NEM (XEM) Rating= 690/1000
Technology (0 to 300) = 245
- Speed( 0 to 50) = 35
NEM can handle up to 4,000 transactions per second, and its transactions are confirmed after every 60 seconds. This transaction rate puts NEM up top among the fastest cryptocurrencies in the market. However, its time of confirmation, which is similar to IOTA’s, is still prolonged, compared to Stellar’s and Ripple’s which is under 7 seconds. NEM blockchain has the potential to improve their transactions’ confirmation time.
- Cost( 0 to 50) = 40
Transactions in NEM have an associated cost to provide the incentive for Harvesters (Miners), who are responsible for securing the network and running the infrastructure. The transaction fee depends on the transaction size. An important transaction transfer costs 0.05 XEM for every 10,000 XEM, which are necessary for an account to be able to transact.
The transaction fee is capped at 1.25 XEM. For example, a transfer of 45,000 XEM would cost 0.02 XEM, and a fee of 1.25 is charged for a transfer of 500,000 XEM and above. At the current conversion rate, a transfer 500,000 XEM would cost $0.05, which is close to zero and reflects positively on NEM’s cryptocurrency.
- Scalability( 0 to 50) = 45
NEM network process up to 4,000 transactions per second and confirm in less than one minute, which is at par with other top-performing blockchains like IOTA, Ripple, and Stellar. NEM is the first to introduce Proof of Importance (PoI) that takes into account the overall support one offers to the network. PoI seeks to solve the problems (crypto mining hardware/software and computational arms race) in Proof of Work and Proof of Stake protocols used by other cryptocurrencies.
NEM is also introducing a new core engine called Catapult that will increase scalability and speed. Its features are projected to include aggregated transactions, multilayered multi-signature accounts, and native public permissionless interaction. This will make it easy to implement functionality for a sophisticated smart contract without writing code or introducing security flaws to the network.
- Reliability( 0 to 50) = 40
NEM technology applies the Consensus Mechanism and Supernode program to ensure that people can develop on the blockchain without compromising throughput or stability. NEM is by design a most secure, customizable, high performance, and easy blockchain development platform. The peer-to-peer network makes NEM’s network of nodes provide a powerful, stable, and secure platform for conducting Smart Asset transactions. NEM uses Eignetrust ++ algorithm as an anti-spam node filter to protect the network from attacks. NEM is very reliable.
- Environmental Impact (0 to 50) = 50
Proof of Importance protocol makes NEM a most environmentally-friendly cryptocurrency platform since it uses no extra electricity. NEM does not need specialized crypto-mining hardware for harvesting cryptocurrency. It also avoids using extra energy by allowing Delegated Harvesting, which does not require both machines to be powered up.
- Decentralization( 0 to 50) = 35
NEM is decentralized in moderation. Unlike other blockchain technologies, NEM is built with a Smart Asset System, which is a powerful modular customization for almost all application areas. NEM provides direct API access to a specialized set of tested and secure on-blockchain features, instead of having to create a smart contract code from scratch.
NEM also offers deployment on NEM private (Mijin) and public blockchain to increase the flexibility of customized solutions. The public blockchain is decentralized, open-source, and self-sustaining. The private blockchain is customized, to be used on personal servers when speed and privacy are a priority. NEM has an upcoming Catapult core engine that will represent a most practical and secure blockchain for any business data.
Security (-250 to 0) = -35
- Reorg, 51% & Brute Force Attack (100 to 0) = -15
In January 2018, Coincheck was hacked by an unknown hacker(s) who specifically targeted the NEM wallet and stole 523 million XEM worth $530 million. It was alleged that the hackers attacked an employee’s email address to gain access to the NEM hot wallet’s private key.
NEM was able to trace the hack and said they would not perform a fork on their network. NEM said the fork was not necessary because the hack was not due to a flaw in NEM’s source code, but due to relaxed security measures by Coincheck. However, Coincheck owned up to full responsibility for the hack and agreed to compensate 260,000 affected users.
- Potential for Being Banned (-100 to 0) = -15
NEM is the first, most environmentally friendly blockchain to introduce a Smart Contract System, Proof of Importance, and Delegated Harvesting. It is regulatory-compliant and is listed on major exchanges like Binance and Coinbase, currently circulating supply of 9 billion XEM. NEM also presents unique user-cases opportunities for developers and looks to diversify blockchain application areas to more than just cryptocurrency. NEM shows no sign of being banned. The project also works closely with some regulators but never say never in this space.
- Network Vulnerabilities(-50 to 0) = -10
NEM’s peer-to-peer network applies the Eigentrust algorithm to ensure the integrity of nodes by acting as their reputation manager. It makes sure that each node within the network is valid, truthful, and trustworthy resistant, especially to Sybil and loop attacks.
NEM eliminates risks on the blockchain that are brought about by smart contracts by providing a building block customized on NEM functionality. It also provides a private blockchain (Mijin) when the public option is not the right fit. This makes the network highly secure, and NEM should continue keeping the high-security standards.
Use Case (0 to 500) = 340
- Initial Main Use Case (0 to 100) = 60
NEM is primarily a peer-to-peer cryptocurrency and blockchain platform. It is the first to introduce Proof Of Importance, Eigentrust ++, Encrypted Messaging, and Multi-signature Accounts to blockchain technology. NEM has a goal to widen blockchain technology to other areas apart from cryptocurrency with its use cases in various fields like Financial, Business Management, Secure Records, and Decentralized Organisation.
- Mainnet Live (0 to 200) = 200
NEM’s public blockchain was launched on 31 March 2015 and had been running with no interruptions for almost two years. Prior to the launch, NEM went through an extensive Alpha and Beta testing in June 2014 and 0ctober 2014, respectively.
NEM was initially launched as a hard fork of NXT blockchain-based cryptocurrency and payment platform. The developers immediately decided to create their own codebase to make it more scalable and faster.
- Additional Use Cases (0 to 100) = 40
NEM is run by the NEM Foundation, an international network of IT Experts, Entrepreneurs, Business Processes, Trading, Asset Development, Academia, and International Management. The Foundation focuses on improving the NEM Enterprise project while being run by the people for the people. The NEM Foundation is seeking to incorporate a unified approach of the NEM blockchain technology into every Industry, Governments, and Academia.
- Additional Working Products( 0 to 100) = 40
NEM has developed a lot of open source projects with its community. These include:
- NEM Hot/Cold Offline Wallet – can be used to send and receive funds
- ioNEM – combines the Internet of Things with the Blockchain
- Landstead blockchain – a registry for land and property
- nemPay app – for transferring assets easily.
Core Team, Partnerships & Developers (0 to 200) = 140
- Core Team & Developers (0 to 100) = 60
NEM Foundation Executive Committee comprises of, NEM President Alexandra Tinsman, Vice President Jason Lee, Treasurer Dona Rino, and Secretary Laura Takenaka.
The council members include co-founder Jeff McDonald, Steve Li, Anton Bosenko, and Pedro Gutierrez. Senior Technical advisor Yoshinka Okabe leads the global team. Founding members of NEM are Lon Wong Kailin O’Donnell, Erik Van Himbergen, Leon Yeoh, Kristof Van de Reck, QM, Ewan, Ronel Li, Ken Chan, Clayton Bittle, Niko Maenpaa, and Albert Castellana.
- Partnerships( 0 to 100) = 80
NEM has formed many partnerships with different organizations that have become its Enterprise Partner Companies. These include:
- Blockchain for Europe (together with Ripple, Emurgo among others)
- Tech Bureau Corp cryptocurrency and blockchain company that developed Mijin, DragonFly Fintech
- Atraura Blockchain
- Blockchain Global
- Kchain blockchain SI company
- LuxTag brand protection company
- Sumeru Inc global consulting Company
- dtk.io open-source framework
- Asta IT Solutions
- RapidQube for medical records
- Zeus bridge for global financial markets and crypto
- He3Labs consultancy & Development
- Transform PR Public relations company
Visit the following page for an overview of all the Wise Crypto Ratings.