What is Conflux (CFX)?

By CMC AI
21 August 2025 08:48PM (UTC+0)

TLDR
Conflux (CFX) is a regulatory-compliant Layer-1 blockchain combining Proof-of-Work and Proof-of-Stake to solve scalability while focusing on real-world asset (RWA) tokenization and cross-border payments in Asia.

  1. Hybrid consensus model – Uses Tree-Graph architecture to enable high throughput (3,000–15,000 TPS) while maintaining decentralization.
  2. China-aligned infrastructure – The only public blockchain compliant with mainland China’s regulations, facilitating yuan-backed stablecoins and enterprise adoption.
  3. EVM compatibility – Supports Ethereum dApps and smart contracts, lowering barriers for developers.

Deep Dive

1. Technology & Architecture

Conflux’s Tree-Graph consensus (CoinMarketCap) merges Proof-of-Work (security) and Proof-of-Stake (efficiency). This allows parallel processing of blocks, reducing congestion and fees. The upcoming Conflux 3.0 upgrade (August 2025) aims for 15,000 TPS and AI integration for smart contracts, targeting enterprise-grade use cases like cross-border settlements.

2. Ecosystem & Use Cases

Focused on Real-World Assets (RWA), Conflux partners with firms like AnchorX to pilot AxCNH – a yuan-pegged stablecoin for China’s Belt and Road Initiative (Coinspeaker). Its regulatory compliance enables collaborations with state-backed entities, including trials for blockchain SIM cards with China Telecom and metaverse projects with McDonald’s China.

3. Strategic Positioning

Unlike most blockchains, Conflux operates dual networks: a regulatory-friendly chain for mainland China (tokenless) and a public chain (CFX token) for global markets. This unique setup positions it as a bridge between China’s digital economy and decentralized finance.

Conclusion

Conflux is a high-throughput blockchain tailored for regulated, large-scale financial applications, particularly in Asia. Its hybrid architecture and compliance focus differentiate it from rivals like Ethereum. Can its China-aligned infrastructure drive mainstream adoption of blockchain for cross-border settlements?

CMC AI can make mistakes. Not financial advice.
CFX
ConfluxCFX
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$0.191

8.8% (1d)