Introduction
Conflux Network, launched in October 2020, is a Layer 1 public blockchain project developed by the Conflux Foundation (established in 2018). As China’s only regulatory-compliant public blockchain, it bridges domestic and international enterprise needs with its high-performance decentralized infrastructure.
Key milestones:
- Led by Turing Award winner Professor Andrew Yao as Chief Scientist.
- Backed by a $5M Shanghai government grant, marking China’s first public-chain investment.
Vision and Mission
Vision: Build a trustless, secure, borderless ecosystem where decentralized applications thrive for decades.
Mission: Advance China’s role in global blockchain governance through scalable infrastructure and developer-friendly tools.
Unique Features and Advantages
1. Hybrid Consensus Mechanism (PoW + PoS)
- PoW: Ensures decentralization via GHAST rules (enhanced GHOST protocol).
- PoS: Votes on pivot blocks to prevent 51% attacks, boosting finality speed.
- Throughput: Achieves 3,000–6,000 TPS, rivaling PoS chains while retaining PoW’s security.
2. Tree-Graph Structure
- Unlike linear blockchains (e.g., Ethereum), Conflux’s DAG-like design processes parallel blocks via tree-graph ordering, maximizing efficiency.
3. EVM Compatibility
- Seamless migration for Ethereum dApps, reducing development costs.
4. Hong Kong Web3 Integration
- Partnered with China Telecom HK for blockchain SIM cards.
- Engaged in Hong Kong’s digital currency pilots, positioning as a "Hong Kong Concept" leader.
Team and Development
Core Team
- Long Fan (Founder): MIT CS PhD, UToronto professor.
- Zhang Yuanjie (Co-founder): Ex-Wall Street hedge fund manager.
- Wu Ming (CTO): Former Microsoft Research senior engineer.
Key Milestones
| Year | Achievement |
|---|---|
| 2018 | $35M seed round (Sequoia China, Huobi). |
| 2020 | Mainnet launch; Tree-Graph Research Institute founded. |
| 2023 | $10M investment from DWF Labs; BSIM card launch. |
Tokenomics ($CFX)
- Total Supply: 5B CFX (initial).
Allocation:
- 40% Ecosystem Fund
- 36% Team/Investors (4-year vesting)
- 16% Private Sale
- 8% Community.
Use Cases:
- Staking rewards.
- Gas fees.
- Governance voting.
Ecosystem Highlights
dApps and Tools
- DeFi: Swap, lending protocols.
- Wallets: Fluent Wallet.
- Stablecoin: CNHC (CNH-pegged).
NFTs and Metaverse
- Taopai: 8M+ NFTs minted (e.g., AI-generated art for The Xinmin Weekly).
- Lantern DAO: Former Conflux metaverse builder team.
Enterprise Adoption
- China Telecom: Blockchain SIM cards.
- Binance/OKX: Wallet integrations.
Risks and Opportunities
Risks
- Market volatility: CFX price fluctuations.
- Regulatory uncertainty: China’s evolving crypto policies.
Opportunities
- Hong Kong expansion: Digital asset牌照 (2023).
- Institutional partnerships: e.g., DWF Labs’ funding.
FAQs
Q1: Is Conflux truly decentralized?
A: Yes—its PoW+PoS hybrid model balances security with scalability.
Q2: How does Conflux compare to Ethereum?
A: Higher TPS, lower fees, and full EVM compatibility.
Q3: What’s next for Conflux?
A: Focus on enterprise adoption and cross-chain interoperability.
Disclaimer: This report is for informational purposes only. Always conduct independent research before investing.