The cryptocurrency field is constantly growing larger. With even popular fast food restaurants planning launches of new tokens and currencies, the space is getting more crowded all the time. (See more: Burger King Russia Launches New Cryptocurrency.) This makes for a difficult prospect for potential investors: which cryptocurrency is the best, the most likely to succeed? The more options there are, the trickier it is to say.
Now, a new e-commerce blockchain startup called Particl is aiming to level the playing field by taking an "agnostic" approach to cryptocurrencies. Here's how Particl plans to achieve that goal, and what it might mean for the broader industry.
All Cryptocurrencies Supported
In theory, a cryptocurrency-agnostic platform like Particl has a fairly straightforward premise: all digital currencies are supported, and there is no preference built into the platform for any currency over any other.
According to a report on Nasdaq.com, Particl's platform will allow users to buy with any cryptocurrency currently available, from popular options like bitcoin and ethereum to brand-new currencies that have yet to make a mark on the industry. Regardless of which currency a user chooses, they will be treated equally on the network market. Particl will also advance its own native token, called PART.
One of the unique features of the Particl platform is that users will be able to use different coins as portions of different transactions. The reason this is possible is that all currencies are converted into native PART tokens before going through the platform's escrow system. Sellers then receive PART once each contract is completed, and the PART can then be re-converted into other cryptocurrencies.
The potential benefits of a cryptocurrency-agnostic platform like this are many. Users won't have to look to different exchange platforms to handle transactions for all of their various holdings. Because all transactions are converted into PART, the platform's native token will necessarily play a big role in all of the proceedings. Particl won't need to worry about its platform collapsing if a single cryptocurrency becomes defunct.
And yet, there are some challenges to an approach like this one, too. Particl may struggle with the different support systems for all of the currencies in its purview. In order to allow for privacy and reliability for customers, Particl will need to meet a wide variety of stipulations, all without preferencing one currency over others.
Nasdaq suggests that the PART token will help to facilitate this. Although users won't receive discounts when using PART, the token will nonetheless provide other benefits for the customer and the exchange itself.
PART tokens will create income for stakers as a result of market listing fees and transactions, while customers will earn passive income based on network activity simply by having PART in their digital wallets. Those holding PART will also be permitted to vote on listings for the marketplace. (See also: The Rise of 'Private' Cryptocurrencies.)