NEO

1. Project introduction

Neo is a distributed network which utilizes blockchain technology and digital identity to digitize assets and automate the management of digital assets using smart contracts. The Neo system will use DBFT, NeoX, NeoFS, NeoQS and many other original technologies, as the infrastructure for the intelligent economy of the future.

Neo utilizes a delegated Byzantine Fault Tolerance (dBFT) algorithm which provides a 𝑓 = ⌊ (𝑛−1) / 3 ⌋ fault tolerance to a consensus system that comprises n nodes. There are several types of nodes in this mechanism, such as the ordinary nodes, the candidate nodes, the committee nodes, and the consensus nodes. Anyone can start a transaction to become the candidate or vote for the candidate. Candidates with a certain amount votes are elected as committee members or consensus nodes. When a consensus needs to be passed, a speaker is randomly selected to decide the proposal, and then other consensus nodes vote according to the dBFT algorithm. If more than 2/3 of nodes agree to the proposal, the consensus is reached; otherwise, the speaker is re-elected and the voting process is repeated.

Neo network has two tokens, NEO representing the right to manage Neo blockchain and GAS representing the right to use the Neo Blockchain.

2. Application and distribution

Total supply: 100 million

Token application:

(1) The right to vote elections to determine Neo Council members;

(2) The right to claim GAS, needed to perform transactions on the Neo network. GAS rewards are increased for voting participation.

Token distribution:

Approximately 50% is reserved by the Neo Foundation to incentivize the development of the Neo ecosystem.