What is Breakout?
Breakout is a decentralized and open-source cryptocurrency of the Breakout blockchain. The breakout platform and its native platform were founded and launched by a Costa Rican company referred to as Breakout Services, Limitada.
The main goal of creating the Breakout coin was to reach the gaming community and present it with a reliable, secure, and easy to use currency. The development team was concerned that though the blockchain technology was advancing in other areas at a fast rate, the gaming niche was lagging behind.
The Breakout blockchain uses both proof of stake and proof of work protocols to make it possible to support different coins and reach multiple niches.
- The performance of Breakout coin in the market
When Breakout first entered the market in July 2016, the value was $0.08. Then, it dropped to $0.045 in the subsequent month of August and kept declining to hit the lowest point of $0.018 in December 2016.
Starting from early 2017, Breakout started showing signs of recovering. In March 2017, the value grew to hit $0.03 and continued on an uptrend to reach $0.04 in April before hitting a peak of $0.3 in June 2017.
In July, the value dropped to $0.099 before assuming a bullish trend that culminated to the value breaking through the $1 mark and reaching $1.24 on 9th January 2018. This was the highest mark in the coin’s history. Note that the positive show did not last.
By the close of January 2018, the value of breakout had dropped to reach $0.64 before rising marginally to $0.7 at the beginning of March and resuming the bearish trend until the third quarter of 2018. By the close of October, the value of BKR was $0.04. The community is optimistic that the coin value will finally take an uptrend as more people search for a reliable gaming payment and support system.
What is the problem that Breakout solves?
Since 2009 when the blockchain network was launched by Satoshi Nakamoto, more people have started taking note and coming to the niche. But it has encountered serious problems that risk suppressing growth and success. Here are some of the problems that Breakout solves.
- Centralization of financial services
Centralization of financial services involves relying on a single point to run all transactions in a system. They are systems such as banks and credit card companies that have centralized systems of handling funds, data, and transactions. This is the main structure of most financial systems in the industry today.
The main issue with centralized financial services is the high risk of failure. This failure can result from mismanagement that culminates to bankruptcy or cyber attacks. If the customer documents and info in the banking system get attacked by a malware such as ransomware, it would be difficult to prove that you had deposits in the system. The Breakout system targets to address the issue by creating a system that is free from third-party attacks.
- Poor adoption of cryptocurrencies in the market
While the idea of cryptocurrencies has been expanding rapidly, application at the local level has been very poor. At this point, one would expect to find many stores supporting crypto coins because of the long list of coins in the market and the speedy nature of tokens uptake in the market. However, you can walk an entire street and fail to get a store that accepts payment in digital coins.
To address the issue, Breakout targets to expand the technology to the gaming niche. The blockchain also targets to reach other segments with additional coins.
- The high cost of transactions
If you want to send value through the banking system, the cost is very high. This is because banks and financial companies are profit based and have to look for ways and means of optimizing return to investors. Besides, they also have to meet expenses such as rent, wages, insurance, security, and compliance with the law.
- Centralization of mining services
The design of blockchain networks uses miners who help with all the work in the system. They confirm transactions and use consensus to make decisions that help to improve the networks. More importantly, they help to release new coins into the network.
Though mining was intended to help advance the concept of decentralization, the development of ASICs mining equipment has resulted in centralization and raised the risk of 51% attack in crypto networks.
How does Breakout solve the problem?
To address the above issues, the Breakout platform adopted a multi-pronged approach that targets to promote decentralization and make the cryptos easily accessible to more people. Here are the methods and features used by Breakout:
- Total decentralization
The Breakout system operates as a completely decentralized system. Instead of relying on a centralized management the way banks or credit card companies work, the Breakout system relies on a system of nodes spread in its network across the globe.
When a user initiates a transaction to send value, it is picked by nodes referred to as miners. They follow the sender to confirm whether he has ample coins to send and allow the transaction to complete. They also add new blocks into Breakout public ledger.
Total decentralization implies that Breakout does not have a single point of failure. The nodes spread in the Breakout system store the information in their computers. Even if one computer is attacked or node drops off, the user information will still be available from other nodes.
- Breakout supports multiple coins
To promote faster adoption of cryptocurrencies, Breakout was targeted at the gaming niche. As more crypto networks target the financial services, areas such as gaming have been left behind. The Breakout coin targets to be the ultimate coin for the gaming niche.
To facilitate better uptake of cryptos in the industry, the Breakout also hosts other coins such as the Sister Coin, Atomic token, The Deck, and Beakout Stake.
- Operates as a hybrid of proof of work and proof of stake protocols
Many crypto networks in the market today rely on proof of work protocol. Though it has very impressive features, it has also demonstrated key weaknesses such as allowing mining through ASICs. To make the Breakout network better, the development team opted to use a hybrid model of proof of work and proof of stake protocols.
Proof of work consensus algorithm helps to keep the Breakout platform secure while the proof of stake protocol is used to facilitate even distribution of coins. Proof of Stake protocol also helps to keep the platform secure because users who have some stake are less likely to conspire to harm the network.
What makes Breakout better than it’s competitors?
When Breakout entered the market, it met a growing list of cryptocurrencies that targeted to win a bigger market share. Here are some of the things that make Breakout better than competitors.
- The Breakout platform allows users to send value and run financial transactions anonymously. This means that you can send value or invest without worrying about third parties knowing about your details.
- The Breakout system targets a gaming niche that has been less trodden. This implies that it is likely to enjoy near monopoly status and grow rapidly as gamers enjoy the benefits of direct and cheaper payments.
- The Breakout coin allows users to join and own the system. The decentralized system implies that the platform is not owned by the founders or developers. .Rather, all the decisions are made by the nodes spread in its system. If you join the system by purchasing some stake, you will be called to vote on key governance issues that determine the direction to be taken by the platform.
- The Breakout system provides users with the total freedom to send value any time of the day or night. Unlike the banking system that limits people to only work during the day and remains closed in holidays and weekends, Breakout system is different. As far as you have ample coins on the network, there are no limitations. You can send any amount during the day, at night, weekends, and even holidays.
- The Breakout is led by a very aggressive team. To help the niche advance to the next level, the Breakout team is always active and looking for better ways to keep the platform safe and delivering value to users on the platform.
- The combination of proof of stake and proof of work protocols has helped the Breakout system enjoy high security. Since inception, no successful attack has been reported in the platform.
How can Breakout’s be categorized?
Breakout is a unique cryptocurrency and a platform designed with the primary goal of advancing the original Satoshi Nakamoto’s principle of decentralization. Though there are many issues standing on the path of successful adoption of blockchain technology, Breakout demonstrated that they can be overcome through impressive features such as the combination of proof of stake and proof of work protocols.
What is Breakout’s vision on security?
The Breakout’s vision on security is to become a highly secure platform that all users can join and utilize without worrying that they will lose investment to attackers. Here are some of the methods used to keep the platform secure.
- The Breakout platform was designed after a thorough analysis of other networks to ensure that causes of attacks were eliminated. This is why some communities consider it to be a better option compared to pioneer coins such as Bitcoin and Litecoin.
- The development team reviews the Breakout system and other networks to pre-identify vulnerabilities and address them well before they can be used by attackers.
- The system uses advanced encryption that helps to prevent user info and transaction details from third parties such as government agencies.
- The combination of proof of work and proof of stake protocols has helped to facilitate even distribution of coins to prevent the danger of 51% attack.
Examples of Breakout use cases/ applications
A cryptocurrency network is as good as the people who support it. The Breakout development team has been seeking partnerships to facilitate faster adoption and use in the industry. Here are the main applications.
- Breakout coin is a coin of the gaming industry. This means that you can use the coin to pay for games played online or even downloadable options to play with a home computer. The gaming community prefers the coin because payment is peer2peer and direct.
- If you are running transactions in the Breakout platform, you will be required to pay a small fee that must be effected in BRK. This fee goes to support miners who help confirm transactions and facilitate the development of the network.
- If you want to send funds abroad, Breakout coin is a better option compared to the standard fiat currencies. Because there are no centralized organizations such as banks used when sending value, the transactions are fast and cheaper.
- Like other coins such as Bitcoin, Breakout can be used to pay for goods and services in stores that accept it. You only need to look for online or conventional stores that allow payment with BKR to make a purchase. Note that in the event that stores available only support different coins, it will also be possible to make a purchase by converting BKR to the supported crypto.
- For crypto traders, Breakout can be traded in the market like other coins such as Bitcoin. Note that trading Breakout will require identifying a supporting exchange and registering for a user account. You will also need to create appropriate trading pairs before executing trades.
To trade profitably, it is important to start by learning how the crypto market works. Most of the digital coins are affected by high volatility because the coins are not regulated in law. It is also crucial to follow the best practices such as only using a small amount when trading in the market as opposed to the whole amount.
- The Breakout coin is a reliable method of paying for taxes in states that support cryptos. As more administrations come out to support blockchain technology, some are allowing users to pay their taxes using digital coins. A good example is Arizona.
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