COTI (currency of the Internet) is the world’s first blockchain protocol optimised for decentralised payment. COTI is its native token or crypto-asset; the native coin is a specific blockchain’s inherent digital token the way Bitcoin is the native coin of the Bitcoin blockchain, and Ether is the native token of Ethereum. COTI network brings together distributed ledger technology (DLT) and traditional payment technology, making it an innovative and efficient decentralised payment mechanism. This allows COTI to enable businesses, e-commerce, or even governments to issue their crypto assets like CBDC (Central Bank Digital Currency) issued by central banks.
What is COTI?
The COTI platform is designed to facilitate a cheaper and faster payment system. The Trust Chain Algorithm used by the COTI network is an inventive consensus algorithm that creates unanimity among the seller and the buyer of digital assets on the network. While a ‘conventional’ blockchain maintains transactions chronologically, DAG does it like a tree with transactions branching out. DAG protocol is based on the “proof of trust” consensus mechanism, which validates two previous transactions using its trust score range.
COTI aims at developing a highly scalable global payments system, which the existing crypto assets, including the world’s first crypto, Bitcoin, that operates on validation consensus like Proof of Work (PoW) – cannot offer. The transactions of crypto assets that use PoW or POS consensus get slower with the increase in users, making these crypto-assets unsuitable for global payments. However, transactions through the COTI network are faster even with a large user base. The COTI network can achieve 10,000 transactions per second compared to the blockchain-based data structures that can only reach up to triple digital transactions per second.
How does COTI work for businesses?
COTI, aiming to become a prominent player in the global online payment ecosystem, is an emerging digital finance solution platform. Businesses can choose payment details, such as, example, how much it wants to receive instantly. COTI allows every kind of payment type – online as well as offline payments – and customers to detect payment details, such as how much it wants to receive instantly. Users can also select payment options like crypto assets, stablecoins, or credit cards.
One of the most attractive features of COTI is that user companies can issue their own stablecoins using the COTI platform – which is considered the world’s first platform designed for creating stablecoins. Companies can peg their own stablecoin to the price of an asset, like the US dollar, to reduce or eliminate the high fees and transaction costs.
What is the COTI coin used for?
As discussed earlier, it is a platform for others to create coins as well as its native crypto asset, which is the primary asset for transaction fees and staking. The COTI coin is operational in these ways. It is also used on its trust chain network, operational on Ethereum as an ERC-20 token. Finally, there is a BEP-2 version of the COTI coin available on the Binance crypto exchanges. The COTI bridge platform allows the holders to convert between the three different coin versions.
How does COTI operate?
To understand how COTI functions, we need to learn about its segments.
Let’s take a quick look at them:
- Cluster: COTI functions on a directed acrylic graph algorithm – called a cluster by COTI – and each transaction gets into the cluster. Every transaction in the COTI network goes through validation from the previous transaction for its confirmation.
- Full Nodes: Entrance to the COTI network is through full nodes, which are responsible for validating the transactions with proof-of-work and creating the transaction in the cluster. These full nodes collect and transfer the fees to the network pool.
- Double Spending Prevention Nodes (DSP): As the name shows, these nodes contain the updated list of transactions that enable the DSP node to ensure that any transactions are not double spent in the COTI network. The DSP node allows users to deposit and become a DSP node in the COTI network.
- History Nodes: Past cluster details are stored in the history nodes, making it possible to retrieve the account details.
- Trust Score Nodes: These nodes are responsible for storing the participants’ trust scores and KYC status. Anyone who wants to become a trust score node can do so by depositing COTI tokens.
COTI price prediction
We have come across various price predictions on COTI coins based on the analysis of crypto trading activities. The forecasting service Wallet Investor predicted that COTI crypto would trade around $0.52 in February 2023 and may reach $1.64 in five years. DigitalCoin forecasts the price will average $0.29 in 2022, $0.6 in 2027, and may reach $0.89 in 2029. Gov Capital’s forecast is that the COTI coin would trade at $0.84 in a year and jump to $5.41 in five years. The Price Prediction estimates that COTI will be around $0.93 in 2025, up from $0.31 in 2022, and will rise to $2.87 by 2028 and $5.77 by 2030.
COTI is continuously working towards steps to establish partnerships with companies that are prominent in the crypto-asset industry, such as Cardano and CardWallet. Currency.com quotes experts who think that COTI is bullish in the long run. Every crypto asset is volatile, and COTI is no exception. COTI prices are highly volatile, offering investors a high reward at high risk. Each investor has a different risk tolerance profile and must consider their overall investment portfolio and strategy before investing in COTI.