Connect with us

Cryptocurrency

What is Komodo (KMD) : Everything Beginners need to know

Published

on

What Is Komodo (Kmd) : Everything Beginners Need To Know

In the vast community of Cryptocurrencies, Komodo is a new edition. It was designed to empower blockchain entrepreneurs and average crypto investors. So it can be said that it is a promising and enthusiastic gesture shown by the community. And carries out transactions in an environment of safety and security. Its secure ecosystem is cheaper in cost than Bitcoin, so the affordability attracts small business-men and startups. 

Komodo is itself a revolution 

In Komodo blockchain platforms, they use the Delayed Proof of Work (dPoW) protocol. Which is a use of zero-knowledge proof. A detailed description is below – 

1. Zcash 

It is a cryptocurrency, that uses the zk-SNARK protocol. This zero-knowledge proof maintains the privacy, anonymity, and fungibility of any cryptocurrency. In the case of private transactions, Komodo is also using this protocol. 

2. Delayed Proof of Work (dPOW) –

Unlike the PoW network, this consists of all the security required, but it especially works as a storage space for backups of Komodo transactions. It gives a safe immunity but in a way forward. According to their whitepaper, if someone wants to hack a transaction, he or she has to change the Bitcoin blockchain. To alleviate the risk of its unchanged manner 64 pre-selected notary nodes notarize the blocks on the blockchain

Advertisement

3. SuperNET

Using the modified decentralized tools – multi-coin wallets, decentralized exchanges, price stability products, and other tools like infrastructure and software apps provided by SuperNET, the new cryptocurrency industry is running through. Some developed tools are below-

  • dICO – it is a decentralized form of ICOs that are raised by Komodo. It opens a way for independent entrepreneurs to release a blockchain product without being interrupted. Through the exchange, BarterDEX, dICO allows the release of the product in a particular way where the major issues like whales, hackers, and human errors are being eliminated.
  • BarterDEX – it is a step forward from any decentralized exchanges because it was powered by the novel tech of atomic swaps. More than 50k swaps were powered and 80 cryptocurrencies are integrated on their DEX.
  • Jumblr – it charges .3% for providing anonymity as a decentralized coin mixer, which is way cheaper than other mixers.

What is KMD? 

The native currency for Komodo is KMD, which represents their community values and aspirations through extra security and sovereignty. 

In the year 2014, it was introduced to the crypto world and they are developing peer-to-peer with their satisfactory innovations. It was raised from BitcoinDark (BTDC) and was developed by jl777. It is secured by PoW and dPoW as well and it gives a guarantee of protection from about 51% of attacks. 

KMD structure 

Block Size is 4 MB, block time is 1 minute, block reward is 3 KMD (In future halving events, block rewards reduce from 3 KMD to 2 KMD to 1 KMD. At that point, block rewards will remain capped at 1 KMD indefinitely. The total supply is near 124 million but the maximum supply can be up to 200 million. The Komodo coins can be transformed into 32 currencies maintaining a stable value in the market. However, the demise of KMD was brought by a lack of understanding the credibility. 

How to buy Komodo Cryptocurrency

On ShapeShift one can exchange Komodo tokens with coins of BTC, LTC, ERC-20, ZEC, ETH, and others. so some bitcoins or altcoins will have to be there for the exchange procedure. But another thing like a komodo address is mandatory where the tokens will be preserved. Some popular crypto exchanges listed KMD – Bittrex ( Supported pairs KMD against BTC), Binance ( Supported pairs KMD against BTC and ETH).

Wallets of Komodo 

  • Ledger Nano S – In this wallet, the private key never leaves the device. One can buy Komodo from anywhere in this world.
  • Agama Wallet – Komodo developed a desktop wallet. It is available for Mac(OS), Windows, and Linux. It has an inbuilt technology that conveys the exchanges and functions as a multi-coin wallet.
  • AtomicDEX – Along with KMD it can store any digital asset on desktop ( Mac, Windows, Linux) and mobile ( iOS and Android). 
  • OceanQT – Also a desktop wallet. It is used to download and sync the KMD Blockchain.
  • Komodo Paper Wallet – Any digital asset that is built on Komodo’s multi-chain network, can be stored here because they have the same address format.

Is Komodo a good investment!

It has a questionable future right now, it is on an edge and can go up to $1.4 this year. But aa it is famous around investors, the team behind Komodo is trying their best to make it profitable. As it runs with SuperNET, it is expected to grow faster than even in the nearest future.   

Advertisement
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Blockchain

Terra Luna price gained 100% in 5 days amid a market crash! Terra Luna TA & FA Analysis 2022

Published

on

Terra Luna Price

Following a severe meltdown earlier this week, the cryptocurrency market has recovered. Many altcoins could rebound slightly and bounce back from their respective support prices. Terra Luna was one of the altcoins that had a strong recovery with Terra Luna price, with its price increasing by more than 20%. Except for LUNA, which is currently up by more than 95 percent during the last seven days, most cryptos are negative. Is LUNA proving to be an excellent coin to purchase to protect against the crypto downturn? Should you invest in LUNA and include it in your cryptocurrency portfolio? In this Terra Luna Price prediction, we’ll look at all for you to analyze it more preciously. What’s next!? Let’s get into it!

What is Terra (LUNA) Crypto Coin?

Terra is a blockchain technology that uses stablecoins to stabilize global payment networks. In reality, they say that by adopting Bitcoin (BTC), they can combine price stability with fiat currencies, resulting in low-cost settlements. However, volatility is a hot topic in the cryptocurrency community. 

It is one of the key reasons investors are hesitant to invest in cryptos. Terra wants to fix that by introducing stablecoins tethered to fiat currency. A patented algorithm that automatically changes stable coin supply based on demand would maintain a “one stable coin to one fiat” peg. This is made possible by their LUNA token, which provides liquidity price stability, and is easily swappable for other stablecoins at favorable exchange rates.

Terra requires more individuals on the network for this currency network to function. Terra Alliance, a group of 15 major Asian e-commerce giants, was founded to do this. The alliance conducts $ 25 billion in annual transactions and has 45 million active users. 

Advertisement

As a result, Terra may offer a simple payment network without the need for typical payment value chains. Furthermore, Terra has much lower transaction costs. It is developing a more rigorous infrastructure with DeFi tools and assets for users to employ.

How does Terra Luna Works? 

The Terra protocol functions as a distributed ledger kept up to date by network validators. Validators use the DPoS algorithm to vote on blocks, earning LUNA tokens in the process. Terra miners contribute to security by participating in the Proof of Stake consensus mechanism. They also assist in price stabilization by absorbing short-term demand fluctuations.

As a result, the network achieves stability through mining rewards as the money supply contracts and expands. Terra applies pressure to bring prices back to normal whenever they diverge a little. Terra’s supply is constantly replenished or depleted by the LUNA pool and Terra pool. Miners use LUNA to mint Terra and the other way around. The procedure provides consistent rewards in both contractions and expansions. As a result, the simple supply and demand law applies.

Token Economics of Luna 

There are two sorts of tokens in the Terra ecosystem: a comprehensive family of Terra Stablecoins and LUNA. LUNA’s native coin is used for governance, mining rewards, volatility mitigation, and transaction fees. Miners stake LUNA to mine Terra stablecoins, and the system uses a Delegated Proof of Stake (DPoS) mechanism. 

The world’s strongest fiat currencies are tied to Terra stablecoins. The package includes USD, EUR, CNY, JPY, GBP, KRW, and other currencies. The network will add new coins over time as users vote.

Advertisement

Technical Analysis of Terra Luna Price

Terra Luna Price
Terra Luna Price

Prices were predicted to reach the psychological price of $60 after the LUNA price came the firm support of $50. Instead, LUNA prices continued to rise as part of the crypto rebound, approaching the next resistance level of $70. The primary pricing zones of LUNA that all represent psychological prices are highlighted below:

  • 50$, Which was a Support area luna took and showed us Feaking outstanding rally
  • The next Physiological resistance was at 73$, Where Terra Luna Price Broke it in 1st attempt and eventually took healthy support, and then Price started rising again to the next resistance.
  • Next Horizontal Resistance was at 85 – 87$ Zone which kept Luna stagnant for a bit but ultimately it broke out when whole market rose on this Monday night.
  • Terra Luna Price is very near to its All-time High peak price point, Now there are two possibilities for you to look at:
  • Whether Luna goes and break 87$ support and find it as current support and after that we may come to the point, Terra Luna Price can actually come to the ATH and make a new ATH and enter in a price discovery phase!
  • But But But, We all know there’s a most famous price pattern is known as Double top. So Terra Luna Price may form a double top pattern and start a downtrend.
  • These are 2 possibilities that may happen or may not happen, Also it all depends on hows the Crypto Market AKA BTC price action tells, So just wait and watch the levels I shared below, so you guys can get a whole idea of what I am talking about.
Terra Luna Price Gained 100% In 5 Days Amid A Market Crash! Terra Luna Ta &Amp; Fa Analysis 2022

cryptocurrencysimple.com

  • A $70 buy order can be placed if the crypto market continues to rise.
  • If the crypto market falls below $50, a short sell can be made according to the price action of Terra Luna Price.
  • It’s critical to remember to set an appropriate stop-loss based on your risk tolerance.

5 Things to Know Before You Buy Terra (LUNA) Coin

Terra already has millions of users and is working on several significant projects. If you’re thinking about investing in Terra, here’s what you should know.

1) Terra Luna tokens balance out its stable coin prices.

Terra uses Luna tokens to keep its stablecoin prices where they should be. When the stablecoin supply needs to be increased or decreased, it incentivizes trading between Luna and stablecoins.

Consider the following scenario: UST, Terra’s US dollar stablecoin, is in high demand. As a result, the price has risen to $1.05, when it should have been $1. Terra will need to increase the quantity of UST tokens to counteract this.

2) In South Korea, Terra is the most popular.

Terra has enjoyed the most successful in its home country of South Korea so far. According to a Terra video from May 2021, its stablecoin linked to the South Korean won is utilized by over 2 million people each year to spend over $1 billion. In addition, Terra’s stablecoin, pegged to the Mongolian tugrik, was utilized by 40,000 people every month.

Terra, to its credit, already has a clientele. Of course, there’s no assurance it’ll succeed in expanding to the United States, but as we’ll see later, it’s offering a significant incentive to acquire its US dollar stablecoin.

3) Terra is giving a 20% interest rate on UST.

Terra introduced the Anchor savings and lending protocol on March 17, 2021. Users can deposit stablecoins and earn interest on them using this protocol. The simple interest rate yearly on UST deposits is around 20%.

Advertisement

Because UST is a stablecoin with a $1 value, earning 20% interest is appealing. However, it’s worth mentioning that the interest rate may vary in the future, and even stablecoins aren’t as safe as cash in a bank account.

The high-interest rate may aid in the growth of UST’s customer base. If it happens, Terra’s Luna token price will most likely rise.

4) Luna tokens are also utilized for project staking and governance.

Holders of Luna tokens have the option to stake their tokens. You pledge those tokens to the network when you stake Luna, and they’re used to validate transactions. There is no danger in doing so. You can always pull your tokens out of the game (unstacking can take up to 21 days). In addition, you get a part of the transaction fees Terra earns on the use of its stablecoins if you stake Luna.

Token holders have a say in Terra’s destiny as well. For example, Luna holders have voting rights in the project because it is a governance token.

5) The Terra blockchain is in the top five in terms of revenue.

The Luna cryptocurrency hasn’t cracked the top 20 in market capitalization. The Terra blockchain, on the other hand, is already one of the largest. According to Token Terminal, Terra is in the top five in terms of revenue. It trails Ethereum (ETH), the Binance Smart Chain, and Bitcoin but is tied with Polygon (MATIC).

Advertisement

For Terra enthusiasts, this is a promising omen. Terra is one of the most profitable cryptocurrency projects, even though many others are still developing.

In conclusion,

The Terra Blockchain’s governance and the native token is LUNA. Since its introduction in 2018, the Terra project has been a huge success, and the coin has benefited from it. Thanks to a tremendous price rise, LUNA’s price increased by more than 10,000% in 2021. According to crypto analysts, more is expected in 2022, when they believe that the token will be at the top of crypto investors’ wish lists. 

I would say always keep an eye on Terra Luna’s price because I don’t want anyone to lose this valuable gem at a discounted price! Rest, always. I am not a financial advisor. DYOR before investing or trading! Till then, keep reading and keep gaining knowledge on the crypto space through cryptocurrencysimple.com.

Frequently asked questions:

1) What is the Luna currency?

Terra (LUNA) is a blockchain-based payment network with a wide range of services. The network supports several stablecoins, each of which is linked to a distinct fiat currency. In addition, there is a LUNA token that serves as collateral for these stablecoins and as network fuel.

Advertisement

2) What is the total number of Luna coins in circulation?

It has a circulating supply of 1,706,430 LUNA coins and a maximum supply of 1,705,430 LUNA coins.

3) How good is Luna as a cryptocurrency?

In 2021, LUNA was one of the best-performing cryptocurrencies. Over the last 12 months, the coin has increased in value by more than 13,800%, beating most of the other cryptocurrencies. LUNA is presently the ninth-largest cryptocurrency by market capitalization due to its surge.

4) Is Luna a good financial investment?

Advertisement

Some may be surprised to learn that Terra Networks’ LUNA cryptocurrency was the best-performing investment in the previous year, with a return of over 14 700 percent in 2021. In reality, an R1,000 investment in LUNA would have yielded +R147,692 over the last year.

5) Is it okay if I mine Luna?

To mine transactions in the Terra system, miners must put some of their Luna into the system. This is called Proof of Stake (PoS). A validator who has staked more Luna has a better chance of making the next Terra block than one who has staked less.

6) Why is the value of the Luna currency continuing to increase?

On Tuesday, people who bought tokens from LFG agreed to keep them for four years, so the company raised $1 billion for its reserve fund. It was a big deal because Jump Crypto, DeFiance Capital, and Three Arrows Capital helped fund the investment round. This caused a big rise in the value of LUNA at the moment.

Advertisement

Continue Reading

Bitcoin

Bitcoin vs Dogecoin: Tough Fight between Crypto Ginat vs Meme God in 2022

Published

on

Bitcoin Vs Dogecoin: Tough Fight Between Crypto Ginat Vs Meme God In 2022

In a bizarre twist of fate, Dogecoin has risen to become one of the most valuable cryptocurrencies in terms of market capitalization, reaching a peak of $75 billion in May last year. Bitcoin’s market capitalization is currently over $1 trillion. The people have selected the meme coin while a hype of Bitcoin vs dogecoin going around, but does it stand a chance against the Crypto giant?

Dogecoin began as a joke to help people learn about blockchain‘s possibilities in a fun and meme-like fashion. Billy Markus and Jackson Palmer, the developers of Dogecoin, copied the Litecoin source code, added a Shiba Inu logo, and released the Doge as a full-fledged Crypto coin.

Dogecoin is an open-source project that has evolved over time and now has some significant technological variations from the Bitcoin code it was based on when it first started. But, what exactly are these distinctions, and do they offer value to the digital currency compared to Bitcoin? Which is the better investment for someone like you!? Let’s find out here on cryptocurrencysimple.com. 

Before I go deeper into comparison, let us look at Bitcoin and Dogecoin & How they work in this crypto Blockchain world!

Advertisement

What exactly is Bitcoin?

Bitcoin Vs Dogecoin

Satoshi Nakamoto invented Bitcoin in 2008, and it was first used in 2009. Satoshi Nakamoto is a pseudonym for someone yet unknown to the rest of the world. Satoshi argued that a public creator could not exist for a product such as Bitcoin since it would undermine the decentralized principle.

Since the 1980s, Bitcoin’s decentralized ledger became the first genuine blockchain implementation despite comparable notions within the crypto community. Satoshi then realized that a network might make spam uneconomical by demanding energy-intensive, complex computations. This mechanism, known as proof of work (PoW), allowed individuals willing to pay a fee for network access to perform trustless, peer-to-peer Bitcoin transactions.

The money was delivered to the miners, a decentralized network of individuals who do these complicated calculations to share the profits. PoW simultaneously eliminated spam and provided random people worldwide with a way to earn money from their home computers. As more users choose to contribute their processing power to the Bitcoin network, the value of Bitcoin increases.

What is Dogecoin?

Bitcoin Vs Dogecoin

Many Bitcoin clones were produced in the middle of a wave of irrationally overbought Bitcoin clones, and Dogecoin was one of them. Billy Markus and Jackson Palmer had no intention of getting millionaires; all they wanted to do was a meme on other shitcoins. But, unfortunately, that is precisely what they did.

Markus claimed in a Reddit rant that the project took around three hours to complete and that he spent “the most of that time modifying the client’s code to make the text Comic Sans.”

If that isn’t enough to persuade you of Dogecoin’s over $75 billion market worth, check Dogecoin: A Full beginner Guide to know more about it!

6 Reasons/facts to know who is better between Bitcoin vs Dogecoin

Bitcoin Vs Dogecoin

#1 ) The Purpose for the Coin

Its creators made Bitcoin work a little bit like digital gold. This means that while Bitcoin can process about seven transactions per second (TPS), it’s worth far more than any other coin. The reason people use BTC for significant money transactions is because it’s easy to send and receive money.

Some people also think of Bitcoin as an investment, which has worked out well because Bitcoin has grown at an average rate of 100 percent to 200 percent each year. From March 2020 to July 2021, the value of Bitcoin went up about 800 percent, which made great money for people who were able to hold on through the ups and downs.

Advertisement

On the other hand, meme-based Dogecoin started as a way for people to learn about cryptocurrency fun and easy. It was a coin that people could send for educational purposes or as a unique hobby. The price was so low that people could send it to each other for a small amount of money. Many online businesses now accept DOGE, but it’s not as common as BTC.

#2 ) Bitcoin is more than just a money-transfer method.

Let’s start with the notion that Doge might become a usable cryptocurrency one day. It has the potential to outperform Bitcoin. Transactions are speedier, more eco-friendly, and less expensive. However, it’s a crowded market, and I’d be wary of investing in anything that is only a means of payment.

The following are some of the critical factors:

 Other Altcoins: Dogecoin is one of many alternative coins that improve Bitcoin’s payment capabilities. The problem is that they’re all volatile. Would you want to take money for a meal only to have the value decrease in a couple of days if you were running a restaurant? It would have a negative impact on your cash flow.

Stablecoins: Stablecoins address the issue of volatility. Because these cryptocurrencies are linked to stable assets like dollars or gold, their value does not change dramatically from day to day.

Advertisement

Government coinage: such as the digital dollar, are another possible competitor in the digital payments sector. The Federal Reserve ( FDR ) has stated that it is considering creating its coin, while China has already begun testing a digital yuan. Because they are both stable and supported by the government, they have the potential to blow the alt currencies out of the water.

We don’t yet know how this will play out, but one thing is sure if Doge is to succeed as a digital currency, it will face stiff competition from all sides. Bitcoin, on the other hand, is competing in a separate race. Some regard it as a gold-like digital store of value. Others see it as a stable, safe platform to build additional cryptocurrencies.

#3 ) Market Capitalization

There is no contest when comparing the two cryptocurrencies regarding market capitalization. Bitcoin’s market valuation was over $867 billion at writing, whereas dogecoins were slightly over $31 billion. Bitcoin is presently the most valuable cryptocurrency, with Dogecoin ranking ninth.

DOGE was formerly rated somewhere between the 30th and 50th most valuable cryptocurrencies by market capitalization, if not considerably lower. However, during the altcoin craze of 2017 and 2018, the meme coin surpassed the $0.01 barrier and hit a market worth of $1 billion for the first time.

Bitcoin has always been the most significant valuable cryptocurrency in market capitalization. Other coins can’t compete for the top rank in the same way as Bitcoin can since it has the oldest history, the most secure network, and the largest community of users and volunteer developers. So when big-time investors with a lot of working cash want to go into crypto, they usually put the majority of their money into Bitcoin, deeming the other choices too hazardous.

Advertisement

Although the speed with which specific cryptocurrencies, like Dogecoin, have ascended the ranks, it appears that Bitcoin will remain the most valuable currency by market capitalization.

#4 ) Big group of people supports Bitcoin.

The Bitcoin Foundation and other organizations fund a big development crew to maintain Bitcoin bug-free and up to date. Although Bitcoin is sluggish, developers consider building additional technologies on top of it. In addition, the IT specialists are working on upgrades that would make transactions more straightforward and less expensive.

Dogecoin has announced that its first update in years will be released shortly. Dogecoin has four part-time developers who claim that Doge 1.21 will be released soon. That’s fantastic news for Doge, but it’s only a drop in the bucket. Because Doge lacks full-time developers, what happens if the platform is hacked or a technical issue arises in the middle of the night?

#5 ) Block Time and Transaction Speed

This really is one area where Dogecoin outperforms Bitcoin, as the DOGE network executes transactions more swiftly and cheaply than the BTC blockchain.

Every minute, the DOGE blockchain processes a new block of transactions. Every 10 minutes, the BTC Blockchain processes a new block. While this makes DOGE more appealing as a medium of trade, it is less attractive as a store of value.

Advertisement

A larger quantity of new Dogecoins entering the market tends to push down the price since DOGE miners earn 10x the block rewards as Bitcoin miners.

#6 ) Total / circulating supply 

It’s tough to compare the supply and demand for Dogecoin and Bitcoin because they are very different.

One of the things that makes Bitcoin valuable is that it has a low-inflationary money policy. There is less and less Bitcoin over time, not more. If you’re a miner, you get a block reward every four years or so. This process is called “the halving.” There will only be 21 million Bitcoin ever mined, so there will never be more than that.

On the other hand, Dogecoin has a policy that causes money to grow. There is no limit to how many DOGE coins miners can make, but there is a cap of 5 billion coins each year. In addition, the reward for mining DOGE hasn’t changed in a long time, so 10,000 DOGE is still the reward for each block.

In other words, people can keep mining DOGE and dumping it on the market until there is no more of it left to mine. DOGE’s supply and demand make it more likely that the price will fall toward the center of the Earth as time goes on.

Advertisement

#7 ) Bitcoin is a superior long-term investment.

The Motley Fool, Tesla, MicroStrategy, The Ascent’s parent company, and other big MNCs hold Bitcoin because it believes in the currency’s long-term potential. It isn’t aiming for quick profits; instead, it is willing to retain Bitcoin, hoping that it will do well over time.

Is a long-term investment in Dogecoin a wise idea? It may continue to astonish us all. However, the coin was developed as a joke with no real purpose, and its market capitalization has now surpassed that of some well-known corporations. I would not invest in a company that did not have a business strategy, regardless of its prominence on the internet.

At the end of the day, all cryptocurrencies are high-risk investments. There’s a lot we don’t know about how they’ll play out. However, Dogecoin appears to be riskier than most. It has exceeded enormously, and I hope it continues to do so for the Dogecoin community. But it’s just too much of a risk for me.

{ Conclusion } So, What’s Better: Bitcoin vs. Dogecoin?

Bitcoin Vs Dogecoin

Bitcoin is the best cryptocurrency for most investors, especially over the long term. With the endorsement of major institutional investors like Tesla and PayPal, it’s become clear that Bitcoin is a sound investment. Moreover, Bitcoin’s hard-capped supply ensures investors of the digital asset’s scarcity continue forward. Given the current level of buzz around Dogecoin, the cryptocurrency might outperform Bitcoin shortly if the current trend persists.

FAQS on Bitcoin vs dogecoin:

1) Is Dogecoin on its Way to Becoming the Next Bitcoin?

Dogecoin would have a hard time displacing Bitcoin as the most popular cryptocurrency. Bitcoin has 98 percent of the hashing power of all proof-of-work currencies, and there’s no reason to believe Dogecoin or any of the other altcoins will be able to compete with it.

Advertisement

2) Is Dogecoin worth buying?

I don’t suggest Dogecoin to investors because it has no real-world application. However, when the price is much lower than its previous peak, buying this meme currency now may appear to be a low-risk, high-reward decision.

3) Who owns the most Dogecoin?

With the address ‘DH5yaieqoZN36fDVciNyRueRGvGLR3mr7L’, the top account currently holds 36,711,943,025 DOGE or 28.28% of all Dogecoin.

4) Is Dogecoin safe? 

Advertisement

While all cryptocurrencies carry some level of risk, Dogecoin is one of the most hazardous. So before you even consider purchasing, examine how this investment will perform over time.

5) So, Where to Buy Dogecoin?

Bitcoin is now accepted practically everywhere, including petrol stations. However, we do not encourage squandering your hard-earned cash on extortionate Bitcoin ATM fees. Instead, Coinbase, CoinDCX, Gemini, Robinhood, Kraken, BlockFi, Binance, and other exchanges provide them. Check out cryptocurrencysimple guide to the Best Cryptocurrency Exchanges if you’re new to crypto.

Advertisement
Continue Reading

Cryptocurrency

What is Peercoin? A Full Guide

Published

on

What Is Peercoin? A Full Guide

The famous blockchain networks faced security problems, scalability issues, and sometimes they were beyond affordable. Relying on the PoW system many of the networks carried on with the high energy consumption. It has a protocol where constantly operational computing systems go on with complex mathematical problems. There is huge competition for these mining rewards. But when the energy prices would move up, considering the reduction of mining rewards, that would make the one cryptocurrency less appealing to miners.

So a new hybrid organization came to light with Peercoin. 

What is Peercoin? 

A network that is more energy-efficient than PoW ( Proof-of-work) and also a decentralized platform on the blockchain is Peercoin. It is intended to transfer the digital assets and it operates on a hybrid organization. Using the Proof-of-stake consensus made Peercoin the first green cryptocurrency. It is also known as PPCoin and PPC. It has an average transaction time of 8.5 minutes which is less than Bitcoin.

What Is Peercoin? A Full Guide

Creation of Peercoin 

In the year 2012, Information Technology specialists Scott Nadali and Sunny King launched the whitepaper. Unlike Mr. Nakamoto, they were also anonymous figures. One of the developers – Sunny King, also developed Primecoin and VEE. According to it, though it was based on Bitcoin technology, it combines PoW and PoS methods. Nowadays PoS is trending, and it concentrates on potential security and long-term sustainability issues. 

Unique features of Peercoin 

Various unique aspects make Peercoin a totally different and special one. 

Advertisement
Hybrid protocols – Peercoin is a combination of Proof-of-Stake and Proof-of-work systems to process the stable transactions and distribution of coins. The PoS method protects the system, in which the SHA-256 encryption algorithm is integrated carefully. The PoS system has some key reminders –
  1. Inventory Management is a very special feature of PoS, where users are allowed to manage the assets in real-time and know the number of goods they own over a given period.
  2. Different types of invoicing are available in PoS like – Sell, buy, renting, and repair. 
  3. Through these Customer orders and Suppliers, orders are manageable. It leads to the satisfaction of the customers and company revenue as well. 
  4. Transaction Rewards are the most attractive opportunity for the minters or forgers. 
  5. The impracticality of the 51% attack, makes the attack so worthless and expensive and not so profitable.
  6. The coins are generated with PoS regarding the amount and age of those kept in a user’s wallet. It is the way to keep the blockchain secure. 

Apart from all that, selecting the next block forger is based on coin day. ( The time they were using the user’s wallet × token amount). This timestamp is added for each transaction, which makes the process of calculating coin days easy.

  1. The PoS method unites the miners and owners so that each network participant can play both roles.
  2. After 30 days of coin holding, one can create a new block. When the coin age reaches 90 days, the chances are maxed out. The first input is called a kernel and it must meet the fixed hash target protocols (per unit coin age consumed in the kernel). When the consumption increases, the protocol is reached easily.
What Is Peercoin? A Full Guide
  • Stable Inflation – The great reward system indicates that it has inbuilt inflation and with that, there is no maximum supply of Peercoins. With exactly a 1% inflation rate, it refers to encouraging the users to store the currency, contributing to low inflation. Users who don’t participate in staking or minting transactions receive nothing. If the coin reaches a 2 billion cap one day, then the inflation rate would theoretically rise.
  • Energy Efficiency – PoW stands on high energy consumption and expensive fees which are gathered from both inflation and transaction fees. Whereas PoS solved the problem and created an idea to carry on with a secure peer-to-peer network where all computers could participate equally. It can save a huge amount of energy and it will prevent centralization as well.
  • Checkpointing – Unlike the System Restore in Windows, Checkpointing is a security protocol in case of emergency attacks. Sunny King addresses them as “protection of history”.
What Is Peercoin? A Full Guide

How does PPC work?

Peercoin uses the PoW ( Proof-of-Work) protocol to distribute coins. The mining process leads to solving complex mathematical problems using specialized mining devices. 

To verify transactions PoS (Proof-of-Stake) is used. Any Peercoin holder can participate and pledge the coins to the network for verification. After that, a user is selected randomly to verify a block of transactions which depends on the number of coins held. 

In the process of ‘mining’, hashes are discovered to make new blocks. There are several Peercoin-dedicated mining pools to choose from, along with multi-coin pools such as Coinotron, Give Me COINS, and Multipool.us.

Advantages of Peercoins 

  • Proof-of-Stake is used for complete protection.
  • Consumption of lower energy during mining. It is long-term sustainable due to much lower requirements for electricity.
  • For the payments of performed services, PPC tokens are used inside the platform, the cost of them is $1.38 per coin.
  • The main chain, which has a bigger total amount of spent coin age, is determined by Peercoin. To have recorded it goes on with the spending of coin age for each transaction in each block.
  • Security of network users is provided.
  • To control inflation, the system destroys all transaction costs.
  • It has an unlimited token supply.
What Is Peercoin? A Full Guide

Disadvantages of Peercoin 

  • It has an unstable price record. 
  • Anonymity is not preferred here. 
  • It is not in trend like other platforms. 

PPC current price 

The price of Peercoin is running at $0.754392 with a full 24 hours trading volume of $17,877.74. Peercoin is down by 1.63% since yesterday. It carries an approximate rank of 838. The present market cap is $20,609,514. The current circulation is 27,319,359 PPC coins. The FDV or maximum supply is not available. 

How to buy PPC 

To buy PPC there are several trending exchange platforms. The top cryptocurrency exchanges for trading in Peercoin stock are currently –

  • HitBTC ( PPC/ USD) 
  • Hotbit (PPC/ BTC)
  • YoBit (PPC/ BTC)
  • Bittrex (PPC/ BTC)
  • The Rock Trading ( PPC/BTC) 
  • SouthXchange (PPC/ USD)

What Is Peercoin? A Full Guide

What is the future of Peercoin?

It is a decentralized ledger and less expensive one used in businesses to track share ownership and the distribution of dividends in an automated fashion. It can have a good future with two projects going on – 

  1. Indicium – This Decentralized Autonomous Company or DAC is focused on creating and trading crypto indexes. With the Indicium tokens, users can stake in ownership and get the right to receive dividends, vote on executive board elections and operations.
  2. Peerassets – To create and exchange assets, this blockchain-agnostic protocol can work easily. As it is under the Peercoin blockchain, security, size efficiency, and low transaction fee are preserved. 

Should you buy Peercoin? 

It is notable for its Proof-of-Stake technology because before any other famous cryptocurrencies like Bitcoin is focused on sustainability and user-friendly investment strategies. So it is good for investing.

How can someone store PPC?

From the official Peercoin website, Peercoin wallets can be downloaded. For maximizing security paper wallets can also be created. It is also available for both – desktop Windows and Linux versions and mobile users in the Android version.

What is the difference between Peercoin and Bitcoin?

It has a significant difference in maximum supply. Peercoin hasn’t set any, whereas Bitcoin has a 21 million maximum supply. It is affordable because of Peercoin’s consensus protocol, it uses a smaller fraction of the energy than the famous Bitcoin does.

Advertisement

Continue Reading
Advertisement

Trending