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How To Buy Lisk Online in 2022

Last updated 18th Aug 2022
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Lisk is a blockchain platform aimed at easing the creation of decentralized applications(dApps). Lisk, an open-source project, seeks to make it possible for everyone to enjoy the benefits of blockchain technology by facilitating the ease of creation of dApps.

This article will guide you to understand Lisk and what to watch out for in 2021.

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What Is Lisk (LSK)?

Lisk is a blockchain application platform powered by LSK tokens that enables the production and deployment of decentralized applications.

Most applications are running on Javascript. Lisk seeks to take advantage of this, making this programming language a core base.

Lisk also allows developers to create applications on sidechains connected to a Lisk network using their tokens. Sidechains were designed like auxiliary blockchain that integrates into the Lisk network and provides autonomy to projects developed on the Lisk mainchain.

The platform runs on a shared network based on a Delegated-Proof-of-Stake (DPoS). Unlike the proof of work protocol used by Bitcoin, DPoS utilizes a consensus algorithm.

Lisk boasts of being one of the earliest blockchains to facilitate dApp development. Oliver Beddows and Max Kordek developed this application development platform in early 2016. As a result, 100 million LSK were initially released into the Lisk blockchain.

Lisk resulted from a hard fork of Crypti, another platform that was javascript based.

Currently, the market capitalization for Lisk stands at around $615 million. There are about 144 million LSK coins in total supply today; however, there are only 128 Million coins in actual circulation.

In its initial coin offering, 100 million LSK tokens were created and shared among founders, development team, and supporters, in the process raising about 14,000 Bitcoins with an approximate value of $5.7 million.

Pros

Lisk provides developers with the ability to create dApps on the sidechain. This ensures that the Lisk network remains scalable, with applications developed and deployed having no performance risk on the Lisk network.
User friendly - The use of Javascript makes it easy for many developers to create and publish applications easily on the Lisk blockchain
Developer friendly - The sidechains facilitate easy data exchange with the Lisk mainchain.
Tools - Lisk provides a rich collection of tools that assist developers to start creating dApps easily. In this way, it attracts engineers that bring blockchain use to the fore in everyday life use
DPoS - Lisk makes use of delegated proof of stake (DPoS), which facilitates decentralization. It helps in speeding up transactions

Cons

There are potential flaws in the DPoS implementation, making it possible for a group of delegates to capture the whole blockchain
Extended block time – when a delegate cannot forge a block within the designated 17 minutes, the block moves around, causing a delay of about 10 seconds before a transaction is confirmed.
Lisk is still a young network, unlike Ethereum and Neo used in the production of dApps which have developed over many years.

How Does Lisk (LSK) Work?

Lisk aims to lower the entry barrier into the production of applications in the blockchain ecosystem.

Lisk comes with a set of tools in the software development kit (SDK) that facilitates the creation and publishing of custom dApps. In other instances, developers have to hassle to come up with a blockchain from the ground up. There are four standout features in the SDK:

Sidechain

  • Used by developers to create an offshoot (auxiliary blockchain) from Lisk that makes it easier to develop and publish apps.

Consensus algorithm

  • The use of DPoS, verifies transactions on the network.

Frontend

  • This represents the user interface and how users interact and transact on the Lisk blockchain.

Backend

  • This end relies on the sidechain for customization to meet the application specifications.

Lisk has taken full advantage of the delegated proof of stake(DPoS), a consensus mechanism. This same mechanism is also used for the sidechains.

DPoS derives its advantage over proof of work used by cryptos like bitcoin because it avoids costly hardware. It utilizes delegates who validate transactions. Owners of the LSK token are given the right to vote for 101 delegates who control the master node on the shared network. Governance rules dictate that when a delegate operates inappropriately, they lose their delegate right, and the network resumes operations as envisaged.

How to Buy Lisk (LSK)

Lisk is available on some popular cryptocurrency exchanges. Currently, you cannot use fiat currency to purchase Lisk. Instead, you will need to have some bitcoin to exchange for Lisk. Some exchanges allow transfer from other coins with pairing options such as LSK/BTC, LSK/ETH, and LSK/Altcoin.

Steps to Buy Lisk (LSK) with Bitcoin

Use these simple steps to buy LSK using BTC.

Step 1: Open an account
Step 2: Acquire LSK
Step 3: Transfer your LSK

Before purchasing Lisk, you will have to download the Lisk Nano wallet, available on the Lisk website. Some of the exchanges you can buy Lisk include:

  1. Binance

  2. Bittrex

Congratulations, you've just bought your first Lisk!

How to Trade Lisk (LSK)

Users usually trade their LSK to BTC or ETH or vice versa. Follow these simple steps to trade LSK.

Step 1: Select a broker and deposit your funds
Step 2: Set up your account
Step 3: Go long or sell

Some of the popular brokers you can use while trading LSK include:

  1. Coin Kong Trader

  2. ETX Capital

Khashayar Abbasi

Khashayar Abbasi

Khashayar discovered Bitcoin back in 2014 and has since spent countless hours researching the different use cases of cryptocurrencies. He has a bachelor's degree in International Relations and has been a writer in the financial services industry for nearly half a decade. In his spare time, Khashayar enjoys photography, cycling, and ice skating.