Guide to Buying NEM Crypto and its Future Prospects to Consider 

The crypto sphere gives traders a chance to invest in various tokens. While some of them could be duds, others may be very profitable. Thus, investors must do their due diligence before picking any token as an investment. Now when it comes to talking about promising cryptos, there are quite a few to think of.

One such token is NEM (XEM) from the New Economy Movement network. Trying to establish economic freedom and equality, this asset has grabbed the attention of many. Many of them have also sought directions to buy it. So, let’s figure out how to buy this asset and discuss its prospects.

Instructions to Buy NEM Online

Following these steps, anyone can buy NEM tokens easily and safely. For the sake of simplicity, let’s take Binance as the platform to buy it from.

Step1: Account Creation

Being a centralized exchange, Binance requires its users to create an account. It also conducts the verification procedure for which users have to provide credentials. So first of all, users need to go to the Binance website or download its app on their phone. Then, they must provide their email and phone number for verification purposes.

Step 2: Choose Buying Option

Once the account is verified, they can proceed with the buying process. They must click “Buy Crypto” and check the relevant options. The platform allows them to pay with debit/credit cards, bank deposits, and third-party payment channels. 

Step 3: Review & Order Placing

After confirming the payment option, the next thing to do is to place the order. Buyers must review their orders before taking this step. 

Step 4: Store & Use NEM

The next step after buying the crypto is to store it in a personal crypto wallet or in a Binance account. They also have the option of trading other crypto or staking it on Binance Earn for passive income. The token holders may also consider trading NEM on decentralized exchanges. 

Exploring NEM & its Possibilities

NEM was launched to boost the power of decentralization. A thriving crypto community in Japan introduced it. The users and supporters of the platform are referred to as NEMbers. What makes it truly distinct is its consensus mechanism called Proof of Importance (PoI). 

This algorithm is known for rewarding the notable contributors of the community. By design, it is quite similar to proof-of-stake (PoS) ,but it introduces some structural differences. The basic difference is that it doesn’t discriminate between contributors who hold tokens and those who do. Moreover, NEM’s protocol is based on Byzantine Fault Tolerance. 

Those who spend more time on blockchain and do more transactions, are given more importance. The motto of the blockchain was to create a fairer economic space. So it discourages the unfair practices of a few individuals holding larger lots of crypto assets. 

Nevertheless, the protocol will favor those who are bigger contributors to the blockchain compared to those who aren’t. Those bigger contributors will probably own more tokens than others. 

Rewards and Other Highlights

In Bitcoin and other proof-of-work mechanisms, the process of creating cryptos is called mining. In the NEM ecosystem, it is called harvesting. Moreover, there are two distinct divisions of this process. The first one is called normal harvesting, which is executed by the regular nodes.

The other one is called high-performance super nodes. As the name suggests, the latter creates tokens with more intensity and gives better results. The nodes or the computers or computer operators receive larger rewards too. To become a super node, one must hold at least 3 million XEM. 

Apart from the transaction fee, super nodes also receive a fixed lot of 14000 XEM. On the other hand, users just need to hold 10,000 XEM to become a regular node. In that case, the rewards depend on the significance of the node. Those who have read a little about the NEM probably know about mosaic.

Mosaic is a unique asset created on the same NEM blockchain. For the uninitiated, NEM is a kind of mosaic too. These advanced tokens can be utilized in many ways. They can be used for issuing stablecoins, creating another token, or giving voting rights. For creating a mosaic, users have to follow a unique process.

They have to register a domain called a namespace first. This platform is used for setting criteria for issuance and changes. After setting some ground rules, users can obtain the tokens. 

Upshot

NEM brings forth many possibilities to the crypto world. It disrupts the existing ecosystem with fairer practices that seem viable. In the next few years, the protocol will most probably gain more supporters. Its community and users certainly hope that it will gain more traction. However, only time will tell how NEM will perform in the growing blockchain or DeFi sector. 

Amanda Shinoy is one of the few women in the space invested knee-deep in crypto. An advocate for increasing the presence of women in crypto, she is known for her accurate technical analysis and price prediction of cryptocurrencies. Readers are often waiting for her opinion about the next rally. She is a finance expert with an MBA in finance. Quitting a corporate job at a leading financial institution, she now engages herself full-time into financial education for the general public.