What Is COTI? A Complete Guide to the Technical Advantages and Ecosystem Value of This Rising Star in Financial Blockchain

Beginner5/12/2025, 6:47:58 AM
COTI is a financial blockchain project based on DAG technology, designed to address the pain points of centralized finance and decentralized finance, with scalability, security, and low-cost features.

What is COTI?

COTI, short for ‘Currency Of The Internet’, is a blockchain financial infrastructure tailored for digital payment networks and stablecoin issuance. Unlike traditional blockchain structures, COTI utilizes DAG (Directed Acyclic Graph) technology and has developed its own Trustchain protocol, achieving higher scalability, faster transaction speeds, and lower fees.

COTI not only meets daily payment needs, but also provides a complete ecosystem, including stable coin issuance, smart contracts, arbitration services, multi-chain architecture, etc., providing strong support for enterprises, merchants, and developers.

How does COTI operate?

Trustchain: Trust-Driven Consensus Mechanism

The core innovation of COTI lies in Trustchain - a consensus algorithm based on trust scores. Each user in the network has their own Trust Score, which affects the speed of verifying and confirming their transactions.
Trades confirmed by high-trust users are faster, incentivizing users to maintain good behavior and form a positive cycle.

DAG Architecture: High-performance data structure

Unlike the blockchain structure of Bitcoin or Ethereum, COTI uses a DAG architecture, allowing each transaction to be processed in parallel, and the system throughput increases with network activity. In theory, COTI can process tens of thousands of transactions per second, solving the scalability bottleneck of traditional blockchains.

Proof of Trust: The combination of trust and proof of work

COTI uniquely combines Trustchain with a lightweight Proof of Work, avoiding the high energy consumption mining issue and effectively preventing network spam transactions.

Key Features of COTI

1. MultiDAG architecture (MultiDAG)

COTI supports multiple coexisting DAGs, each serving different purposes such as stablecoins, dedicated corporate tokens, coupon systems, etc. Each DAG has independent confirmation rules but shares the underlying infrastructure, achieving high scalability and low coupling.

2. Smart Contract

COTI supports on-chain smart contracts, providing decentralized business logic execution capabilities for enterprises and developers. Smart contracts are deployed on specific DAG clusters, with the execution process validated by multiple nodes to ensure security.

3. Arbitration System

COTI has a built-in arbitration mechanism to resolve common disputes in crypto payments. The system introduces an arbitration network, selecting trusted participants based on behavior scores to vote on transaction disputes.

4. Double Spend Prevention

To prevent double spending, COTI introduces DSP nodes, responsible for verifying the uniqueness and validity of balances in transactions, ensuring that each transaction is authentic and reliable.

5. Stablecoin and Enterprise Token Support

Through MultiDAG and smart contracts, COTI allows institutions to issue custom stablecoins, loyalty tokens, etc., with practical value in retail payments, cross-border transfers, and other fields.

COTI application scenarios

  • Daily payments: supports second-level confirmation, fees lower than traditional networks, suitable for e-commerce and retail scenarios.
  • Stablecoin issuance: Financial institutions or enterprises can build stablecoins anchored to fiat currencies or assets based on COTI.
  • Enterprise payment system: build a closed-loop consumption system and membership system through enterprise-exclusive tokens.
  • IoT Device Payments: Lightweight DAG architecture is suitable for IoT’s small and frequent payment needs.
  • Smart contract automation: supports Turing-complete contract languages, combined with a trust system to achieve automatic execution of business processes.

COTI Market Performance

COTI price on May 12, 2025 is around 0.086 USD, with a significant recent price increase, please trade cautiously and be aware of the risks


Image:https://www.gate.io/trade/COTI_USDT

Summary

COTI is committed to creating the ‘Internet of Trust’ by providing a comprehensive solution for digital payments, stable coins, and enterprise blockchain applications through DAG architecture, trust scoring mechanism, and powerful multi-functional infrastructure.
As a project that is novice-friendly, technologically advanced, and with clear business scenarios, COTI may be an important piece of the next Web3 financial infrastructure puzzle.

作者: Max
* 投资有风险,入市须谨慎。本文不作为 Gate.io 提供的投资理财建议或其他任何类型的建议。
* 在未提及 Gate.io 的情况下,复制、传播或抄袭本文将违反《版权法》,Gate.io 有权追究其法律责任。

What Is COTI? A Complete Guide to the Technical Advantages and Ecosystem Value of This Rising Star in Financial Blockchain

Beginner5/12/2025, 6:47:58 AM
COTI is a financial blockchain project based on DAG technology, designed to address the pain points of centralized finance and decentralized finance, with scalability, security, and low-cost features.

What is COTI?

COTI, short for ‘Currency Of The Internet’, is a blockchain financial infrastructure tailored for digital payment networks and stablecoin issuance. Unlike traditional blockchain structures, COTI utilizes DAG (Directed Acyclic Graph) technology and has developed its own Trustchain protocol, achieving higher scalability, faster transaction speeds, and lower fees.

COTI not only meets daily payment needs, but also provides a complete ecosystem, including stable coin issuance, smart contracts, arbitration services, multi-chain architecture, etc., providing strong support for enterprises, merchants, and developers.

How does COTI operate?

Trustchain: Trust-Driven Consensus Mechanism

The core innovation of COTI lies in Trustchain - a consensus algorithm based on trust scores. Each user in the network has their own Trust Score, which affects the speed of verifying and confirming their transactions.
Trades confirmed by high-trust users are faster, incentivizing users to maintain good behavior and form a positive cycle.

DAG Architecture: High-performance data structure

Unlike the blockchain structure of Bitcoin or Ethereum, COTI uses a DAG architecture, allowing each transaction to be processed in parallel, and the system throughput increases with network activity. In theory, COTI can process tens of thousands of transactions per second, solving the scalability bottleneck of traditional blockchains.

Proof of Trust: The combination of trust and proof of work

COTI uniquely combines Trustchain with a lightweight Proof of Work, avoiding the high energy consumption mining issue and effectively preventing network spam transactions.

Key Features of COTI

1. MultiDAG architecture (MultiDAG)

COTI supports multiple coexisting DAGs, each serving different purposes such as stablecoins, dedicated corporate tokens, coupon systems, etc. Each DAG has independent confirmation rules but shares the underlying infrastructure, achieving high scalability and low coupling.

2. Smart Contract

COTI supports on-chain smart contracts, providing decentralized business logic execution capabilities for enterprises and developers. Smart contracts are deployed on specific DAG clusters, with the execution process validated by multiple nodes to ensure security.

3. Arbitration System

COTI has a built-in arbitration mechanism to resolve common disputes in crypto payments. The system introduces an arbitration network, selecting trusted participants based on behavior scores to vote on transaction disputes.

4. Double Spend Prevention

To prevent double spending, COTI introduces DSP nodes, responsible for verifying the uniqueness and validity of balances in transactions, ensuring that each transaction is authentic and reliable.

5. Stablecoin and Enterprise Token Support

Through MultiDAG and smart contracts, COTI allows institutions to issue custom stablecoins, loyalty tokens, etc., with practical value in retail payments, cross-border transfers, and other fields.

COTI application scenarios

  • Daily payments: supports second-level confirmation, fees lower than traditional networks, suitable for e-commerce and retail scenarios.
  • Stablecoin issuance: Financial institutions or enterprises can build stablecoins anchored to fiat currencies or assets based on COTI.
  • Enterprise payment system: build a closed-loop consumption system and membership system through enterprise-exclusive tokens.
  • IoT Device Payments: Lightweight DAG architecture is suitable for IoT’s small and frequent payment needs.
  • Smart contract automation: supports Turing-complete contract languages, combined with a trust system to achieve automatic execution of business processes.

COTI Market Performance

COTI price on May 12, 2025 is around 0.086 USD, with a significant recent price increase, please trade cautiously and be aware of the risks


Image:https://www.gate.io/trade/COTI_USDT

Summary

COTI is committed to creating the ‘Internet of Trust’ by providing a comprehensive solution for digital payments, stable coins, and enterprise blockchain applications through DAG architecture, trust scoring mechanism, and powerful multi-functional infrastructure.
As a project that is novice-friendly, technologically advanced, and with clear business scenarios, COTI may be an important piece of the next Web3 financial infrastructure puzzle.

作者: Max
* 投资有风险,入市须谨慎。本文不作为 Gate.io 提供的投资理财建议或其他任何类型的建议。
* 在未提及 Gate.io 的情况下,复制、传播或抄袭本文将违反《版权法》,Gate.io 有权追究其法律责任。
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