What Is the XDC Network?
The XDC Network (XDC) (formerly XinFin Network) is an enterprise-grade, EVM-compatible, hybrid blockchain with public and private states and interoperable smart contracts. A highly optimized, bespoke fork of Ethereum and J.P. Morgan’s (now ConsenSys’s) Quorum, the XDC Network reaches consensus through a delegated proof-of-stake (doc) mechanism, which allows for two-second transaction time, near-zero gas fees, and over 2,000 transactions per second (TPS).
While the consensus mechanism is proof-of-stake—and thus uses virtually no energy—validators have to perform a small proof-of-work (PoW) when proposing a new block, making the network highly resistant to spamming.
As of April 11th, 2022, there are 203 masternode candidates, of which 108 operate as validators (masternodes), and the remainder operates as standby validators. Each node operator must stake 10M XDC and upload KYC documentation.
XDC is the fuel-powering transactions and smart contracts on the XDC Network. At the same time, because users must stake their XDC to run validators and participate in block generation, it ensures that the network remains safe and secure.
Subsequent iterations of the XDC Network will further enhance the consensus mechanism’s security and incorporate a novel “judiciary branch” into the consensus mechanism. Developed by Princeton University’s Pramod Viswanath and Hash Laboratories’ Fisher Yu and their team—both of whom serve as senior advisors to the XDC Foundation—cutting-edge compliance technology will ensure unprecedented Byzantine fault tolerance (BFT) by holding validators accountable for their actions on an automated and yet discretionary basis.
Who Are the Founders of the XDC Network?
The XDC Network was founded in 2019 by Ritesh Kakkad and Atul Khekade.
Kakkad was a serial tech entrepreneur with decades of experience in the field of cloud computing. Khekade, a computer engineer by training, played the leading role at MonetaGo in creating the first permissioned blockchain network for a consortium of the most prominent Asian banks.
Kakkad and Khekade set out to build an enterprise-ready blockchain uniquely suited to the task of liquifying global trade finance. And so, with that overarching goal in mind, they joined forces with André Casterman, who serves in a prominent leadership role for the network.
Casterman had already spent over 20 years at SWIFT, leading various technology innovations in interbank payments, corporate payments, corporate treasury, and trade finance. During that time, he established an institutional partnership between SWIFT and the International Chamber of Commerce (ICC) and created the first digital trade settlement instrument. Currently, in addition to serving as a senior advisor to the XDC Foundation, Casterman chairs the Fintech Committee of the International Trade and Forfaiting Association (ITFA), focusing on helping banks establish trade finance as an investable asset class through the use of data and artificial intelligence technologies. Casterman also serves as CEO of the Trade Finance Distribution Initiative (TFDi).
What Makes the XDC Network Unique?
The XDC Network was the first and only blockchain invited to join the Trade Finance Distribution Initiative (TFDi), a consortium of the world’s leading banks and non-bank financial institutions established to bridge the $1.7 trillion trade finance gap. It was also invited to join the ITFA’s Digital Negotiable Instruments Initiative (DNI). Together with its partner Tradeteq, XDC Network was responsible for the world’s first trade finance-based non-fungible token (NFT) transaction in late 2021. As we advance, in partnership with Tradeteq and other members of the TFDi, XDC Network is positioned to roll out a suite of trade finance-based products, which will make trade finance assets widely accessible to capital markets while enabling finance-starved SMEs to gain access to the financing and they need finally.
While the XDC Network was purpose-built to be enterprise-ready—it’s an enterprise-ready blockchain for everyone. An EVM-compatible Layer 1 protocol, the XDC Network allows for seamless deployment of Layer 2 tokens via Origin, a no-code tokenization dApp, and many other developer-friendly network tools. The ecosystem has grown by leaps and bounds over the past year across the board, adding over 900,000 accounts, over 100 masternodes, and over 4,000 smart contracts between 2021 and 2022. As the ecosystem has expanded, the number of Layer 2 projects built on-chain—devoted to the metaverse, NFTs, decentralized cloud storage, decentralized exchanges, and everything in between—has also grown exponentially.
How Is the XDC Network Secured?
XDC Network relies on a delegated proof-of-stake mechanism titled XinFin Delegated Proof of Stake (XDPoS) to reach a consensus, in which validators have to perform a small amount of proof-of-work (PoW) when proposing a new block. This unique consensus mechanism ensures the network uses virtually zero energy and is highly resistant to spamming.
A proposed forensics-enabled consensus mechanism (XDPoS 2.0) is built upon the most advanced BFT consensus protocol. It will equip the XDC Network with military-grade security and performance, greatly conserve resources, and be fully backward-compatible in terms of APIs.
XPS 2.0 builds off the original XDPoS consensus mechanism by introducing a BFT committee, a set of masternodes selected using a deterministic and verifiable algorithm at the beginning of each epoch. They aim to reach a consensus using the state-of-the-art BFT protocol (chained-Hotstuff) and have the ability to identify malicious actors with cryptographically provable forensic evidence.
The holistic integration of accountability and forensics within the blockchain positions XDC Network as a uniquely secure and monitored blockchain protocol.
Where Can You Buy XDC?
Should I invest in XDC network?
XDC is expected to increase in price over time, making it a reasonably good long-term investment. The bullish predictions are extremely overconfident given the current market sentiment and the fact that the crypto market has been severely bleeding since at least 2022.
What can I do with XDC?
Real-time cross-border trading is made easier to integrate by XDC Network using a backed integrated wallet solution. This wallet solution enables cross-border transactions to be carried out in a secure setting thanks to a sophisticated XDC protocol.
Why is XDC important?
“XDC offers a blockchain platform to position the US as the industry pioneer in trade technology. According to Crescite CEO Eddie Cullen, the huge improvement in trade revenue with effective technology is the regulatory avenue for blockchain in America.
Who owns XDC coin?
The company that created the XDC Network and the XDC coin is called Xinfin. Xinfin characterises itself as follows: A nonprofit group called the XinFin Foundation works with several foreign governments to address the infrastructural gap that is currently present.
Is XDC a NFT?
The ERC-20 protocol for Ethereum (ETH) and related networks operates similarly on this blockchain.