What is Phala Network? Phala Network (PHA) is a blockchain project that provides storage services to its users through cloud and blockchain technology. In this article, you can find answers to frequently asked questions such as what is Phala Network, what it offers, what is PHA coin, what is it used for, how to get it. As Kriptokoin.com, we have compiled it for you.
What is Phala Network?
Phala Network is a platform that aims to provide high-level data security and privacy to its users. The project provides cloud storage services using blockchain technology. The platform, which is similar to cloud services such as Google Cloud and OneDrive, differs from them with its blockchain infrastructure. Phala network works with a decentralized structure. The native cryptocurrency of the network is the PHA coin.
The project uses smart contracts to protect user data on the network. Data transfer transactions and stored data in the network cannot be monitored by other users. This data is protected by confidential smart contracts. Storage spaces on the network are based on the scheduling algorithm. This algorithm makes storage spaces even more secure. Besides all this, the network also offers a variety of DeFi products. Among these products, services such as PLIBRA and Web 3 Analytisc stand out. These products allow users to perform operations such as advanced analysis and calculation.
What is PLA coin? What is it used for?
PLA coin is the native cryptocurrency of the Phala Network project. At the same time, PLA also acts as a governance token. Users holding the token can vote in decision-making processes that determine the future of the network. Besides, PLA has several use cases for accessing different services in the ecosystem.
PLA coin is used to access highly secure data storage areas of the network. Users need to pay with PLA to rent these spaces. In addition, PLA is required to access the platform’s DeFi products. The maximum supply of the token is capped at 1 billion. At the time of writing, 27 million PLAs were in circulation, accounting for 27% of that number. The market cap of the cryptocurrency was hovering around $76.5 million.
What are the advantages?
- Phala Network has high processing speed. However, it charges users quite low transaction fees. Users can perform transactions quickly and inexpensively.
- Network storage areas are relatively inexpensive compared to centralized cloud services. Users can rent storage spaces for low amounts through PLA coin.
- Users do their data through smart contracts with high security and privacy. Decentralized networks can be considered to be more secure than centralized ones.
What are the disadvantages?
Phala Network’s highly secure and confidential nature can be used for money laundering. Being able to do such confidential transactions can cause malicious people to join the network. The network is focused on protecting data. Keeping PLA coin assets in online wallets entails the possibility of losing funds by cyberattack. This issue can be circumvented by storing PLA assets in a hardware wallet.
What is Phala Network? How to buy PLA coins?
Phala Network is listed by large and secure crypto exchanges. Currently, crypto exchanges such as Binance, Huobi Global, and KuCoin support PLA coin. Relevant users can purchase PLA by signing up for one of these exchanges and depositing money in their wallets.
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