lisk blockchain thanks to the sidechains. The security and the speed of the application for the developers also are guaranteed with the sidechains.
All in all, Lisk is an open source platform and at the moment it has 29 people who have contributed to the project.
What is so special about LSK?
Lisk cryptocurrency was created with a special technology, DPOS. This is the only cryptocurrency that is delegated. Cryptocurrencies like ethereum, bitcoin, and others, use either PoS (Proof of Stake) or PoW (Proof of Work). The use of Delegated Proof of Stake in Lisk gives it an edge over every other cryptocurrency. The blockchain platform created by Lisk users is called side chain and it’s used with Lisk mainchain.
Lisk also supports the birth of the ideas in frames of art, movies, music, apps, charities, games, content and other services and lets them get tokenized. Later on, these can launch their token and again raise interest and engagement in the community that will also allow the increase in the value. Last but not least important part is that Lisk allows the users get rewarded if they are part of the community. The rewards can come from tracking royalties, donations, payments and so on.
Lisk allows anyone to write a proposal or present the proposal on the forum and describe how it can contribute to the community. Then the delegates who get elected in the community get a chance to earn LSK that come from the block rewards and round fees, as well as get forging rights. Afterward, those delegates who have sharing setups for rewards, distribute some of their rewards with the organized funds that are inside the community.
Next, some of those funds inside the community are being distributed among the ambassadors of the country, who help to promote the growth in their specific location. Another share of the promotions is done in form of campaigns. The campaigns can be initiated both by groups and individuals who are listed in the proposals. These people can also earn rewards along with donations, which come from their community’s work dedicated to spreading the word.
Finally, the projects, which are listed in the delegate proposals have a chance to help the developers to earn rewards and donations to build various handy tools, apps, and scripts for the community itself.
The unique set of Lisk tools can allow you create your own blockchain application. Lisk commander supports the creation of cryptographically safe bundle vital or genesis block components of sidechain. As a Lisk user, you can also customize your sidechain. The customization allows users to create their own tokens in Lisk Hub itself.
The process does not require any sorts of codes. Besides supporting the initial steps of blockchain application development Lisk also helps the users carry the process further and allows the application development within the Lisk platform. Lisk also helps people test their application, as well as deploy and promote it.
Lisk Price Growth
From May 2016 to 2017, Lisk was under a dollar with a market cap of $22,722,400 in October 2016 and went low to $15,142,800 by December 2016. Lisk recorded its first huge market cap, $858,097,932 in December 2017 and it has been on the increase side thereafter. Later on, in January 2018, the price of LSK token has reached up to $ 38.4, meanwhile, the market cap has jumped up to $ 4,483,390,646.
The LSK token is not minable as it is based on the DPoS protocol. However, by joining the Lisk community that was mentioned above and by becoming an active, hardworking and helpful member in there you can get rewarded with Lisk cryptocurrency.
Forging rewards are initiated to create a challenge amongst the most enthusiastic delegates. The main goal of the forging reward system is benefiting the users of Lisk. The Delegates who want to have a voting power will have to get more LSK. The forging rewards tend to be an addition to the simple transaction fees that exist within the network. In other words, the delegates who are active get to be the recipient of both the simple transaction fee and the recipient of the forging rewards.
How to buy Lisk?
Step 1: Getting a Lisk wallet
Lisk wallet is used for managing and transacting LSK cryptocurrency which is stored on blockchain platform. The process of setting up a Lisk wallet is as follows;
Download the Lisk Nano wallet from the official website. Run and install the downloaded file. Ensure your computer antivirus is disabled to prevent flagging of the file.
Once you have successfully run the wallet you need to click on the “new account” button after Nano wallet has opened. Then, click on “next” button after reading the instructions. Create a passphrase by moving your mouse around on your computer. A twelve letters words or digits will appear, ensure to copy this down and keep it safe or back it up in case you forget your passphrase. If the passphrase is lost, your access will be denied and your account or Lisk cryptocurrency cannot be reset.
At this point, an instruction to double-click your passphrase comes up and you’ll be asked to input the missing word. Your wallet account is ready to be used. Copy your personal wallet address. This can take hours to be generated. Finally, proceed to purchase your bitcoin, ethereum or any other popular cryptocurrencies.
Wallets that support Lisk
Lisk Nano – Lisk Nano, which is a light Lisk coin wallet, gives a chance to send and receive transactions on Lisk network. It also promotes users accessibility to interface features like delegating and voting. Lisk Nano supports Mac Os, Windows, and Linux platforms and the latest release is 1.3.2.
- Support registration of the second passphrase.
- It is connected to the official Lisk nodes owned by Lisk Foundation, thereby Blockchain synchronization is no more needed.
- It featured list core for effective API interaction.
- Well secured, safe and easy to use.
- It can’t be accessed on the go.
- Only for desktop or Pc.
Free Wallet (Lisk Wallet)
This is the first mobile cryptocurrency wallet for iOS and Android.
- It is easy to use anywhere and everywhere.
- It supports all platforms that are popular.
- There is quick access to your funds.
- Rated 3.5 by Lisk users.
- Backup is not required an automatic safe passphrase.
- Quick and smart transaction.
- Can easily be hacked
- Less secure
- Features may not appear complete. Meaning, it might not support some features.
Step 2: Choosing a Lisk Exchange
Once you get a good enough wallet for your LSK tokens you should be ready to buy the coins. Please note, that getting a safe wallet is one of the most crucial parts of the overall process, so please make sure you choose a good enough wallet. Besides getting a safe wallet there is another factor that you need to be aware of.
Lisk cryptocurrency cannot be bought straight with fiat money. Therefore, in order to buy Lisk, you need to have some of the well-known cryptocurrencies such as Bitcoin or Ethereum. If you do not have BTC or ETH then you can acquire it from various exchange platforms.
In this guide we will take a look at the process of buying ETH or BTC through an exchange platform known as Cex.io. Cex.io is one of the most outstanding and reputable exchange platforms that is available in the market. You need to get registered there, go through the verification process, and deposit fiat currency according to the amount of BTC or ETH you want to buy.
Please note that there are some transaction fees and you need to keep in mind that those are going to be deducted. Once you successfully deposit you need to exchange it to BTC or ETH. The most common payment methods on this exchange platform are credit cards and bank transfers. Once you exchange your fiat currency into a cryptocurrency you need to send them out to your wallet. In order to do this you simply put in the public address of your wallet. Finally after getting a good wallet and BTC or ETH you are ready to buy the LSK tokens.
There are online places to exchange or buy LSK currency. These include Bittrex, Poloniex, LiteBit, Changelly, Jubi, Yobit and so on. For a transaction to be completed on Lisk, it might take 10 seconds. Knowing where to buy Lisk also require knowledge of each cryptocurrency exchange rate, deposit, withdrawal fee, and security.
Changelly is based in Prague and they do crypto-to-crypto exchange. They exchange bitcoin both cash and gold. Their exchange rate is 0.5% including networking fees. It is supported worldwide and payment method is in USD, EUN, and more than 35 cryptocurrencies. They are fast, fair and trusted. You can deposit by bitcoin with a credit card, debit card or other cryptos. Their deposit fee varies.
This website is a very busy platform. They have been supporting Lisk cryptocurrency trade over a long period of time. Their charges fee is between 0.5% – 0.25%. They support LSK/BTC, LSK/ETH. No fee is charged for deposit and withdrawal fee is 0.0005BTC as at 22nd of December, 2017.
Bittrex, based out of US has been supporting Lisk coin for long. Their exchange fee is 0.25% if trading occurs on their platform. Account verification is fast and they support Lisk pair (LSK/BTC). Withdrawal fee is 0.001BTC.
Buying LSK cryptocurrency with Bitcoin on Bittrex:
Open an account with Bittrex and input your correct data information. Login directly to your email has been confirmed. Then deposit your Bitcoin into your wallet by clicking “wallet”, navigate to Bitcoin on the right-hand side and click on the currency. Your “BTC deposit address” comes up, highlight and copy it. Enter it in the space that will be provided. Click on “market” and search for LSK (Lisk coin) and click on “move to wallet”. You must select the total BTC you want and double check if the order has been executed. Congratulations, you have successfully bought your LSK.
To Sum Up…
Lisk is one of the most popular cryptocurrencies as it aims to solve the problem of scalability and enable developers to be creative and monetize their talents. With its unique approach towards certain issues and its philosophy, it has attracted the attention of a number of people. Let’s see what will happen to it in the future.
Thank you for reading this article and make sure you check out our website and learn more about various ICOs and cryptocurrencies.