Bank of America Praises Emerging Cryptocurrency Named Avalanche

The new report co-authored by the analysts at Bank of America recently reflected on why the financial institution is highly bullish on Ava Labs native token from the Avalanche project. It is worth noting that Avalanche blockchain is an open-sourced and decentralized blockchain platform that uses a novel consensus model.

The unique feature of the blockchain is that it is highly scalable and has a built-in aptitude for smooth interoperability. The Avalanche blockchain is also compatible with smart contracts and uses a near-instant transaction finality process. The network accounts for Solidity language that allows the Ethereum developers to work in tandem with the Avalanche network.

The Avalanche blockchain is highly interoperable due to its use of Subnet or Sub-Networks. Jay Kurahashi, Vice President of Marketing at Ava Labs, described the inner workings of the subnet in detail. According to him, the sub-networks are validators operating on a dynamic basis to receive consensus for transactions. He further explained that the subnet could validate multiple blockchains arbitrarily.

He reflected light on the main sub-network node called Primary Network. The job assigned to the Primary Network is to validate all the transactions that are launched on the Avalanche blockchain. Kurahashi said that the investors who want to become members of the PN have to stake some of their AVAX tokens. He added at the end that the Subnet validators are necessary to be the PN network validators which increases the credibility of the process.

A report on the potential of the $AVAX token and Avalanche blockchain was published by Bank of America analysts. The report was also prepared in association with a technical expert from Global Crypto, Alkesh Shah. The report was first published on the CoinDesk platform that postulates that the subnet structure is going to increase the speed of the transaction settlements and lower gas fees.

The report by BoA also took notice of the increasing TVL or Total Value Locked in the Avalanche blockchain. Deloitte is an international audit, insurance, financial planning, risk management, and investment consulting firm. The firm recently decided to partner with Avalanche blockchain to set up a new disaster recovery cell and extend the crypto industry to insurance coverage services.

Related Posts

Leave a Reply

Your email address will not be published.