RE: Volatile7 Dec 2018 07:41
If the previous message has confused any newbies to Factom, it’s strength is it’s protocol. Unlike traditional cryptocurrency models, the protocol uses a two token system.
While Factoids are traded externally like other cryptocurrencies, Entry Credits (EC) are used to write to the network.
First, a user purchases Factoids, which are then burned to create Entry Credits, which are the only payment accepted to write to the blockchain.
The conversion rate between Factoids and Entry Credits is fixed at $.001, allowing for the cost of entry into the blockchain to remain predictable, and NOT dependent on the fluctuating price of a coin.