Today, we are going to be covering everything you need to know about the Harmony One coin. Harmony, as with a number of other crypto projects, is trying to tackle the issue of blockchain scalability, lets delve deep into the protocol, the team behind it, and of course my thoughts on its future.
Ok — Tell me all about the coin!
Before we get onto the coin itself, you need to first know about Harmony, which will let me put it all into perspective. Harmony is a high-throughput, low-latency and low-fee plaform that its creators say is “designed to power the decentralized economy of the future”. Those are some bold claims. They have a plan to address the numerous issues faced by other blockchain ecosystems with promises that it will give its users the very best research and engineering practices to make sure the Harmony system is tuned for optimum performance.
The Harmony project itself is focussed on sharding and secure staking with decentralized randomness, whilst it also implements optimal cross-shard routing and fast block propagation.
So what does this mean in real life? Well, Harmony say that they help businesses to build marketplaces for fungible token usage, such as loyalty points or energy credits and also for non-fungible assets, such as in-game digital assets. There is also potential for it be used for credit ratings, ad exchanges, and other data sharing that’s traditionally seen centralized platforms profiting and users being left with nothing.
Following its mainnet launch in mid 2019, Harmony has seen excellent growth, and by the middle of last year, there were in excess of 1,000 nodes helping to decentralize the network. It is also worth nothing that Harmony implemented a staking system based on Effective Proof of Stake (EPoS). They have certainly been on quite a journey in a relatively short period of time.
Sounds great — but this IS a coin review….right?
indeed it is a coin review! and that coin is the Harmony One token. This powers the Harmony platform, allowing users to participate in the ecosystem and serves as a payment mechanism for various actions.
The Harmony ONE token is designed to have 3 functions within the Harmony protocol.
Firstly, the token is used as a stake for the EPoS consensus model, which allows staking holders to earn rewards and transaction fees.
Secondly, the token will pay for transaction and storage fees,
And Thirdly, the Harmony One token can be used in the governance of the protocol itself, by allowing holders of the token to vote for on chain governance issues.
Sounds impressive…How does this all work?
Well, it all started in early 2020, when Harmony kicked off the migration of the ONE token from the Ethereum and Binance chains onto its own blockchain. They needed to do this in order to be able to realize the plans for staking and on-chain governance. Users are required to swap their ERC-20 (Ethereum) and BEP-2 (Binance) tokens for native ONE tokens if they wish to participate in staking, governance or any other network activities.
This “swapping” process was done automatically on any exchange that is participating with a bridge to Harmony, including BitMax, Binance, KuCoin, Gate.io and the staking service HonestMining. To make the swap, users simply needed to deposit any ERC-20 or BEP-2 ONE tokens on a participating exchange, and once withdrawn the native ONE tokens will be delivered.
Whilst this does all sound impressive, it is important to remember that compared to its competitors, Harmony is still in a fledgling stage as its market capitalization stands at $250 million. This pales in comparison with Cosmos, Solana and NEAR Protocol which have respective market caps at $5 billion, $2.2 billion and $1.26 billion. But, with a strong number of 640 community-run nodes, there is a strong indication that adoption is taking place, and while some competitors struggle to develop functional decentralized finance (DeFi) applications, Harmony already has more than three in place.
How many coins are there?
The maximum supply of Harmony ONE is 12.6 billion coins, of which there is currently a circulating supply of 9.4 billion. These can be purchased and traded via top exchanges, such as Binance, Huobi Global, HitBTC, Bitcoin.com, and KuCoin.
Sounds good — Who are the people behind the coin?
Lets start off with what are the people! And in a word, the answer is impressive! The Harmony team consists of more than 30 members, with their expertise varying from engineering, academic work and entrepreneurship. The key personnel includes Stephen Tse (of Google and Microsoft Research), Nicolas Burtey, Alok Kothari, Rongjian Lan, Minh Doan, Nick White and others.
So there is a lot of expertise within the team in building lasting companies, engineering, and academic research.
Ok — on to the who. The CEO and leader of the team is Stephen Tse. Stephen is an avid coder who has spent his life studying and working on compilers and security protocols. He graduated with a doctoral degree in security protocols and compiler verification from the University of Pennsylvania. After that, he went on to become a researcher at Microsoft Research, a senior infrastructure engineer at Google, and a principal engineer for search ranking at Apple, before becoming the founder of Spotsetter, who were later purchased by Apple.
In addition to Stephen, there are four additional co-founders, most of whom are artificial intelligence experts, and one who is a Harvard MBA.
The team have had some impressive results, not least of which was in may 2018 when they completed a private seed sale of tokens. In this sale, they were able to raise about $18m in exchange for 22.4% of the total token supply (price of c. $0.0065).
Any other reasons why I should be interested?
Well, there are a number of reasons. For me personally, one of the most exciting things is the partnerships formed between Harmony and others. Some notable examples are when Harmony and travala.com partnered to integrate the ONE token as a form of payment on the travel platform. There was also the partnership between Harmony and UTU Protocol which saw the launch of AI-based oracles to maintain users’ creditworthiness. Another cracking example is the partnership between Harmony and the Blockchain Education Network (BEN) which saw the 2 groups collaborating to develop the knowledge of new generation blockchain developers. This type of collaborative thinking and partnerships is something that really excites me, and is something that I think we will see more of in the future.
What is the future looking like?
Well, the partnerships, the wider protocol and the team behind the coin certainly get me excited and looking forward to the future. The team is certainly solid and has a load of expertise from experienced professionals within their relevant fields. What I like most though is the unique ideas they bring to the table, and how they are looking at dealing with future innovations like cloud computing and IoT solutions. Overall, Harmony and the Harmony One token looks like a very promising project, and I think they are ready to soar to the next level.
I really hope that you have found this coin review of the Harmony one coin to be both helpful and informative. I’d be really interested to find out what you think about this token, and of course, if you have any questions that I haven’t answered, or simply want to share your thoughts, then please do let me know in the comments section down below.