What is Internet Computer
Internet Computer (ICP) is a set of blockchain protocols that aims to extend the functionality of the public Internet through a revolutionary serverless cloud model and allows users to create applications, websites and other web-based services.
ICP is the cryptocurrency through which its holders get to vote on the future of the web. It rewards network participants for good behaviour and is used to pay transaction fees.
In addition to providing a more decentralised infrastructure for the internet, the ICP also has the potential to reduce costs and increase speeds for users around the world.
History of Internet Computer
The development of ICP began in 2019 following the introduction of a software development kit (SDK) and dedicated Motoko language for writing smart contracts.
Dominic Williams, who has been working in the crypto space since 2010, is the mastermind behind Internet Computer. He later founded Dfinity, a project that received a lot of attention in the crypto community due to its ambitious goals.
In the 2019-2020 timeframe, Dfinity began to launch the various phases of the project before the launch of the main network:
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- Copper / Copper (2019): The release of Copper updated the initial public version of Canister, Dfinity’s software development kit (SDK). This innovative SDK introduced specialized smart contracts called „canisters“ or containers, as well as the Motoko software development language. Motoko is a custom computer language inspired by WebAssembly (WASM).
- Bronze / Bronze (2020): With the integration of Bronze, ICP has moved from a terminal-based stage to a platform capable of developing web applications, extending the capabilities of containers to self-storage their state, frontend and backend logic.
- Tungsten / Tungsten (2020): The next quarter with the introduction of Tungsten ICP was opened to third party developers so that they could create applications and enterprise systems based on the protocol. Tungsten also introduced mobile app development capabilities, in addition to the web app development capabilities from previous updates.
- Sodium/Sodium (2020): In late 2020, Sodium introduced the Dfininty Network Nervous System (NNS) dedicated autonomic master subnet, which is responsible for the economics of the protocol as well as hosting and managing all subnets in the system. Sodium also introduced the concept of „loops“, established their interaction with software containers, and formulated a system of „neurons“ that support management and stacking via ICP coin.
- Mercury/Mercury (2021): the Dfinity core network that marked the blockchain’s transition to full public availability was officially released on May 7, 2021.
How does ICP work?
ICP is a protocol that allows computers to connect to each other and exchange information without the need for a central server – instead, ICP uses a decentralized network of nodes.
Internet Computer uses a new consensus protocol. Multiple machines must agree which inputs to process and in what order to do so in order to maintain a consistent state. Instead of just one machine, multiple machines around the world execute each piece of software, and the majority of these machines collectively determine the actual state of the software.
If the majority of replicas are successfully executing the software, it won’t matter if some individual replicas (a replica is an instance of the Internet Computer software running on a node) report a changed state, have connectivity problems, or are even malicious.
The Network Nervous System, or NNS, is a decentralized system of algorithms that govern the operation of the Internet’s computer network. Key-chain cryptography is the power source and technology that facilitates the operation of an Internet computer. It is a breakthrough in computer science that enables a whole new level of security and functionality.
Using Chain Key, each computer on the network can independently verify the authenticity of each piece of data, ensuring that no malicious data can be inserted into the system. This makes the ICP protocol incredibly secure, highly scalable and efficient.
The ICP blockchain operates in a sovereign network of dedicated nodes in the same way that the Internet operates in dedicated network routers.
„Chain Key Cryptography
ICP incorporates a new cryptographic framework called „chain key cryptography“. This enables blockchains to create public „chain keys“ and then sign messages using a distributed private key.
This type of cryptography uses a single public key to allow connected devices to verify the authenticity of data from the Internet Computer blockchain.
Subnetwork blockchain
ICP forms multiple „subnet blockchains.“ Subnetworks are independent blockchains located on the network that can integrate with each other to increase their capacity. These are true subnetworks in the sense that they are transparent to smart contracts and combine to create an unbounded decentralized network.
Subnet blockchains use a novel consensus system and cryptographic framework that allows applications to securely interact with them without the need for a local node. Applications can simply verify the circuit key signature of messages exchanged during their interaction.
Network Nervous System (NNS)
ICP is controlled by a master subnet block chain , which manages an advanced decentralized autonomous organization (DAO). This blockchain is called the Network Nervous System (NNS). The DAO instructs the nodes how to structure the network and combine.
Because of the way cryptography works, nodes can be added and removed from subnetworks at any time without changing their chain keys.
Because subnet blockchains do not need copies of their state to validate them, they exchange messages directly and the network can simply add new subnets to increase its capacity.
An application only needs to know the chain key of the NNS subnet to interact with any point on the network.
Smart Canister contracts
When a browser runs interactive web content, it validates the chain key signatures of the content and responses served by a so-called „canister“ of smart contracts hosted by Internet Computer.
These containers are very powerful and can be used to build anything. For example, transactions (computations) with multiple blocks are possible.
Another application would be creating decentralized web experiences for Ethereum. Internet Computer’s Smart Contracts can create and sign transactions in Ethereum and then query the results using HTTP outputs.
What sets ICP apart from other blockchains?
Three features distinguish Internet Computer from other blockchain networks:
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- Anyone can create a decentralized application (dApp) on its blockchain platform thanks to a simplified user interface.
- ICP runs on a decentralized network with dedicated hardware created by independent parties, rather than in a cloud supported by centralized data servers.
- The blockchain processes transactions quickly, setting it apart from other cryptocurrencies where transactions can take 30 minutes or more to complete.
How to buy ICP?
1. Choose a crypto exchange
There are numerous cryptocurrency exchanges and exchanges that range from easy-to-use systems to complex dashboards for advanced traders.
Because ICP is so popular, you’ll be able to purchase the token on most cryptocurrency exchanges, but it’s advisable to stick to a few of the more popular exchanges like Binance, Kraken, Coinbase, etc. Different platforms come with different fees, security measures, and may include other features, so it’s a good idea to do your research before signing up.
2. Create an account and confirm it
Start with account registration, which is completely free on the aforementioned platforms. For added security, 2FA – two-factor authentication – is also enabled. This way, you and your device are the only ones who can grant access to the account.
You are then taken through a KYC process, which is providing personal information – ID card/passport/driving license details, proof of address (e.g. bank statement or utility bill).
After completing these steps, you are ready to buy, sell and trade Internet Computer Protocol (ICP), as well as take advantage of various services such as staking.
3. Fund your account
Once your account has been registered and verified, you need to fund the account so you can start taking advantage of the platform’s buying and trading services.
The main deposit options are:
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- Credit/Debit Card
- Bank deposit
- Peer-to-peer (P2P)
Where to buy ICP?
