Following the massive success of CryptoKitties, developers Dapper Labs knew that Web3 gaming needed an alternative to Ethereum – so they built Flow.
Flow was the first major competitor to Ethereum for games, apps and experiences, and has powered some of the most mainstream blockchain apps to date.
Despite Ethereum Layer-2 blockchains taking off, and competing Layer-1 chains quickly gaining traction, Flow is still at the top of the industry – but what makes Flow stand out, and how is it still at the top?
Let’s take a look in our 2024 guide to the Flow blockchain.
What is Flow?
Created by Dapper Labs – the team behind CryptoKitties – Flow is a Layer-1 blockchain designed to support high-traffic games, experiences, and digital collectibles.
The popularity of CryptoKitties hit Ethereum hard, so Dapper Labs built Flow – a modern blockchain that could handle the demands of their massively popular blockchain game.
Flow is powered by the $FLOW token, a native cryptocurrency that’s involved in transactions, staking, and network governance
On top of CryptoKitties, Flow is home to some of the biggest blockchain-based games, apps and platforms – including officially-licensed titles such as NBA Top Shot, NFL All Day, and UFC Strike.
Whilst many of these are in-house products, Flow has plenty of documentation for external developers, and has partnered with third-party teams to create a full ecosystem of apps, tools and platforms on Flow.
Flow claims to be the “home of consumer Web3” – and its partnerships, products and growth make that a claim they have every right to make.
Why is Flow important?
Dapper Labs are confident that Flow is not just an alternative solution – it’s a better solution.
Flow utilises a unique multi-role architecture. Instead of splitting the network into shards, Flow divides transaction processing into four specialized roles:
- Collection Nodes: manage transaction data
- Consensus Nodes: order, validate and sequence transactions
- Execution Nodes: process transactions
- Verification Nodes: keep the network in-sync and secure
This allows Flow to process a large number of transactions quickly, reliably, and securely. It’s proved a good approach in keeping the blockchain both developer-friendly and high-performance.
As a Proof-of-Stake (PoS) network, users can either run a node or delegate their $FLOW holdings to existing nodes to earn rewards. Whilst many of Flow’s biggest products come direct from Dapper Labs, governance of the blockchain is becoming increasingly decentralized, with decision-making resting with token holders.
For developers, Flow uses a programming language called Cadence – optimized for digital assets and smart contracts. It offers a range of tools and documentation to make building Flow apps simpler, with the hope that Flow can be a home for mainstream Web3 apps.
Flow’s journey so far
The idea for Flow came off the back of the success of CryptoKitties in 2017. Flow’s mainnet launched in 2020 – and it wasn’t long before the chain exploded in popularity
NBA Top Shot grabbed mainstream attention in 2021, being the first major app to do so. This popularity led to short-lived partnerships with Instagram and Facebook in 2022, and the launch of NFL All Day, UFC Strike and many more officially-licensed products.
Recent years have seen Flow face increased competition from Ronin, Base and Avalanche – though no other blockchain has yet to match its mainstream success.
It hasn’t all been plain sailing. In June 2024, Dapper Labs reached a $4 million USD settlement with NBA Top Shot holders over a lawsuit alleging that Top Shot collectibles are securities – and it remains unclear what long-term impact this could have on other officially-licensed titles on Flow.
Nevertheless, Flow continues to rise in popularity – and its recent Crescendo update, which brought full EVM support, is just the latest in many successes for the Flow ecosystem at large.
Riding crypto waves since 2012, bridging digital and physical worlds through prose.