Transaction processing should be as rapid and simple as transmitting messages for a cryptographic payment to be smooth, systematic, and successful. The CELO protocol tackles existing concerns with cryptographic social payments, such as complications in delivering payments and coin value fluctuation. Furthermore, the protocol enables transaction consumers to become validators via a mobile block reward system. By proposing an appealing DeFi protocol, CELO blockchain presents a realistic answer to the issues of social payment.
CELO’s Background
CELO is a layer-1 proof-of-stake blockchain protocol that enables the creation, issuance, and management of stable-value assets in its open ecosystem. These Stablecoins are backed up by cryptocurrency and natural assets. CELO’s native currency, GGLD, has two key use cases: utility token and governance token.
As an open-source project, CELO allows anyone to use its pre-minted Stablecoins, as well as developers to use the CELO ecosystem to create custom dApps and payment-related decentralised solutions. CELO is primarily focused on making social payments easier for mobile users, and it allows users to send, receive, store, and exchange Stablecoins that exist on GGLD via their smartphones.
Architecture by CELO Blockchain
CELO’s architecture is made up of three core layers:
Blockchain
An open-source blockchain protocol enables the development and deployment of decentralised applications and the operation of smart contacts in a completely decentralised manner.
Contracts
A collection of smart contracts containing logic for the CELO network’s features. These contracts are simple to maintain and manage, and they correlate to the development requirements of dApps and blockchain-powered applications.
Applications
The CELO ecosystem includes ready-to-use applications for end consumers, such as the CELO wallet app. Furthermore, this applications layer is open to everybody, allowing the development of CELO-based dApps.
CELO’s Consensus Mechanism
CELO uses a proof-of-stake consensus mechanism to help the protocol select active validators from nodes and decide their incentive to improve network security and scalability. CELO’s active validators list is updated on a regular basis, usually every 24 hours.
CELO’s Key Features
Assets with long-term worth
Allows for the generation of numerous stablecoins such as USDC, cUSD, and cEUR. It also enables users to use mobile devices to access the protocol’s stable-value assets.
Mapping of phone numbers
Users’ phone numbers are mapped to public keys in order to validate their identity and provide them with a smooth mobile experience. This phone number mapping approach is also handy for making payments on CELO because the sender may simply use the phone number to verify the receiver’s address.
Interoperability across chains
Allows for the creation of decentralised applications with cross-chain capabilities that can interact with other dApps running on separate, independent chains.
Complete EVM compatibility
Complete support for Ethereum-based tools, smart contract capabilities, and the EVM (ethereum virtual machine) to assist users in creating ERC tokens and porting their current Ethereum dApps to the CELO ecosystem.
Gas payment in many currencies
Accepts gas costs in several Stablecoins, making transmitting and spending in its ecosystem more convenient and cost-effective for everyone.
Who are the CELO founders?
CELO was founded by Rene Reinsberg, Marek Olszewski, and Sep Kamvar. Reinsberg formerly worked as a GoDaddy executive, Olszewski previously worked as a Google executive, and Kamvar is an MIT professor. They began work on the project in 2017 with the goal of creating a genuinely decentralised and inclusive global financial system.
Check CELO Review and Rating for more details about CELO Blockchain by experts in Scortik. Scortik is a Blockchain Protocol Review and Rating platform that helps developers find the suitable ecosystem for their project.
Also, do check this article to read about Polkadot blockchain.
