The Graph is a decentralized indexing mechanism and a global API designed to gather, process, and store data from blockchains such as Ethereum and Filecoin, making it available for retrieval. In other words, The Graph works like Google in the digital currency space. The platform was made to help developers collect and use data that will ultimately be needed to improve their decentralized application’s performance. The project allows users to build and publish “subgraphs” or APIs on which applications can query a peer-to-peer indexing network with the use of GraphQL to retrieve data from the blockchain.
Founded by startup developers Yaniv Tal, Jannis Pohlmann, and Brandon Ramirez in 2018, The Graph has made $19.5 million in token sales in 2019. About 21% of the startup token was sold to investors like Digital Currency Group, Coinbase Ventures, and Multicoin Capital. On February 12, the digital currency reaches its highest price of $2.88 before dropping to $1.01 in November.
The Graph GRT
The native currency used in the Graph network is the GRT which is an ERC20 utility token based on the Ethereum blockchain. Indexers, curators, and delegators use it to do their roles or fulfill their tasks and earn fees from the software. Users in The Graph environment would need GRT to allot for the curation and indexing services with the network. For consumers, the GRT is for paying for querying data. Meanwhile, indexers need GRT currency to create or participate in subgraphs or as collateral for the information they provide. Therefore, if their data are incorrect or fallacious, then, a fraction of their deposit will be forfeited. Curators, on the other hand, use the native currency to vote for a subgraph.GRT also serves as a governance token. With GRT coins in possession, a user can vote on changes to the network.