Chia, a cryptocurrency project that was launched in 2018 and uses storage for its consensus, has a public offer in mind this year, according to statements from its COO Gene Hoffman. The company has just received an inflow of investment suggesting it will be the next “green bitcoin replacement” due to its relatively low energy consumption compared to other proof-of-work (PoW) alternatives.
Chia wants to go public this year
Chia, a cryptocurrency that was founded two years ago but recently launched its mainnet, is aiming to go public as early as this year, according to statements from the company it supports. Chia Network Inc, founded by Bittorrent inventor Bram Cohen, recently received a round of funding of more than $ 60 million, bringing the cryptocurrency to a value of $ 500 million.
The companies that led the funding round were Richmond Global Ventures and the well-known Andreessen Horowitz, but other companies were also involved. Breyer Capital, Slow Ventures, True Ventures, Cygni Capital, Naval Ravikant, Collab + Currency and DHVC also participated.
Gene Hoffman, COO of the company, informed the public that these resources will be used to continue hiring and promoting the promotion of cryptocurrency as an alternative to other major coins in space like Bitcoin.
Our goal has always been to go public relatively quickly as this makes our regulatory environment a lot clearer and allows clients to use currencies to hedge public market volatility, which is different from other coins.
The latest round of investment has made them confident of what they could achieve with an IPO. The recent environmental issue, which is now looking for more environmentally friendly alternatives to Bitcoin’s PoW, could help them with that.
Is Chia’s use of hard drives and SSDs really environmentally friendly?
But what is chia really and how does it compare to the bitcoin network? Chia is a cryptocurrency that uses hard drive space as the central element of its consensus algorithm. Chia miners use this space to draw cryptographic responses that are being challenged by the network. If a block challenge has the same content as a plot on a miner’s hard drive, the miner wins the reward. This is known as the “evidence of time and space”.
Compared to the Bitcoin network, this approach is more environmentally friendly than the PoW consensus as common hard drives and computers use less energy than ASIC miners to confirm transactions. However, Chia still has its not-so-green side. There have been reports that hard drives used by chia miners often malfunction faster than normal drives due to heavy usage. This creates more electronic waste that has to be recycled or disposed of and also has an impact on the environment.
Anyway, the proponents of Chia believe the asset has a real chance of becoming one of the most important cryptocurrencies of the future. The success of Bram Cohen and Bittorent has helped fuel optimism about Chia.
What do you think of Chia going public this year? Let us know in the comments below.
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