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Monero-Hard-Fork: Five ‘New’ Crypto Currencies

Posted by admin on 25. November 2018
Posted in Monero 

One Hard-Fork, five projects. The crypto currency Monero hard-forkte on 05.04.2018 to version 12 of the Monero protocol. But not everyone supported this Hard-Fork.

This scenario is known from Ethereum, as Ethereum and Ethereum Classic were created by a Hard-Fork. Monero was a bit different. There are now six Moneros in total, and the trend is rising. Only one Monero uses the protocol version 12, other Moneros use the old protocol version 11.

Monero and Bitcoin code belong together

Every six months a Hard-Fork is carried out to keep the protocol up to date. The latest Hard-Fork brought some new features: Multi-signature Bitcoin code transactions, support for the Nano S Ledger and much more. Also, the latest Hard-Fork modified Bitcoin code Cryptonight algorithm, making all ASICs useless.

Manufacturers of mining hardware such as Bitmain, Halong Mining and PinIdea were of course not happy about this news. All of them recently announced that they had produced ASICs for the CryptoNight mining algorithm. Due to the hard fork, the CryptoNight ASICs can no longer dig Monero, making them virtually worthless.

In recent days and weeks, four projects have announced that they will continue to use the old Monero protocol. Somewhat bizarre, since all four use the same network and actually dig the same coin. The only difference is that names and logos are different.

Monero, of course, remains Monero, don’t get confused by the Bitcoin revolution

A total of 6 Monero. Five competitors on the old blockchain (MoneroC is missing on the picture) and the original Monero on a new Bitcoin revolution blockchain. These are the five new Bitcoin revolution projects that will continue to use the Pre-Fork Monero Blockchain:

Monero Classic (XMC)
The first group to call themselves Monero enthusiasts from Singapore is called Monero Classic. A few miners and developers thought it was time to act. The Monero Classic (XMC) website says:

We believe that the developers who change the proof-of-work algorithm are creating more centralization and damaging decentralization. […] The Monero developers say they can and will change the rules if it suits them and you have to follow community.

Monero Classic is not in contact with the other groups and does not want to contact them.

Monero Classic (XMC)
The second group is called like the first. On the project’s website, a PZ is mentioned who sees himself as a Bitcoin evangelist. This group also believes that Monero developers harm natural development and the course of things.

The project seems to come from China and is actively supported by Bitmain. Of course, Bitmain is then immediately accused of having a finger in the pie. But it is more likely that Bitmain will support a group so that the company can sell the CryptoNight ASIC Miners profitably.

The Stellar Lumens Coin has set itself high goals: It should form a platform which gives people all over the world and from all income groups the opportunity to carry out fast and inexpensive transactions.

The developers around the Stellar Development Foundation are less interested in high profits on the stock exchange than in facilitating global financial access for all. Nevertheless, Stellar Coin has experienced a tremendous upswing on the stock markets in recent months. What might be the reason for this?

Stellar Lumens Coin – What is this Bitcoin profit?

The Stellar crypto currency was already announced in 2014: http://www.onlinebetrug.de/bitcoin-profit The Stellar Lumens Coin, also simply called Lumens, is similar to Bitcoin a crypto currency that can be used as a means of payment. At the moment there are 100 trillion coins, which were called Stellars at the beginning. The lumens is part of the Bitcoin profit network. First you have to buy lumens with other currencies before you can participate in the network. The aim of this network is to use Lumens and the assets for a wide variety of payment transactions worldwide. There should be no fees because the middleman, who is normally played by the banks of the currencies, is not available. Using this crypto currency, transactions across national borders should be quick and easy to carry out. The assets of the network serve as promissory notes which can be converted into other currencies. The coin, on the other hand, is important for the functioning of the network.

For transactions, there is only a fee of 0.00001 lumens, regardless of the value of the goods actually exchanged. This small part is burned by the transaction. At the same time, 1% of the total number of new coins is created and distributed each year. Thus the number of coins should remain constant. In addition, each account in the Stellar network must have at least 20 lumens. Like most other crypto currencies, there is an open source protocol behind the coin, the so-called blockchain. Open source, because according to the principles of crypto currencies their functionality should be transparent for the user and it should be possible for people to use and further develop the technologies behind the virtual currencies. Blockchain, because it is a chain of blocks that contain information about the transactions using the crypto currency. The blockchain is not the same as the coin, rather it is the software that makes it possible to use the coin.

Stellar Lumens Coin – Who is behind the crypto currency?

Behind the crypto currency is the Stellar Development Foundation, a non-profit company based in Delaware. The foundation was founded primarily by Jed McCaleb, an American programmer who was previously known for the file-sharing websites eDonkey and Overnet. He later founded Mt. Gox, a trading center for Bitcoins based in Japan. He was also involved in the development of the successful crypto currency Ripple, which is very similar in many ways to Stellar. In fact, the stellarlumens coin development came about because the developers were not satisfied with the software behind Ripple and preferred to create their own version.
The Foundation’s goal is to provide everyone with access to the global financial world, thereby promoting literacy and integration. This is to be achieved through the favorable transactions of funds. Financial services are to become particularly favorable by the network, i.e. it is to result as little fees as possible. Jed McCaleb and his team see barriers in the national banks and national currencies that block people’s access to the global economy. This crypto currency, on the other hand, is intended to create an open world financial system that is available to people of all income levels. In addition, the network should help to develop technologies that create better financial products and services for all. The Stellar Development Foundation does not have any shares and no profits can be made through lumens, as is the case with mining Bitcoins.

Advantages and disadvantages of Stellar
The coin as a system currency within the network protects it from spam. The trading fee, as low as it may be, and the fact that an account can only participate in the network if it has at least 20 lumens, are simple measures against spam. A spammer m

After years of design and development, the first Lightning implementations are now in beta. Since then, more nodes are appearing every day, a growing number of users are opening channels with each other and some merchants have even started to accept payments via Bitcoin Lightning.

But of course these are still the beginnings of the Bitcoin Lightning Network

While the major implementations, some wallets and other applications are already available, the payment network will improve over the next few years in areas such as network architecture, security and ease of use. Below you will find the most important Bitcoin Lightning projects currently under development.

The Lightning Network consists of a number of payment channels. Each payment channel exists between two users, so funds can be sent back and forth between them.

However, at this early stage of development, the payment channels can only be funded by one of the two parties. The financing party must first make a payment with the counterparty, only then can the counterparty make a payment within the payment channel.

However, the Lightning Network whitepaper suggested Dual-Funded Channel, for which ACINQ, the company behind eclair, has now also proposed a specification. As the name implies, both users could finance a payment channel by depositing Bitcoin. This should give Bitcoin Lightning users more flexibility, as they can pay immediately after opening a channel.

Submarine Swaps

In order to make a Lightning payment, users must deposit money in the form of Bitcoin in a payment channel. Once in a channel, these funds cannot be sent to regular (on-chain) Bitcoin addresses (unless the channel is closed). This means that Bitcoin in a Lightning channel is different from Bitcoin in a normal wallet. But there are suggestions to make the switch between Lightning and on-chain payments more seamless.

One solution is Submarine Swaps. Developed by Alex Bosworth (but previously designed by Lightning Labs CTO Olaoluwa Osuntokun), Submarine Swaps essentially allows Lightning to send payments to an intermediary in the Lightning Network; this intermediary will thus send a corresponding amount of Bitcoin to a regular (on-chain) Bitcoin address.

It also works the other way round: users can send regular on-chain payments to the intermediary; this intermediary then sends a corresponding amount of Bitcoin to a receiving Lightning Node. It is important that this conversion is “atomic” for Submarine swaps. With a trick already embedded in the Lightning Network, Lightning payments and on-chain payments can be effectively linked. This makes it impossible for the intermediary to steal funds by not forwarding the payment.