One of the most popular features of cryptocurrency are privacy and anonymity. These characteristics help users to hide identities and remain anonymous in terms of transactions they conduct. While there are concerns about the privacy of Bitcoin, blockchain users are looking for new, more private options.
This is where privacy coins – cryptocurrencies that implement additional security features to ensure that all data about users and their activities on the blockchain is fully protected – come in.
In today’s SpectroCoin blog post, we present our insights into privacy coins and how they work, and discuss the overall importance of privacy as it relates to the blockchain.
The idea of cryptocurrency lies in financing accessible to everyone, regardless of what part of the world they reside in. This is where DeFi, short for “decentralized finance”, steps in. Previously known as “open finance”, this movement aims to provide access to financial services like savings, loans, insurance, trading, and more – all with the help of blockchain technology.
Last week, we started the SpectroCoin blog series educating on various crypto topics. Today, we are excited to continue by sharing some insight into DeFi and take a closer look at the benefits and challenges that come together with the term.
To keep their networks secure, blockchains reward people with cryptocurrency. There are various consensus mechanisms enabled to validate transactions on the blockchain. For example, Bitcoin uses a Proof of Work mining algorithm, while NEM has introduced a Proof of Importance system.
One additional alternative used by cryptocurrencies, such as Dash, Polkadot, Neo and Cardano, is the Proof of Stake mechanism, which is considered an energy-saving method to confirm cryptocurrency transactions.
In today’s SpectroCoin blog post, we are happy to clear up the confusion around the concept of “Proof of Stake” and share our thoughts about staking.