SwarmPrice

(BZZ)

Swarm is a decentralized storage and communication platform built on the Ethereum blockchain, envisioned as the "hard disk" of the world computer. Its purpose is to provide censorship-resistant, permissionless infrastructure for hosting and distributing decentralized applications and their data. Swarm aims to enable a self-sovereign global society and open markets by offering scalable base-layer infrastructure for the decentralized internet.

BZZ is the native utility token of the Swarm network, serving multiple purposes. It is used to access the platform's data relay and storage services. BZZ provides compensation for node operators (called "Bees") who offer bandwidth and storage. Users need BZZ to buy "postage stamp batches," which are essential for publishing data on the network and ensuring its persistence. Additionally, BZZ is required as a non-refundable stake to operate a full Swarm node, making operators eligible to earn more BZZ for providing storage services.

xBZZ is the version of the BZZ token bridged to the Gnosis Chain. While BZZ was initially issued on Ethereum, xBZZ is specifically used for direct interaction with the Swarm network, including staking and purchasing postage stamps. BZZ tokens can be acquired on both custodial centralized exchanges, such as LBank, and decentralized exchanges. For use on Swarm, the Gnosis Chain version (xBZZ) is required.

Swarm originated as a research and development initiative under the Ethereum Foundation in 2015, part of the original "world computer" vision alongside Ethereum (processor) and Whisper (messaging). Although it started within the Ethereum team and was incubated by the Ethereum Foundation, Swarm became an independent project in 2021 with the establishment of the Swarm Foundation. Swarm is designed to extend the blockchain with peer-to-peer storage and communication capabilities, complementing Ethereum's computational layer.

When data is uploaded to Swarm, it is fragmented into small 4KB chunks. These chunks are then copied multiple times and distributed across the network of nodes. Nodes store chunks that are "close" to their own address in the address space, creating clusters of replicated data. This distributed and redundant storage ensures data availability and fault tolerance across the network. Node operators are compensated for storing and retrieving these chunks.

Node operators, known as "Bees," are incentivized to provide bandwidth and storage services. They stake BZZ tokens and receive rewards for storing and retrieving data. The network's incentive system aims to reward operators who provide high-quality services by quickly delivering popular chunks, thereby encouraging network growth and maintenance. The payment for data storage is made upfront for the entire duration, and this amount is locked and released to the node as long as proof of custody is provided.