What Is Helium (HNT) How It Works & Where To Buy It?

Helium (HNT) is a decentralized blockchain-powered network specifically catered to the Internet of Things (IoT) devices. The network aims to provide decentralized wireless network coverage to people around the world – at a fraction of current data costs.

HNT token has rapidly grown to become the 51st largest cryptocurrency in the world by market capitalization.

How Helium (HNT) Works

Helium network aims to dominate the global wireless network in an incredibly innovative way. Helium differentiates itself by using a proof of coverage mechanism.

Essentially, low-powered wireless devices can send data across the network to improve network coverage for other users – the principle is to transfer device data, utilizing the Helium blockchain infrastructure.

Network participants help secure the network and create a decentralized wireless network for other individuals by using their device data. To keep the Helium network secured there are incentives for miners who can use their phones to mine the HNT token.

The people’s network is what Helium calls the low-powered, long-range network. Helium uses multiple hotspot hosts and radio frequencies to send small amounts of data.

Helium doesn’t eliminate WiFi or smartphones, it rather creates a lucrative extension of the network – which is then broadcast for use by others.

It claims to be the world’s largest contiguous network that allows device data distribution and communication up to 200x further than wifi.

For a more in-depth description of Helium, you can read the whitepaper.

What Is Helium (HNT) Used For?

Helium network is used by multiple corporations and individuals around the globe. The updated list of companies using the Helium network can be found here.

Essentially, the network is extremely cost-efficient compared to other data providers because of the mechanism it incorporates. Users can be billed on a pay-as-you-go basis, where they’re only charged for the data they’ve used. It’s also relatively simple to do a calculation on what the data costs might be.

Helium is therefore used by retail consumers and companies because of its affordability and scale. Miners use the Helium network to provide cryptographic transparency, and they’re subsequently rewarded with HNT tokens.

Data credits are at the core of the system, and they are what allow people to transfer bytes of data across their LoRaWAN and LongFi systems. There are already more than 780,000 Helium hotspots in the world.

Many individuals also trade HNT tokens because like other cryptocurrencies, there are price fluctuations that make it favorable for arbitrage or swing trading.

Where To Buy Helium (HNT)

HNT tokens are available on most cryptocurrency exchanges. HNT saw its highest trading volume to date in July 2021, with 24-hour trading volumes exceeding $420 million.

Here are some of the most popular and trusted crypto exchanges:

• Gate.io
• HTX
• KuCoin
• HTX
• Crypto.com

Helium wallets also control the hotspots and the list of wallets can be found here.

About Helium (HNT)

How long has Helium (HNT) existed?

Helium network started out in 2013 and pivoted into the Internet of Things space in 2019. It was co-founded by Shawn Fanning and Amir Haleem. Haleem has extensive experience in triple-A gaming and Fanning developed the popular peer-to-peer file sharing platform, Napster.

The HNT cryptocurrency has seen significant price appreciation since it was listed, reaching an all-time high of $52.71 on the 14th of November, 2021.

What’s controversial about Helium (HNT)?

There are a large number of projects emerging in the crypto space. Unfortunately, not all projects can be seen as equal and transparent – it’s essential to do extensive research on a project, its founders, partners, history, and any other important factors associated with the project.

Here’s the biggest controversy surrounding Helium (HNT):

• Hotspot distribution complications – Helium hotspots are small appliances that plug into a normal electrical outlet and tap into the existing internet service, expanding the reach of the WiFi for miles. However, many would-be miners haven’t been able to receive their mining rigs due to a lawsuit that’s been filed against one of the distributors.

  There are more than 3,000,000 hotspots on back-order which is a good indication of the demand but also a reflection of how distributors are failing miners. The success of Helium is largely reliant on the number of hotspots present across the world – essential for creating a decentralized network.

How many Helium (HNT) tokens are there?

At the time of writing, Helium (HNT) has a circulating supply of 116,857,481.42 HNT.

The total supply of Helium (HNT) is 223,000,000.

Can Helium (HNT) be mined?

Helium (HNT) is a mineable cryptocurrency. Unlike Bitcoin and Ethereum which use proof of work consensus algorithms, Helium, however, uses a proof of coverage consensus mechanism.

Individuals can earn HNT yields by mining HNT tokens. The process of mining HNT is very simple; individuals can simply install a hotspot on their office window.

Some centralized exchanges also offer staking rewards for users who lock up their HNT tokens for a duration.

What is the market cap of Helium (HNT)?

To calculate the market cap of any cryptocurrency the total amount of coins in circulation is multiplied by the current market price.

Helium (HNT) Market Cap = 116,857,481.42 HNT x $15,28 = $1,78 billion. (51st largest cryptocurrency by market cap).

Biggest Competitors Of Helium Network And HNT

Helium is challenging the norm we’ve become accustomed to from traditional data providers. And the Helium blockchain is positioning itself as the alternative to current data providers.

The people’s network is a decentralized blockchain-powered network that is upheld by network participants. The scale of this project is massive but it requires implementation and user adoption on a global scale to create a truly decentralized global network.

However, Helium is not the only crypto project aiming to provide these solutions.

Here’s a list of Helium’s (HNT) top competitors:

• DENT Wireless – DENT is a project focused on revolutionizing the way people use mobile data. It utilizes an innovative system to achieve the distribution of its data to people globally. The Hong-Kong based company aims to minimize the cost of mobile data in a world where the use of smartphones is increasing at a rapid rate.
• Movandi – Movandi is among the fastest-growing 5G deep technology developers. The project aims to streamline fast internet connectivity by utilizing smart 5G repeaters to effectively distribute connectivity more cost-effectively and efficiently.
• Veniam – The project focuses on the Internet of Moving Things, utilizing a vehicle mesh network to achieve its goals. This contributes to the expansion of wireless network coverage.

  What Are The Future Plans Of Helium Network And HNT

The telecoms industry is incredibly competitive and unfortunately, users are the ones that are most severely affected. The Helium network is challenging norms and trying to provide a decentralized wireless gateway that bolsters connectivity for millions at a fraction of the current data costs.

Helium plans to implement this aim by increasing the number of hotspots and providing efficient, and affordable access to data.

Impressively, Helium network is currently used by SalesForce, a company that generated more than $21 billion in revenue in 2021.

The future success of Helium is reliant on the distribution of hotspots, something that has been a major setback for the project thus far. The expansion of the Helium network though will help millions of people across the world access the internet – without having to pay exorbitant fees for data.

Pros And Cons Of Helium Network And HNT Token

Pros:

• Proof of coverage – The proof of coverage mechanism is a novel algorithm that rewards users when they can verify coverage by proving a location and network coverage.
• Potential to revolutionize telecommunications – The Helium network has a bold idea but if it’s implemented correctly it has the potential to revolutionize the telecommunications industry. The data fees will be much cheaper than traditional data charges by current providers.
• HNT can be mined – Helium (HNT) can easily be mined and requires users to utilize hotspots to earn HNT rewards. The miners also secure the network and contribute toward the decentralization of data.
• HNT can be staked – Staking HNT is one of the easiest ways to earn rewards. Users can easily stake HNT tokens and earn rewards for locking their tokens up for a duration – usually 30-365 days.
• Low supply – One of the major pros of the Helium network is its relatively low supply. The total supply is only 230 million which is relatively low compared to other projects like VeChain which has a total supply of 86 billion tokens.

Cons:

• Hotspot distribution issues – Amongst the biggest factors hindering the growth of the Helium network are distribution issues. There has been an ongoing lawsuit that has affected the distribution of hotspots, which are crucial to the expansion of the network.

  There is currently a backlog of more than 3,000,000 hotspots that have not yet been delivered to miners. Many individuals have lost faith in the project because of the distribution complications.

• Competition – There is a significant amount of competitors who are providing innovative solutions to data coverage and centralization issues. The success of the Helium network will be reliant on the project’s ability to capitalize on opportunities in the market, increasing the distribution of hotspots and partnerships.