NEO vs NEM

Formerly called Antshares, NEO is a blockchain based cryptocurrency platform that seeks to build a network that is scalable for decentralized applications. There are NEO tokens that are used to generate gas which is also used to pay for all transactions carried out on the NEO platform. With the assistance of the Byzantine Tolerance technology, over 10,000 transactions can be processed by the NEO platform. This cryptocurrency platform has been described by people as China's Ethereum. NEO adopts the proof of stake algorithm. The NEO platform provides holders of their token with gas when they hold them for a long time on their external NEO-supported wallets. There are certain systems of NEO, some of them include; NeoQ, NeoFS, Neo Contracts, NeoX and the Byzantine Tolerance technology.

Image Source : https://neo.org/

NEM, on the other hand, happens to be a P2P (peer to peer) cryptocurrency platform that ensures the trade and exchange of cryptocurrencies by individuals on the platform. NEM has this goal of reaching more people with its platform, that is why more technologies are adopted. Some of these technologies include the multiple signature accounts, proof of importance algorithm, Eigentrust ++ system protocol and encrypted messages. NEO has its specially designed wallet called; Nanowallet.

Main Differences Between NEO and NEM

One major difference between NEM and NEO is the fact that NEM is a non-profit cryptocurrency platform. This happens to be one major difference between NEM and other cryptocurrencies. NEO, on the other hand, is a Chinese based cryptocurrency platform that was designed to bring profit for the team of developers.

While NEO uses the proof of stake algorithm, NEM adopts the proof of Importance algorithm. The proof of importance mechanism was first adopted by NEM and it was used by the network to determine which user or participant is eligible or qualified to add blocks to the network's blockchain. This process is called harvesting on the NEM network. For any user to have a high importance score on the NEM platform, they will have to own about 10,000 XEM tokens held in their Nanowallet account. NEO, on the other hand, uses the proof of stake algorithm which determines which user can mine a block based on how much NEO token he possesses. This clearly means that for any user to be able to mine on the NEO network, he will have to own a reasonable amount of token in his account.

Another difference between NEM and NEO is the fact that NEM does not have smart contract functionality.

There are over 60.5 million NEO tokens in circulation while the development team of NEM has produced over 9 billion XEM tokens. Experts have predicted that the scarcity of NEO will make its value increase in the coming years.

Another difference between NEO and NEM is the fact that all holders of NEO are offered Gas which is like a fuel that runs the network. This is not the same with the NEM platform.

Generally speaking, these two platforms are great and each performs different functions. The recent happening shows that the value of these tokens will rise in the coming years.