The NEM blockchain project was founded in 2015. It is a digital asset management platform that can be created according to needs, financial technology systems, logistics tracking systems, initial coin offerings, notarization, decentralized identity verification, etc. Since the system is autonomously an open, decentralized, self-supporting NEM public blockchain, not only can anyone use the NEM blockchain completely autonomously, but developers can also build on NEM. New Economic Coin (XEM) is the native token of the NEM network, enabling instant payments and transfers anywhere in the world. XEM can also be used to pay transfer fees, create tokens, encrypt messages, or some other features.

1. Project Features

NEM has an original namespace/smart asset system, which is similar to the domain name/page structure in the Internet era. Each user can easily apply for their own namespace and publish assets on the public chain. XEM is the on-chain asset released in the basic namespace of NEM. NEM is a Java-based blockchain system programmed from scratch. The digital asset XEM running on it has the following basic features:

• Perfect collection value – the total amount of XEM is constant, never inflation
• Convenient transaction – good on-chain transaction carrying capacity, very high TPS
• Harvesting system – holding coins to obtain passive income
• High efficiency – the operation of the blockchain will not generate a large amount of power demand and energy consumption
• Large demand – XEM is required for bookkeeping and publishing smart assets on the public chain

2. NEM blockchain architecture

Figure 1 NEM blockchain architecture

The NEM blockchain platform is built by a network of nodes, and all nodes run NEM's core node server software. Together, these nodes provide a powerful, easy-to-use, stable and secure platform on which smart assets can be traded, searched and permanently recorded to the blockchain ledger. To this end, nodes on this network have two basic functions:

1. API gateway server
First, each node provides an API gateway, which applications can use to access the blockchain and its functions. This means your application does not need to run any complex node software. All usage functions are available through the API interface on each node of the network itself. This means that blockchain can be used to create various solution architectures with lightweight code in any language.
Some examples of possible solution architectures:

Figure2 API Gateway Server Solution Architecture Example< /p>

2. Blockchain node network
Second, each NEM node builds a peer-to-peer blockchain network with other nodes. All in all, the network creates and supports the blockchain itself. The NEM node software verifies transactions, maintains a database, synchronizes with other nodes, and maintains stability and trustworthiness to create a fast, secure and scalable network.
Some of its features include:

•Proof of Importance (PoI)
NEM's consensus is built on a unique Proof of Importance algorithm that uses a technique similar to Google's PageRank to Various attacks on the trustworthiness of blockchain transactions. It works the same as the typical proof-of-work (PoW) mechanism used by Bitcoin and others, but is more scalable and energy-efficient. This allows nodes to run on virtually any hardware while still providing an absolutely secure network that can scale infinitely.
•Eigentrust++
NEM implements a modified version of the Eigentrust++ algorithm, which allows nodes to intelligently judge the "reputation" of other nodes and reject bad behavior, and The best way to balance the load across the network.
•Spam Protection
NEM nodes implement a built-in spam filter that prevents a flood of transactions from flooding the network, automatically ensuring throughput while not rejecting good transactions.
•P2P Time Synchronization
In order to synchronize time independently of any external entity (such as NTP), NEM uses a custom time synchronization protocol. The protocol ensures that nodes are constantly in sync, leading to network time consensus. This guarantees reliable timestamps, which are crucial in blockchain technology.
•Network Incentives Through Harvesting
The scaling of public blockchains is self-incentived through "harvesting". Anyone can create public nodes, increasing the capacity of the network. The ability for nodes to collect fees associated with any transaction they happen to process can make the added capacity pay off. The likelihood of any given node harvesting is measured by its account PoI "importance" score (rather than the processing power it possesses).

3. Application of NEM project

1. Financial Payments
Financial services companies can use NEM to make instant payments and transfers anywhere in the world. One of NEM's key strengths is its ability to seamlessly interface between public and private blockchains. This means you can transfer currency, tokens or files from your company's internal network to another company's network via a public blockchain.
2. Create your own cryptocurrency
NEM's smart asset system allows you to define and launch your own token or cryptocurrency without programming. Just open the client and define the name, number of coins, divisibility, transferability and levy and you are done. You can trade for free with new coins, or set a transaction fee of any amount.
3. Mobile payment
You can use NEM's cryptocurrency XEM, or create your own cryptocurrency on NEM. NEM is an excellent choice for mobile retail payments. NEM blocks are finalized every 60 seconds, enabling transactions to be confirmed quickly enough for everyday use. Transaction fees are kept low enough to make even small purchases a reality. NEM's mobile wallet supports the barcode function, making it easy to pay without entering an address.
4. Stock market
The stock market is very inefficient in terms of post-trade clearing, payment and settlement. Trade matching occurs at the rate of hundreds of transactions per second, but the clearing and settlement of inventory takes more than two days to complete. Since current systems and practices are based on outdated legacy process practices, the stock market should consider a complete system overhaul. NEM blockchain technology is a suitable core component to redesign the stock market ecosystem and could save the industry billions of dollars in operating expenses every year.
5. Escrow Services
NEM can form the basis of Escrow Services. You can set up trustless accounts to manage the transfer of currencies, tokens, data or any other assets. You can also set the minimum number of digital signatures (up to 32) required before a transfer can be performed.
6. Liquid assets
The network has set XEM to a permanently fixed amount, which means there will never be inflation. Every transaction on the public blockchain requires a small transaction fee to ensure demand for XEM coins over time. Users also need XEM to pay for token creation, encrypted messaging, and other features. This makes XEM a great store of value.

Related Links:

https://nem.io/technology/
https://nem.io/enterprise/