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Review on Obyte by Fabrizio Zampieri

Revainrating 5 out of 5

Byteball is an interesting and special project, in fact it does not use a…

Byteball is an interesting and special project, in fact it does not use a blockchain: it makes use of a revolutionary new technology called a Directed Acylic Graph or “DAG”.
It's very famous in the Bitcoin community because the ByteBall coins were distributed to Bitcoin holders during 2017 in a proportion to how much they held.
The project began in late 2014 when the Russian technologist, Anton Churyumov, was looking for ways to solve issues that he saw existed on the Bitcoin blockchain. Thus ByteBall was born and it was launched around the end of December 2016.



Pros
  • ByteBall project has unique features: - sending conditional payments (one of the disadvantages of a Bitcoin payment is that once it has been paid, there is no way to get it back). With ByteBall, you have the opportunity to create simple conditional payments that will only verify the final transactions once these have gone through; so If the condition has not been met by the other party then your bytes are sent back to your wallet. In technical terms, you will be “binding” the payment to a specific condition; - hedging possibility against uncertain events. You can structure an insurance agreement in the code of ByteBall where someone who took out insurance will get the funds transferred to them from the issuer if the condition is met. You could either buy this insurance from someone else or you could sell it to them (a simple example of this can be a cancelled flight. When someone is buying flight insurance, it can be structured as a contract that will pay them out in the event that the flight is cancelled for some reason); - taking part in prediction markets. You can also use the P2P smart contract to bet on the movement of a particular price (for example, you could bet on the price of Litecoin. This could be used to hedge a current position on that cryptocurrency) ; - P2P betting (you can enter into a smart contract agreement with someone else on a particular sporting event. Based on the outcome of this event, the winner will then get the payment from the loser as defined by the contract rules). Another important topic is that ByteBall developers have given users the option of storing their ID in the wallet and determining exactly who to share this information with (one of the most prevalent examples of this is the KYC requirements that companies have to undertake when completing an ICO). Byteball has an enthusiastic community and a strong team behind it.
Cons
  • DAG technology is still to be fully tested at scale, however it could theoretically be a much more scalable alternative to traditional blockchains.