Orchid is the next-generation VPN and privacy tool that remains open and accessible by eliminating centralization, rewarding network contributors, and leveraging the power of blockchain. A bandwidth market that is based on the Ethereum blockchain and uses OXT tokens to provide services, users can use OXT tokens to pay bandwidth fees to node operators, and the system will be based on the staking mechanism.

Project Introduction

Orchid (OXT) is Orchid's native token, a virtual private network (VPN) powered by cryptocurrency. Launched in December 2019, Orchid describes itself as the world's first inspiring peer-to-peer privacy network.

Its purpose is to overcome the limitations of internet freedom by using cryptocurrency payments, allowing anyone to purchase bandwidth from any participating provider. This is achieved with so-called probabilistic nanopayments, which occur using OXT (ERC-20 standard token on Ethereum). Recurring payments to providers occur off-chain, allowing Orchid to avoid congestion and gas charges on the Ethereum network.

The service is paid on use, which means that users only need to contribute funds when they are actually connected, rather than paying monthly or annual fees.

The Founder of Orchid

The four co-founders of Orchid come from the blockchain and finance sectors. They are Dr. Steven Waterhouse, CEO, Jay Freeman, Brian J. Fox and Gustav Simonsson.

Waterhouse is a well-known figure in cryptocurrency. He also co-founded the venture capital firm Pantera Capital, which invests in some of the most popular companies in the industry. Jay Freeman is the creator of Cydia, an alternative Apple app store for jailbreaking Apple devices, and currently has about 30 million jailbreaking Apple products in use.

Brian J. Fox was responsible for creating Wells Fargo's first interactive online banking system in the mid-1990s. Meanwhile, Gustav Simonsson is also one of the core security developers of the Ethereum network, who helped the Ethereum network initially launch in 2015.

According to official literature, Dr. Waterhouse realized the need for improved Internet privacy and began to study VPN technology after becoming a victim of SIM exchange attacks.

The uniqueness of Orchid

The main idea behind Orchid is to use blockchain technology to enhance the existing VPN experience.

Using probabilistic nanopayments based on cryptocurrencies, users can benefit from anonymous VPN usage, which does not rely on centralized servers and risks associated with country-specific infrastructure. As a freely exchangeable ERC-20 token, OXT also provides owners with transaction incentives to own and increase network value.

A separate feature allows users to purchase so-called "orchid credit" with fiat currency. In this case, OXT cannot be extracted and converted elsewhere, but consumed only at network providers. This is to attract people who don't want to trade in cryptocurrency.

Orchid's appeal, however, is not just among cryptocurrency users. The developers stressed that the trend of Internet freedom is growing in the face of growing geopolitical tensions and local restrictions. Web 3.0 technology was used to provide some kind of semi-open Internet, as was envisioned when consumer access began to become mainstream in the early 1990s.

Orchid (OXT) coins in circulation

OXT supply is 1,000,000 (1 billion) units. There is no inflation, but as part of the regular network function, the possible tokens of OXT burned, maintaining the possibility of deflation.

Security of Orchid Network

OXT is an ERC-20 standard token on Ethereum, and the security risks mainly revolve around the attacker's ability to obtain user data from Orchid itself.

Given that the smart contracts used for payment on the platform contain very little information, the weak link in the chain mainly lies in the users. As the developers pointed out, having third parties involved in token purchases use Orchid – for example, a major exchange – could eventually lead to attackers knowing the user’s identity by tracking transactions to their exchange wallets.