A beginner's guide to Syscoin (SYS), the inexpensive blockchain protocol secured by Bitcoin’s own hash power.
Syscoin is the best of Bitcoin and Ethereum in the one blockchain.
The network combines the best of both worlds to bring you a platform to build the most secure, reliable, and fastest Web 3.0 applications.
Syscoin (SYS) is a blockchain-based platform that offers a wide range of features and benefits for businesses, developers, and users.
As a decentralised platform, Syscoin aims to provide fast and secure transactions, built-in marketplaces, and scalability to its users.
Introduction to Syscoin (SYS)
Syscoin is an open-source blockchain platform that was launched in 2014.
Since then, it has evolved into a comprehensive platform that offers a range of features and benefits for businesses and developers.
From its fast and secure transactions to its built-in marketplace, Syscoin has become a popular choice for those looking to build blockchain applications or invest in cryptocurrencies.
In this guide to Syscoin, we'll take a closer look at SYS and provide a comprehensive overview of its features, benefits, and how it works.
Whether you're new to the world of blockchain or an experienced developer, this guide will provide you with the necessary knowledge to understand Syscoin and its potential applications.
Let's dive in and explore what Syscoin has to offer!
How does Syscoin (SYS) work?
Syscoin is a blockchain platform that combines the best parts of Bitcoin and Ethereum.
This unique combination provides Syscoin with several advantages over other blockchain platforms.
Let's explore how Syscoin works and how it combines the best parts of Bitcoin and Ethereum.
Syscoin uses the Proof of Work (PoW) consensus
Like Bitcoin, Syscoin is based on the Proof of Work (PoW) consensus algorithm.
This algorithm ensures that transactions on the network are secure and verified by a decentralised network of nodes.
However, unlike Bitcoin, Syscoin also utilises the Ethereum Virtual Machine (EVM).
Also the Ethereum Virtual Machine (EVM)
The EVM is a software environment that allows developers to create and execute smart contracts on the Syscoin blockchain.
This feature provides Syscoin with the flexibility and programmability of Ethereum.
By combining these two technologies, Syscoin can offer fast and secure transactions while also providing a wide range of decentralised applications (dApps) and smart contracts.
The use of smart contracts enables Syscoin to provide a decentralised marketplace that allows users to buy and sell goods and services without the need for intermediaries.
This marketplace is integrated into the Syscoin wallet, making it easy for users to access and use.
Zero Confirmation Directed Acyclic Graph
Another key feature of Syscoin is its Z-DAG technology.
Z-DAG (Zero Confirmation Directed Acyclic Graph) is a consensus algorithm that enables fast transactions without compromising on security.
Z-DAG allows Syscoin to process up to 60,000 transactions per second, making it one of the fastest blockchain platforms available.
This feature makes Syscoin an excellent choice for businesses that require fast and secure transactions.
How does Syscoin combine Bitcoin and Ethereum?
Did you know that Syscoin’s biggest selling point is that they claim to combine the best parts of Bitcoin and Ethereum?
With a vision to create a truly decentralised environment to build and house dApps in the most secure way possible, Syscoin is starting to garner attention.
Syscoin combines the best of Bitcoin and Ethereum via its Network Enhanced Virtual Machine (NEVM).
These of course being the security of the Bitcoin network and the programmability of Ethereum.
This section of our Syscoin (SYS) guide will discuss the best parts of both Bitcoin and Ethereum, with a look at how this exciting network adopts aspects of both.
The best part of Bitcoin - Security
Bitcoin (BTC) has ultimately been accepted as the most secure computer network in the world.
Exactly what you want behind a self governing monetary system.
Syscoin has adopted Bitcoin’s blockchain technology stack, running Bitcoin’s SHA-256 Proof of Work (PoW) model.
What this ultimately means, is that Syscoin mines tokens by using the same energy used in mining Bitcoin and ultimately securing their network.
This concept is called merge-mining and means the PoW network is not only secure, but effectively a low waste, green solution to mining.
This is because Syscoin essentially recycles the energy that is already being spent on mining Bitcoin.
Add in the fact that Syscoin is fully compatible with the Lightning Network and you have a ready made, secure layer-2 solution available.
The best part of Ethereum - Programmability
But while Bitcoin is extremely secure, it lacks the smart contract capability of Ethereum (ETH).
The ability to build decentralised applications (dApps) on the network at scale, is crucial for any project looking to go to the next level.
Syscoin’s NEVM is an intriguing solution, offering improved scalability for smart contracts and remaining fully compatible with current Ethereum-based dApps.
On Syscoin, users are allowed to do things that cannot be done on Ethereum.
All at scale.
In addition to the best parts of Ethereum, Syscoin’s NEVM features are opt-in and can even allow existing dApps the ability to scale, without the involvement of any third parties.
This means that dApps such as DeFi platforms and exchanges can operate on Syscoin, flawlessly.
So, does Syscoin actually combine Bitcoin and Ethereum?
Yes, Syscoin combines both Bitcoin and Ethereum, even trumping the proposed capabilities of Ethereum 2.0.
By incorporating Bitcoin merge-mined PoW and Bitcoin-compliant consensus, Syscoin's network has built up a robust track record in terms of security.
NEVM increases smart contract scalability and serves as an ecosystem for any Ethereum smart contract.
In comparison to other smart chains that are monolithic, the Syscoin network uses zero-knowledge proofs within a rollup-centric roadmap to help scale infinitely in a decentralised manner.
All while retaining the security of Bitcoin.
A very cool little project indeed!
What is Syscoin (SYS) used for?
Syscoin (SYS) is a blockchain platform that offers a range of features and benefits for businesses and developers.
Here, we'll explore some of the key use cases of Syscoin and how it's being used today.
Decentralised marketplaces
Syscoin's decentralised marketplace is one of its most notable features.
This marketplace allows users to buy and sell goods and services without the need for intermediaries.
By eliminating the middleman, the marketplace can offer lower fees and greater transparency.
The marketplace is integrated into the Syscoin wallet, making it easy for users to access and use.
Token creatio
Syscoin allows developers to create their own custom tokens on the platform.
These tokens can be used for a variety of purposes, from loyalty programs to fundraising.
The ability to create custom tokens on Syscoin makes it an attractive platform for businesses and organisations that want to leverage the benefits of blockchain technology.
Secure data storage
Syscoin also offers a secure data storage solution called Syscoin Certificates.
This feature allows users to store and verify digital certificates on the blockchain.
Syscoin Certificates can be used for a variety of purposes, from academic credentials to legal documents.
Decentralised identity
Another notable feature of Syscoin is its decentralised identity solution.
This solution, called Alias, allows users to create and manage their own digital identities on the blockchain.
With Alias, users can control their personal data and manage their online presence without relying on centralised services.
Fast and secure transactions
Syscoin's Z-DAG technology allows for fast and secure transactions on the network.
This feature makes Syscoin an attractive platform for businesses and organisations that require fast and reliable transactions.
Syscoin (SYS) vs Ethereum (ETH)
Here's a comparison of five key features of Syscoin and how they compare to the same features on Ethereum:
Smart Contracts
Both Syscoin and Ethereum support smart contracts, which are self-executing contracts with the terms of the agreement between buyer and seller being directly written into lines of code.
However, Ethereum is known for being the leading platform for smart contracts, and its Virtual Machine (EVM) is more robust than Syscoin's EVM, making it more versatile and suitable for complex contracts.
Decentralised Marketplaces
Both Syscoin and Ethereum offer decentralised marketplaces.
Syscoin's marketplace is specifically built-in to its platform, while Ethereum's marketplace is built on top of it, as a dApp (decentralised application) or smart contract.
This means that Syscoin's marketplace is more streamlined and easier to use, while Ethereum's marketplace is more customisable and can be adapted to a wide variety of use cases.
Token creation
Both Syscoin and Ethereum allow developers to create their own custom tokens on their respective platforms.
However, Syscoin's token creation process is more straightforward and user-friendly than Ethereum's, which can require a deeper understanding of smart contract development.
Transaction speed
Syscoin uses its Z-DAG technology to enable fast transactions that can be processed within seconds, while Ethereum's current transaction speed can vary greatly based on network congestion and gas fees.
However, Ethereum is currently undergoing a major network upgrade called Ethereum 2.0, which aims to significantly improve transaction speed and scalability.
Decentralised Identity
Both Syscoin and Ethereum offer decentralised identity solutions.
Syscoin's Alias solution allows users to create and manage their digital identities on the blockchain, while Ethereum's decentralised identity solution, uPort, focuses on providing secure and verifiable identity information.
However, uPort is more flexible and customisable than Alias, making it more suitable for a wide range of use cases.
Final verdict on Syscoin v Ethereum
In summary, both Syscoin and Ethereum offer a range of features and benefits for developers and users.
While Ethereum is more established and well-known, Syscoin offers a streamlined and user-friendly experience for certain use cases, such as its built-in marketplace and token creation process.
However, Ethereum's more robust EVM and customisability make it more suitable for more complex use cases, such as smart contract development.
Ultimately, the choice between Syscoin and Ethereum will depend on the specific needs of the user or developer.
Syscoin (SYS) Market pros and cons
A look at the good and bad of the Syscoin (SYS) Market.
Syscoin has seen a lot of improvement since its creation in 2014.
They currently stand as the first decentralised marketplace where products can be bought and sold using their own native SYS token, fiat and other cryptocurrencies.
The team also makes their decentralised marketplace unique from centralised online markets like eBay by providing a means whereby users can create their own business sites, incorporating personalised features or alternatively selling directly on the Syscoin blockchain.
Syscoin has earned a lot of accolades for its utility as an e-commerce platform and aid to businesses, however where there are many pros, there have to be a few cons to contend with.
This section of our Syscoin (SYS) guide explains the pros and cons of investing in Syscoin, and if the cons are relevant enough to cause any major damage to the project.
Syscoin (SYS) pros
The Syscoin good.
1. The first of its kind
Syscoin earns early adopter benefits by being one of the first fully decentralised marketplaces.
Although this places its competitors as some of the big-league players like Amazon and eBay, it stays at the top of its category as a decentralised platform with all related perks.
Syscoin gives a new face to e-commerce by providing features that centralised online markets can not provide.
For instance, the platform provides personalised wallet addresses linked to names, encrypted messages, resale options where retailers can resell their goods for a commission and payment options in both fiat and crypto.
2. Low fees and high transaction speeds
With the many perks of Syscoin, they offer close to zero fees for transactions when you conduct business on the blockchain with their native token.
Payments can also be made in Bitcoin and Zcash.
At the moment Syscoin conducts 750 transactions per second and is aiming at 300,000 transactions per second in their next master node release.
3. Extremely cheap for vendors
For a vendor to set up on a decentralised marketplace, they are able to greatly reduce their costs.
Without having to pay a cut of your profits to a centralised service like eBay or Amazon, using Syscoin's marketplace means more money in the pocket of sellers.
Obviously, this ultimately leads to savings being passed onto the buyer in the form of lower priced goods or services.
The potential is there.
Syscoin (SYS) cons
The Syscoin bad.
1. Strong competition
By launching as a decentralised marketplace, it attracts competition with a lot of major, more established players in the online e-commerce industry.
Syscoin also places itself in direct competition with Shopify and WordPress due to its ability to help businesses easily create their online presence.
Asides from these centralised platforms, Syscoin also faces competition with BitBay and Origin Protocol which have also created their own fully decentralised marketplaces similar to Blockmarket.
2. Lack of marketing
Due to their strong competition, a lot of people believe Syscoin should invest a bit more in their marketing.
However, this might not be the case as Syscoin is considered a long-term project and has received a ton of organic marketing across Google and the various socials.
3. A potential silk road situation
Shock horror that illegal and immoral items are sold on the internet, I know...
But for transparent vendors who are trying to legally act within the laws and regulations of the countries they reside, having the ability to sell anything and everything can open pandora's box.
Centralised competitor's like eBay can strictly control what is acceptable and ultimately listed on their platform, but Syscoin Market can not.
While some, including myself in some situations, will actually see this point as a positive, it could do some real damage to the Syscoin brand in the meantime.
We just have to wait and see how this one plays out.
Do the Syscoin (SYS) pros outweigh the cons?
From all indications within this section of our guide to Syscoin (SYS), the pros do outweigh the cons.
Nevertheless, there can never always be only the positive side of a project and Syscoin, even with its amazing features, still obviously falls short in a number of areas.
However, the cons have no major role to play in the ingenuity of Syscoin.
It’s safe to say the potential is there.
Should I buy Syscoin (SYS) in 2023?
As with any investment, it's important to do your own research and due diligence before making a decision to buy Syscoin (SYS) in 2023.
There are several factors to consider, such as market trends, adoption and use cases, and competition from other cryptocurrencies.
One key consideration is the overall market trends and sentiment surrounding cryptocurrencies.
In 2022, Syscoin experienced a significant increase in price, reaching an all-time high of over $1.20 in January.
However, cryptocurrency prices can be volatile and subject to sudden fluctuations.
It's important to consider factors such as overall market trends, investor sentiment, and economic and political events that could impact the value of cryptocurrencies as a whole.
Another important factor to consider is Syscoin's adoption and use cases.
As we’ve discussed in this guide to Syscoin, unique features, such as its decentralised marketplace and secure data storage capabilities, make SYS well-suited for certain use cases.
For example, its marketplace allows for peer-to-peer transactions without the need for intermediaries, which could be attractive for buyers and sellers in certain industries.
However, it's important to evaluate the potential demand for Syscoin's features and whether they are likely to be widely adopted in the future.
Finally, it's important to consider competition from other cryptocurrencies.
Syscoin competes with other blockchain platforms that offer similar features, such as Ethereum, Binance Smart Chain, and Polkadot.
It's important to evaluate Syscoin's relative strengths and weaknesses compared to these other platforms, as well as its potential to differentiate itself and gain a competitive edge in the market.
In summary, there are several factors to consider when deciding whether to buy Syscoin in 2023.
It's important to do your own research, consider market trends and adoption, and evaluate competition from other cryptocurrencies.
As with any investment, it's important to carefully weigh the potential risks and rewards before making a decision.
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