Along with the new website and rebranding, the launch of the Antara multi-tier integration layer project Antara in mid-July gives hope for price increases in the second half of 2019.
Komodo (KMD), created by the BitcoinDark team, is described as the 3 generation blockchain, because it is built using basic design elements from the Bitcoin and Zcash blockchains (which is itself based on the Bitcoin code).
Komodo’s unique and valuable blockchain offer is a highly reliable platform of intelligent contracts. Thanks to its unique delayed job confirmation mechanism (dPoW), it offers security that is comparable to a much larger bitcoin network with a higher hash bit and a much lower cost.
Over the past month, the price of the native KMD network token has fallen by ~ 16% due to more bearish conditions in the alt-coin market. However, since the beginning of the year, the price of Komodo has grown by ~ 60% and is currently trading at ~ 1,26 US dollars with a market capitalization of ~ 145 million US dollars, occupying the 48 position in the Brave New Coin market capitalization table. The leading Altcoin ETH has seen an increase in 65% prices since the beginning of the year.
Recently, the project added an element of the blockchain platform to its network, adding an Antara layer. It was launched on July 15 with New site and rebranding project.
Antara is designed to give blockchain developers sovereignty over their creations. Currently, developers of blockchains have to build on a single chain, for example, the Dapp application on Ethereum is limited to scalable solutions, pay for the network, speed, and thoughtful contract design. A new layer Komodo proposes giving developers complete control over their token solutions using intelligent chains.
Antara's intelligent chains are designed to support tokens and independent crypto projects of any form. Intelligent chains are fully customizable, with 18 different configuration options at startup, including agreed rules, a hashing algorithm, preloading, blocking time, blocking rewards, privacy settings, and more. In addition, transaction fees using smart chains are designed to pay using the project’s own token and without imposed dependency on the Komodo’s own KMD token.
Antara also includes a plug-and-play library that smart chains can use to create specific token solutions. At the time of launch, the Antara Module Library includes ready-made modules, such as solutions for stable coins, data oracles, instant micropayments, and some others. Experienced developers can also add their own modules to the Antara open library.
The last element of Antara is an integration layer designed to streamline the final Dapp development process for faucets. Developers have the ability to write remote procedure calls (RPCs) into their programs and applications, and run them themselves on independent smart chains. The integration layer also gives early developers access to white label products such as a multi-coin wallet, a mobile DEX powered by atomic swaps, and others.
Multi-chain integration and custom blockchain solutions have gained popularity among other projects such as Cosmos and Polkadotwhich offer similar developer-focused services to Antara, generating investor interest and media attention.
Komodo will hope that the existing community and its strong protection attract developers to their network compared to Antara's competitive solutions. However, all multi-chain integration networks are new concepts, and at this stage their application is only insignificant. Antara may take time to grow the dapps ecosystem, which creates real network effects. Nevertheless, the release extends the long-term prospects of the project. It can also increase the value of KMD tokens due to factors such as the expected increase in transaction activity in the main chain, due to the possible adoption of Antara.
After the rebranding of the site and the release of Antara, there was a slight surge in the references to Komodo. There is also a positive correlation between Komodo mentions on social platforms such as Twitter, Reddit and Discord, and the price of KMD. A source:
Proof-of-work delay
Komodo is a modification of the blockchains on which it is built. Komodo is based on the Zcash and Bitcoin codebases to provide zero-knowledge privacy and improve network security by improving the bitcoin hash rate.
With an interval of ten minutes, Komodo takes a picture of his blockchain. This snapshot is then written to a block on the Bitcoin network in a process called notarization. This backs up the entire Komodo system, which is then stored in a bitcoin chain.
With this method, in the case of an attempt to attack the history of the Komodo blockchain, even one surviving copy of the main chain of Komodo will allow the entire ecosystem to overwrite and redefine the attempts of change made by the attacker.
The dPoW consensus is powerful because it does not recognize the “longest chain” rule for any transactions that are older than the most recent “backup” of the Komodo blockchain. In fact, dPoW “re-establishes” the agreed blockchain rules every time a block is notarized, with reloads occurring every 10 minutes and potential attacks limited for a short period of time, and much easier to prevent for less proof of hashrate. work networks.
Double spend attacks are a problem for small PoW networks – attacks on Verge (XVG) and Bitcoin Gold (BTG) show that they can be viable attack vectors. Using a reliable PoW network like Bitcoin as a storage space for "backups" every 10 minutes, recording the latest transactions on the blockchain. This makes it an attempt to land commonly used attacks at double the cost of 51%, which is much more difficult.
51% attacks are triggered when hackers accumulate enough computational power to solve their own transactions, and then do not publish these blocks for network miners to reach consensus. They do this by branching out the network and creating a separate chain for unpublished blocks.
Despite the fact that the attack continues, a fraudulent chain and a real chain act simultaneously, and the miners in the true chain are not aware of the presence of a malicious chain. Then the attacker enters the transaction in a true chain, for example, exchanges crypto for Fiat, which is then confirmed by the miners in the true chain. Currently, attackers seek to "cancel" this transaction (by publishing blocks from the chain of fraudsters) before the miners find an error.
The attacker will try to create blocks faster than the miners of the true chain, thereby creating a “longer” chain than the original chain. This manipulated chain will then be published with the cancellation of the confirmed transaction, and the true chain is forced to accept it.
Since an attacker must have more processing power than other miners to produce blocks faster than the rest of the network, this is known as an 51% attack.
What makes the dPoW consensus mechanism, keeping a constant record of “backups” in a notarized chain, makes the process of creating a “longer chain” much more difficult for an attacker.
The accumulation of at least 51% network block creation capabilities is no longer the sole determinant of a successful double-flow attack. True miners have a constantly updated log of the blocks produced and can reflect any attack attempt, based on information placed in notary journals.
Theoretically, it would still be possible to perform a 51 percent attack with double consumption on the dPoW Komodo algorithm, given that there is an 10-minute interval between the snapshot detectors. However, the Komodo consensus method adds an extra level of security compared to competing PoW networks.
In addition, this robust protection extends to asset chains (now called “smart chains” and intended for use as part of Antara), which are attached to Komodo. They can also choose to back up their own records inserted in the main Komodo chain, with secondary chain records also included in the backup that fits in the main chain of PoW blocks (Bitcoin).
New KMD coins are created in two ways; Mining and reward scheme available to every owner. 64 special nodes that create their own dPoW peer-to-peer network and communicate with each other, exchanging the latest blocks and dPoW consent information related to the blockchains it protects. 64 Notary Nodes are required to run full Bitcoin and Komodo blockchains, as well as all other dPoW protected blockchains. This means that they have high computing power costs, but are not required to hold any KMDs as collateral, which distinguishes them from master nodes in networks such as DASH.
Each newly mined KMD block gives the miner a reward of 3 KMD. A new block is mined every minute. A total of ~1,58 million KMD tokens are mined every year. 25% are regular Komodo miners that just work on the main Komodo network, and 75% are notaries. As a result of the ICO, 100 million Komodo tokens were issued. The final offer will be 200 million tokens and is expected to be reached within 14 years. The current supply of KMD is ~115 million tokens.
All KMD owners also receive a 5% share in tokens. Interest rewards help to mitigate token inflation, and as more and more users accumulate KMD, the overall token dilution rate decreases as more and more people get interest payments. This model stimulates long-term ownership of KMD and can be an effective way to stimulate community growth.
Atomic dex
Currently, the beta version of Komodo AtomicDEX is designed to ensure uninterrupted decentralized trading between multiple currencies, blockchains and exchanges.
Using atomic exchange technology, AtomicDEX will allow users to exchange tokens directly without intermediaries. Each transaction is executed directly on the blockchain, which makes the process absolutely hopeless and eliminates the need for storage. Users, as in the case of most decentralized exchanges, always retain control over their private keys, and the information does not leave the client.
Cross-platform transactions between blockchains are also supported through cross-chain atomic swaps. This means that AtomicDEX will allow direct decentralized trading (self-provision) of tokens based on Bitcoin or Ethereal protocols with each other.
Based on reports from the Komodo team, a structure is being developed to integrate AtomicDEX with tokens such as ETH, EOS and XTZ. The first stable coin to be introduced into DEX is USD-C (US dollar-coin).
How AtomicDEX may look like in practice
AtomicDEX also aims to solve traditional DEX problems associated with low liquidity by expanding the range of available deals and connecting users to several markets, including centralized exchanges.
Kadan Stadelmann, CTO of Komodo, explained in an interview that "we (Komodo) have the technical capability to connect two centralized exchanges for individual users," Stadelmann said. “So users can use their API key to get orderbooks. You can listen to all order broadcasts on the network.”
This suggests that after starting AtomicDEX will be able to arbitration between exchanges and use coins on a centralized exchange, as well as place sell orders when there is unsatisfied demand and load liquidity through more active platforms such as Binance.
AtomicDEX can also act as a liquidity provider and over-the-counter solution. AtomicDEX can potentially be able to conduct private transactions between two traders, much like traditional over-the-counter trading, with both parties maintaining confidentiality.
AtomicDEX is only in the beta phase of development, and it is not clear how many of these initiatives will be implemented in practice. There will probably be high computational and operational requirements for maintaining an active trading platform for atomic swaps between chains.
AtomicDEX can be a platform that is well prepared for exploring the potential of solutions for the atomic trading of swaps, because this is the second iteration of Komodo in this style of DEX solution. Komodo BarterDEX was released in December 2017 of the year as the first graphical interface for the fully atomic-exchange cryptocurrency market. BarterDEX successfully proved that it can perform transactions such as DCR-LTC, ETH-DOGE and many other inter-protocol token exchanges at DEX.
However, the growth of BarterDEX was hampered by the current clumsy UI / UX state of the platform. Some members of the Komodo community were disappointed with the complex user interface of the platform and the difficulty in interpreting the displayed data. The main component of AtomicDEX will be an improved level of user interface.
Exchange and trading pairs
The most popular trading option for KMD is BTC, where the pair processes ~ 79% of the daily trading volume. The second most popular market is the KMD / Korean Won pair, which offers strong liquidity options for KMD in Asian markets. Together, the top two pairs account for more than 91% of daily trading volume. The total value of the daily volume of the entire KMD trading market in US dollars is only ~ 2,3 million US dollars.
The combination of exchanges dominates the KMD trading market with 5 various platforms that manage the top 5 trading pairs. The KMD / BTC market at Binance is the most active in the ecosystem. KMD can also be traded on major exchanges such as Bittrex and Huobi Global.
Technical Analysis
Moving averages and momentum prices
KMD experienced a volatile year, continuing to follow a strong linear trend. This trend has a 54% price higher since the beginning of the year. On the graph 1D, given the constant rise in prices, the gold cross has been preserved since the end of May. However, the price is currently lower than the 50-day and 200-day EMA; currently trading around $ 1,23. If this dynamic continues, the price is likely to fall outside the range of the upward linear trend, negatively, thus risking turning to a death cross in the coming weeks.
During the linear uptrend, the price followed the Fibonacci retracement levels. Most recently, the price failed to break higher and kept the level of 1,618 in 1,61 dollar. In addition, the “double” error seems to have created a double vertex pattern. If this is the case, the price is likely to retest the 0,618 level at $ 0,93 in the coming weeks or months.
Ichimoku clouds with relative strength indicator (RSI)
The Ichimoku Cloud uses four metrics to determine if a trend exists; current price in relation to the Cloud, the color of the Cloud (red for bearish, green for bull), cross Tenkan (T) and Kijun (K), Lagging Span (Chiku) and Senkou Span (A and B),
The state of the current Cloud metrics on a 10D frame with single settings (30/60/30/XNUMX) for faster signals is mixed: the price is below the cloud, the cloud is bullish, the TK cross is bearish, and the Lagging Span is above the cloud and below the price.
The traditional long entry can occur with a price break above Cloud, known as the Kumo break, with price holding above Cloud. From there, the trader will use either Tenkan, Kijun, or Senkou A as a trailing stop.
Currently, the price is under the cloud and does not show many signs of recovery; especially considering double top. However, positive VFI and lower RSI (40) can provide a short-term delay for selling pressure. If this happens, the price will have to break through and hold above 1,36 at best, and 1,50 at worst. If the current trend continues, support levels will be $ 1,13 and $ 1,04.
The state of the current Cloud metrics on a one-dimensional timeframe with double settings (20 / 60 / 120 / 30) for more accurate signals is mixed: the price is below Cloud, The cloud is bullish, The cross is TZ bullish, Lag Span is above Cloud and below price.
Slower settings offer a similar picture for KMD. The only difference is the value of the cloud support level in $ 1.03.
Conclusion
Komodo is a new blockchain project with a unique proof-of-work security model that has helped it stand out from other small hash rate PoW networks. Apart from this, Komodo has been an innovator in its Atomic Swap DEX solution. It recently added a layered layer of the Antara developer platform, which can add to the “feel” of the value of a native KMD marker.
However, the market’s response to recent project releases, the increasingly crowded space of multi-chain integration competitors, and the clumsy nature of previous Komodo DEX releases have an impact on the internal value of the project. Further success in 2019 will depend on the ability of Antara to attract developers to its decision, as well as on the broader market conditions of altcoin.
KMD specifications are bearish, but offer several potential catalysts that can help price recovery. For the new breakthrough, Kumo will need a price to break through and stay higher; between $ 1,36 and $ 1,50. However, if the price cannot reverse the current trend or invalidate a double touch, it is likely that in the coming weeks or months the KMD will fall to 0,93 dollars, which will check the support levels of 1,13 dollars and 1,04 dollars.