Among the cryptocurrencies that are traded in the market regularly, Monero offers a sui generis feature that distinguishes it from the rest. To the experienced traders of this currency, it is well known that the feature is to offer an untraceable transaction system with complete anonymity of the user. Since its inception in 2014, the developers of Monero have given their utmost attention to the anonymity of every possible transaction. As in the crypto-world, the word “untraceable” is synonymous with “invulnerable” or “secure”; this coin has become one of the leading Altcoins currently available in the market. While the transactions made by using the most popular cryptocurrency Bitcoin can be tracked quite easily, Monero offers an alternative recourse to the investors.
However, very recently, some issues have been pointed out regarding the anonymity factor. According to some crypto-connoisseurs, these issues can actively take part in jeopardizing the ostensibly “untraceable” nature of Monero transactions, eventually making it vulnerable to hacking and other malicious activities.
Here, some aspects regarding this anonymity issue would be discussed along with some other reasons why traders all around the world should keep a close watch on this currency this year.
The Flaws in Monero:
Crypto-experts have recently found out two flaws in Monero’s design that can turn its untraceable transactions into partially traceable. According to Per Wired, a team consisting of researchers from renowned educational institutions like MIT, Boston University, Princeton, Carnegie Mellon, University of Illinois, etc., Monero is programmed to mix a decoy named “Mixins” in each of its transactions. Although Monero is untraceable, the Mixins can be tracked down eventually making the actual transaction traceable. The two flaws in Monero’s design include:
- In the beginning, this digital currency used to allow the users to opt out a privacy protection system as per their requirement and spend coins with no Mixins. The problem with this system is that, when an already spent coin makes another appearance as the decoy, it can be quite easily identified form the mix and eventually the actual Monero transaction can be identified as well. However, as a preventive measure, you would need at least 4 Mixin decoys now to carry out a single Monero transaction so that the others would remain perplexed about identifying the real coins from the mix of decoys.
- According to the researchers, the timing of the transactions is majorly responsible for the second flaw in Monero’s design. They inferred that in any mix of several faux coins along with one real coin, the real one is most likely to be sent last. As a result, analyzing the timing of these transactions can efficiently track down the real cryptocurrency amongst the bunch of fake ones. An efficiency rate of 90% has been determined for this theory in tracing a Monero transaction.
Recent Updates and Preventive Measures:
After the recent revelations, the development team of this cryptocurrency has performed several development updates to regain the unmitigated anonymity of Monero. To nullify the second flaw, the usual sequence of sending the real coin last has been altered as well. These updates made a forthwith impact on Monero as the figure 90% success rate is reduced to 45% while tracking down a Monero transaction.
The Current State of Monero:
Surprisingly and quite admirably, the recent revelations of Monero are yet to make an impact on its current individual coin price ($190.92 on 28th March 2018) as well as on its overall market capitalization (approximately 3 Billion USD on 28th March 2018). This coin currently holds the eleventh position on Coinmarketcap among nearly 1600 currencies currently listed. The price chart of Monero also exhibits a steady upward trend.
Keeping an Eye on Monero:
Despite the revelation of the flaws that can vitiate the most important feature of this cryptocurrency, Monero is still one of the safest currencies in the market. Its anonymity feature might not seem as impregnable as it previously seemed, but there is still no possible way to identify the user making transactions even if the real coin is tracked down. Also, Monero is one of the most stable currencies that were able to hold on to their prices during the recent market debacles. Therefore, keeping a close eye on this currency can come to fruition by the end of this year for many traders.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
Image courtesy of Jessica Weimar via Flickr
TRON Partnership Involves Cloud Computing
It has been almost an entire week since Justin Sun, the founder of TRON (TRX), announced a new big partnership for this cryptocurrency. His Twitter announcement did not provide a lot of information, except for the fact that the TRON partnership is with an industry giant worth tens of billions of dollars.
— Justin Sun (@justinsuntron) October 12, 2018
Even so, the entire crypto community started speculating about the new partner’s identity. Soon after the announcement, a new rumor emerged, claiming that the identity of an unnamed corporation was uncovered. According to the rumor, TRON’s new partner is none other than Baidu, one of the largest tech giants of China, which also represents this country’s largest internet search provider.
Baidu is often viewed as China’s version of Google, and if the rumors of a partnership with this company turn out to be true, this will be a big game-changer for TRON.
However, in days following the announcement, new reports started coming in with claims that the partnership will not revolve around blockchain technology. Instead, ODaily reported that the alleged partnership between TRON and Baidu will be focused on cloud computing. The report claims that TRON will be purchasing computing resources from Baidu.
Will Ripple (XRP) advocacy hike affect bitcoin dominance of China?
Currently, China is leading in Bitcoin mining industry by far, second to none for bitcoin mining power. Literally, it’s contributing over 70% of the network’s hash rate (a term that is used in describing the total processing power of a blockchain network). But how Ripple fits in here and what it has to do with that? We’ll talk about that a bit later below, let’s cover some in-depth facts about China’s dominance over Bitcoin first.
It’s a near-complete dominance by China on the BTC mining grid that has made it responsible for mining a majority of circulating bitcoins. A Beijing-based company, Bitmain Technologies, is highly responsible for extracting the significant part – more than half of the globe’s bitcoin, and alone, it has approached 50% of the total hash rate more than once.
The fact that China is controlling a majority of Bitcoin hash rate, clearly tells that it has the power of manipulating or merely destroy the bitcoin network if it gets enough support should it decide to take such a move. Therefore, this has led to serious concerns among countries including the US that China might get an edge in this cryptocurrency industry and possibly becoming a potential threat.
China is the biggest manufacturer of Bitcoin as well as cryptocurrency mining equipment. The reason behind the massive growth of mining farms in the country is because of cheap electricity bills.
Furthermore, the country has adopted several…
Ravencoin (RVN) Surges Following Binance Listing
While most cryptocurrencies today still remain unstable and at the edge of falling into the red, there are some coins that are doing significantly better. One such coin is Ravencoin (RVN), which has surged by over 26% in the last 24 hours.
Ravencoin came to be as a hard fork of Bitcoin and was inspired by a popular book series-turned-television programme, Game of Thrones. The coin’s developers decided to make Ravencoin an open-source project that provides users with the ability to declare assets on their platform. The platform itself is decentralized, transparent, and secure.
Just as Game of Thrones’ ravens are used for spreading the news and truth, Ravencoin hopes to become a carrier of truth regarding the ownership of assets on the blockchain.
Ravencoin’s main use case is for performing P2P transfers, while it prioritizes security, autonomy, user privacy, and control. Additionally, as a coin fighting for truth and transparency, it also stands against censorship.
Ravencoin got listed on Binance prior to MainNet launch
Following the last week’s announcement that Ravencoin is getting officially listed on Binance, the world’s largest cryptocurrency exchange ba trading volume, Ravencoin experienced a large price surge. At one point, the surge took the coin’s value up by over 31%. At the time of writing, however, the coin is still growing, with an increase of 26.15% in the last 24 hours.
Getting listed on Binance has brought Ravencoin to the top…
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