The ICP token launched on May 10 has quickly entered the top 10 of the global cryptocurrency rankings. In the middle of useless "crypto memes" such as Dogecoin (DOGE) or Shiba Inu (SHIB), ICP stands out by proposing a project of innovative appearance. Indeed, with the concept of the "Internet computer", the Dfinity foundation aims at nothing less than the creation of a web 3.0 free from the Big Five and security flaws.
Who created the concept of the "Internet computer" and launched the cryptocurrency associated with the project?
ICP (for "Internet Computer Protocol") is a cryptocurrency launched on May 10, 2021 on the most influential exchange platforms in the cryptosphere, such as OKX, Huobi, Binance, Gate.io or Coinbase.
This new token is one of the key steps in the deployment of a larger project: the creation of an "Internet computer". This concept was invented by Dominic Williams, a well-known entrepreneur and cryptocurrency theorist. He established the non-profit foundation Dfinity in 2016 in Zurich, with the aim of bringing the project to life.
From 2018, the foundation attracted highly influential investors, most notably Andreesen Horowitz, whose venture capital firm is known for launching Twitter. In total, Dfinity has received $195 million in funding.
What is the "Internet computer"?
In a nutshell
The "Internet computer" is not just a cryptocurrency. The concept primarily refers to a protocol based on blockchain technology. It was designed with the aim of creating a Web 3.0, fully decentralized
How does the Internet work today?
In order to understand the "Internet computer" project, we need to look at how the Internet works today. The current Web 2.0 is already based on a decentralized organization. Indeed, it is composed of millions of networks (public and private) that communicate with each other thanks to protocols allowing data transfer. In short, the Internet has always been "the network of networks": it does not have a single nerve center, and therefore cannot be described as a "centralized" network.
However, many web features and services rely on real infrastructure and some essential software. For example, the Internet is connected to many, many web servers. These computing devices (software and hardware) allow to host many resources.
They are essential for data storage and processing, especially since the multiplication of cloud computing services. These allow access to many features without having to download or install a program directly on a computer.
In addition, businesses and individuals today depend on anti-virus software and firewalls to protect their data.
If the Internet is decentralized, some of its functionalities require the use of services, which depend on a centralized infrastructure. Today, these services (web hosting, cloud computing, firewalls…) are dominated by web giants such as Amazon web service, Google or Microsoft. With the "Internet computer" project, Dominic Williams wants to challenge their hegemony, by proposing a network that does without the services that the Big Five offer. Thus, for example, companies would no longer have to pay for web hosting services or storage on a cloud.
[bctt tweet="ICP #crypto project, the challenge of the #InternetComputer that wants to go beyond the limits of the Web" username="coinaute"]
The innovations proposed by the "Internet computer"
The Dfinity Foundation's project aims to move all the services and functionalities of the Internet directly into the blockchain. The Internet would thus become a kind of giant computer, which would operate on the same concept as the Ethereum blockchain.
Dominic Williams talks about "Blockchain singularity", an expression that describes a future in which all digital activities would be done solely on the blockchain.
On the "Internet computer", the hosting of a site or the creation of an application would be done directly thanks to "smart contracts", which already allow coding on the blockchain. The use of third-party and paying services would therefore no longer be necessary
Overcoming the technical limitations of blockchain to make it as fast as the web
However, the "Internet computer" project faces a major technical limitation: the slowness of transactions on blockchains. They are completed in 30 to 60 minutes on a blockchain like Bitcoin, which is far from the speed of the web. To remedy this problem, Dfinity has announced the launch of a technology called "Key chain", which would allow users to update and modify "smart contracts" in a few seconds.
To improve its performance, the "Internet computer" also relies on the computing power of "independent data centers", not just miners. In order to participate in the project, these centers must obtain the authorization of the "Nervous Network System".
This is the algorithmic governance system of the "Internet computer", on which each user can vote for proposals as long as he/she has ICP tokens. The project is already supported by 48 data centers, located on several continents.
In order to prove the speed of this new blockchain and to show its possibilities, Dfinity has already presented many applications designed on its environment. These include a TikTok clone called CanCan and a LinkedIn-like professional social network (Distrikt).
ICP prices since its launch and reception of the project
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Dès son lancement, le token ICP a atteint la 4ᵉ place du classement mondial des cryptomonnaies. Il se situe aujourd’hui à la 8ᵉ place, avec un prix de 271,13 euros au moment de la rédaction de cet article. On le voit, l’ICP attire donc de nombreux investisseurs.
Upon its launch, the ICP token reached the 4th place in the global cryptocurrency rankings. Today it is in 8th place, with a price of 312.69 dollars at the time of writing this article. As we can see, ICP is therefore attracting many investors.
No wonder, when you know that it is positioned as a competitor to the Big Five, and in particular to the cloud computing industry, which is worth more than 300 billion dollars.
However, the project is far from being unanimously approved. Several analysts question its relevance and its innovative character. This is the case of David Nage, the director of a company specialized in digital assets. In an article in the Financial Times, he said: "It doesn't look like they are doing anything new. The market has already matured and produced real applications that are useful today.
Conclusion
Propelled to the top of the global cryptocurrency rankings from its launch, the ICP token is now referenced by the most recognized exchange platforms. Its price is now one of the highest in the cryptosphere. If the "Internet computer" project were to materialize, it could revolutionize blockchain technology and make part of the current computer technology obsolete. The ICP token is therefore worth keeping a close eye on.
