Whether you’re a crypto beginner or an advanced user: check out our FAQ for information on the technology behind the Elrond blockchain, Elrond’s native token EGLD, staking and more.
FAQ Elrond blockchain
The Elrond blockchain is a pioneering open-source transaction technology. It is ideally suited for the exchange, validation, and documentation of valuable data, such as that generated by payment transactions, the conclusion of contracts, or the transfer of property rights. The Elrond blockchain is highly scalable, extremely fast and very secure.
- Transaction costs extremely low (<0.001 US$) and independent of national borders (visit our cost calculator)
- Transaction speed (6s latency)
- No single point of failure as a point of attack as with central institutions (e.g. banks, Paypal …)
- Climate-friendly, ultra-secure Secure-Proof-of-Stake (SPoS) consensus mechanism.
- High scalability and speed through Adaptive State Sharding
- Minimal transaction costs
- Developer-friendly software, highly committed founding team and clear roadmap
- Smart Contract Platform: Flexible deployment for almost any use case
- Professional ecosystem
- Defi 2.0 Module (Maiar)
- Global, constantly growing community
- More on the benefits of the Elrond blockchain …
In the proof-of-stake consensus mechanism, the network is secured by reliable validators (such as Istari Vision).
Validators are randomly selected to sign new blocks.
The amount of the deposited stake (capital) increases the chance of being selected by the algorithm for validation. For clean work, validators are rewarded with so-called rewards (transaction fee), increasing their reputation and the probability of being selected by the algorithm for further validations.
If a validator works poorly, he puts his stake at risk, because he is punished by the algorithm and possibly excluded from the network. The motivation not to cheat increases as the token price rises.
FAQ EGLD (eGold)
Transactions are extremely affordable with the Elrond blockchain. The amount of transaction fees depends on the type of transaction you are doing on the Elrond blockchain:
Delegation Smart Contract costs:
Standard transaction from EGLD:
Transaction from EGLD with text/comment: + ( per character)
Smart Contracts: The cost of executing a smart contract depends on the computing power and storage capacity required. A typical smart contract (e.g. delegate) costs approximately per execution. Did you know? When executing a self-created smart contract, 30% of the transaction fees go back to the creator of the contract in the form of royalties.
NFT: The costs for creating and transferring an NFT are as follows:
- one-time registration fee (approx. 0,20 €)
- transfer fees (approx. 0,01 €)
- Minting fees, if applicable (approx. 0.01 €)
ESDT token: The creation of an individual ESDT token costs:
+ + ( x Number of characters of the hexadecimal value of the token identifier)
Transferring an ESDT token costs about the same as a standard transaction.
The EGLD cost for executing transactions and SC can be adjusted afterwards by network votes (Governanve), so that a strong price increase of EGLD does not lead to high transaction costs.
Depending on the country you live in, increases in the value of crypto investments may need to be taxed. Please contact your tax advisor for more information.
No, it is a basic functionality of a blockchain that transactions cannot be retracted. Amounts can only be returned by a new transaction.
The Secret Phrase, Seed Phrase, or Private Key are 24 words that act like a password for a wallet. Whoever is in possession of the private key has the assets of a wallet. That is why a Private Key must never be shared. If an unauthorized person has gained access to your Private Key, please immediately create a new wallet at Elrond or in the Maiar App and transfer your assets to the new wallet.
No, because a blockchain is a decentralized distributed data structure, there is no ‘single point of failure’. This means that there is no central point that hackers could attack.
Maiar is a mobile wallet and global payment app. It aims to reshape the way people interact with money, assets, property titles or other values.
The Maiar Launchpad gives startups that rely on the Elrond blockchain the opportunity to showcase their idea within the Elrond ecosystem and receive funding.
Maiar Exchange is an online platform provided by Elrond. It offers millions of people global and low-cost transactions between a growing number of (tokenized) assets. To do so it leverages the power of the Elrond network. Maiar Exchange is integrated with the Maiar app and is usable from any internet-enabled device.
FAQ EGLD staking
Yes, you can. If you decide to withdraw the amounts (unstaking), the 10-day waiting period for unbinding applies.
Anytime. At the end of each epoch (approximately 4:30pm daily), Rewards will be distributed. Use the “Claim Now” or “Claim Rewards” button in the Wallet. All available eGold will be sent to you immediately. You can delegate the Rewards again at any time (compound interest).
Yes, you can. Each delegation is taken into account for the calculation of the rewards, based on the amount and the time of sending.
- Cryptocurrencies are still a relatively new technology. As a result, some countries lack regulation, which is why cryptocurrencies have not yet been approved as a means of public payment. With future regulation, there will be laws and clarity Regarding taxation, etc. .
- In part, the prices of cryptocurrencies are subject to strong fluctuations. Who trades with it, goes – with high chances of profit – also a high risk of loss.
- Frequently, scammers abuse the anonymous nature of the blockchain and crypto novices are cheated out of their tokens. Therefore, never share your private key with others and do not send cryptocurrencies to people who make promises to you.
No. The power consumption of a crypto network depends on the consensus method used. Cryptocurrencies based on proof-of-work (PoW) consensus require high computational capacity and a lot of power (e.g., Bitcoin and Ethereum). Elrond is based on proof-of-stake consensus (PoS) and requires only a fraction of the power. For comparison, the PoW blockchain Bitcoin requires 57,000 times more energy per year than the PoS blockchain Elrond.
Unlike traditional exchanges, there are no opening hours when trading cryptocurrencies.
Whether you’re a crypto beginner or advanced, check out our FAQ for information on the technology behind the Elrond blockchain, Elrond’s native token EGLD (eGold), Staking, and Istari Vision.
From “Adaptive State Sharding” to “Wallet”: In our glossary, we dive into important terms from the world of blockchain technology and cryptocurrencies. Simple and understandable for everyone.
In our podcast series, we give you insights into one of the most innovative and powerful blockchains in the world and talk to industry representatives about their use cases.
In our screencasts, we show you technical processes, for example functions of the Elrond wallet. Recorded step by step and easy to follow.
A lot is written about the Elrond blockchain technology, Elrond’s native token EGLD (eGold) and use cases for the Elrond blockchain. We have selected articles worth reading for you.
Do you have questions about Istari Vision or the potential applications of the Elrond blockchain?
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