A new proposal is being presented where the developing team of Helium is planning to move from its personal chain to the Solana. This decision is on hold at the moment and the voting will occur for this on 12 September.
Helium is ranked 63 at the Coinmarketcap and its coin is called HNT. The current market price for this is ₹55,135,731,035 and the max supply for this is 223,000,000. It is the blockchain that uses crypto token incentives for the purpose of fueling the decentralized wireless network.
Helium is known as the open-source blockchain network and it was created in the year 2013 by Shawn Fanning, Amir Haleem, and Sean Carey to support wireless communication for Internet of Things (IoT) devices. While the system distributes data over the network nodes, communication between the devices is made possible via this technology.
Nearly 1 million Hotspots have been installed worldwide, and the helium network has expanded remarkably quickly thanks to the ever-growing number of use cases. In the Helium system, the network’s nodes are referred to as Hotspots.
The creators consider it crucial to adapt Helium’s Network’s design to suit demand. A HIP70 proposal was made on 31 August which included all the information related to this possible Migration where the developer explained the importance of this Migration to Solana.
Solana is ranked 9 on the Coinmarketcap and is considered one of the top Layer 1 Blockchain. Solana is a well-known smart contract platform and is widely used for decentralized apps (dApps), NFTs, and decentralized finance (Defi) protocols. Solana has various features to provide to the Helium like Scale, community, composability, and much more.
What will happen because of this Migration?
If this proposal gets approved the Helium network would have to transfer all of its tokens—HNT, IoT, MOBILE, and DC (Data Credits)—from its own blockchain to Solana. Additionally, it would rely on oracles, or external data sources, to run its proof-of-coverage infrastructure and data transfer accounting features.
Helium uses the rewarding method where they receive native HNT tokens in exchange for setting up hotspot devices and this increases the network’s connection. After this migration, the network will continue to use the same hotspot devices following the migration, but rewards will now be paid via Solana.
The proposal mentions that with this migration the Helium community will get a big number of developers who will be working and this is only possible if the migration happens because this will require fast and low-cost transactions. And with the increasing community, it becomes a necessity to have a much-upgraded system to provide services to all the users.
What are the benefits of this Helium Migration?
According to the Helium developers, shifting their crypto wireless network will be very helpful for Helium. Following are the expected benefits from the Solana: –
- Better Speed
- More stability
- They will be able to serve more users
- Improved data transfer
- Increasingly reliable and consistent verification of coverage activity
- Holders of helium wallets will have access to a number of applications, procedures for governance, and other utilities that are not yet available on helium.
- The switch to a more widely adopted Layer 1 Blockchain will make the addition or engagement of more protocols.
With all these additions there is one major issue as well which is the migration will remove the necessity of the stalking validators which are operating the block production.
The plan also states that after switching to Solana, miners will receive a bigger proportion of HNT incentive tokens, with a 6.85% increase over the present scheme. According to the proposal, the redistribution will provide miners an extra 2 million HNT over the course of the first two years or more than $11.1 million at the current exchange rate.
On September 12 through September 18, the Helium Foundation will run a token-based community vote on the proposal. If the request is approved, no timetable was provided for the proposed move.
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