Blocks store information about transactions like the date, time, and amount of your most recent purchase such as from an online store.
Instead of using your actual name, your purchase is recorded without any identifying information using a unique “digital signature,” similar to a one-time username.
Blocks store information that distinguish them from other blocks. Much like you and I have names to distinguish us from one another, each block stores a unique code called a “hash” that allows us to tell it apart from every other block. Hashes are cryptographic codes created by special algorithms.
“The potential of blockchain is too big to ignore. A number of governments and companies across many industries have recently started to implement blockchain-based solutions to increase the efficiency of their processes and reduce costs.”
“L3COS will be the first blockchain-based operating system to provide the infrastructure to encompass every required economic and legal activity.”
Consensus protocols are one of the most important and revolutionary aspects of blockchain technology.
These protocols create an irrefutable system of agreement using a smart contract between various devices across a distributed network. It means that no one is able to edit information in the system, because if consensus is not reached across the system, no new block will be created, nor will existing blocks be edited, in the blockchain.
These fully traceable automated transactions are executed and recorded between parties in a verifiable and permanent way.
Smart contracts remove the need for intermediaries like banks, brokers and lawyers because actions governed by these contracts can be automated.
This removes costly bureaucratic barriers, reduces the time needed for a deal to be completed and makes fraudulent or illegal activities impossible.
Smart contracts make it possible to do away with paperwork and associated bureaucratic procedures. They can remove the risk of incorrect tax rates being applied because the correct rates can be built into the system. Likewise, all other compliance, regulatory, customs and other requirements can also be checked and performed by the system itself – saving time and money.
The L3COS System Solution
L3COS has the advantage of having three layers of consensus making it scalable with low latency. This means that tens of thousands of transactions and interactions can take place almost instantaneously, free of error.
All business transactions require legal and contractual accountability to the laws of a country. As a permissioned or authorised blockchain operating system, L3COS has built in the ability of governments to maintain that lawful oversight of the smart contracts.
L3COS allows government to maintain control over the blockchain ecosystem by automatically linking its laws, rules and regulations to businesses and individuals.
The system therefore incorporates accountability and is the first universal blockchain ecosystem that can be utilised by national governments and businesses across their economies.
To achieve its vision, L3COS has created 195 super-nodes for each nation to digitalise and give each country the ability to govern using smart contracts.
How L3COS is differentiated
The core difference between L3COS and existing blockchains is it is fully transparent and has a built-in regulatory layer for governments. This feature creates a secure, scalable, resilient and legally-compliant environment.
Under the L3COS operating system, individuals make use of the proof-of-storage consensus level, which stores digital details such as deal details, fees and other information in encrypted form.
With L3COS you are able to interact directly with the government by verifying your ability to vote in elections and businesses, pay council tax and buy goods and services from businesses. L3COS enhances digitalisation and eases the burden for us all whenever we need to prove our identity when applying for a passport, proving immigration status or securely filing tax returns, all of which currently can involve overcoming significant administrative hurdles.
Under the Delegated Proof of Storage consensus, L3COS provides access once businesses have passed Know Your Client, Anti-Money Laundering and the Counter Financing of Terrorism verifications to the Proof of Government consensus level.
By providing access only to firms that have been verified, businesses, large and small, can use the delegated Proof-of-Storage consensus level on L3COS which allows them to co-operate with their government, each other and their customers.
L3COS also supports regulated token issuance, which makes it possible to meet requirements for central bank digital currencies, industry tokens and other kinds of stable coins.
How fast is L3COS?
L3COS is fully scalable and can process tens of thousands of transactions per second. For comparison, Visa – the most widely used payment service provider in the world – processes 1,700 transactions per second.