On Friday (March 25), the popular pseudonymous host of crypto analysis show Coin Bureau explained why he is so bullish on the Arweave ($AR) project.
Here is how the people behind the Arweave project describe it:
“Arweave is a new type of storage that backs data with sustainable and perpetual endowments, allowing users and developers to truly store data forever – for the very first time. As a collectively owned hard drive that never forgets, Arweave allows us to remember and preserve valuable information, apps, and history indefinitely. By preserving history, it prevents others from rewriting it.“
Arweave has the concept of Proof of Access (PoA):
“The core technology that powers the Arweave is the blockweave. Just as a blockchain is a linked collection of blocks containing transactions, a blockweave — specifically designed for the Arweave protocol — is a set of blocks that contain data, linking to multiple previous blocks from the network. This data structure allows the network to an enforce that miners provide a ‘Proof of Access’ (PoA) to old data in order to add new blocks.
“Unlike in a traditional blockchain, where miners are forced to expend electricity in order to earn tokens, in the Arweave network miners are also encouraged to replicate valuable data (the information stored in the network) in order to gain tokens. This mechanism offsets the value that is normally wasted in blockchain networks, with useful, energy efficient storage of data.“
Arweave’s backers include Coinbase Ventures, Multicoin Capital, Unioon Square Ventures, and Andreessen Horowitz (a16z).
According to a report by The Daily Hodl, here is what the Coin Bureau host had to say about Arweave:
“All its available metrics suggest Arweave’s adoption is still in an exponential trend regardless of its price. To put things into perspective, when I covered Arweave last August, there were just 151 miners and there are now nearly 1,200...
“Arweave went from 90,000 wallets to over 155,000 wallets and the amount of data stored by Arweave has jumped from 10 terabytes to over 55 terabytes. As a cherry on top, Arweave’s monthly transaction growth has been explosive over the last year and is showing no signs of slowing down...
“Arweave has a medium-sized market cap and that means it has lots of room to grow. With enough integrations and decentralized applications driving demand, AR could easily 5x from here in the long term...
“In a September interview, [Arweave founder Sam Williams] said that Polkadot is among the cryptocurrencies that will be using Arweave to store their transaction histories. This makes sense given that Polkadot developers have turned their focus to total decentralization over the last year or so.“
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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