The Theta Network is a blockchain protocol for improving the process of creating, streaming, and consuming video content online. Theta Tokens are used in the network to incentivize users to act as peers who share redundant or excess computing and bandwidth resources with other peers. The Theta Network blockchain also designs for peers to pull streaming from from other peers instead of from the initial distributor itself, which can optimize for efficient content distribution and lower content delivery costs.
The Theta Network is a Proof-of-Stake blockchain, which the Theta Labs team decided will best meet the ultra high transaction throughput, storage consumption issues, and fast consensus requirements of a video streaming platform. The Theta blockchain also introduces a multi-level Byzantine Fault Tolerance (BFT) mechanism which aims to provide the same network security as Bitcoin or Ethereum with much higher transactions per second validated. Theta's multi-level BFT designs for a small set of nodes called a validator committee to produce a chain of blocks as fast as possible while the thousands of other network participants, called guardians, can check this chain's validity. Guardians are a superset of the validator committee. Valid blocks require two-thirds of Theta guardians to validate. Theta Tokens were initially distributed as ERC-20 compliant tokens on Ethereum, but later were exchanged one-to-one for native Theta Network tokens. The Theta Network mainnet launched on March 15, 2019.