What’s the story behind Gas Coin?
Gas Coin, which is also simply known as GAS, is a NEO blockchain token. This blockchain consists of two native tokens: one is the aforementioned Gas Coin, and the other is the NEO Coin.
The ultimate goal of this blockchain is to create a mass-market cryptocurrency, and smart contracts are used to achieve this aim. GAS is used as a practical means of providing these smart contracts with external data.
This cryptocurrency thus acts as a data supplier and ensures compliance with all necessary framework conditions of the NEO system.
Gas as part of the NEO blockchain
However, it is the NEO that is actually the key currency of the NEO blockchain. This cryptocurrency has a token limit of 100 million pieces – a limitation that also applies to Gas Coin.
In addition to its function as a validator, Gas also assumes control of the management rights of the NEO token. This includes features such as reconciliation, accounting, and changes to the basic network parameters.
According to the developers, mining should also become possible in the future. So for this purpose, a proof-of-work algorithm will be added to the source code in one of the upcoming updates
This arrangement is fundamentally about the functionality of smart contracts. After completing a contract, all transactions in the blockchain must then be verified. In return, the users receive a reward, offered in the form of Gas tokens.
Furthermore, the developers have ensured the two currencies are linked, so there is no difference in the exchange rate. This feature has been added to stop the sale of Gas Coin in favor of NEO Coin.
What special features does Gas Coin offer?
There are more special features within the Gas Coin:
The digital assets
The special features of Gas Coin include what is known as its digital assets. These are programmable assets represented by digital data. By using the NEO blockchain, users have the opportunity to trade, register and share Gas Coin assets.
These fall into two distinct asset categories: on the one hand there is global wealth, and on the other hand there is contract property. Smart contracts function as a means of identifying global wealth throughout the system.
Contract assets are stored in a user account and can also be assigned to a user.
The digital identity
Assets are securely hedged by another special feature of the blockchain. This is the digital identity that secures the virtual assets and uniquely assigns them to an owner.
Digital identity refers to the identity of an individual, organization or entity, which exists in electronic form. Each digital identity is based on the X.509 international ‘public key’ standard, considered mature and thus especially secure.
The application and the ecosystem
The last special feature is the application and the ecosystem. The NEO ecosystem is the very heart of the blockchain and primarily serves to achieve blockchain objectives.
In the near future, several extensions will find their way into the blockchain. These will include a Node program, a Blockchain Explorer, an SDK Development Kit and a Smart Contract Compiler.
Another important aspect of the blockchain will be the support provided by so-called dApps. These are decentralized applications designed to dramatically improve the user experience.
Which company is developing Gas Coin?
Gas Coin is being developed by NEO, a company previously known as Antshares. NEO’s blockchain was the first open-source blockchain in China.
Since its launch, which dates back to 2014, the aim of NEO’s developers has been to revolutionize trade. This is achieved via a special focus on the smart economy, which includes digital investments, digital identity and smart contracts.
The reason for this specific focus on the smart economy is the expectation that a paradigm shift will soon occur.
This new paradigm will be defined by a focus on the Internet of Values, replacing the present Internet of Information. Developers expect this coming transformation to merge the traditional economy with the digital economy.
One result should be to facilitate the exchange of goods. In addition, it is predicted that all laws, directives and social institutions will in future become highly transparent.
This scenario is referred to as the Internet of Order, and which, in this sense, is NEO's prime corporate goal.
How high is Gas Coin’s market capitalization?
The market launch of Gas Coin on the crypto markets took place on June 6, 2017. This resulted in a token price of $1.78 on the first day of trading.
The initial coin offering was later realized on August 1, 2017, when the token price was already at $2.39. A market capitalization of $6.96 million was recorded at the end of the first trading day, then a temporary high of around $95.8 million was realized on August 16.
By this time, the price per token had jumped to $32.73. Though a subsequent consolidation took place, a recovery soon set in and took the price back to previous levels.
Later, on December 18, a new all-time high of $352.78 million was achieved. Currently, the price per token is $26.53, resulting in a market capitalization of $242.44 million.
Gas Coin trading
There are currently around $9.13 million worth of Gas Coins in circulation. There are even 13.8 million coins available, which are not being traded.
Developers have limited the maximum number of coins to 100 million. Generally, a volume of around USD 8.5 million can be realized in daily trading.
The trade between GAS and Bitcoin accounts for around 70.8 percent of this market activity. Here, Binance has established itself as the most important trading center, handling more than 38.4 percent of the daily trade.
Ethereum, which is primarily traded on the Huobi digital currency trading platform, also has an important market presence.