So far we have we have done a series of guides on different crypto coins, including privacy cryptocurrency Verge. This time we’ll focus on another popular privacy coin – Monero. So, what exactly is Monero?
Using this coin you have complete control over transactions you make, and no one is able to see how you use your money. And this is one of the main reasons why Monero is among the most popular cryptocurrencies today.
In this guide, you’ll find out how Monero works and what makes it so special. Let’s get started.
Monero blockchain isn’t like the others
The blockchain underlying Monero uses a CryptoNote algorithm to make sure that all its transactions remain private. This means that transactions on its blockchain can’t be linked to a real-world identity or user name.
Monero’s blockchain is also fungible, which means that vendors and exchanges can’t blacklist its tokens. To make this possible, Monero uses ring signatures, ring, stealth addresses, and confidential transactions. With this, all details about transactions remain unknown.
Monero has several keys
Cryptocurrencies such as bitcoin, Ethereum, or any other cryptocurrency have two keys: a public key and a private key. However, with Monero things are a bit different, since it has multiple keys. They are:
- Public view key, which generates the public address of the receiver.
- Private view key, which the receiver uses to find funds sent to him.
- Public spend key, which enables the sender to take part in ring transactions.
- Private spend key. This key helps to send transactions.
It’s important to mention that the Monero address is made of the public spend and public view key.
What the future holds?
According to the roadmap on the Monero website, the team has ambitious plans for the future. One of them is adding an anonymity network aggregator for data transmission. Plus, to improve its blockchain, the platform plans to add second-layer solutions for speed and scalability.
Over the years, Monero’s popularity has increased rapidly. Some claim that this is because the coin is appealing for criminals and other members of the black market. However, Monero is more than that.
The coin is popular because large amounts of people started to use it for their online transactions. And these people aren’t criminals. They simply want to keep their privacy safe from third parties such as corporations and hackers.
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