Bitrue Project Highlight Series #5 — Constellation DAG
The coin that is soon to be listed on our exchange is derived from a project of its own league, in fact over the past year Constellation has been working closely with the United States Air Force to provide them with a secure solution for data transfers, highlighting how big of a deal this project really is. However, the project has not been receiving as much attention as it should have, so it is fair to say that this project’s coin, DAG, might actually be undervalued as of the moment. Let’s take a quick look at the project and what makes it worth keeping under your radar.
Founded in 2018, Constellation aspires to be the key to a data driven economy. Constellation believes that in order for the space to truly garner mass adoption, a limitless infrastructure is needed. By leveraging DAG technology, edge computing, and AI, Constellation’s fast, feeless and infinitely scalable Hypergraph platform is truly the first DLT built with big data in mind. Constellation’s key partners include the U.S. Air Force, Space ISAC, AWS, Foursquare, and many more.
Constellation, like other blockchain projects, aims to solve the problem of decentralization while maintaining both scalability and security at the same time. Their solution is a Directed Acyclic Graph (DAG, hence the token name) architecture. This is another approach to the blockchain technology, where transactions are recorded as vertices with edges, one data stacked on top of another, this allows Constellation to have more scalability than using the traditional blockchain. Constellations’s Hypergraph nodes constantly monitor each other, to validate if other nodes are being honest or not, this creates a mechanism unique to the network, called the Proof-of-Reputable Observation. This method is very energy efficient, and can be done using a mobile phone, which we do not see often in other consensus mechanisms such as Proof-of-Work or Proof-of-Stake. Constellation’s combination of DAG technology and its consensus mechanism has made it a notable contender in this space of endless innovations.
In terms of security, the Constellation network is favored by the US Air Force and Department of Defense for a reason. Constellation has a distributed security infrastructure, with its servers spread across the globe, decreasing the risk of a cyberattack. Their blockchain protocol, the Hypergraph Transfer Protocol (HGTP) is said to be taking cryptography and encryption to the next level.
Constellation also provides a decentralized data marketplace, and is an open-source and permissionless protocol where developers can directly build on top of it. Most of the DAG coins will be allocated to the foundation and validator rewards. Although the DAG technology is not fully decentralized like blockchains, as it still requires third parties to intervene, Constellation has chosen to prioritize scalability and cost efficiency instead. Development in this area is fairly new, and we hope to see more decentralization in the future.
To reinstate it again, Constellation is a vertically integrated ecosystem, it positions itself as a Layer 0, where developers will build Layer 1 solutions on top of it. What makes building on Constellation attractive to developers is that they have zero transaction costs. While it’s intuitive to charge developers when using a blockchain network that your company created, the team at Constellation has a long term vision, therefore they sought to have a feeless ecosystem for Constellation.
Constellation directly taps into the single most important use case of blockchain technology: integrating existing conventional business models to deposit their data to the decentralized network. Unlike most projects in the crypto industry, which has nothing to do with real life economies, the businesses building on top of Constellation are real world businesses with revenue streams. While you can argue that crypto projects should not be affiliated with monopolized businesses led by the few elites, the market for a solution like Constellation does exist. On the bright side, this might be a step forward to businesses moving its data to a more decentralized ecosystem.
The tokenomics of DAG is also unique, with the generative economics, as the network expands, the benefits of holding DAG tokens will increase. Constellation’s DAG token is used to secure Hypergraph bandwidth and reward node operators, and it is set up to capture the value of all the transactions going on in the chain. DAG tokens bind the apps built on Constellation together.
The above are a few reasons why we are excited about this project, and we hope that you are too! Constellation’s DAG token will be available to trade on Bitrue on July 15th 2022.
The Bitrue Team