The Golem ecosystem is a decentralized supercomputer powered by the Golem (GNT) cryptocurrency.
Uniquely, Golem’s decentralized supercomputer operates on hundreds or thousands of servers and personal computers all over the world. On the other hand, a traditional supercomputer runs on just one giant mainframe.
Hence, a traditional supercomputer is expensive and only available to wealthy or well-connected users. For example, a software developer or scientist will pay hundreds or thousands of dollars for access to a supercomputer.
In addition, traditional supercomputers are vulnerable to sabotage, malfunctions, hacking, natural disasters, equipment failure, malware, and military attacks. For example, one saboteur with a sledgehammer can destroy a traditional supercomputer mainframe.
Golem (GNT) is a decentralized supercomputer in the blockchain
Golem (GNT); on the other hand, can operate on hundreds or thousands of computers all over the world.
To explain, Golem pays computer owners who let the supercomputer operate on their machines with GNT. Notably, Golem will send payments through an Ethereum-based transaction system.
Using Ethereum enables Golem to pay in the third most popular cryptocurrency Ether or Ethereum (ETH). However, I could not find Golem (GNT) in Bancor’s liquidity network.
Importantly, the Bancor Protocol offers fast conversion into Ethereum (ETH), and the many ERC (Ethereum Request for Comment) tokens. That includes the ever-popular ERC20tokens, for instance.
Why the Golem (GNT) decentralized supercomputer needs EOS (EOS)
In addition, Bancor on EOS and the BancorX protocol provide fast conversion to the EOS (EOS) cryptocurrency. EOS compatibility could be valuable because EOS promoters like hedge fund fat cat Michael Novogratz boast EOS can process up to 5,000 transactions per second (TPS).
If Novogratz’s claim is true, EOS has solved the infamous blockchain scalability problem that plagues Ethereum and Bitcoin (BTC). To explain, older cryptocurrencies like Ethereum (ETH) can only process small numbers of payments at a time.
For instance, Ethereum payments systems; like the one Golem is using, can only process seven to 20 transactions a second. Hence, Golem’s payments system could crash if 30 computers try to collect payment at once.
On the other hand, EOS (EOS) claims to have solved the scalability problem. Thus, EOS compatibility could make it easier for Golem to pay large numbers of computer owners.
The Golem (GNT) Marketplace and decentralized supercomputer
Golem (GNT) decentralized super computer will needa solution to the blockhain scalability problem because they designed its ecosystem as a marketplace for supercomputer services.
For instance, a movie director adding computer-generated imagery (CGI) special effects will log onto Golem. The director will generate the CGI animation she needs for her film in Golem’s blockchain network.
Importantly, Golem has released a CGI rendering application called Brass Golem. There are many lucrative uses for CGI including; movie and TV production, animation,video game production, video production, engineering, advertising, marketing,website design, blogging, industrial design, and architecture to name a few.
Golem (GNT) is building a GitHub for decentralized supercomputer apps
Besides supercomputer time, Golem has built a marketplace for supercomputer applications. Brass Golem, for example, is an app designed to run on supercomputers.
To explain, a producer that wants to use Brass Golem to add CGI to her movie will have to pay for it in Golem (GNT). Thus, the producer will have to buy GNT to use Brass Golem.
Hence, Golem could create a lucrative market for supercomputer apps or DApps (decentralized applications). Interestingly, such a market will be like GitHub,the software registry operator.
Notably, Microsoft(NYSE: MSFT) paid $7.5 billion to acquire GitHub earlier this year. Like Golem, GitHub functions as a decentralized marketplace for a wide variety of apps.
Interestingly, Golem’s ecosystem includes an application registry similar to GitHub’s and a transaction framework for supercomputing apps. Hence, we can also call Golem an“App Store” for supercomputing solutions.
Will the Golem (GNT) Decentralized Supercomputer tap a Lucrative Business?
Thus, Golem’s network contains two potentially lucrative businesses; decentralized supercomputing, and supercomputer apps. Supercomputing could generate a lot of money because there are numerous uses for it.
A sample of the potential uses for decentralized supercomputing includes: artificial intelligence, scientific research, finance, virtual reality, CGI, animation,movie and TV production, insurance, risk management, risk analysis, financial analysis, video production, video game production, e-commerce, corporate administration, government administration, cryptography, cryptocurrency mining,gaming, gambling, exchanges, app development, social media, payments, banking,trading, investments, hedge funds, planning, and medical research.
How the Golem (GNT) decentralized supercomputer could cash in on Datacenters
In addition, there are millions of businesses that could join Golem’s decentralized supercomputing network. Statista estimates there were 8.4 million datacenters in the world in 2017, for instance.
Each datacenter with idle servers is a potential host for Golem (GNT) decentralized supercomputer. Hence, Golem could theoretically create the world’s biggest and most powerful supercomputer.
Datacenters will have a strong incentive to take part in Golem because it costs money to maintain idle servers. For instance, datacenters have to pay for electricity and air conditioning even if servers are unused. Golem could enable datacenter sand other organizations to profit from idle computers or supercomputers.
So what Does Golem Mean Anyway?
A Golem is a monster from Jewish folklore. Usually, the Golem is a big clay monster Rabbis or kabbalists (Jewish mystics) create to defend a Jewish community.
However,a Golem can also refer to any creature made from clay via magic. For instance,the Talmud describes a group of hungry rabbis who create a calf from clay for dinner. Notably, the word Golem translates as the embryo.
Additionally, Golems are a common trope in American pop culture. For instance, I first encountered the concept in an old Invaders comic book; in which a Golem helps Captain America fight Nazis.
Not surprisingly, a Golem is at the center of Michael Chabon’s novel The Amazing Adventures of Cavalier & Clay. Importantly, that novel is a heavily fictionalized account of the origins of Marvel Comics.
How valuable is Golem (GNT)?
Golem (GNT) is an impressive cryptocurrency because its creators have a business plan that might make money in the real world. However,that plan appears to be far from reality.
As a cryptocurrency Golem (GNT) has some impressive attributes including a Market Capitalization of $63.845 million on 18 December 2018. That led to a Coin Price of 6.65¢ on the same day.
Golem achieved a 24-Hour Market Volume of $3.331 million on 18 December 2018. They based those figures on a Circulating Supply of 959.842 million GNT and a Total Supply of one billion GNT.
CoinMarketCap ranked Golem as the 60th largest cryptocurrency on December 18,2018. I think that ranking is accurate based on Golem’s attributes and potential.
If you are looking for an interesting speculative cryptocurrency that is flying under the radar Golem (GNT) is worth a look. However, I do not think Golem (GNT) will have any serious value until its decentralized supercomputer makes money.