Blockchain 101 Episode 72 – Crypto asset – New Economy Movement NEM

New Economy Movement, abbreviated as NEM, was created on April 1st, 2015. It was the first cryptocurrency to be built using test-driven development.

What is test-driven development?

It is the carrying out of tests before writing the code.

One example:

During housebuilding, workers lay out a string as guidance for laying the bricks to ensure the wall is straight. If the bricks are laid straightaway, there might be a risk of misalignment.

Test-driven development is the usage of test cases to develop the code. NEM adopts the Proof of Importance (PoI) consensus mechanism which determines reward distribution based on transaction volume, level of activity as well as other factors. It takes 60 seconds to process a block, which is considerably faster than Bitcoin and Litecoin.

The total supply is capped at 9 billion, with all supply being issued after its token sale, no block reward is generated for each new block added. Block rewards are limited to transaction fees which makes it less attractive to latecomers.