What is Coti (COTI)? Your ultimate guide

COTI is a decentralised payment platform meant to replace traditional methods

Coti crypto currency digital payment system blockchain concept.                                 
COTI, a miner-less and block-less decentralised finance network, is meant to avoid the limitations of traditional finance – Photo: Shutterstock


COTI, which stands for “currency of the internet”, was designed by Samuel Falkon in 2016 to meet what he saw as “a major need for a secure, scalable and instant payment system that would support both fiat and crypto payments”, complete with its own coin, also called COTI.

Falkon’s solution offers a decentralised payment set-up for merchants and businesses. By steering away from the traditional blockchain, it can process 10,000 transactions per second. It also seeks to eliminate any concerns that may make businesses reluctant to use cryptocurrencies by providing them with a platform to create their own stablecoins.

But does COTI have what it takes to rival payment giants such as Paypal and Visa?

What is coti (COTI)?

COTI claims to be “the first enterprise-grade digital fintech platform”, supposedly eliminating all intermediaries and empowering any organisation to build its own private payment solution and digitize any currency using Coti’s Trustchain protocol. Its decentralised payment system, COTI says, is optimised for merchants, governments, and stablecoin issuers. According to COTI, traditional finance is riddled with problems including merchant fees and cross-border barriers. The payment provider argues that blockchain is not perfect either, with low transaction speeds and high energy usage bringing delays, costs and scalability issues.

COTI has put scalability first by designing a block-less and miner-less network. Instead of a traditional blockchain that records transactions in order, Coti uses a directed acyclic graph (DAG) protocol that flows in a specific direction, with every transaction linked to multiple other transactions. In other words, while a blockchain is a chronological list of transactions, DAG is like a tree with transactions branching out.

COTI’s DAG protocol is called the trustchain as it is based on the “proof of trust” consensus system. For a transaction to be added to the trustchain, it must validate two previous transactions in the range of its trust score.

A user’s trust score is continuously updated and is based on numerous different factors, including the number of successful transactions and how frequently a person uses the network. There are incentives towards winning a higher trust score, as fees and confirmation times are lower.

The system solves many of blockchain’s scalability issues. Unlike the proof-of-work system that linearly approves transactions, trustchain connects transactions simultaneously. This enables it to process 10,000 transactions a second, dramatically higher than Bitcoin’s approximately eight transactions a minute. It also eliminates proof-of-work’s high energy consumption, as no miners are needed to solve complex computational puzzles.

How does coti work for businesses?

At the core of COTI is a digital finance solution for businesses and merchants. COTI Pay is a platform for businesses and customers. Businesses can choose details of the payment, such as how much it wants to receive instantly. COTI also says that it can process every kind of payment type, including online payments as well as offline ones. Customers can then choose how they want to pay, with options including cryptocurrencies, stablecoins and credit cards.

Coti gives a long list of benefits from using its network over traditional methods. These include cutting back on operational expenses and processing fees. It also amplifies market reach for businesses through the range of different payment methods it offers.

One of COTI’s most attractive features is that it allows companies to issue their own branded stablecoins. COTI claims to be the world’s first platform optimised for creating stablecoins. Companies can choose an asset, like the US dollar, and have their coin pegged to that price. By placing both the money and data into the hands of the business customer, Coti says, it is removing those concerns over trust and volatility that arise with cryptocurrencies. The ability to create stablecoins also helps cut costs for businesses as it eliminates dependence on external coins, which gets rid of the high fees and transaction costs.

COTI’s stablecoin creator is being used by all sorts of communities. Cardano recently announced it was using COTI to issue a DeFi stablecoin called Djed for the Cardano network. The price of Djed is kept stable using smart contracts, automatic computer programs.

What is coti coin used for?

As well as a platform for others to create coins, COTI has its own native cryptocurrency. The coti cryptocurrency is the main currency for transaction fees and staking. Shahaf Bar-Geffen, chief executive of COTI, told Forbes: “We’ve introduced a high-performance cryptocurrency built atop the base layer protocol. This cryptocurrency will be used as a common means of payment, including all fees and staking inside the Coti ecosystem.”

COTI is operational on three different mainnets. First, it’s used on its own trustchain network. The coin is also operational on Ethereum as an ERC-20 token. Finally, there is a BEP-2 version of the COTI coin that is available on the Binance crypto exchanges. Holders can convert between the three different versions of the coin by using the COTI bridge platform.

There is a maximum supply of 2bn COTI and currently there are 869m in circulation. The COTI cryptocurrency launched on 5 June 2019 at $0.088 and for the first 18 months struggled to go above its launch price, reaching an all-time low of $0.006 on 9 November 2019.

The price started to pick up at the beginning of this year, hitting a peak of $0.50 on 30 March. Between March and August, however, the COTI coin went through another bearish trend. This did not last and COTI has recently reached its all-time high of $0.68 on 31 October. As of 30 November, COTI is priced around the $0.48 mark.

Recent news

COTI recently launched an update for its mainnet, which was primarily technical upgrades. The network said the update improved the speed of loading times and introduced back-up capabilities. It also upgraded queue management for the network’s nodes, allowing for faster transactions. These small upgrades combined have contributed to a “better, faster and more reliable digital platform”, according to the payments platform.

In a blog post, it said: “We have been working on COTI’s Mainnet 2.0 for over a year, investing thousands of human hours to allow new scalability and speed capabilities as well as to optimize COTI’s platforms to support its massive growth.”

COTI expects that this recent update will fuel significant growth in its userbase and services. It also has plans to start building a treasury, which will be a decentralised pool of COTI coins where users can deposit COTI and will be rewarded for participating.


COTI is receiving good reviews as it’s meeting its goal of acting as a payment service for merchants and businesses. Securities.io, a finance publication, has described it as “the perfect crypto-based payment system for global commerce”. The online payments industry is growing rapidly and the world needs a platform that can handle this demand. The finance magazine said: “Coti is the answer to this problem as it is highly scalable and becomes even better with an increasing number of users. Coti transactions are faster, better, and cheaper, and both buyers and sellers can trust Coti.”

It said that COTI’s use of a DAG protocol is a “masterstroke” as it allows for 10,000 transactions per second. Not only does it make it better than the majority of cryptocurrencies, but it also beats Visa. Coti doesn’t compromise security for speed either, as it has nodes in place to stop double-spending. The use of a trustscore acts as a deterrent to malicious attackers as well.

These features combined have ensured COTI has received a raptuous reception. Securities.io said: “Coti has all it takes to gain a huge market share in the growing online payments space.”


Currently there ate 869m COTI coins in circulation out of the maximum supply of 2bn COTI.

At the moment, COTI coin is not available at Currency.com, but it is listed on major exchanges including Uniswap, Binance, Mandala Exchange, Huobi Global, KuCoin, and Coinbase. Remember, you should always do your own research before you buy COTI and never invest more than you can afford to lose.

Further reading

The material provided on this website is for information purposes only and should not be regarded as investment research or investment advice. Any opinion that may be provided on this page is a subjective point of view of the author and does not constitute a recommendation by Currency Com Bel LLC or its partners. We do not make any endorsements or warranty on the accuracy or completeness of the information that is provided on this page. By relying on the information on this page, you acknowledge that you are acting knowingly and independently and that you accept all the risks involved.
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