NEAR Protocol is a sharded, proof-of-stake, layer-one blockchain network designed to be simple, secure, and scalable. It functions as a community-run cloud computing platform for decentralized applications (dApps), aiming to deliver high-speed transactions, scalability, and easy user access to open finance networks.
NEAR Protocol operates using a sharded, proof-of-stake (PoS) blockchain architecture. It distributes its processing load across multiple parallel chains (shards), enhancing speed and scalability. The consensus mechanism involves PoS with a specific algorithm called Nightshade. Smart contracts on NEAR are compatible with the Web Assembly Virtual Machine (WASM), Rust, and JavaScript SDK, allowing for communication with external applications. The protocol also supports interoperability through the Rainbow Bridge for seamless interaction with Ethereum.
NEAR Protocol can be utilised across various sectors such as Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs), and decentralized applications (dApps). It facilitates the creation and management of DAOs (Decentralized Autonomous Organizations), scalable gaming solutions, and cross-chain interoperability. Additionally, NEAR is used in industries like financial services, digital art, gaming, social media, and healthcare.
NEAR Protocol was founded by Alexander Skidanov and Illia Polosukhin in 2017. Initially beginning as a machine learning project (NEAR.ai), it transitioned to blockchain development in 2018. Key milestones include the launch of the NEAR mainnet in 2020, the introduction of sharding for scalability, development of the Doomslug consensus mechanism, and the creation of Aurora, an EVM-compatible layer 2 scaling solution. The NEAR Foundation, established in 2019, supports the protocol’s ecosystem growth.