What is NEAR?

By Hata Team

5/6/20254 min read

What is $NEAR?

Key Takeaways

NEAR Protocol is a Layer-1 blockchain built for scalability and ease of use, using a unique sharding method called Nightshade.
It supports Ethereum compatibility through the Rainbow Bridge and Aurora — enabling fast, low-cost cross-chain transactions.
$NEAR is the native token, used for fees, staking, and governance within the ecosystem.

What is NEAR Protocol?

NEAR Protocol is a smart contract blockchain that aims to solve one of crypto’s biggest problems: scalability. Launched in 2020, NEAR was built to host decentralized applications (DApps) efficiently — without high gas fees or slow speeds.

To do this, it uses a unique sharding mechanism called Nightshade to handle thousands of transactions per second, all while keeping fees low. It also stands out for its user-friendly design, with features like human-readable wallet names and simplified onboarding.

NEAR was developed by the NEAR Collective and co-founded by ex-Google and MemSQL engineers, Illia Polosukhin and Alex Skidanov.

Key Features of $NEAR

Nightshade Sharding

Nightshade splits the network into smaller pieces (shards), so validators only need to process a portion of all network activity. This makes NEAR highly scalable — capable of handling thousands (and potentially millions) of transactions per second.

Each piece of a block, called a chunk, gets processed in parallel. NEAR can dynamically add or merge shards based on traffic, making it flexible under load while keeping performance smooth.

Thresholded Proof of Stake (TPoS)

Unlike other PoS networks, NEAR uses a unique validator selection process. Validators “bid” how much $NEAR they want to stake, and those above a certain threshold are chosen. This approach keeps the network secure while distributing rewards fairly.

Rainbow Bridge

Rainbow Bridge allows users to move assets (ERC-20 tokens, NFTs, stablecoins) between Ethereum and NEAR. It’s fast, permissionless, and decentralized — making it easy for users to enjoy NEAR’s lower fees and faster speeds while still using their Ethereum assets.

Aurora: Ethereum on NEAR

Aurora is a Layer-2 solution built on NEAR. It’s fully Ethereum-compatible, meaning developers can run their Ethereum DApps on NEAR with no changes to code — and with much cheaper fees.

Aurora includes:

Aurora Engine: An EVM on NEAR
Aurora Bridge: Transfers assets between Ethereum and Aurora

Developers can pay fees in ETH, making the experience familiar to Ethereum users.

The $NEAR Token

$NEAR is the utility token of the NEAR Protocol. Here's what it's used for:

Transaction & Storage Fees : Pay for activity on the network.
Staking Rewards : Users can stake $NEAR and earn up to 4.5% as of date.
Governance : Token holders can vote on proposals and platform changes.
Fee Burning : A portion of fees is burned to reduce supply over time.

Why $NEAR Matters

NEAR isn’t just another blockchain — it’s built for real-world usability. Its focus on low fees, fast speeds, and developer-friendly tools makes it ideal for :

DeFi Apps
NFT Projects
Cross-chain dApps
Sustainable Web3 infrastructure

With a climate-neutral certification, easy onboarding, and powerful Ethereum interoperability, NEAR is well-positioned to support the next generation of Web3 applications.

How to buy $NEAR on Hata

Create an Account: Sign up on the Hata platform by providing your email address and setting up a secure password. Verify your email to activate your account.
Verify Your Identity: Complete the KYC (Know Your Customer) process by submitting the necessary identification documents as required by Hata for security purposes.
Deposit Funds: Add funds to your Hata account.
Navigate to $NEAR: Once your account is funded, go to the cryptocurrency marketplace on Hata Malaysia's Market Instant Buy and search for $NEAR.
Place an Order: Decide on the amount of $NEAR you wish to purchase.
Secure Your $NEAR: After purchasing, ensure your $NEAR is stored securely. You can keep it in your Hata wallet.
Monitor Your Investment: Keep track of your $NEAR investment through the Hata platform. Stay updated on market trends and news to make informed decisions.

Final Thoughts

As more people start using the blockchain, networks that are fast and affordable will matter most. NEAR is built with that in mind — it’s designed to handle more transactions at lower costs. That’s why developers building DeFi apps or other Web3 tools are paying attention. And it doesn’t stop here — NEAR’s roadmap includes even more upgrades, like better sharding and cross-chain tools, to make the experience smoother for both builders and users.

Join the future of blockchain — buy $NEAR today on Hata.

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