Back in 2017, events in the crypto world were big news. From hacks to forks, exchanges shutting down, price surges and, of course, ICOs. All of it was exciting and generating tonnes of FOMO, but today most people have become numb to crypto news. However, there are some coins that are still worth keeping an eye on, and not just for the profits but also what they represent. ICON is one of those coins to watch as it has remarkable promise and an ambitious vision. By the end of this article, you will know everything you need to about ICON and how you can benefit from it.
What is ICON?
If you were to take a look at the ICON whitepaper, you would see that it is a decentralized system rather than a single blockchain the way we usually think of the technology. Its vision is to create a connection between numerous blockchains over the world and create some consistency and compatibility in the crypto industry. It is rarely said by enthusiasts, but the lack of a simple means for exchanging between coins is quite a thorn in the flesh. (Here is the: THETA Coin Investment and Price Prediction 2020)
Right now there are over 2,000 coins according to CoinMarketCap and the biggest problem is in converting from one coin to another. Typically, you would need to use an exchange, send the coins you have to the exchange and switch to the coins you need. Problems arise when a crypto exchange does not offer or accept certain coins. Even major coins like Bitcoin SV (BSV) can be missing from popular exchanges like Binance. Alternatively, there can be a problem when the crypto network involved is slow to verify transactions. Networks can become bogged down by requests so much that it takes hours or even days to verify a single transaction. (Find out: What is Huobi Coin and its Price Prediction for 2020?)
ICON intends to tackle this huge compatibility hurdle that all the present assortment of blockchains bring. ICON is the name of the network that proudly claims is set to ‘Hyperconnect the World’. Being a network for smart contracts, it also needed a native token for facilitating transactions within the network, just like Ethereum has ‘gas’. In this case, its native token is called ICX and it is supposed to power ‘one of the biggest decentralized systems on the planet’.
All the above may be very impressive and convincing, but you are always encouraged to check out the company behind the tech as well. Many investors have suffered at the hands of fake coins (shitcoins) that were advertised as the ‘real deal’ when in fact they didn’t even do anything. Fortunately, in the case of ICON, the company behind the curtain is a very reputable and formidable one - DAYLI Financial Group. (Here is the: UNUS SED LEO Price Prediction 2020)
DAYLI is a company based in South Korea that was previously named Yello Financial Group before the name was changed in December 2016. The actual history goes even further back with Yello Mobile that was founded in 2012 with only 50 million won (US$44,700) in capital. Back then, Yello Mobile was only a marketing firm but through a series of strategic acquisitions grew to a giant with a valuation of over $4 billion. Among the startups owned by DAYLI include Coinone, one of the leading crypto exchanges in the world today. That and the fact that South Korea was a very significant crypto market around the world led to the decision to launch a blockchain network. (Following in big brother’s footsteps: BTC Cash Halves The Mining Reward 2020)
The company is run from Switzerland, though, and not from South Korea through the ICON Foundation based in Switzerland. This was an interesting decision by the company, although not the first considering Facebook’s own decision to form the Libra Foundation in Switzerland as well. Furthermore, Switzerland has been very friendly to blockchain technologies and several companies are already be based there.
Given all, we know about DAYLI and the team behind the ICON project, you can be more confident in this endeavour. But the story doesn’t end there, now we get to the crux of the matter and emerge more knowledgeable. (Bitcoin SV Genesis Hard Fork 2020: What's New?)
The token ICX from ICON was first introduced through an ICO held in 2017 that raised over $42 million from the sale. Although not as impressive as other ICOs during that year such as Bancor, it was still impressive and showed that there was a lot of interest. ICX was created to be the primary means of payment within the ICON network, but it can also be used as an asset for investment. (Here is the: 2020 Bitcoin Halving for Mining Rewards Warning Update)
At first, this token was based on ERC20, so it could be stored on any wallet that supports Ethereum-based coins. This means you could use any of the popular wallets like Ledger Nano S and My Ether Wallet. Later on, in 2018, ICON created a wallet called ICONex to reduce the reliability on ETH. In addition, ICONex was supposedly faster in processing transactions and more secure than other wallets. However, the most important use of ICONex was that it could support multiple cryptocurrencies and allow for an exchange between them, which was the goal of ICON all along.
Aside from the above, ICONex also had a feature called ICONick, a nickname assigned to an individual’s wallet address. Most blockchain networks depend on wallet addresses for identification, which are basically a random sequence of numbers and letters. The advantage of this is that it creates anonymity, but the downside is that it becomes more difficult to remember even your own address. ICONick avoids this problem, which several people have already suffered from after entering a single character incorrectly and sending funds to the wrong address. (Ethereum 2.0 Launch 2020: What’s new?)
Following the success of its 2017 ICO, it was no surprise that ICX became widely acceptable around the world. Today, the coin is listed by most of the major exchanges and even the minor ones, so it shouldn’t be a problem acquiring the coin for use or even investment. But ICX is only one piece of the puzzle since the ICX network is made up of so much more. (Before you commit any money to the project: Find Out More About Tezos and Its Price Prediction For 2020)
How it all comes together
As we mentioned earlier, ICON is more than just a platform based on blockchain technology. Instead, it is made up of a conglomeration of blockchains in a system called ‘loopchain’. This is where it gets really interesting, and a bit geeky, so bear with us if you want to know exactly how this thing works.
The ICON network is created around a number of interconnected segments which are sorted out progressively, in view of the level they work on. At the core of the system are the networks based on a specific blockchain, and they are referred to as communities. For example, there can be a network assembled by clients of Ethereum, Bitcoin or any other crypto platform. Each of these groups may have a different system, which may contrast from one network to the next. But on the ICON network, they make up what is depicted as "ICON communities". They are the focal point of ICON's expressed objective to bring different blockchains together into a single network. (As you consider divesting, consider these: Most Secure and Regulated Stablecoins of 2020)
Firmly identified with the ICON communities are the community nodes (‘C-nodes’). Notwithstanding making up the framework of each solitary network, the nodes are perceived as leaders on their blockchains dependent on agreed consensus rule. They stay responsible for keeping up the current administering framework just as of watching out for the general soundness of the blockchain they exist on. However, with regards to the ICON framework, every network and C-node is perceived as an independent unit which exists on its system and ICON does not meddle in the inward undertakings of every network in spite of the way that it exists as its ‘component’.
So as to cause the individual networks to impart and cooperate, ICON provides a stage to give for such associations to occur. Parts of this stage are what ICON refers to as the ‘community representatives’ (C-reps) and ‘citizen nodes’ (C-nodes). (For the savvy investor: OmiseGo (OMG) Coin and Price Prediction for 2020)
C-reps are picked by their individual networks to speak on their behalf to the ICON network. Thus, these C-reps deal with the administration business and approval of exchanges that occur between the networks which structure portions of the ICON ecosystem or the ‘ICON Republic’. To some extent, one can contrast their capacity with what the agents do as a major aspect of the Delegated Proof-of-Stake (DPoS) agreement system. For instance, those utilized by Lisk or BitShares stages. As an end-result of the assignments they play out, the C-reps are compensated by the local money of the ICON stage, the ICX coin. (Investors can now enjoy safe coin trading as: Swiss Banks Start Offering Crypto Trading To Their Clients)
Moving on to C-nodes, these act as the passageways which permits standard individuals from their individual networks to interface with the ICON platform. Taking into account that ICON charges itself as a stage for smart contracts, the nodes can construct and utilize the decentralized applications (dApps) on the ICON's network. Right now, ICON will give the foundation to them to do as such, just as enable them to make exchanges. On the other hand, this doesn't imply that the citizen nodes will be considered to have any overseeing power or cast a vote on the ICON network itself, or as a major aspect of their local blockchain networks. That role remains only for the C-reps.
When the C-nodes and C-reps have been built up as the connections between the members in the ICON network, the environment is prepared to work on the ICON and NEXUS levels. Similarly, as the hubs which structure a solitary network are interconnected, the ICON Republic environment serves to connect different networks to a single framework. The ‘ICON Republic’ itself is comprised of the citizen nones and community representatives. You can even choose to think of it as a kind of an administering "government" body for the free blockchain networks spoke to by their individual C-reps. Just like in a PoS system, these delegates vote on issues regarding the Republic's administration and strategies. For example, with respect to the utilization of coins, assurance of the system's trustworthiness and the treatment of potential errors identified with exchanges. (It’s time you learned the: New Rules and Crypto Regulations in Germany As Of 2020)
The C-reps are likewise associated with the "Nexus" as a blockchain filling in as the establishment of the ICON Republic. These agents work as the ICON's "entryways" through which the networks set up communication with the Nexus which, thusly, permits the blockchain networks to associate among themselves. In the way like that of Ethereum, the whole ICON environment in this way turns into a centre point which considers the creation and circulation of decentralized applications and other blockchain-based tasks. These are promptly accessible for access by any client having the status of a citizen node the ICON's Nexus open channel.
One of the primary difficulties that ICON needed to battle with was making different blockchain platforms on a single ecosystem cooperate, realizing that every one of them has one of a kind design and inconsistent administration models. So as to make this conceivable, ICON's specialized group thought of the ‘loopchain’ innovation. They characterized the loopchain as a superior blockchain that offers smart contract, but with the attention on guaranteeing adaptability dependent on explicit operational prerequisites. That is because this blockchain will be associated with other blockchains. (Ask yourself: Will Crypto Trading Become Popular in Islamic Countries?)
Thusly, loopchain lies at the core of ICON's nexus-based framework. The chain itself has different channels with customers speaking to individual blockchain networks. This multichannel framework makes it conceivable to have a few channels on a solitary blockchain organize, every one of them fit for taking care of solicitations and smart contracts just as arriving at accord. While the individual networks are allowed to utilize their own accord model, the agreement between them on the ICON organize is guaranteed by means of the loopchain's Fault Tolerance Consensus (FTC) convention. This convention takes into account a progressively secure and quicker accord, without the requirement for forks. To a certain extent, the convention works in a way which is like that of the Delegated Proof-of-Stake model, with C-reps partaking in the ICON's bigger administration frameworks just like delegates.
These delegates are connected to the ICON Nexus by means of the Blockchain Transmission Protocol (BTP). This framework can oversee exchanges between individual blockchains, from the one starting it (transmitter) to the one which gets it (the recipient). Every exchange is confirmed with the assistance of the Public Key Infrastructure (PKI) confirmation framework which fills in as the premise of the ICON's layered framework. Furthermore, ICON looked to evacuate the requirement for having separate virtual machines for its brought together smart contract stage, settling on the execution of its local framework called the Smart Contract on Reliable Environment (SCORE), which made it conceivable in any case. (To The Moon: Most Promising Asian Crypto Companies 2020)
ICON also runs its own decentralized exchange (DEX) framework. In that capacity, it allows users to make exchanges without the need to do it by means of centralized crypto exchanges or through other outsiders. Exchanges are executed autonomously and continuously as a component of what is portrayed as a trustless framework. In light of this, the framework is ostensibly increasingly impervious to bugs, hacking assaults and server disappointments as the issues which regularly plague centralized coin exchanges. Likewise, ICON's DEX framework characterizes the cash holds for every network on the stage, making it feasible for them to utilize ICON's ecosystem for making exchanges continuously.
Decentralized trades on the ICON network additionally utilizes its own artificial intelligence (AI) examination model which assists with the administration of cash holds and trade rates. This is accomplished by having the framework break down information identified with the exchange frequencies, costs for different digital forms of money just as the total call volume. When the investigation is done, the AI is equipped for changing the applicable swapping scale and save parameters for each crypto, with the declared point of guaranteeing the framework's steadiness. (Do you know: What Would Happen To BTC Price When It Is All Mined?)
What's more, ICON's usage of AI additionally handles the stage's Incentives Scoring System or the IISS, which depends on the DAVinCI money related arrangement. The ISSS framework ought to be equipped for figuring compensations for every hub dependent on the parameters. For example, a C-rep’s standing, the ICX token's trade volume, the volume of ICX exchanging that the decentralized trade handles and so forth. These highlights ought to decrease the reliance on the centralized exchanges by the individuals from the networks which need to exchange monetary standards on the ICON network. (Crypto Brokers: Evolution of Forex Brokers in 2020)
Is this a worthwhile investment?
Now that you know how the entire network operates, the big question is whether or not to bet on it. For that, you have to look at this network from multiple angles to make an accurate prediction before committing any of your money. That being said, it’s always a matter of speculation since no one can tell the future, more so when looking at cryptocurrencies.
The future of ICON
If we’re going to attempt to make predictions, then the first thing we need to do is look at the future of the project. So far, most of the components described above have already been completed including the ICONex wallet, C-nodes and even the ICX native token. However, most people have been critical of the company since it has not yet published a roadmap ever since it was created. One of the biggest risks in crypto investment is that the companies involved may not have any product with real-life use. (Learn everything you need to about the: Launch of The Binance Decentralized Exchange Future (DEX))
Those that do, though, release a roadmap to guide investors on what to expect and when so that they can show what the network is intended to do. In this case, ICON has not released such a roadmap, and while that may be a bit of a problem, it shouldn’t disqualify the platform altogether. Indeed, even the company itself noted this as a failure on their part and promised to be more communicative. (If you’ve heard of it, this is: How Libra Coin Will Change the World's Financial System)
Despite this minor oversight, the rest of ICON’s platform seems to be going on track. So far, there are 96 P-Reps (public representatives) registered with the company with more signing up as they notice the network’s value. In a process referred to as ICONsensus, P-Reps are elected in order to vote on the governance issues of the network. This is a big deal for any investor because it shows ICON has an actual product ready for the market and not just a hypothetical idea.
But the biggest thing going for ICON is that it has been embraced by various institutions in South Korea, giving it even more legitimacy. This year on the 7th of February, ICON signed an MoU with Saramin HR to form a recruitment system based on blockchain. In South Korea, Saramin HR is one of the leading job placement platforms similar to Indeed.com. A system called ‘broof’ and ‘MyID’ were created to enhance users’ experience and increase value and certificate issuance. Another use of the system has been by Pohang University of Science and Technology (POSTECH). The university’s graduates had their diplomas stored using broof and only received an email with a QR code linking to the digitally stored diploma. In September 2018, ICON also signed an MoU with SK Planet, a subsidiary of SK, the country’s biggest telecom company. (Find out: What is Huobi Coin and its Price Prediction for 2020?)
An association with Saramin and POSTECH may only be the first step, but the same technology may be used to create a digital ID and verification system in future. South Korea is known for embracing its own technologies and being very technologically advanced. Therefore, it should be no surprise if the country starts to use technologies such as ICON to pay for utilities and other services. And apart from all the technological possibilities, this mainstream adoption is also a huge plus for the network as it proves that ICON has a bright future.
Furthermore, there has been no other platform with the goal of creating a similar service that has received such support. Examples include Cardano (ADA) and Cosmos (ATOM), both of which intend to create a network for the interconnectivity of blockchains. Unlike the competition, ICON is already being adopted in mainstream industries including banks, hospitals, insurance companies and more. There is also the support from investors like PANTERA Capital, Kenetic Capital, CRYPTO BAZAR, Coinsilium and several others. (You should be aware of these: Top 5 Important Events In The Crypto World In 2020)
Price predictions and forecast for 2020
When ICX was first introduced through the ICO in 2017, each coin was going for about $0.11. A total supply of 800,460,000 ICX tokens was released by the company, with 520,532,914 tokens in circulation at the time of writing this piece. Like most coins during that time, ICX was swept up in the crypto price surge that pushed its value up to an all-time high of over $12 on the 9th of January 2018. Since then, the price of the coin has been on a stable decline just like most other coins, but that was before 2020.
From January 2020 to date, this coin has appreciated by over 250%. That is impressive, but the coin had already reached a high of $0.53 on the 4th of February 2020 to record a growth of over 350%. Although it wasn’t the only coin experiencing a surge this year, ICX has probably had the most dramatic gains so far. Given that there hasn’t been any positive news particular to the coin, most experts believe that the surge may be either due to FOMO or price manipulation. (This is our: Cosmos (ATOM) Price Prediction 2020)
Those who attribute the surge to price manipulation point to the sudden increase of trade volume. At the start of the year, ICX had about $60 million in 24-hour turnover, and the figure had surged to $300 million by February. Meanwhile, most people point to this increase in volume as not completely impossible. They further point to the increasing interest in ICX on social media platform Twitter. It is currently the 6th most talked-about cryptocurrency on Twitter behind the likes of Bitcoin and Ethereum. Such interest makes us too believe that it may simply be FOMO that’s driving higher trade volumes to the coin. ICON has always been considered as the Korean Ethereum, so it seems plausible that users are appreciating the tech. Moreover, there are currently 12 decentralized apps on the ICON Foundation, so it may even be plausible that transactions on these dApps could drive trade volumes.
To find out what might happen in future, consider the graph above. It is clear that ICX has finally broken a 2-year long downtrend with the most recent surge. Add to that, the prices have broken above the resistance level at $0.18 indicated by the green line above and several other critical levels after that. By the 4th of February, the coin was standing at overbought regions as shown by the RSI indicator the pullback came shortly afterwards to correct the market. Today, this coin is still trending sideways between $0.30 below and $0.45 above as it waits for the next push on either side.
Since nearly all coins have been trending upwards this year, it is possible we’re in a bull market that will continue to keep coin prices buoyed above their previous lows. In particular cases like this, though, chances are that there may be more gains to come in 2020. We have already seen how ICON is getting more widely adopted in South Korea, and we expect this trend to continue throughout the year. If so, the network will continue to gather momentum and reach higher values.
By the end of 2020, it is unlikely that ICX will break its previous all-time high and reach a new record, but we are confident that its value will keep rising in 2020. The network is continually growing to accommodate more dApps while the technology is being used by major companies. As this continues through the year, you can expect to see ICX reach the $1 mark and perhaps even more.
What you need to remember
Price predictions are made with the current situation in mind, but it is impossible to know what may happen tomorrow. For this reason, you should always keep an ear to the ground so that you can find out what may be going on in the industry and be prepared for the future.
If you want to find out more about the most recent price surge, watch this short video explaining the phenomena: