NEO price rallies as founder outlines plans to develop Ethereum-compatible sidechain
- NEO founder Da Hongfei unveiled plans to develop an EVM compatible sidechain that resists MEV attacks.
- The sidechain will inherit key features from NEO, in addition to higher scalability and faster transactions.
- NEO price posted 8% daily gains, rallying alongside other altcoins.
NEO, an open-source blockchain platform announced the creation of a sidechain that resists Maximum Extractable Value (MEV) attacks and is compatible with Ethereum. This is a key development for NEO as it would boost the scalability and speed of transactions.
In response to the development, NEO price rallied. The asset yielded 8% daily gains for holders on Binance.
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NEO founder announces plans for Ethereum compatibility
Da Hongfei, founder of NEO, unveiled plans for the development of an Ethereum compatible sidechain, at a Hong Kong event. The new chain will inherit the economic model and the Byzantine Fault Tolerance (dBFT) consensus mechanism of NEO, with Ethereum Virtual Machine (EVM) compatibility.
#Neo Founder @dahongfei, announcing #Neo’s New Chapter: an #MEVFree, #EVM compatible sidechain, to ensure security, privacy, and a smooth experience in the increasingly complex #DeFi landscape.
— Neo Smart Economy (@Neo_Blockchain) October 27, 2023
The sidechain is under development. The testnet is planned to be launched at the end… pic.twitter.com/EO9Ck52qGt
NEO’s sidechain is currently under development and will be released by the end of 2023. The release marks a key milestone for NEO holders as it is expected to increase the speed of transactions and help the network scale.
NEO’s environment offers developers the flexibility to write smart contracts in a language of their choice. Further, the sidechain is built to resist sandwich and MEV attacks that affect users on decentralized exchanges.
NEO sidechain plans fuel price rally
NEO price rallied to $8.94 on Binance, marking nearly 8% daily gains for holders. Over the past week, NEO price climbed 35.40%, alongside other altcoins in the top 100 assets by market capitalization.
The bullish developments in NEO are expected to boost the bullish momentum and support the token’s rally.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
