What is Raiden Network (RDN)? Why Will Ethereum (ETH) Price Boost With Raiden?
Ethereum was never designed as a payment system against Bitcoin but the Raiden Network may change it forever. This new protocol introduces high-speed transfers for the Ethereum network which takes a mere fraction of a second to confirm transfer and they also focus on the key points of growth and issues those are being faced by Bitcoin.
Currently, the Ether network has the capacity to process 20 transactions per second. This capacity is twice as much as Bitcoin can process. The Raiden Network is building an off-chain solution for Ethereum transaction which scales linearly with the number of participants by which network could handle over 1,000,000 transactions per second in future. Additionally, it will also decrease transaction cost significantly.
Instead of sharing all transactions on the blockchain, Raiden Network allows users to exchange messages privately to sign the transfer of value. It is being designed as an Ethereum extension and it finds applications in a variety of token systems like Reward tokens, Game tokens, and private currency types.
In order to make transfers, one Raiden node communicates with the other by extending along an Ethereum node. Similarly, in order for the management of Ethereum deposits, a Raiden node communicates with the blockchain of Ethereum. In a report, Cointelegraph has already published that Ethereum (ETH) price may rise up to $2,000 if this happens.
Where to Buy RDN Tokens?
Raiden network offered ICO in 2017 silently and reached hard cap in few days only without any marketing. These tokens are now list on few famous exchanges listed below, where you can grab your RDN tokens:
Ethereum is a free and open-source virtual or digital currency as Bitcoin. It depends on the strategy of block chain with a functionality of scripting. It offers a virtual machine known as EVM for running scripts, where EVM is nothing but Ethereum Virtual Machine.
Ethereum facilitates the transfer of ‘ether’, which is a value token needed for the compensation of network nodes involved in the process carried out in EVM. Here the network spam is avoided by the use of a mechanism called ‘Gas’, which is nothing but a transaction pricing mechanism. Ethereum is expected to beat Bitcoin in the following years since a lot of attention is being gained on Ethereum projects in India.
An Ethereum blockchain is a distributed public ledger that accepts ETH as its account unit. Users can access ETH from anywhere in the world at any instant of time.
Unique features of Raiden Network:
- It provides a simple and easily usable API (Application programming interface).
- It is highly scalable and inter – operable in nature.
- It offers efficient API monetization techniques.
- It is an authenticated network since it is highly safe and secure.
- Almost 1,000,000+ assets are being transferred within a second by this platform.
- The asset transfers are usually finalized within a fraction of second and are done at a high speed, once confirmed.
- A wide range of participants is being scaled in a linear manner.
- Since due to its inter – operability, it can be operated with any kind of token that accepts standardized token API of Ethereum.
- It focuses highly on the users’ privacy, by keeping the details about the transfers in a confidential manner.
- It does not even share a single transfer in the global ledger.
- It transfers the assets in an efficient way.
- It facilitates micro – payments, which mean that it imposes only very low charges for all the transfers.
- It acts an alternative for subscriptions, advertisements, and paywalls.
- It overcomes the issue of longer processing time associated with other currencies like Bitcoins.
Payment details of Raiden network:
It makes use of channels that facilitate p2p (person to person) payments. In addition, it also accepts payments in the form of Ethereum deposits, thereby preserving the assurance of a blockchain system.
Technology used by Raiden Network:
The technology used by the Raiden network is same as that of the technology used by the Bitcoin Lightning network. This technology helps the network in switching from a model of insecurity (sharing each and every transaction across the blockchain publicly) to a model with high security (ensuring secret transfers, thereby maintaining the privacy).