How can Holo chain change the world with the new developed Apps
Holo chain always keeps us updated every few weeks with showcases where they announce the progress achieved.
The future of technology should be about allowing us to connect with others directly. Simply put, not to be subject to unnecessary and corrupt mediators. Holo chain is the foundational technology that will help us get there. It has the potential to change everything when interacting with other users by using their apps.
First, Let’s Talk About Holo chain and How it Works as a Platform
The Holo chain folks kind of brake blockchain and decentralised apps in two different camps. There’s something called data-centric and something called agents-centric. Holo chain fits in the agent-centric.
The data-centric approach is something like bitcoin where every node in the system is downloading and verifying the one single ledger. It tries to come on agreement on data. Holo chain doesn’t focus on one source of truth or just one blockchain, and that’s why it’s called agent-centric. If you’re familiar with version control systems like Git, this is kind of similar to that. Every node on the whole chain network maintains their local store of data. Think of it as a version of control and Git. Similar to Repo or a branch, everybody can host their own. Like everything else is signed as a hashchain concerning the previous commit.
Everything Will Be Verified Historically
Think of these individual data stores as repositories on the Holo chain node as a private space. Other nodes in the network aren’t necessarily aware of what is going on in another node´s private space. This helps with a scalability point of view because it means that not every node has to validate everything every other node is doing. Have you ever used a peer-to-peer network like BitTorrent? If yes, then probably you noticed that when a node is seeding something that goes down the data, it goes offline, which is not ideal. In addition to this private space, Holo chain also added something called DHT.
The distributed hash table acts like a public space where these nodes share information. Everything produced in this private space is pushed into the public DHT. It will later on become replicated on a variety of nodes that provides redundancy.
If one of his nodes goes down, you don’t lose the data entirely.
This measure alone is just the storage of data, it’s not validating everything that is happening like Bitcoin or Ethereum. Simply put, it’s not running a set of rules against that data. DHT as a concept doesn’t inherently provide validation of data, and they merely store stuff in a peer-to-peer way.
What Holo chain does, is adding a bunch of validation rules on top of the DHT which are distributed. That, essentially says the public nodes must run this validation set before accepting data and store it locally.
Holo chain call this Distributed Validation DNA
The DNA is specified at per-app level. Attacks to the network with broken rules which don’t match the DNA will fork the application. The original application have a predefined set of validation rules before the nodes accept that into the public DHT. However, the question you are probably asking is how does this all work without consensus. All these systems: proof of work, proof of stake blockchain are maintaining consensus so people can agree on something.
So How does Holochain Work?
The way Holochain works is through a process called the immune system. This system is basically a gossip network between public nodes that talk to each other when they see a bad act. If all these nodes are gossiping with one another fast enough, they can say: “This bad actor is over there blocking access to the network entirely.”
Similar to DNA which is part of the immune system, this is all defined at the app level. It’s imperative to note that Holo chain is just a framework and is not necessarily a single network.
That means that individual apps built on the network can essentially define their consensus mechanism. Apps validation rules can be based on a security model they need. Some apps might be very commission and private blockchain in nature. Others might be completely decentralised and have other methods for consensus, weeding out bad actors.
Holo chain is More of an Application Framework Rather than a One-Size-Fits-All Network
Apps have to adhere to the core protocol without maintaining the same consensus mechanism across every app. You could build your bitcoin like ledger on top of Holo chain. Likewise, you can create a private blockchain like Ripple or a social network that doesn’t even really involve currency. It’s important to note that Holochain is just open source specification for building decentralised apps, nothing more nothing less. As you may be aware, I like to talk about ICO or tokens since raising capital presents investment opportunities. The creators of Holochain network have issued a token, so it is kind of important to talk about it.
Holo (HOT) Token
That’s confusing for newcomers and people who don’t know the difference between Holochain and Holo the company. Let’s bring some light into our discussion by addressing the two different structures.
- Holo chain is just the application framework for building these apps.
- Holo (HOT) is setting itself up as a decentralised hosting provider.
The Holo (HOT) token has several different purposes within this ecosystem, but the predominant one is to pay for hosting. Basically, the Holo host service becomes a decentralised version of Amazon web services. You can bootstrap and start hosting your hollow chain apps. Assuming you’ve built an app you can deploy and hosted on top of the Holo chain, paying Holo (HOT) tokens. Also, people can set up hosting nodes and host this decentralised apps getting paid in Holo (HOT) for their service.
Is Holo (HOT) Another Unnecessary Token?
Arguably NOT and allow me to elaborate. One of the reasons why Holo (HOT) token needs to exist is because hosting. People are not going to keep their phones or laptops online 100% of the time to follow these apps that are centralised in nature. Running a network of decentralised nodes do have to exist in some way, shape or form.
Holo (HOT) is selling dedicated hardware which you can buy. Just set it up at home, and you’ll become a decentralised hosting provided by disconnecting it to the internet. Fair questions from investors perspective:
“Is the incentives good enough for people to continue running these nodes in their own house? Are they being paid enough in tokens to cover the cost of hardware and electricity to keep it online 24/7?”
Holo (HOT) goes Beyond the Holo chain Framework and Talks a BIG Game
Holo chain can be compared to EOS, Ethereum and all other networks that are coming online. It seems that Holo chain is pushing development faster than the rest of the blockchain. Publishing materials will help justify the need for their Holo (HOT) token, and maybe the whole token will act as a weight of host these apps.
Overall Holo chain is an exciting protocol and framework for building decentralised apps. Think about it as an open toolkit that leaves many choices up to the app developers. Rounding the security model and how they sort of consensus works do have some concerns.
Flexibility is a good thing
The Network leaves people open on making potentially dangerous decisions and vulnerable to attacks. What’s more interesting is how will Holo chain compete with EOS, NEO, and Ethereum concerning apps.
Holo chain attracts developers as, and we see a lot of new product launch in this decentralised app space. Who is going to WIN? It’s a matter of who is deploying the apps sooner. However, users tend to look for killer apps in these decentralised ecosystems. I haven’t seen a successful decentralised app outside of cryptokitties.
Which in itself it is just a speculative market for making money. If that’s the only kind of apps taking off, then what sort of apps will be deployed on Holo chain?
This breakdown is meant to help investors understand the pros and cons. When you decide to invest in a project, try to understand it.
Holo chain and Holo (HOT)
On my previous article, we spoke just a little bit about investing in Holo (HOT). I hold quite a few Holo (HOT) tokens since it’s early days. The opportunities are still up there even within this bear market making it ideal to buy some tokens. Always remember the golden rule of trading: BUY low and SELL high. Holo chain is a big subject, and we will cover it’s development in future articles since it is part of my portfolio. Regarding the decentralised ecosystem and codes, please address to Reddit or their official website.
With a crypto market revisiting lower lows, Holo (HOT) hasn´t lost much in value. What’s even more interesting is the traded volume, since investors and traders recognise market entry levels. On Nov 14, 2018, we experienced a dip of 30% to 45% on average, and today the markets are recovering slowly.