What is Lisk?
In this review, I will do my best to thoroughly cover the Lisk network and the native to the blockchain coin. So, what is Lisk? It is a decentralized platform that is based on Javascript aimed at creating a better environment for developers to create and manage their resources. The idea is that it will give them better chances for a high revenue from their creations when compared to centralized entities like Google or Apple. It works uniquely by Lisk providing independent sidechain to the developer and provides a level of security and anonymity. Each sidechain is customizable and gives the user the freedom to create their own token or application built on the core of it.
Currently, there is no max supply for the LSK coins, but the amount of Lisk cryptocurrency mined each tear gets reduced. The block reward is 5 Lisk and will drop by one LSK every consecutive year, finally reaching the value of 1 LSK per block and staying like that. The ICO of the project was very successful and held on 24th May back in 2016. During it, 100 million LSK coins were distributed in the following manner: 85% for the ICO participants, 8% for the core team, 4% for campaigns and bounties after ICO, 2% for advisers and partners and the rest 1% for early supporters of the project.
Advantages
One of the main advantages of the Lisk network is the very easy and user-friendly interface with which you interact, as it uses a next-gen JavaScript platform. This also gives the opportunity of developers to use smart contracts. Other notable benefits that I would like to mention are:
- Delegated Proof of Stake (DPoS) – There are 101 witness nodes that sign the blocks and are voted by a decentralized process
- Developer-Oriented – with the help of sidechains and easy to use tools, developers can create their own dApps and tokens to organize their own ICOs.
Disadvantages
Even though Delegated Proof of Stake has its advantages, it still possesses a flaw. A possible loophole exists that could allow an organized group of delegates to gain control over the blockchain. Some other notable deficiencies are:
- Extended block time – while the standard block time is 10 seconds, if a delegate cannot forge a block within 17 minutes, the block is moved on to the next round. This delays transactions
- Although Lisk is a new project, the Software Development Kit (SDK) is still not released, which raises suspicion among the community members
History and Evolution
Founded by Max Kordek and Oliver Beddows in early 2016, Lisk is a decentralized blockchain application platform with its HQ based in Zug, Switzerland. The goal was to provide software development tools to developers and make it as easy as possible for them to use the platform for creating their own dApps and tokens. Lisk aims to make blockchain tech more accessible to the wider public with a Software Development Kit (SDK) that is written in JavaScript and with the creation of the List Academy.
At the time of me writing this article, the team has released an update called Inception, which is mainly focused on improving the protocol and updating the core code of the platform. Future updates are planned to increase the platform’s transactions per second and a more stable environment for dApps.
Lisk’s Future
As mentioned earlier, the future for Lisk looks amazing especially when it comes to the tools that will be provided for developers. There will be 2 phases of updates, where the first part will concentrate on improving the quality and performance of the network and the 2nd phase will be the development and beta testing of the SDK. The update that will bring sidechains to the network has been rescheduled for a later date.
Lisk Blockchain
Lisk is a decentralized peer to peer blockchain platform using the Delegated Proof of Stake consensus mechanism and the SHA-256 hashing algorithm. The delegates in the network play the role of block creators and validators. Anyone can be a delegate, but only 101 delegates can be active, so the 101 accounts with the most votes can be active on the network. The standard time between blocks in the network is 10 seconds. In the future updates, sidechains will be introduced to the system, allowing users with the SD Kit to create their own environments for tokens and dApps, and even run their own ICOs and projects.
Lisk Nodes
Currently, there are three types of nodes in the Lisk network. They are lightweight, full nodes and delegated nodes. The Lightweight nodes don’t need to download the full blockchain transaction history in order to operate and can vote on delegates. Full nodes have the full blockchain downloaded but are not part of the consensus mechanism, hence they can’t create blocks or validate transactions. Finally, Delegated nodes, as I mentioned earlier, are the ones that have to create and validate the blocks in the network. They are also in charge of Lisk Improvement Protocol (LIP) suggestions on the network.
Lisk Additional Features
Currently, there are no additional features that have been released. The most notable one will be implemented in the future, which is the ability to create Side Chains, where users can develop their own tokens and run their own ICOs.
How to Get Lisk
If you would like to obtain LSK coins, the only option you have is to buy it from an exchange. After you obtain some Lisk, you will be able to place them in the official wallet and loan them to delegates for a share of the profits. This will give you a passive income over time.
Where to buy lisk?
Different exchange platforms can offer different options for buying and trading LSK coins. Unfortunately, none of them offer the option to buy Lisk cryptocurrency with fiat currencies. This means that you will have to buy other crypto coins and then trade them for LSK. I can recommend using Binance, Bittrex or Hitbtc and just straight up buying one of the more popular coins that can also be traded to LSK, like Bitcoin.
| Exchange | Cryptocurrencies | Fiat Money | |
|---|---|---|---|
|
Binance
|
Bitcoin + 2 more | – | Trade now |
|
Bittrex
|
Bitcoin | – | Trade now |
|
hitbtc
|
Bitcoin + 3 more | – | Trade now |
Wallets for Lisk
Wallets are software programs that give you access and control over your own funds. In the case of LSK coins, maybe your best bet is the official Lisk Wallet that is supported and backed by the development team. It is compatible with Windows, MacOS and Linux, and using it is very simple. You can download it from the link below and after you install it, you can create your account from the user interface.
For your convenience, here are some tutorials on how to install the wallet on the different systems: Lisk Wallet Windows Install Guide, Lisk Wallet MacOS Install Guide and the Lisk Wallet Linux Install Guide.
Alternative Wallets
If you are not interested in staking or just want to keep the majority of your funds in a different wallet, there are a few alternatives that you can pick from. Most alternative wallets are created by third-party entities that specialize in that type of technology or services. They can have a wide range of features like an improved UI, multi-coin support and even an integrated exchange platform. You can check your options below and take your pick.
Mobile Wallets
Online Wallets
Staking Lisk
Currently, there are no masternodes available for Lisk. The only way to obtain more coins without going to an exchange, is loaning them. After you have enough LSK in the official wallet you can loan out your funds to one of the 101 delegates that will stake from your behalf. The more funds you have loaned out to them, the higher your shares and rewards become. Additionally, you will need to enable the delegate features from the main screen of the user interface in order to view and vote for them.
Lisk Network Security
From what I can find, the Lisk network has one recorded security breach when the processes on the whole blockchain were halted due to being triggered by an automated security measure. It was activated because an invalid transaction was considered true by all nodes and the network and broadcasted. The team advised that it was a customized malicious code that took advantage of the bug that was not known previously. The CEO, Max Kordek, made an announcement that all funds were safe and a fix was implemented.
News and Useful Weblinks
If you would like to always stay updated regarding any news or changes concerning the Lisk network, you can start by visiting their official website. Alternatively, you can follow them on their social media accounts listed below.