Introduction to Arweave (AR coin):
Arweave is a blockchain project providing a decentralized data storage solution. It introduces a novel blockchain-like structure called “blockweave,” designed to offer on-chain storage scalability in a cost-efficient manner. As the system’s data volume increases due to replication by miners, the required number of hashes for consensus decreases, reducing the cost for a data storage instance.
The current REST API facilitates the development of decentralized applications (dApps) on Arweave’s platform, showcasing the project’s focus on community development and the ability to adopt their innovative protocols.
Founders of Arweave:
Arweave was founded by Sam Williams and William Jones, both Ph.D. candidates at the University of Kent. Williams, with a background in distributed and decentralized systems, developed an operating system called HydrOS during his research. Jones focused on graph theory and neural networks. Williams came up with the idea during a hike in Scotland and, together with Jones, developed the technical details. Although Jones left the project in mid-2018 after completing his Ph.D., Williams continued to lead and advise.
Arweave aims to build a digital repository reminiscent of the legendary Library of Alexandria, providing permanent storage. It shares similarities with other decentralized storage platforms like Filecoin and Sia, both utilizing cryptocurrencies to create markets for users seeking to buy and sell storage services.
The project seeks to disrupt the storage market dominated by current giants like Google, Amazon, and Microsoft, attracting attention from major investors such as UBS.
Traditional centralized data storage platforms are susceptible to alterations, censorship, fraud, and potential data loss due to insufficient maintenance fees. Arweave addresses these issues by establishing a decentralized storage network connecting individuals with available hardware space to those in need of storage. It is designed to be scalable, cost-effective, and to provide permanent data storage.
The unique blockweave architecture forms the basis for the permaweb, a collection of data, websites, and decentralized applications (dApps) forming a permanent decentralized web accessible through regular internet browsers. Arweave differentiates itself by committing to permanent data storage through its unique incentivization measures built around its AR cryptocurrency.
Blockweave and Proof of Access Consensus Mechanism:
Unlike traditional blockchain structures, Arweave’s blockweave doesn’t follow a linear pattern. Each block is linked not only to the previous block but also to the second block from its own blockweave history, known as its recovery block. This structure supports Arweave’s unique Proof of Access (PoA) consensus mechanism.
PoA incentivizes miners to store data long-term by requiring them to access random blocks, older from the blockweave history, to mine new blocks and receive mining rewards. This mechanism encourages miners to copy and store less duplicated data for higher rewards.
AR Token and Economic Model:
Arweave’s native token, AR, is a utility and governance token for the AR network. It serves as payment for dApp services and rewards for node miners. The initial token distribution includes ICO sales, project advisors, the project team (vested over five years), ecosystem development, and future projects. The economic model focuses on storing a pre-paid fee that accumulates interest, distributed to miners over time, ensuring AR’s long-term viability.
Partners and Investors:
Arweave has attracted additional funding from prominent venture capital firms such as Andreessen Horowitz, USV, and Coinbase Ventures in 2021.
How to Earn and Hold AR Tokens:
AR tokens can be earned through mining activities. Trading is available on Binance and Huobi exchanges. AR can be stored in the Arweave wallet on the Chrome Extension or directly on supported exchanges.
The Future of Arweave (AR coin):
Arweave offers a decentralized data storage solution through its unique blockweave architecture. Its permaweb provides reliable, immutable access to content. With the increasing demand for data storage in the digital economy, Arweave allows users to earn mining rewards by participating in its storage network. The development of applications on Arweave is expected to create a unique ecosystem, making it a promising project for the future.