Monero (XMR) is an open source digital currency that was first released in April 2014. Unlike other cryptocurrencies that are developed based on Bitcoin, Monero works based on the CryptoNote protocol and uses important blockchain-related algorithms. Monero focuses on privacy, decentralization, and scalability.
Monero was built by a team of 7 developers, of which 5 decided to hide their identities while two appeared in public. They are David Latapie and Riccardo Spagni. Monero is an open source and fundraising project.
Monero’s market capitalization increased 30 times in 2016, from $3.7 million in December 2015 to 111 million in December 2016, partly from AlphaBay – the world’s largest underground black market. .
History of the development of Monero
First appeared on April 18, 2014, with the name BitMonero, the abbreviation is Bit (like Bitcoin) and the word Monero (meaning currency in Esperanto). Five days after its release, BitMonero was renamed Monero. Considered a fork of CryptoNote based on ByteCoin, however, Monero has significant changes:
- First, the time required for each block is reduced from 120 seconds to 60 seconds.
- Second, the time to release a block is reduced by 50%.
- In addition, the development team detected some poor quality scripts and then optimized the code.
There will be 18.4 million XMR to be mined within 8 years. After that, there will be a release period of 0.6 XMR every 2 minutes/block, generating 1% constant inflation.
Since Monero does not depend on Bitcoin, it cannot take advantage of Bitcoin technology. Therefore everything has to be started from scratch. Monero transactions take up more space in the blockchain than BTC, so it is expensive to run full nodes.
Innovative Monero Technology
Monero uses ring signatures and anonymized addresses to alleviate privacy concerns.
- Ring Signature: An anonymous signature of a group member because they want to hide their identity from other participants in the group. To create a ring signature, Monero uses the sender’s account key and places it in a public key on the blockchain to help hide the sender’s identity (since it can’t determine which key by generating a complex signature). ).
- Anonymous address: is a random address generated for use only once per transaction on behalf of the recipient. The use of an anonymous address allows to hide the actual address of the transaction as well as the identity of the recipient.
In addition, for all transactions on the Monero network, participants use the RingCT function. This is a function to hide the transaction amount, launched in January 2017 and is a mandatory requirement for Monero participants.
Monero’s unique features
Possibility of exchange like cash
Bitcoin is an open ledger. That means all transactions can be traced and tracked. If the BTC you own was used to launder money, then this money will certainly be depreciated when traded on the market. As a result, this crypto sometimes has low exchangeability. Monero is different. All transaction information is confidential and no one can know whose XMR transaction passed. Therefore, the exchange transaction of this coin is similar to that of fiat currency.
XMR has a public view key and a private view key
One of the confusing aspects of Monero is its key. For BTC or ETH, you only have one public key and one private key for your wallet. However, XMR is not so simple. The public view key is used to generate a temporary address when funds are sent to the recipient. The private view key allows the recipient to scan the blockchain network to find out where the money was sent.
Where to store XMR?
The most used wallets for storing Monero include:
- PC wallets: The Monero GUI wallet is developed by the Monero team and is available for different operating systems.
- Smartphone wallet: Cake wallet, Monerujo.
- Online wallet: MyMonero
- Cold wallet: Ledger Nano WILL
Where to buy and sell XMR?
Currently, XMR is in the top 10 largest cryptocurrencies by market capitalization. Because of that, most exchanges in the world like Coinbase, Binance, Huobi, Bittrex’s support XMR trading.
The following factors help us to realize that this is a very potential digital currency:
- Monero is developed continuously and relentlessly by a strong team focused on classification and security.
- Monero cryptocurrency is gradually being widely accepted in many parts of the world.
- Monero is an outstanding growth currency, currently its price is 47 USD, sometimes up to 450 USD.
According to many experts, Monero will soon leapfrog when the market has a long-term uptrend. However, the cryptocurrency market is subject to unpredictable price movements, so think carefully when making a decision.
You can see XMR prices here.
According to AZCoin News
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