The Complete Guide to XDC Network (XDC) - The Hidden Gem of Enterprise Blockchain
Are you curious about XDC Network, which has recently been gaining attention as an enterprise blockchain solution? Today, we will take a closer look at why XDC is called the 'next-generation enterprise blockchain' and why investors and enterprises are paying attention to it.
What is XDC Network? - Innovative Blockchain for Enterprises
XDC Network (XinFin Digital Contract) is a hybrid blockchain platform that started in Singapore in 2017. As the name suggests, it is a platform specialized in 'digital contracts', providing an environment where companies can trade safely and transparently.
The biggest feature is the 'hybrid' structure. It provides the transparency of public blockchains and the security of private blockchains at the same time. In simple terms, information that should be public should be visible to everyone, and sensitive corporate information should be accessible only to authorized individuals.
Real-world example: The Indian government has built a trade finance system using XDC technology, which allows for the documentation of Processing time was reduced from 15 days to just 4 hours.
The Birth Story of XDC - A Journey to Solve Real Problems
XDC founders Atul Khekade and Ritesh Kakkad were entrepreneurs who had first-hand experience with the problems of the traditional trade finance system. They realized that it took weeks to process a single bank guarantee for their business, and the fees were prohibitively expensive.
In early 2017, they started with the idea, ""Couldn't blockchain solve this problem?"" But all existing blockchains had limitations:
- Bitcoin: Too slow and energy-intensive
- Ethereum: Too expensive fees and lack of scalability
- Private blockchains: Lack of transparency and therefore low trust
To solve these problems, they created the XDC Network. Since its mainnet launch in 2018, it has been growing steadily.
Growth metrics: From $1 million in monthly trading volume in 2019 to over $1 billion in 2024.
XDC's innovative technology architecture
The XDC network is not just an improvement on existing blockchains, it takes a completely new approach.
XDPoS (XinFin Delegated Proof of Stake) consensus algorithm:
Unlike traditional PoW (Proof of Work) or PoS (Proof of Stake), XDC uses a unique consensus mechanism called XDPoS. This is an innovative approach that achieves both energy efficiency and processing speed.
Masternode System: The XDC network consists of 108 masternodes. This number is not a coincidence. It was adopted as 108, a sacred number in Hinduism and Buddhism, and was a strategic choice targeting the Asian market.
ISO 20022 Compliant: XDC complies with the international financial messaging standard ISO 20022. This means compatibility with existing banking systems, which is a key factor in making it easier for businesses to adopt XDC.
Developer-Friendly: XDC is 100% compatible with Ethereum. Smart contracts developed for Ethereum can be used on XDC as is, making it easy for developers to migrate.
XDC's Real-World Use Cases - Reality, Not Theory
What differentiates XDC from other blockchain projects is its 'real-world use case'. While many projects are still in the conceptual stage, XDC is already being actively used in a variety of fields.
Trade Finance:
This is the most representative application. Did you know that over 80% of global trade transactions are still done using paper documents and faxes? XDC is digitizing these inefficient systems.
- TradeFinex: An XDC-based trade finance platform that allows exporters and importers to digitally process letters of credit, guarantees, etc.
- Alpha11: An invoice financing platform that helps SMEs turn their trade receivables into cash.
Supply Chain Management:
The COVID-19 pandemic has made us all realize how important supply chain transparency is. XDC allows you to track the entire journey of a product from production to consumer.
Real Estate Tokenization:
Traditionally, real estate was only available to large lump sum investments, but tokenizing real estate with XDC allows even small investors to participate, like investing in pieces of real estate.
Recent Case: A real estate developer in Dubai used XDC to tokenize a $500 million project. This allowed us to raise funds from investors around the world.
XDC Exchanges and Purchase Guide - Where and How?
If you want to buy XDC tokens, you can use the following exchanges. Compare their features:
Major Overseas Exchanges:
- KuCoin: This is the exchange with the highest XDC trading volume. It offers a variety of trading pairs and an intuitive user interface.
- BitMart: The fees are relatively low, and it supports Korean, making it convenient for domestic investors to use.
- LBank: The liquidity of the XDC/USDT trading pair is good, making it advantageous for large transactions.
Current status of domestic exchanges:
Unfortunately, major domestic exchanges such as Upbit, Bithumb, and Coinone do not allow direct trading of XDC. However, you can purchase it in the following ways:
- Buy Bitcoin or Ethereum on a domestic exchange
- Send to an overseas exchange
- Exchange for XDC
Note: When using an overseas exchange, be sure to check the VPN usage regulations and tax reporting obligations. Also, check the exchange's security level and withdrawal limit in advance.
Active XDC community and ecosystem
Another strength of XDC is its active community. It's not just a gathering of investors, but a real ecosystem with actual developers, business people, and academics.
XDC Foundation Activities:
- XDC Foundation: A non-profit foundation that conducts research and development and marketing for the development of the network.
- Grant Program: Provides funding to developers to expand the XDC ecosystem.
- University Partnership: Partners with major universities around the world to support blockchain education.
Developer Community:
XDC is known for being a developer-friendly platform. In particular, we provide various tools and documentation to help Ethereum developers easily migrate.
- XDC DevPortal: A comprehensive information site for developers
- GitHub: An open source code repository and active contributions
- Discord & Telegram: Real-time communication channel
Community size: Currently, the official XDC Telegram has over 50,000 members, with an average of 500 messages per day.
XDC Wallet Complete Guide - The Art of Safe Storage
Once you've purchased XDC, the next step is to store it safely. Since XDC is compatible with Ethereum, it can be used on most Ethereum wallets.
Hardware wallets (the most secure):
- Ledger Nano S/X: Officially supports XDC, and has almost no risk of hacking due to cold storage.
- Trezor: Open source, highly transparent, and relatively simple to use.
Software wallet (excellent convenience):
- XinPay: The official wallet dedicated to XDC, available on both mobile and web.
- MetaMask: One of the most widely used wallets, you can use it by manually adding the XDC mainnet.
- Trust Wallet: A mobile wallet developed by Binance, with an intuitive user interface.
How to add the XDC network to MetaMask:
- Network Name: XDC Network
- New RPC URL: https://rpc.xinfin.network
- Chain ID: 50
- Currency Symbol: XDC
- Block Explorer URL: https://explorer.xinfin.network
Wallet security tips:
- Backup your seed phrase: Never store it online, write it down on a piece of paper and keep it in a safe place.
- Set up 2FA: Enable 2-step authentication on all available wallets.
- Regular updates: Always keep your wallet software up to date.
XDC Investment Strategy and Risk Management
If you are considering investing in XDC, please keep the following in mind. Cryptocurrency investing is both an opportunity and a risk.
Understanding market volatility: While XDC is a relatively stable project, it is still a cryptocurrency. Daily price fluctuations of 10-20% are common, and sometimes even 50% or more can occur.
Fundamental Analysis Points:
- Practical Use Cases: XDC is already being used in various enterprises. This is a significant advantage that sets it apart from many other cryptocurrency projects.
- Partnerships: Official partnerships with government agencies and large corporations are continuously being announced.
- Technical Advantages: Fast processing speeds and low fees are competitive technical advantages.
Investment Strategy Suggestions:
- Dollar Cost Averaging (DCA): Instead of investing a large amount at once, consider investing a fixed amount every month.
- HODL: XDC is a project better suited for long-term investment rather than short-term speculation.
- Portfolio Diversification: It is recommended to limit the XDC portion of your total cryptocurrency investment to around 20-30%.
Risk Factor Checklist:
- Regulatory risk: Changes in cryptocurrency regulation policies of each country's government
- Technical risk: Possibility of security vulnerabilities or network failures
- Competitive risk: Intensifying competition with other enterprise blockchains
- Team risk: Departure of core developers or changes in project direction
Principle for setting investment amount: Invest only ""an amount that you can live without any problems even if you lose it."" Absolutely do not take out a loan to invest or use living expenses for investment.