Amazon Web Services (AWS) and Avalanche “collaboration” will make it almost immediately easier for developers to establish nodes on the Avalanche blockchain, including “one-click node deployment,” as carefully explained last week. should be
Ultimately, it may become easier for day-to-day businesses (i.e. non-crypto related companies) and even individuals to establish their own subnets like smaller private Layer 2 blockchains. not.
But perhaps the overriding message of the January 11th announcement is that the blockchain revolution is not just about cryptocurrencies. The mundane things are also important, such as keeping documents safer and better stored for quick retrieval in an emergency. This includes decentralized finance (DeFi) and non-fungible tokens (NFTs), but compliance management, Ava Labs, creators of Avalanche, Said last week.
In a January 12th webinar attended by representatives from both Ava Labs and Amazon Web Services, John Nahas, Vice President of Ava Labs, explained: […] We need to expand the pie here. To draw more people into this ecosystem, we need to scale up the developers, companies and people looking to utilize this technology in a mass market way. “
While the Avalanche community generally welcomed the news of Amazon Web Services, some, like Ava Labs CEO Emin Gün Sirer, took issue with some of the language and claims. Assertion It’s not your grandfather’s ‘AWS partnership announcement’. “
Was this really a “partnership”? Exaggerated “use of services” agreementMaybe Amazon Web Services was more of a “technology aggregator” than a collaborator? Haven’t we already “partnered” with tech giants to allow us to design private networks, or even design private networks through Amazon? You were invited to “set up a managed Ethereum node”, right?
so TweetPastore Capital CEO Alejandro Pastore described the announcement as a “fake partnership between @avalancheavax and @amazon,” with Ava Labs “selling us a service rental disguised as a partnership with Amazon.” I explained.
In any case, at the Jan. 12 webinar, three Ava Labs managers, including President John Wu, joined Shai Perednik, AWS Global Tech Lead, Web3, and Bradley Feinstein, Web3 Lead, Amazon Web Services. Appeared. Feinstein specifically used the word “partnership” to describe the new Ava-AWS association, and no one present objected. AWS and Ava Labs announced another joint webinar in February and a co-sponsored hackathon in May.
Perhaps more importantly, the bigger question is: What does this relevance mean for the evolution of blockchain in general?
Matthew Sigel, head of digital asset research at VanEck, told Cointelegraph: Companies looking to launch blockchain-based applications from their AWS environment can choose Avalanche for the best support and pricing, he said, adding:
“In Twitter Spaces attended by representatives from AWS and Avalanche, AWS is committed to marketing, education, and discounts for companies launching Avalanche subnets within AWS.”
In Sigel’s view, the collaboration could result in a positive spin-off for the industry, spurring “meaningful innovation in this space.” Amazon Web Services’ active presence in this market may make it easier for companies to launch permissionless blockchains faster and easier.
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And Amazon isn’t the only tech giant moving in this direction. “Remember that Google Cloud launched a similar partnership with Solana back in November,” Sigel said. Given that so much computing has moved to the cloud, “it’s positive to see this kind of effort from a major provider.”
“The main news here is that Amazon Web Services supports the Avalanche blockchain ecosystem,” Sarson Funds analyst Evan LaMontange told Cointelegraph, adding Avalanche’s custom subnets to the AWS Marketplace. Made it possible to integrate into Places. Both individuals and institutions will be able to launch subnets that can operate as self-contained blockchains. system. he added:
“This creates a new vision of scalability, allowing entities to easily build their own standalone blockchain systems.”
But some doubt that this new collaboration will add industry-level importance. Freddy Zwanzger, Blockdaemon’s Ethereum ecosystem leader, told Cointelegraph, “This certainly means that launching/running AVAX nodes is easier on AWS,” but “another There are already other blockchain nodes/templates available from the cloud or hosting providers.”
Of course, Zwanzger added that the improvements in running the blockchain infrastructure are positive.
Elsewhere, Howard Wright, vice president and global head of startups at AWS, called the partnership between AWS and Ava Labs a “pivotal moment,” noting that blockchain technology has “become ubiquitous and driven by developers. This is the inflection point where it becomes used in our market.
Some comments on Twitter suggest that the announcement was primarily designed to boost the price of the AVAX token. “This is not the first time this has happened in this market.” I got it Pastore in his 15-part Twitter thread. “This market is riddled with manipulation,” he added:
the price of is like this $AVAX Token responded.
Almost 50% pump. Probably nothing.
They seem to have achieved their goal with marketing campaigns and fake partnerships.
— Alejandro™ (@Pastore1314) January 15, 2023
on the other hand, most all Cryptocurrencies got a boost after the announcement, but that probably had something to do with the news of more favorable interest rates than those typical of the crypto world. Comparing AVAX price volatility with Bitcoin (BTC) and Ether (ETH), AVAX was +34%, while BTC and ETH were not far behind at +24%. +19% each.
Unusual tripartite structure
Launched in September 2020, the Avalanche blockchain has some unique elements. It actually consists of three separate blockchains. The X-chain is used only for sending and receiving funds, the P-chain is used for staking and validator activities, and the C-chain is used for smart contracts and his DeFi application.
“The Avalanche blockchain may even use different consensus mechanisms based on the use case,” said CoinMarketCap. He differs from BTC and ETH where every node verifies every transaction. This division of labor undoubtedly increases transaction speed.
In fact, Avalanche claims to be the fastest smart contract platform in the industry as measured by time to finality. It also has the most validators securing the activity of the Proof of Stake protocol, according to Ava Labs.
Others recognize its strengths. “Avalanche offers near-instantaneous finality and his cost-per-transaction,” he comments Sigel. “Ethereum settles more slowly at a higher cost.” Ease of use is also something he considers Avalanche to be on other chains, given that AWS could make it easier for him to launch Avalanche subnets. , he added.
Cooperation with government
Ava Labs seems to be more committed to government support than other chain developers. In November 2021, it announced a “strategic partnership” with Deloitte to build a blockchain-enabled “disaster recovery platform” to make it easier for state and local governments to qualify for federal emergency funding. I made it possible to prove to
During a webinar, Ava Labs senior vice president Nick Mussallem said government remains an “under the radar” area for blockchain applications, noting that Ava Labs’ “partnerships” with Deloitte will help communities and government agencies like FEMA In cooperation with the administration fee:
“this [the blockchain] Help speed up your recovery by sorting out the paperwork you need to prove your eligibility [for funding]Retention is simplified by securely storing and linking all relevant documents to Avalanche. “
“Subnet acting as AppChain”
The world of blockchain is changing and Amazon is about to board it. At least that’s the signal Ava Labs was sending last week.
“AWS is aware of how blockchain is evolving, with subnets acting as appchains, and we want to be one of the hosting providers for the many subnets people are launching. thinking about.” Said Syrah.
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Maybe Ava Labs went a little too far in claiming a “partnership” with Amazon. This is like the Moon claiming a partnership with the Sun. However, Ava Labs has taken advantage of the flexibility, scale, and power of AWS to allow developers to build subnets for everyday enterprise, government, and other use, while targeting use exclusively for crypto-natives. Kudos for looking beyond the case.
Ultimately, if blockchain technology ever gains mainstream status, it will be built per subnet and include mundane use cases such as document retention.