The Avalanche token was created by Ava labs which is a company with around 45 people whose main focus is to deliver an innovative breakthrough in blockchain.
It is a fixed capitalization asset with a maximum of 720 M tokens in circulation. It employs Satoshi’s UTXO model for single-use credentials to facilitate payments rather than an account model.
Just like Segwit, it structures transactions without backward compatibility issues and uses the Bach32 address format to maximize readability and minimize errors.
Avalanche transactions achieve sub-second finality. It can accommodate thousands to many millions of block producers without leaking value out of the system.
The avalanche platform is open source and it enables the launching of decentralized finance applications and enterprise blockchain deployments in one interoperable, highly scalable ecosystem.
According to its developers and the white paper, it is the first smart contracts platform that confirms transactions in under one second, supports the entirety of the Ethereum development toolkit, and enables millions of independent validators to participate as full block producers.
It has achieved 6,500 transactions per second, demonstrating that it can accommodate three times the transaction flow of VISA.
Avalanche is an umbrella platform where decentralized finance (DeFi) applications, trading, financial assets, and other services are launched. It aims to be a global assets exchange platform that will allow anybody to launch and trade any decentralized assets using new technologies.
They launched their mainnet in September 2020 by the Ava labs which have three co-founders. One of the co-founders is Emin gun Sirer, a veteran computer scientist long associated with Bitcoin and decentralized networks.
Avalanche's developers aim to bring together the huge fragmented and often opaque world of asset trading under one roof, allowing barrier-free access. Developers can create and release all manner of entities from Blockchain to digital representations of any asset and allow them to trade according to any given parameters. Those include for example imitating compliance regulations in various jurisdictions.
Avalanche uses a proof-of-stake protocol that rewards users for staking coins. PoS network has come under fire for their low attack cost which in some cases has exposed serious vulnerabilities. According to Ava labs, Avalanche gets around this by changing governance to make it all but impossible for an attacker to covertly gain the necessary consensus.
Avalanche mainnet launched in September 2019, and within 16 months they exited stealth mode.
They plan to continue funding developments on Avalanche through their accelerator (Avalanche-x) which provides grants to developers building decentralized applications like lending, derivatives, stablecoins, and core infrastructure that could someday be used by millions of people.
They plan to show the world the true potential of blockchains.