When a new crypto startup is launched, it comes with a massive expectation that projects it as the next big thing. However, not every project has that possibility. Some projects aim lower, and some just try to make what’s already available a little better and more useful.
Quantstamp is one of the latter. Instead of creating a whole blockchain in the hope of becoming the de facto cryptocurrency that rules the charts, Quantstamp runs on top of the Ethereum blockchain. And, instead of performing a new, potentially unnecessary niche service, Quantstamp’s objective is much simpler: To bring assurance, security, and trust to Ethereum’s smart contracts.
Quantstamp’s existence as a coin is justified by its operational strength. It scans smart contracts and looks for flaws or vulnerabilities in them. While it might sound silly to have a program look for errors in automated contracts, each code is interpreted literally, and this often leads to unexpected weaknesses and loopholes. In an environment where a code has specified a standard, Quantstamp provides an invaluable service by revealing potential problems before anyone exploits them, ideally before the code even goes live. Their main service is geared towards other blockchain entrepreneurs rather than towards the mainstream. Most smart contracts in the Ethereum blockchain are created by companies rather than individuals. In this regard, a loophole discovered in a smart contract that has thousands, if not millions of dollars invested in it, would be devasting for a business. By targeting larger corporations, since they’re the ones more likely to care about this – Quantstamp has identified a niche market. Companies can purchase the QSP’s actual services, and anyone can trade or obtain the currency. Quanstamp is mined with a proof-of-audit protocol that rewards the user for lending processing power to aid in scanning smart contracts for vulnerabilities.
Quantstamp is the brainchild of Steven Stewart & Richard Ma. Both of them are software engineers with extensive experience in security software. The company leadership is comprised of about a dozen experts in their respective fields with PhDs and ample experience in working with security audits for informatic ecosystems. Quantstamp has grown nicely over the short time since its launch in April 2019, and it has been hailed as the Verisign of blockchains. The company currently has offices in San Francisco, Toronto, Taipei, and Tokyo, giving it quick access to the largest current crypto markets. As cryptocurrency penetration grows, one could expect Quantstamp to keep expanding its operations to cover newer markets.
Quantstamp is one of those cryptocurrencies that seem to have more pros than cons. It performs a necessary service, leading a market that’s only likely to grow as cryptocurrencies keep gaining a foothold in the global economy. This makes Quantstamp one of the best blockchain projects out there, even if it isn’t one of the most traded or sought-after cryptocurrencies. That said, Quantstamp faced a huge public backlash recently over what some consider to be a transparency problem with the company and its activities. In late 2018, proof surfaced that the company had accepted payment for its services in USD and Ether, shaking the trust of many of its token holders. The logic behind this trust issue was that if the company accepts payments in currencies other than QSP, then QSP as a cryptocurrency is unnecessary since its inventors have no faith in its stability as a measure of value. This point of view can be thought of as short-sighted – after all, Bitcoin is immensely valuable even when most people cannot properly articulate its uses.
It’s almost impossible to think of a world where companies like Quantstamp don’t thrive. Security and system audits are already a hot commodity in the IT sector – and when smart contracts become commonplace, the demand for QSP will also grow. Unless a mass exodus of users from the ETH network, poor corporate practices or some scandal takes place, Quanstamp should be around for the long run as the company’s target market is sure to grow by the day. QSP should still be able to maintain a fair market valuation and, if things go well, post a good ROI as it marches into the future.