The Story of NEAR Protocol and Illia Polosukhin
NEAR Protocol has emerged as a key player in the cryptocurrency world, known for its high performance, low fees, and eco-friendly approach. Unlike most blockchain projects, which start with a focus on decentralization, NEAR’s origins lie in artificial intelligence research and an unexpected payment problem.
Illia Polosukhin, co-founder of NEAR and now CEO of the NEAR Foundation, started his career in artificial intelligence. A former Google Research engineer, he helped develop transformer technology—the backbone of modern AI models like GPT. His academic background in applied mathematics and computer science, combined with a fascination with machine learning, set him on a path that would eventually intersect with blockchain.
A Practical Problem Leads to a Big Idea
In 2017, Polosukhin left Google to start NEAR.ai, an AI research company focused on teaching machines to code. The startup needed a way to pay contributors from around the world—often small amounts, just cents per task. Traditional banking was inefficient, and existing blockchain options like Bitcoin and Ethereum had transaction fees that exceeded the payments themselves.
Other alternatives, like IOTA and EOS, had security or usability issues. Faced with no good solution, Polosukhin and his team decided to build their own blockchain.
The Birth of NEAR Protocol
What started as an AI company quickly transformed into a blockchain project. Within a week, the NEAR team expanded to nine members, shifting their focus entirely to solving blockchain’s core inefficiencies. They consulted with hundreds of projects, tested multiple consensus mechanisms, and experimented with different designs before settling on a sharded proof-of-stake blockchain.
The mainnet launched in April 2020, and by September, the network became fully community-operated. A key innovation was Nightshade, a sharding system that allows the network to scale efficiently. NEAR also introduced human-readable account names instead of complex alphanumeric addresses, making it easier for everyday users.
Looking Ahead: Chain Abstraction and AI Integration
Today, under Polosukhin’s leadership, NEAR is focused on “chain abstraction.” This vision allows users to interact with multiple blockchains seamlessly—without worrying about different networks, wallets, or transaction fees. It’s a step toward making crypto more accessible to mainstream users.
Polosukhin’s deep AI background has also positioned NEAR to explore the intersection of blockchain and artificial intelligence. His goal? To integrate AI capabilities into blockchain applications in ways that benefit developers and users alike.
A Lesson in Innovation
NEAR Protocol’s story is a reminder that innovation often starts with solving practical problems. What began as a quest for an efficient payment system evolved into a blockchain designed for usability and scalability. By bridging AI expertise with blockchain technology, Polosukhin and his team have created a protocol that doesn’t just serve crypto enthusiasts but aims to make decentralized technology accessible to all.
