Nervos Network

Nervos Network (CKB) functions as an open-source public blockchain ecosystem. It aims to build a peer-to-peer (P2P) crypto-economy network that provides users with access to numerous provably secure blockchain services and capabilities.

The Nervos mainnet went live in November 2019, featuring a unique dual-layer architecture. This design includes a base layer responsible for running the consensus mechanism and storing smart assets, alongside a computation layer dedicated to processing transactions.

The base layer, referred to as the Common Knowledge Base, utilizes its own cryptocurrency, CKByte (CKB). Operating on a Proof-of-Work (PoW) consensus mechanism, this layer powers the Nervos ecosystem. CKByte is used to compensate miners for securing the network, managing network resources, and enabling user data storage.

Nervos Network enables developers to build decentralized applications (dApps) capable of functioning across different blockchain systems. Both decentralized apps and smart contracts can be executed on any of the network’s layers.

The Nervos Foundation launched the initiative in 2018, bringing together a core group of researchers, engineers, and developers.

The platform was built by three individuals: Terry Tai, who co-founded Teahour.fm and created the Yunbi cryptocurrency exchange; Daniel Lv, who served as chief technology officer (CTO) for both Yunbi and imToken and co-founded ruby-china.org; and Kevin Wang, an engineer who co-founded Launch School and offered consulting to IBM Silicon Valley Lab.

The Nervos Network stands out due to its distinct development approach, featuring an open-source blockchain that supports various assets through a multi-layered architecture and multiple protocols.

This dual-layer structure consists of:

1. The layer-1 base layer, known as the Common Knowledge Base, which uses Proof of Work (PoW) for consensus. It utilizes the CKByte (CKB) cryptocurrency to power the ecosystem.
2. Layer 2, the computational layer, where developers perform programming tasks and transactions are processed in real time.

By merging PoW security with scalability and cross-layer data sharing, Nervos Network aims to simplify the creation and usage of decentralized apps (dApps).

The network employs a scalable economic model where participants contribute to growth by using platform features. In return, they gain access to an open, decentralized, and censorship-resistant system. Users can store assets on the platform, with costs determined by the required storage space and duration.

The native token of the Nervos Network is CKByte, also known as CKB. Its total supply stands at 43,510,781,425 coins, distributed in the following manner:

• 21.5% went to public sale investors via the public token sale;
• 17% was assigned to the ecosystem fund;
• 15% was allocated to the team, subject to a 4-year vesting period;
• 14% went to specific institutional investors through a private sale in 2018, with unlocking over 2 years;
• 5% was designated for founding partners, unlocked over 3 years;
• 2% was given to the foundation;
• 0.5% supported incentives for the platform's testnet;
• 25% of the Genesis tokens were burned and never entered circulation.

As of March 2023, the circulating supply consists of 39,936,460,802 CKB tokens.

CKB functions as a utility token that offers flexibility across the ecosystem. It serves as a reserve asset on layer 2 and is used to pay for transaction fees, staking rewards, and block rewards. Additionally, holding CKB grants users access to state storage space on the mainnet, allowing them to store 1 byte of data on the layer 1 blockchain for each unit held, meaning storage capacity is proportional to their asset holdings.

Nervos Network relies on a Nakamoto consensus model based on Proof of Work (PoW) to safeguard digital assets and decentralized applications. Because the CKB token operates on this PoW blockchain to ensure decentralization and security, it is mined using an ASIC-supported PoW algorithm.

The project’s code is open-source and has undergone an external audit by CertiK. Furthermore, the team organizes regular hackathons that offer cash rewards to individuals who identify security vulnerabilities within the network.

As of March 2023, you can trade CKB on major platforms including Binance, KuCoin, Bithumb, Bittrex, Gate.io, Huobi, Crypto.com Exchange, Coinone, BKEX, MEXC, CoinEx, Indodax, WazirX, Tokocrypto, Bitrue, and CoinDCX, among others.