What Is Ronin (RON)? All You Need To Know

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Key Takeaways

  •  Ronin (RON) is a blockchain specifically designed for games. It was built by Sky Mavis, the team behind the popular play-to-earn game Axie Infinity.
  • The project aims to support the development of games with player-owned economies, focusing on scalability to handle large numbers of users.
  • Ronin has a built-in bridge to facilitate transfers between the Ronin blockchain and Ethereum. However, in March 2022, the Ronin Bridge was exploited for over $650 million, making it one of the biggest hacks in DeFi’s history.

What Is Ronin (RON)?

The Ronin blockchain is a gaming-focused platform created by Sky Mavis, the developers behind the popular play-to-earn title Axie Infinity. Ronin is an Ethereum Virtual Machine (EVM) compatible layer-1 blockchain that aims to create a fast, affordable, secure blockchain designed for the play-to-earn gaming market.

How Does Ronin (RON) Work?

Ronin operates as a blockchain specifically designed for the gaming world. Here’s a breakdown of how it functions:

Underlying Tech

Built on the Ethereum Virtual Machine (EVM), Ronin benefits from existing tools and infrastructure for developers creating games with blockchain elements.

Focus On Scalability

Ronin’s Delegated Proof-of-Stake (DPoS) consensus mechanism handles many transactions efficiently, keeping transaction fees low. Users stake RON tokens to participate in the validation process.

Ecosystem Features

Ronin Wallet

Ronin Wallet is a digital wallet that allows users to store, manage, and transfer RON tokens and other crypto assets in Ronin-based games like Axie Infinity.

Other Features 

The Ronin network offers additional functionalities, such as Ronin Name Service, which creates human-readable wallet addresses;

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And Mavis Market, a non-custodial NFT marketplace.

Evolution Of Ronin

Previously Proof-of-Authority (PoA)

In earlier stages, Ronin relied on PoA, which was efficient but centralized.

Shift To Delegated Proo-of-Stake (DPoS)

The switch to DPoS in March 2023 aimed to balance scalability with increased decentralization and user involvement.

Ronin (RON) Token And Tokenomics

Tokenomics

The RON token is Ronin’s native cryptocurrency. It is used for:

  • Utility
  • Governance
  • Staking
  • Transaction Fees

Token Details

Total Supply 1,000,000,000 RON

Circulating Supply 303,197,767 RON

Current Price $3.35

Market Capitalization $1,014,534,666

This information is current as of March 22nd, 2024, and the token’s price, market value, and available supply may fluctuate.

Distribution

  • Staking Rewards (25%)
  • Community Incentives (30%) 
  • Sky Mavis (30%)
  • Ecosystem Fund (15%)

Where Can I Buy Ronin (RON)?

Binance Binance is a major exchange offering a wide range of cryptocurrencies. It offers multiple ways to buy crypto, including credit cards, debit cards, and peer-to-peer (P2P) trading.

Gate.io This exchange provides RON trading, other cryptocurrencies, and margin trading options.

BingX – This exchange also offers RON trading with various features, including perpetual contracts and margin trading.

Is Ronin (RON) A Good Investment?

Pros:

  • Focus on Gaming – Ronin is built specifically for the gaming industry, meaning it can handle the large volume of transactions required for play-to-earn games like Axie Infinity.
  • Scalability and Efficiency – Ronin uses ZK rollups and a sidechain architecture, offering faster transaction speeds and lower fees than the Ethereum mainnet.

Cons:

  • Centralized – Besides DPoS, Ronin uses a consensus mechanism called Proof-of-Authority (PoA) that selects a group of validators chosen by the Ronin team responsible for verifying transactions.
  • Security Breach – In March 2022, Ronin suffered a major exploit, and hackers stole over $650 million worth of cryptocurrency.

Final Thoughts

Sky Mavis’ infrastructure has allowed its games like Axie Infinity to scale to nearly 3 million users, and it is the only Web3 game to reach that level of success. However, from an investment perspective, investors should still be careful when considering the pros and cons of the project before making any decisions.

Via: 2Usethebitcoin.com

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