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To answer something like this you need to look at what things may breed success for a blockchain. In my opinion, it is quite a simple list.
I am using examples BTC, ETH, XRP, LTC, EOS and ETC as examples of blockchains that may have achieved some of the points of my simple list.
As you can see, none of them quite fit all statements, though BTC did in the past, and ETH may eventually in the future. I’m also adding FSN to the list, to demonstrate where I consider it to be at.
1. It needs to bring something new BTC, ETH, FSN
2. It needs to capture people’s imagination. BTC, ETH, XRP, LTC, EOS, (FSN not quite yet)
3. It needs to be incredibly useful. ETH, FSN, (BTC once upon a time)
For a blockchain, I think the following also need to be true:
4. It needs protection against failure by a diversity of contributions. BTC, ETH, EOS, (FSN some way to go)
5. It needs to be predictable BTC, LTC, EOS, ETC, (ETH not quite yet), (FSN not quite yet)
Something New
So, what is this new thing that Fusion brings?
Everybody knows Bitcoin solved the double spending issue and Ethereum brought an advanced smart contract platform.
With Fusion, it is, in fact, several things, but in cases like this, it’s usually only that “one thing” that really matters. And I think Fusion Time-locks is the major one.
Fusion has built time-features straight into the protocol layer enabling splitting of tokens into time-slices. Something no other chain has even considered or given much thought to.
Perhaps because it complicates supply in ways people can’t even begin to understand or consider. Or because their focus is still much more basic issues.
So, what does this mean, and what’s new about it and why should people care? In my opinion, it is incredibly huge. It’s not just an evolution of cryptocurrency, but an evolution of money.
All kinds of money and all former kinds of crypto are only a very simple means of exchange without any real evolution since the time of bartering; there’s really nothing special you can do with it besides paying someone.
But with Fusion Time Locks, you can suddenly pay someone without losing any money, which is pretty mind-blowing.
How Can This Work?
Of course, there’s a trick to this. You can’t give something without losing something.
But by paying someone through Fusion TL you’re not losing any of your current money, you’ll get all of that back at a time of your choosing. What you do lose, is your liquidity for that time and the power to generate interest in this time period.
In a sense, it’s like giving a loan with 100% guaranteed return, but even this is a slightly simplistic way to describe it.
If Fusion could only bring this to FSN, I’d say this would still not be anything major.
But Fusion has grand plans for interoperability and aims to be the most secure platform for interoperability.
This is something yet to be proven, and the goal of numerous blockchains (so, not new), but the point is that Fusion can in the future bring the ability to pay with future interest to any currency.
It won’t be limited to just FSN. This means there’s truly a good reason to actually bring other assets to Fusion.
Fusion also has other interesting inherent features such as quantum swaps, a form of swap where quantities don’t need to be pre-set (they can instead be partially filled) like with atomic swaps.
Further swaps can handle an unlimited amount of currencies in a single transaction. Very useful things, but not revolutionary and original enough to consider “something new”.
Capture People’s Imagination
For people to truly believe a project can be successful it also needs to be spearheaded by a visionary.
In Fusion’s case, this is DJ Qian who started the first mining farm in China and incorporated Bitse, the company who incubated Qtum and Vechain.
DJ has led Fusion Foundation since inception, and though he is a man surrounded by some controversy, there’s no doubt that he’s a great visionary who wishes the Fusion Network to succeed at any cost.
So far, Fusion has been lacking in great marketing, leaving it as a still relatively unknown blockchain project.
If anything, media coverage of Fusion has focused on the negative, such as the theft of the swap wallet tokens last year and the inabilities of the Huobi exchange to swap their FSN tokens to mainnet.
Not exactly engaging stuff. But what Fusion is building absolutely deserves to be captured by people’s imagination.
Currently, an app called WeDeFi is being built utilizing Fusion technology with the aim to capture the mass market.
The loose goal is 1 million users. The app is a form of decentralized bank account that in a simple way helps people extract time value from their FSN in the form of an interest account.
By other means the same thing will be done to BTC, USDT, ETH, etc; once Fusion’s interoperability is ready for it.
The app also has a gambling feature called SafeBet, allowing people to bet their future interest (TL currencies) in exchange for a chance to win some big prizes.
WeDeFis upcoming marketing campaign is likely what will truly begin to capture people’s imagination en masse regarding FSN.
There are rumors of another major app being built on Fusion as well. This one will be a form cross-chain swap app, which will enable the exchange of any cryptocurrency for any other regardless of what chain they are on.
This will utilize full Fusion’s DCRM technology, which has the power to generate cryptographic keys and split them in shards without anyone ever witnessing them, enabling truly decentralized custody.
Not much is yet known about this future app, but the anticipation is huge within the community that follows Fusion closely.
Interoperability has by some been described as the “Holy Grail” of blockchain, and DCRM may well be the most elegant solution of all once it is fully implemented in the Fusion blockchain.
It Needs to Be Incredibly Useful
What I described above is just the beginning of course. The true greatness of Fusion would be seen once real assets start to become cryptofield.
Once this begins to happen Fusion time-locks may powerhouse leasing, insurance, car rental.
Basically, any contract where time is a factor would be super useful to build onto Fusion and anything with a lock where access is meant to be limited by time could gain improved security and smoothness through Fusion.
Things such as financial instruments and equities could also be rented out for a time.
Perhaps they are set to pay out a dividend at a certain time, but it’s uncertain how big the payout will be.
Someone that does not want to gamble the amount might then decide to sell the equity for the day of the supposed payout to someone willing to take a bigger risk.
Or perhaps you will be able to lend someone your tokenized Netflix account for 2 months.
Or how about crypto-hodling? Say you don’t trust yourself to save your Bitcoin or Ethereum for 5 years.
With Fusion, you could choose to TL them to a burn address for those 5 years and make sure no one (not even yourself) can access them until those 5 years passed (in my opinion this is just dumb, but some people may want to do exactly this).
These are just a few of millions of examples of how it could be used, once tokenization of assets begins for real and DCRM is fully integrated to handle them all on Fusion.
You could write endlessly about the various use cases. There really are no limits.
And I hinted at it before, but time-locks aren’t the only new useful thing about Fusion.
The ability to handle multi-asset swaps, might one-day power shopping and warehouse management, a way to sell entire portfolios in a single swap, or be a way to hide the use of FSN as gas in-app transactions utilizing cryptofied FIATS running on Fusion.
Quantum swaps in combination with DCRM is the perfect combination for cross-chain DEXes, enabling partial fills between assets native to different chains.
SMPC is a multi-signature type wallet built by DCRM that enables multiple people to govern a single crypto wallet in a secure way.
Think of it as fully customizable decentralized custody. Thresholds can be decided regarding how many need to approve of the action, for it to be able to take place.
In these wallets, no person will ever have seen the wallet keys, and to sign an agreement is necessary according to whichever governance model is chosen.
This can be a super useful tool in situations where funds are meant to be controlled by a board or a foundation.
A 4/7 or 3/5 setup might be useful in these situations, where you would want a majority agreement to be able to take action.
A 2/2 SMPC setup could also be very useful and may eventually play a major role in business transactions where the parties don’t fully trust each other.
Combine that with a logistics oracle as a third party, and you may have something truly unique (oracles will be running on Fusion too, eventually, by the way).
DCRM interoperability will be using SMPC as a base layer for movements on the or original chain in Fusion lock-in and lock-outs.
In these cases you want as many nodes as possible involved, so they might end up using something like a 101/200 model, to take action, making it nearly impossible for nodes to collude.
The more nodes, the better of course.
A single person SMPC wallet is also a useful thing, as it’s a way to have a crypto wallet without needing to own a private key.
Most people are more used to keeping username and password and SMPC would enable this possibility without the need to trust a centralized party.
Diversity of Contribution
Fusion’s community is still quite small and the number of companies utilizing it, yet quite limited, at least when compared to Bitcoin and Ethereum for example.
Fusion is still very dependent on its primary initiator DJ Qian and his efforts to bring it to greatness.
But many things are certainly done to encourage as many as possible to build on Fusion. FOSC (Fusion Open Source Community) is the most visible example of this.
Currently, almost all the work to enhance Fusion is done through FOSC, where TL rewards are handed out to those building tools that enhance Fusion or to those who in some other way contribute to Fusion.
So, anyone may be part of Fusion’s GitHub and contribute to it and should expect a reward if it is useful to work.
Even so, Fusion can not compare to BTC, ETH, and EOS in this regard. But it is certainly moving in the right direction.
Worthy of mention here is also Fusion’s licensing model that enables anyone to own and use the technology that Fusion has created by holding and locking certain amounts of FSN to the Foundation.
This is only necessary for someone intending to use the technology outside of the Fusion blockchain.
But I think it is an important consideration for the potential of the increased diversity of contribution.
As it can enable others to feel like they truly own the Fusion technology and it might eventually help propel the increase of parties creating various applications built by it.
As Fusion grows in price, awareness, so undoubtedly will also the diversity of contributions. The higher value of the offered TL rewards alone can aid a lot. But it’s not a ‘quick fix’ by any means.
Predictability
You can read about Fusion’s tokenomics here. They are in fact superb and if all goes well Fusion will end up being one of the most predictable currencies out there.
But currently, there are yet some unknown and uncertain factors.
We have yet to see a Fusion halving for example, and there are still many tokens that have not swapped to the Fusion mainnet.
Fusion is also still in part haunted by the swap wallet theft of 2019.
But with enough time these things should fade, and with time Fusion may become one of the most predictable blockchains of all as the base tokenomics are truly excellent.
To sum up, I think Fusion can potentially fulfil all points of my shortlist in the future, something that in my mind would make it one of the most promising blockchains out there.
Where to buy FSN: OKEx, Bittrex, Huobi
Hello and welcome to Go Cryptowise.
My name is Per Englund and I’m a long-term fan and investor and trader of Bitcoin and other cryptocurrencies. I caught the attention of Bitcoin like many other several years ago, but it was first around 2016/2017 that I truly got into cryptocurrencies and blockchain technology.
I have since traded, bought, researched and learnt about this new emerging space to the fullest. When not producing crypto-content I create and design new products and businesses. And I want to combine my business experience with my passion to create meaningful content for all our readers.
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Source: https://gocryptowise.com/blog/why-fusion-will-be-the-next-big-thing/
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