When embarking on the development of a blockchain-based product, it's crucial to meticulously weigh both technical and non-technical considerations in choosing the most fitting blockchain network. Beyond the evident technical intricacies like gas fees, prioritizing product and business-related factors is paramount.
Starting with the Product and Users
Instead of immediately delving into technicalities, it's prudent and khan contemplate the product's nature and its target audience.
Key Questions:
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User Activity: Identify+ are already active. Opting for a blockchain with an existing user base facilitates smoother adoption.
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Success Stories: Explore successful products within the category on specific blockchains as an indicator that the technology aligns with your use case.
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Infrastructure for Non-Technical Users: Consider factors such as wallet accessibility, fiat on-ramps, regulatory clarity, and documentation resources. These are pivotal for non-technical user support.
Evaluating Technical Factors
Once aligned with business and user considerations, a more in-depth analysis of technical aspects for each blockchain is warranted.
Key Questions:
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Throughput and Latency: Assess the network's capacity for transactions per second and transaction confirmation speed based on your product's needs.
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Programming Language and VM: Examine the language used for smart contracts and potential limitations in supporting specific features. Compatibility of the virtual machine (VM) is crucial
- Portability Considerations: Understand the requirements for migrating or interconnecting your product with other chains in the future.
Look at the Community Around
After validating the aforementioned factors, evaluating the community surrounding the blockchain becomes crucial.
Key Questions:
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Development Team Familiarity: Familiarize yourself with the blockchain's development team.
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Community Size: Gauge the size of the developer and tech community around the blockchain.
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Support Responsiveness: Assess how quickly you can obtain answers to your queries from both official support channels and the community.
Final Thoughts
Adopting a phased approach is recommended. Post-evaluation, compile a list of potential blockchain candidates, enabling an estimation of product development requirements and unit economics. Additionally, understanding the decentralized applications (dApps), developer base, and community engagement for each blockchain aids in predicting the future valuation of the native cryptocurrency.
