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Investing In Gnosis (GNO) – Everything You Need to Know

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Gnosis (GNO) is a popular DeFi (decentralized finance) predictions market. The protocol enables users to conduct trades based on the outcome events rather than trading cryptocurrencies directly. This approach is ideal for large and institutional investors who require an approved legislative framework to participate in the crypto market directly.

The goal of the project is to provide a reliable and secure infrastructure for the construction of decentralized applications. The network enables developers to leverage its forecasting tools to build more responsive and immersive applications. These benefits have helped Gnosis to become a well-recognized protocol in the market.

What Problems Does Gnosis (GNO) Attempt to Fix?

There are a lot of problems that Gnosis helps to alleviate. For one, the protocol specifically targets crypto adoption woes by eliminating cryptocurrencies from the trading equation. Trading contracts can be more regulatory friendly and provides large investment firms with more flexibility in terms of their offerings and risk exposure levels.

Gnosis (GNO) - Twitter

Gnosis (GNO) – Twitter

The network also seeks to reduce onboarding issues for developers as well. The protocol provides both developers and users open access to a suite of powerful trading tools. The network improves developer participation by ensuring the system is 100% EVM compatible. This decision enables Ethereum developers to migrate or branch their protocols onto the Gnosis chain to reduce costs.

Decision making

The Gnosis ecosystem provides more transparency to the market versus centralized alternatives. The protocol integrates a community governance system that enables users to put forth votes on critical network upgrades. Notably, this decision-making system can be used on third-party applications to improve transparency. Currently, there are Gnosis-based voting applications for decision-makers in finance, government, and insurance.

Benefits of Gnosis (GNO)

There are multiple benefits that Gnosis (GNO) introduces to the market. For one, the network’s open-source infrastructure creates more security and safety for users. Open source networks enable users to vet the coding. As such, they are less likely to have attack vectors. Additionally, the system makes it simple for users to create, trade, and hold digital assets

Gnosis was built to be scalable. The protocol leverages the Gnosis chain to improve performance. Gnosis provides faster transactions times and lower rates when compared to other programmable networks like Ethereum. The network averages 5-second transaction times making it perfect for large-scale use.

Forecasting

The main benefit of Gnosis is that it empowers users to benefit from forecasting. Forecasting is the act of predicting future market movements. These market-driven actions provide a valuable service as a source of information and standards for predictive assets in this market.

How Does Gnosis (GNO) Work

Gnosis can provide its unique services to the market due to its technical layout. The protocol combines a proprietary blockchain, new cryptocurrencies, and a decentralized prediction market to provide these services efficiently. Notably, Gnosis leverages two cryptocurrencies, GNO and OWL to better serve users.

Gnosis (GNO) - Homepage

Gnosis (GNO) – Homepage

Gnosis Chain

At the core of the ecosystem is the Gnosis chain. This high-performance third-generation blockchain can handle advanced smart contracts and Dapps. The protocol was built to provide stability and scalability to the market. It’s faster and cheaper than Ethereum. Additionally, the network is EVM compatible.  Notably, The Gnosis chain uses a PoS (Proof-of-Stake) consensus mechanism to remain valid.

PoS networks are more energy-efficient than PoW (Proof-of-Work) networks like Bitcoin. Additionally, they provide better scalability to users. PoS networks accomplish this task by eliminating miners from the equation. Instead, users stake their tokens in the network’s smart contracts to secure the network. This approach is more democratic and eliminates the technical barriers to participating in the blockchain validation process.

Three Layers

There are three layers that make Gnosis function. The first layer is called the Core Layer. This layer is where smart contracts live. It’s also responsible for handling settlements and market mechanisms. This structure helps to improve transactions times as it separates computation from validation processes.

Service Layer

The service layer is the next layer in the Gnosis ecosystem. This layer handles features such as chatbots, payment processor integrations, and stablecoins. The service layer is also where the community can set and debate trading fees and other costs.

Applications Layer

The application layer is where all the Dapps reside. This structure is ideal because it gives developers a specific network to build on that won’t bog down the validation process. Notably, the application layer was built specifically to serve the needs of third-party developers.

Gnosis Safe

The Gnosis Safe is the primary wallet for the network. Users can easily track their holdings and conduct international transactions using this dashboard. The wallet is completely Evm compatible which makes it more usable for the average trader.

GNO - CoinMarketCap

GNO – CoinMarketCap

Token

The GNO token is the primary utility token for the platform. This token meets all ERC-20 standards which make it interoperable with other Ethereum-based Dapps and exchanges. The token serves multiple roles including staking. You can stake GNO tokens to receive OWL tokens. There are 10 million GNO tokens slated for release over the life of the project.

OWL

The OWL token is earned for your staking efforts. OWL tokens can be used as collateral for the Gnosis conditional token framework. They can also help you to save on fees.

Governance

Gnosis uses a community governance mechanism to ensure the community has a voice in future changes. The Gnosis DAO (decentralized autonomous organization) enables users to put forth votes using the GNO tokens. The system weights votes based on the number of GNO tokens staked. Those with more investment have more say in the network’s developments.

History

Gnosis entered the market in 2015. It was created by Martin Köppelmann and Stefan George. The protocol was first launched as part of a venture with ConsenSys. In April 2017, Gnosis held a crowdfunding event. The event ended successfully which enabled the protocol to build its own blockchain and separate from the Ethereum network partially. Today, Gnosis operates as a separate protocol from Ethereum

How to Buy Gnosis (GNO)

Currently, Gnosis (GNO) is available for purchase on the following exchanges:

Kraken – Founded in 2011, Kraken is one of the most trusted names in the industry with over 9,000,000 users, and over $207 billion in quarterly trading volume.

The Kraken exchange offers trading access to over 190 countries including Australia, Canada, Europe, and is our most recommend exchange for USA residents. (Excluding New York & Washington state)

Uphold – This is one of the top exchanges for United States & UK residents that offers a wide range of cryptocurrencies. Germany & Netherlands are prohibited.

Binance – Best for Australia, Canada, Singapore, UK and most of the world. USA residents are prohibited from buying Gnosis (GNO). Use Discount Code: EE59L0QP for 10% cashback off all trading fees.

WazirX – This exchange is part of the Binance Group, which ensures a high standard of quality.  It is the best exchange for residents of India.

Uphold Disclaimer: Assets available on Uphold are subject to region. All investments and trading are risky and may result in the loss of capital. Cryptoassets are largely unregulated and are therefore not subject to protection.

Gnosis (GNO) – Predictions Markets Help Drive Institutional Adoption

Gnosis is an example of how developer creativity can help to drive adoption in the market. The developers recognized that institutional investors want to gain exposure to the crypto market. However, the risks are too high to accomplish this task directly. Gnosis provides a gateway to profits from a secure application. These features, plus the network’s growing popularity ensure that Gnosis will remain a premier project moving forward.

David Hamilton is a full-time journalist and a long-time bitcoinist. He specializes in writing articles on the blockchain. His articles have been published in multiple bitcoin publications including Bitcoinlightning.com

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