Hemi Foundation price

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The Hemi Network is a Layer 2 solution built to reduce network congestion and improve transaction throughput without sacrificing decentralization or security for which these two blockchains are well known.

Core Concepts and Principles of the Hemi Network Security inheritance: One of the core principles behind Hemi is that it inherits Bitcoin’s robust security in an entirely decentralized way thanks to the innovative Proof-of-Proof (PoP) consensus mechanism. Cross-chain interoperability: Hemi’s “Tunnels” provide a secure way to move assets between chains, vastly improving upon traditional bridge methods. Bitcoin programmability: The Hemi Bitcoin Kit (hBK) unlocks direct smart contract access to a granular Bitcoin state, enabling truly trustless Bitcoin-native applications like staking, lending markets, and MEV marketplaces, which were previously impractical. How Hemi Differs From Traditional Blockchain Architectures Unlike traditional Layer 1 blockchain, Hemi is built to operate as a Layer 2. When operating at this level, it means the Layer 2 doesn’t run on its own base Layer; instead, the Layer 2 will improve the functionality of the Layer 1, much like the Lightning Network for Bitcoin or Optimism for Ethereum.

What distinguishes Hemi from typical Layer 2s is its PoP consensus mechanism and the Hemi virtual machine (hVM). PoP is what enables Hemi to leverage Bitcoin’s security.

Meanwhile, the hVM comprises a Bitcoin node embedded within an Ethereum Virtual Machine (EVM), allowing developers to create advanced Bitcoin-centric applications, such as DeFi solutions, while using familiar Ethereum tooling.

Cross-Chain Applications and Bitcoin-Native Features As touched upon, Hemi Network isn’t just about scaling Bitcoin and Ethereum, Hemi also opens up a wide range of possibilities for cross-chain decentralized applications (dApps) and native Bitcoin functionalities.

These include native Bitcoin staking solutions, where users can stake Bitcoin and maintain self-custody while earning rewards, features typically associated with Ethereum and other programmable blockchains.

These applications will allow for cross-chain lending, decentralized finance (DeFi) solutions, and scalable tokenization of assets in a decentralized manner, all while leveraging Bitcoin’s security.