What Is Covalent (CQT)?

Covalent (CQT) is an open-source network that provides aggregated data from the leading blockchains, including Avalanche, Binance Chain, Ethereum, Polygon, etc. The Covalent network aims to become a one-stop shop for blockchain data, wherein developers can easily access a complete, accurate, and timely overview of the blockchain ecosystem. Using the Covalent platform, developers can build multichain applications like crypto wallets, NFT galleries, and user dashboard tools utilizing other blockchains' data.

According to the CQT whitepaper, the existing blockchain provides a new frontier for developing enterprises, software developers, and users. But, due to the decentralized architecture of the blockchains, applications of technology face issues ranging from finance and retail to personal identity and cryptocurrency. Thus, the Covalent network aims to provide a unified application programming interface (API) software. API is the collection of protocols and software building applications that enables companies to open their application data.

The network aims to provide users with key features such as:

• Complete visibility where entire blockchains’ data can be indexed, decoded, and made available for developers.

• Supporting multiple blockchains to work across different platforms.

• A marketplace for use-cases where developers can create and list their API endpoints.

• Approachable to nontechnical users with no codes to be written by developers.

• Enriched decoded data into a format that developers can immediately use.

• A decentralized indexing-query middleware. CQT is the native token used for various cases on the Covalent network. CQT follows the standards of the ERC-20 token running on the Ethereum blockchain. The network utilizes the CQT token for governance, staking assets, and infrastructure currency. The CQT token holders can cast votes on proposals to change the system parameters as a proof-of-stake governance token. Furthermore, the token is used as a reward for fulfilling query requests on the Covalent platform.

History of Covalent (CQT)

In 2017, Ganesh Swami and Levi Aul were behind the launch of Covalent. Later, in April 2021, a team of experts in finance, blockchains, databases, and distributed systems released the Covalent whitepaper. The whitepaper suggested that the platform seeks to issue a maximum of 1 billion CQT tokens at genesis. As per the 2021 annual report of the Covalent, the platform executed two governance proposals and sponsored 20 hackathons.

References

1. https://www.coinbase.com/price/covalent

2. https://www.covalenthq.com/

3. https://www.coinbase.com/learn/crypto-basics/what-is-a-blockchain

4. https://www.coinbase.com/cloud/discover/protocol-guides/guide-to-bsc

5. https://www.coinbase.com/learn/crypto-basics/what-is-ethereum

6. https://www.coinbase.com/learn/crypto-basics/what-is-polygon

7. https://www.coinbase.com/learn/crypto-basics/what-is-a-crypto-wallet

8. https://www.covalenthq.com/static/documents/Covalent%20Whitepaper%20Apr%202021%20v1%20Branded.pdf

9. https://www.coinbase.com/learn/crypto-basics/what-is-cryptocurrency

10. https://www.coinbase.com/learn/crypto-basics/what-is-staking

11. https://www.coinbase.com/learn/crypto-basics/what-is-proof-of-work-or-proof-of-stake

12. https://www.coinbase.com/learn/crypto-basics/what-is-a-token

13. https://help.coinbase.com/en/coinbase/getting-started/crypto-education/what-is-erc20

14. https://www.covalenthq.com/blog/2021-annual-report/

15.https://www.ibm.com/cloud/learn/api