aelf Describes Itself As

aelf is an AI-enhanced Layer 1 blockchain network, launched in December 2017, and headquartered in Singapore. The project is designed to address the limitations of traditional blockchain systems, leveraging a multi-layered architecture and integrating AI technology. Built using the C# programming language, aelf emphasizes scalability, efficiency, and security, making it both developer and end-user friendly. Additionally, aelf offers SDKs in other programming languages, including Java, JavaScript (JS), Python, and Go, to cater to a broader developer audience.  

Project Function

aelf's architecture is centered around a multi-chain parallel computing framework that includes a MainChain and multiple SideChains. This design allows for the distribution of tasks across different chains, improving processing efficiency and scalability. The MainChain acts as the backbone, while SideChains are tailored for specific applications, supporting a wide range of use cases without compromising performance.

The platform's AI integration enhances its operational efficiency by optimizing smart contract execution, predicting network congestion, and dynamically adjusting resources. Additionally, aelf's AI Oracle aims to implement a credible Web3 AI framework that enhances on-chain smart contracts, fostering the development of AI-centric decentralized applications (AI-dApps).

aelf is also introducing a modular Layer 2 chain utilizing ZK Rollup technology to enhance performance, scalability, and EVM compatibility. This technology reduces gas storage costs, lowers transaction fees, and improves privacy, contributing to a superior user experience.

Token Utility

ELF is the native utility token of the aelf network, playing a crucial role in its Delegated Proof-of- Stake (DPoS) consensus mechanism. Token holders can vote for delegates who validate transactions and maintain the network, ensuring security and decentralization while keeping transaction times low. The ELF token is also used to pay for transaction fees, deploy smart contracts, and participate in governance decisions, such as protocol upgrades and SideChain management.

About the Founders

aelf was founded in 2017 by Auric, who serves as the CEO. Auric leads a team of highly experienced Web3 veterans who bring a wealth of expertise, innovation, and drive to the project. Under his leadership, aelf has secured investments from prominent institutions like Binance, Arrington Capital, Draper Dragon, and Galaxy Digital. 

Risks of ELF

Like an investment in other crypto assets, there are some general risks to investing in ELF. These include:  (i) volatility risk and liquidity risk, (ii) short history risk, (iii) demand risk, (iv) forking risk, (v) code defects, (vi) regulatory risk, (vii) electronic trading risk, and (viii) cyber security risk. For additional information of these and other general risks associated with crypto assets and Uphold’s platform, please refer to the Risks Specific to Holding Digital Assets statement.

In addition to these general risks, an investment in ELF is subject to the following specific risks:

• The Layer-1 space is intensely competitive. Several new blockchains continue to emerge which boast high-profile teams, claim unparalleled transaction speed, energy-efficiency, as well as developer-friendly programming languages. Any potential success associated with ELF is reliant on the extent to which the aelf is adopted by enterprises and developers.

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with ELF. Investors should conduct their own research and perform their own assessment before trading any crypto asset to determine the appropriate level of risk for their personal circumstances.

The ELF community and aelf founding team are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of ELF have no recourse to the ELF community, aelf founding team, or Uphold if ELF declines in value for any reason.

Changes to applicable law may adversely affect the use, transfer, exchange, or value of any of your crypto assets, and such changes may be sudden and without notice.

Uphold’s Evaluation Process

Prior to listing ELF on the Uphold Platform, Uphold performed due diligence on ELF and determined that ELF is unlikely to be a security or derivative under relevant securities legislation. Uphold’s analysis including reviewing publicly available information on the following: 

• The creation, governance, usage, and design of ELF, including ensuring the source code is open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 
• The supply, demand, maturity, utility, and liquidity of ELF.
• Any marketing materials put forward by the ELF social team including on, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with ELF, including any code defects, security breaches and other threats concerning ELF and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them.
• Legal and regulatory risks associated with ELF, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of ELF.

General

Uphold has prepared this Crypto Asset Statement based on publicly available information. Although Uphold has taken steps to obtain information from apparently reliable sources, information contained in this Crypto Asset Statement may be inaccurate, incomplete or out-of-date. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

Uphold users should read the Risks Specific To Holding Digital Assets statement for additional discussion of general risks associated with crypto assets made available through the Uphold platform.  

Canadian residents, please note that Uphold has filed an application for registration in certain Canadian jurisdictions but has not yet obtained registration. Until such time as Uphold obtains registration, Uphold has agreed to abide by the terms of an undertaking available at the following link. Please also review the Uphold Canada – Crypto Risk Statement for additional discussion of general risks associated with the crypto assets made available through Uphold Platform. Please be aware that statutory rights of action for damages or rescission in section 130.1 of the Securities Act (Ontario) and, if applicable, similar statutory rights under securities legislation in the other provinces and territories of Canada do not apply in respect of this Crypto Asset Statement or other disclosures on the Uphold website and Risks Specific To Holding Digital Assets statement. 

Last updated on August 27, 2024.