Chiliz - Crypto Academy S5W5 - Homework Post for @imagen
Hi guys, Welcome to my blog. Let's get started as I participate in this week's intermediary lessons by professor @imagen on Chiliz.
(1.) Describe the Proof-of-Authority (PoA) protocol
Just as we know, the Blockchain space has continued to evolve as there is the emergence of Blockchain consensus mechanisms which are developed to substantiate the wants and aspirations of users and participants of the protocol. The Proof of Authority (PoA) is one of this emergence after the development of the lead consensus mechanism, the PoW of the Bitcoin token.
The Proof of Work (PoW) consensus mechanism which comes with less scalability and the Proof of Stake (PoS) with less decentralization due to its skewed validation processes to participants with higher stakes, the quest to bring these limitations to an end creates more consensus mechanism which in turn also comes with their drawbacks.
The Proof of Authority (PoA) comes with a relatively small number of designated Validators in its protocol which makes the rate of validation faster vis-a-vis the High scalability observed. It makes its protocol of validation designated in such a way that one or more Validators are saddled with the responsibility of creating new blocks which are in turn added to the Blockchain.
These created or generated new blocks are added to the Blockchain without further verification depending basically on the configuration in place for its Blockchain algorithm. In doing so, there is a reduced block time amongst blocks which also allows more blocksize to be processed with almost zero transaction fees.
The PoA comes with a relatively ***Low Energy Consumption which was observed to be an advancement when compared with the PoW which comes with heavily high energy consumption. The high computing power witnessed in the PoW is not required in the PoA consensus mechanism. Blockchains observed to run on the PoA do not necessarily have to use the native token unlike what is obtainable amongst most Blockchain consensus mechanisms or have to lockup assets to be able to participate as a validator.
Highlights of the PoA
- It is an advancement on t PoW and PoS which comes with the high energy requirement and as well higher stakes so as to participate in the system
- it is the system that does not require locking up assets so as to participate in a consensus mechanism
- Presence of fewer validators in its validation process
- Shows signs of centralization due to the fewer numbers of validators in its system.
- Increased scalability and transaction throughput.
(2.) Who are the partners or sponsors of Socios.com?
We already know that Socios.com is a Direct Customer initiative that was developed by French Man Alexandre Dreyfus. It has become a platform that helps in the smooth interaction between Fans, clubs, and its organization, hence this comes with a number of sponsors and partners who identify with them.
Socios.com has great partnerships with the biggest football clubs in the world. By just landing on their page interface, one would see the logos of these great clubs like FC Barcelona, Machester City, Juventus, PSG, Arsenal, and many more. There are fifty big football clubs currently in partnership with the Socios.com platform
Also, we have partnerships observed between the Gaming world as well the Fighting space where a number of partnerships are already ongoing.
We also have the Motorsport (Racing World) where the Roush Fenway Racing and Aston Martin Cognizant Formula One Team are all in partnership. Also is the Cricket world in the Socios.com
The Basketball industry isn't left too in this regard as there are already more partnerships from these sports with about 25 members in the socios.com
Lastly, we have Tennis, American Football as well as Ice Hockey in partnership with the Socios.com
Images are screenshots from the Socios.com site.
(3.) Download and install the Socios.com application. Create an account. Explore the application and describe its functions. Show Screenshots (If necessary use a VPN if the application is not available in your country or locality).
Downloading & Installing the Socios.com Application
- Quickly go to the play store and search and install the Socios App
- Click on Get started button
- Enter your Mobile number so as to receive a verification code
- A 6 digit code would be sent to the entered number. Enter this code to proceed
***Hello Prof @imagen, I have tried using different devices, this is the much I could go in downloading this very App (Socios.com) as the OTP has refused to pop up after several trials ***.
(4.) Make a purchase of the CHZ token for a minimum value of 10 USD from your verified account of the exchange of your choice. Describe the process. Indicate the ATH of the coin and when it was reached. Show Screenshots.
- I will be using my Binance Exchange for this transaction
- I will be executing this task using the $13.99 the USDT coin
- Goto the CHZ/USDT pair and select the required token
- Select the BUy trade option.
- Select the Market Option, the amount to be exchanged (Or click on the 100% option to select a value)
- Price observed at 0.2912
- Then click on the Buy CHZ button
Indicating the ATH of the CHZ coin
Using the CoinmarketCap site, the ATH can be determined using the information at our disposal.
(Image from CoinmarketCap site)
From the image above we can see that CHZ attained an ATH on 16th April 2021 with a Price valued at $0.7739 and Volume traded at $5.54B.
Also, checking from the last 24h activities, CHZ was observed at a high of $0.2981 and Low point of $0.2594 at the time of this post.
(5.) Enter the Chiliz Exchange and indicate the prices in CHZ and their equivalent in USD of the following Fan Tokens at the time of writing your assignment: FC Barcelona, Juventus, and Paris Saint-Germain. Show Screenshots.
In getting the required details, we have to log into the site via https://www.chiliz.net. From the landing page, we could have to click on each of these requested Fan Tokens;
FC Barcelona - BAR Token
The price of the BAR token relative to CHZ and USD is as follows;
1 BAR token = 29.69 CHZ = 8.58USD
Juventus - JUV Token
The price of the BAR token relative to CHZ and USD is as follows;
1 JUV token = 29.66 CHZ = 8.40USD
PSG
The price of the BAR token relative to CHZ and USD is as follows;
1 JUV token =50.47 CHZ = 14.21USD
Images for this question were screenshots from the Chiliz Exchange site.
(6.) How is the value of a club or team's Fan Token affected before and after playing a match? If the result is a victory, does its value go up? On the contrary, if it suffers a defeat, does its price go down in the market? Reason for your answer and present at least one recent example, preferably in the week between Sunday 12 and Saturday 18 December.
I will be demonstrating this with my dear club, Barcelona. My demonstration would be centered on her last two games between Osusuna which were played away and Boca Juniors which was a home game.
Firstly, for the game between Osasuna on the 12th. December 2021, the price was observed to have peaked 24hrs before starting up the game though candle trends showed indecisive activities and tokens valued at $35.90. But notwithstanding, this price started reversing in a bearish direction. This downward continued which was followed by ranging or sideways trends even after the game ended on a draw (2-2).
The image clearly shows the simple explanation above which tells us that the activities of the game before and after any match have an infinitesimal effect on the Club Fan token. Given that market is affected by forces of demand and supply, it is natural that the movement of tokens should be able to determine the price trend of the given token more significantly vis-a-vis the match fixtures.
For the next scenario which was a home match between Boca Juniors on the 14th December 2021, it ended in a 1-1 draw. There was almost the same scenario that occurred earlier where the trend was observed in the bullish direction before losing its uptrend pressure to sustain the trend, hence there was a downward movement of the Fan token before the match started. This bearish trend continued even after the match without any sight of a trend change.
This also helps us conclude that the effect of matches relative to Fan token value is mainly dependent on the Demand and supply push in trade.
Images for this question were screenshots from the Chiliz Exchange site.
Conclusion
The Proof of Authority (PoA) consensus mechanism as used in the Chiliz ecosystem is given the protocol a much higher Scalability and TPS speed in validating transactions in its Ecosystem. It is observed to be an advancement on the PoW and PoS consensus mechanism where we have the need for energy requirements as well as lock-up assets in order to participate in the process of mining/validation in the system. The PoA requires a relatively little or no energy requirement as well as needed no lock-up stakes for users to participate in its validation process.
On the other hand, with the advent of Blockchain emergence, the Chiliz platform has brought sports closer to its participants where high reputable sporting activities now have Fan tokens which are driven by the active participants of her Fans.
Thank you Prof @imagen for your lessons.