NEM is a peer-to-peer network designed to improve upon the inefficiencies of first generation blockchains. NEM uses an environmentally conscious consensus mechanism known as proof-of importance (PoI) to reward active participation on the network and discourage wealth concentration commonly associated with proof-of-stake (PoS) blockchains. XEM is the platform’s utility token used to facilitate smart contracts, enable transfers, approve blocks and vote on proposals affecting the future direction of the platform.