Overview
COTI, an acronym for “Currency of the Internet,” is a blockchain-based payment solution designed to address inefficiencies in traditional financial systems. Utilizing a unique infrastructure based on a directed acyclic graph (DAG), COTI enables high transaction throughput, scalability, and cost efficiency. The system supports up to 100,000 transactions per second, significantly exceeding the capacity of many existing blockchain platforms. Its architecture reduces latency and eliminates the need for miners, resulting in lower transaction costs and energy consumption.
Core Technology
The backbone of COTI’s network is the Trustchain algorithm, which validates transactions based on trust scores derived from participants’ behavior. This system enhances both security and efficiency, as it incentivizes honest participation while expediting transaction processing. COTI’s ledger operates on a DAG structure, allowing multiple transactions to be processed simultaneously, further contributing to the platform’s scalability.
In 2024, COTI began transitioning to an Ethereum Layer 2 solution to expand its ecosystem. This integration introduces advanced cryptographic techniques, such as garbled circuits, to enhance privacy. Garbled circuits enable computations on encrypted data without revealing the underlying information, aligning with increasing demands for confidentiality in digital transactions.
Enterprise Solutions and Use Cases
COTI provides tailored solutions for enterprises, including the development of stablecoins, payment systems, and loyalty programs. Its infrastructure enables organizations to launch their own branded payment tokens, which can be customized for specific use cases. These solutions are particularly valuable for e-commerce platforms and global businesses seeking to reduce transaction fees and enhance operational efficiency.
One of COTI’s flagship products is Djed, a decentralized algorithmic stablecoin developed for the Cardano network. As the official issuer of Djed, COTI plays a central role in ensuring its stability and integration into decentralized financial ecosystems. This capability highlights the platform’s focus on providing real-world applications for its technology.
Governance and Ecosystem Development
The COTI ecosystem is governed by a decentralized framework, with decisions made collectively by stakeholders. The platform also supports developers through grants and resources aimed at fostering innovation. In 2024, COTI launched the V2 Developer Network, introducing tools to enhance privacy and scalability within the ecosystem. This initiative included a 400 million COTI token allocation to fund projects and incentivize collaboration.
Recent Developments
COTI has continually expanded its capabilities through technological upgrades and strategic partnerships. The platform’s introduction of Ethereum Layer 2 and privacy-focused features marks a significant evolution in its approach to blockchain technology. Additionally, COTI has focused on integrating its services into mainstream commerce by collaborating with financial institutions and other industry leaders.
