NEO, NEO, NEO, the fashionable cryptocurrency. Is that just a fashion? Or is it really a winning and key project in the new economy that Blockchain brings?
With this article I hope it will be easier for the general public to understand the revolutionary concept behind NEO.
NEO
NEO Smart Economy is the next generation of economy and commerce where business deals are written in programming code using a Smart Contract.
The Smart Contract is stored in a decentralized and immutable Blockchain and will be executed exactly according to the terms of the trade agreement and exactly at the agreed time. This allows an economy where two or even thousands of parties can agree on a contract without the need to trust each other.
The Smart Contract will always be executed according to the rules defined in the contract.
To enable this intelligent economy, NEO technology allows you to digitize any real assets. In practice, it means that any physical asset can be represented as a digital asset in the NEO chain, and ownership of that asset can be divided and distributed among any number of owners. It is comparable to a clearing house, but with insignificant rates and with accessibility to the general public.
This also means that asset trading can be done almost instantly and without the need to rely on any other part, since all trades are always run according to the rules defined in the smart contract.
Even with the knowledge that all trades will always follow trade rules, we as human beings often want to know who we are dealing with. NEO recognizes this requirement, and has technology to support digital identity.
Individuals and institutions can obtain their own digital identity, and market participants can choose to trade only with parties that have a confirmed digital identity.
With digital identity, it also allows our institutions and governments to support trade rules and ensure fair trade for all parties involved. On the other hand, all commercial offer abuse schemes can still be punished according to applicable law, as participants can be identified.
This is NEO Smart Economy, where all the real assets can be digitized, negotiated with certainty using negotiation rules defined in Smart Contrats, and know who is operating with Digital Identity.