LTO Network in a Nutshell

Main Published on: Aug 14, 2023 Last updated: Aug 14, 2023

The LTO Network ecosystem focuses on providing a high-performance, transparent, secure, and low-cost solution for businesses and organizations. Our hybrid architecture, which combines elements of both public and private blockchains, is a primary factor in our ability to achieve these ambitious goals.

LTO Network Hybrid Architecture.

Within the LTO Network's hybrid architecture, the public blockchain allows for transparency and immutability of data and enables decentralized applications to be built on the platform. It also provides a shared ledger of all transactions maintained by a decentralized network of globally diversified nodes. This node network ensures that the data stored on the platform is tamper-proof and auditable by anyone.

However, we recognize the importance of privacy and security in certain situations. This is where our private blockchain comes into play. The private blockchain operates as a secure and highly resource-efficient permissioned blockchain, only accessible by authorized parties. Consequently, this allows organizations to have their own permissioned blockchains where posted sensitive data remains confidential while still leveraging the benefits of blockchain technology.

Efficient and fast

A fair and efficient consensus method is a necessity for any decentralized application. As such, LTO Network utilizes Leased Proof of Stake (LPoS), a variation of the traditional Proof of Stake (PoS) consensus mechanism.

In LPoS, LTO users can lease their LTO tokens to other users who act as validators by running a node. The leasing function allows LTO token holders who may not own enough tokens to run a node and thus act as validators to still participate in the staking mechanism and earn rewards. Validators pay a fixed share to people leasing their tokens to the validator’s node. Just as tokens in a node, tokens leased to a node are used to secure the network by validating transactions and mining blocks. In return, validators receive a portion of the rewards earned by the network.

Types of Nodes on the LTO Network.

The more tokens attributed to a node, the more blocks a node can mine, generating a bigger share of rewards. This incentivizes validators to act trustworthy and secure, as their reputation and earnings are directly tied to the network's performance.


The LTO Network Hybrid Architecture offers distinct advantages over other blockchain protocols, summarized in four key aspects: scalability, security, versatility, and cost-effectiveness.

  • Scalability is a cornerstone of our platform, enabling the efficient processing of large numbers of transactions. The event chains facilitate this high throughput, ensuring the network remains performant and secure while accommodating diverse use cases.
  • Security is another critical aspect of our hybrid architecture, with the permissioned private chain protected by advanced encryption algorithms. This ensures confidentiality and access control, while the LPoS consensus mechanism safeguards the public blockchain.
  • Versatility sets our architecture apart from others by supporting various use cases ranging from supply chain management to identity verification. The flexible and scalable design can be customized to meet specific industry or organizational requirements, including compliance with regulations such as GDPR.
  • Cost-effectiveness is also a notable advantage, as our hybrid architecture reduces the burden on the network, ultimately increasing overall efficiency. This makes it attractive for businesses and organizations looking to optimize costs using blockchain technology.

Our Hybrid Architecture uniquely combines all these aspects. This powerful and practical solution can be tailored to meet specific needs, providing organizations with a flexible blockchain option for enhancing efficiency, reducing costs, or complying with regulations.

About LTO Network.

LTO Network is Europe's most advanced blockchain - fully decentralized and highly efficient. It is already being used worldwide by businesses, governments, institutions like the UN, the Dutch government, and more.

The network offers several technologies to provide solutions for decentralized data security, digital identities, privacy, and the ownership of digital assets and digital collectibles.

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