NEM (XEM)

Financial Services

NEM is used for payment processing, clearing, and settlement in financial environments. It supports secure and transparent transactions, making it easier to build financial applications.

Asset and Document Management

NEM enables notarization and tracking of documents through its Apostille solution. This helps prove ownership and authenticity of digital records.

Supply Chain and IoT

NEM can track goods and assets in supply chains, including food and pharmaceuticals, by linking IoT devices to the blockchain for transparent and tamper-proof records.

Real Estate

NEM supports secure and transparent property transactions by recording ownership and transfer details on its blockchain.

Blockchain Development

NEM offers a platform that is easier to build on compared to some other blockchains, allowing developers to create decentralized applications (dApps) efficiently.

General Use

NEM’s blockchain technology is designed to be versatile, supporting a wide range of applications that require decentralization, security, and transparency.

Pros of NEM

• Unique Consensus Algorithm: Uses Proof-of-Importance (PoI), which rewards users based on their activity and stake, encouraging network participation beyond just holding coins.
• High Speed and Scalability: Can handle around 3,000 transactions per second, much faster than Bitcoin.
• Smart Asset System: Allows creation of custom digital assets called mosaics and namespaces, useful for businesses.
• Low Resource Requirements: Mining (called harvesting) can be done on a normal computer without heavy energy use.
• Enterprise Focus: Designed for business use cases like supply chain management, ICOs, and secure data handling.
• Java-Based Code: Built from scratch in Java, making it accessible for developers familiar with this language.
• Delegated Harvesting: Enables users to delegate mining rights, making participation easier.

Cons of NEM

• Lower Adoption: Not as widely recognized or used as major blockchains like Ethereum or Bitcoin.
• Limited Exchange Listings: Not available on some major exchanges, which can limit liquidity and price growth.
• Smaller Community: Compared to bigger projects, it has fewer developers and users, which can slow innovation.
• Competition: Faces strong competition from other smart contract platforms and blockchains with larger ecosystems.
• Less Focus on Currency Use: NEM’s native token XEM is less used as a payment method, focusing more on business applications.

For more details, visit the official NEM website or community channels.

Founders of NEM

• The main founder of NEM is known by the online name UtopianFuture, who started the project in early 2014.
• Lon Wong is a co-founder and was the first President of the NEM Foundation, which supports the development and promotion of NEM.
• Contrary to some claims, Makoto Takemiya was not a founder or lead developer of NEM, though he was involved in related blockchain projects.

These individuals helped create and grow NEM into a unique blockchain platform with its own cryptocurrency called XEM.

Institutional and Strategic Investors

NEM is supported by the NEM.io Foundation, a Singapore-based non-profit organization that leads its development and promotion. The foundation has attracted a broad community of developers, enterprises, and blockchain enthusiasts rather than traditional venture capital firms.

Community and Individual Investors

Many investors in NEM come from the global crypto community, including retail investors and enthusiasts, especially in Japan where NEM has a strong presence. The project’s Proof-of-Importance (POI) system encourages users who actively participate in the network to be recognized as important stakeholders.

Partnerships and Ecosystem Support

NEM has formed partnerships with government bodies and enterprises, such as the Malaysia Digital Economy Corporation (MDEC), which supports its adoption and ecosystem growth. These partnerships help bring institutional interest and indirect investment into the project.

Summary

• NEM.io Foundation leads development and ecosystem growth.
• Strong community and retail investor base, especially in Japan.
• Strategic partnerships with governments and enterprises support adoption.

For more details, visit the official NEM website or the NEM.io Foundation pages.

Halal Status of NEM

• Yes, NEM is considered halal by several Islamic finance screening sources.
• It uses a Proof-of-Importance (POI) consensus mechanism, which rewards users based on their activity and stake without involving interest (riba).
• NEM’s project and token have been reviewed by Shariah governance boards and halal crypto auditors who found no elements of riba, gharar (excessive uncertainty), or maisir (gambling).
• The platform aims to provide real-world utility through blockchain technology, aligning with Islamic finance principles.

For more details, you can visit Crypto Ummah’s assessment of NEM.