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Coin Profile: What is Golem, and how does it work?

While some cryptocurrency projects are nonsense for money, others are offering novel ideas and fresh innovation on the blockchain and are definitely worth knowing about. In this, we explore what the Golem project is.

Written by Rebecca Leighton Published on

Golem is a clever concept which uses a two-fold method of computer storage using a decentralized supercomputer.

The supercomputer, the main computing machine, has been created to take all of the individual machines on its network and combines the computing power. From it, users on the Golem network can rent out spare space they might have on their computer to those who need the resources to complete activities which require large amounts of computing power.

This model is doubly beneficial – it is good for those who have spare storage to generate easy income and it helps those who need the power for tasks such as performing intensive calculations for activities like machine learning.

Currently, the Golem team has said that they are concentrating their energy on rendering Computer Graphics Imagery correctly since this is a key area which often struggles with high cost and long waits.

Cool idea, but how does it work?

On the network, a requester – a Golem user requiring the computing power – will be able to use either a provided task template from the platform or will need to create their own code (all the while considering the fact that there is a specific framework). It should be noted that the option to create a new code is not offered in Golem’s first two releases but will be available in the third version. Once the requestor has chosen a template, a “task” will be created which will then be added to the task manager and the information will be automatically sent to the network.

As a two-fold concept, it means that the requester needs a friend. Thus enters the “provider”, a user who will be offering the power. After a task is created, a provider will receive the task offers, which are broadcast publically on the network, and will be able to opt for their preferred task.

On the network, a user’s reputation is critical. If a user has a poor one, they will be rejected and will not be able to offer their computing power and will not be chosen as a provider. If a user is verified and the task is a possibility in relation to the power that they can offer, all can go ahead.

Simple and smooth sailing along the blockchain.

But what about payment?

Once everything is completed, a payment system is informed through the use of an Ethereum smart contract and the funds are sent from the requester to the provider. A well-executed task also benefits both users as their reputations will increase. Super simple sailing along the blockchain.

Golem’s token, GNT, is a listed as an ERC20 token. It can be used on the network for a requester to pay a provider. If you are providing power, you need not pay in GNT and you can set your own price for providing the rental space.

Heading up the project is prominent blockchain advisor Julian Zawistowski, who has a name in the video game field, and so he is likely to know a thing or two about power. Games and computing power are just like two peas in a high-performance pod. The project, less fresh-faced than some, was released in mid-2016 and other similar ideas have come out since. As the original idea, we will see how the team maintains users and consistent development.

If you are interested in buying GNT, you can purchase the coin on several exchanges such as LiquiBittrex, Ethfinex, and Poloniex and Huobi.

Since GNT is and ERC20 token, GNT can be stored on any ERC20 compatible wallet with the most popular options being MyEtherWallet and Mist.

Written by

Internet writer looking to find the right piece. Also presents things on radio and happens to be a chip off the old blockchain. @BeckyRLeighton