Monero (XMR) is the 14th largest cryptocurrency based on its market capitalization of $978,361,467 today. The crypto asset was created in April 2014, and it has gained high adoption because it is a privacy coin that allows transactions to be sent anonymously. Now, we've outlined all you need to know about Monero including its blockchain, wallets, price prediction, and lots more.
Monero is an open-source, anonymous cryptocurrency that adopts the basic blockchain features such as immutability. This decentralized network relies on a CryptoNight proof-of-work hash algorithm. Further, Monero focuses on fungibility, privacy, and decentralization.
Its privacy feature helps to secure the identity of an XMR holder. The latter is made possible using an obfuscated public ledger that only allows users to send transactions, but without being able to trace the source of payments.
Monero vs Bitcoin
A comparison between Monero vs Bitcoin shows that there are unique differences between both cryptocurrencies. For starters, Bitcoin was created in 2009 to enable people to send and receive payments without barriers and anonymously. However, Monero took it one step further to provide a higher level of privacy.
For Bitcoin, the identity of a person who makes a transaction is unknown, but their transaction information can still be traced to their wallet. As such, it may be possible to determine a person's identity by monitoring their spending patterns. This limitation is not the case with Monero since no one can ascertain which wallet made a transaction and how much a particular wallet has received using the wallet's address.
Monero's privacy is made possible using several features such as Stealth addressing, Kovri project, and Ring Confidential Transactions (RingCT). The RingCT, for instance, uses a pattern called mixing where transactions are signed by a group of randomly selected XMR owners who have the same amount of XMR. This, therefore, poses a difficulty to ascertain who made the transfer.
On the other hand, Monero's privacy has been taken advantage of by users of darknet platforms, which has become a concern for financial regulators. The German Finance Ministry, for instance, in its "First National Risk Analysis 2018/2019" report, noted that Monero poses a higher risk to financial security than Bitcoin. According to the financial watchdog, privacy coins like Monero are more likely to be used for money laundering and terrorist financing.
Best Monero Wallets
There are several Monero wallets for Android, iOS, Windows, Mac, and Linux devices. These are either hardware, desktop, or mobile wallets. They include the following:
1. Hardware Wallets:
The Monero community is currently developing a dedicated hardware wallet for storing, sending, and receiving XMR. However, the Trezor Model T, Ledger Nano X, and Ledger Nano S hardware wallets can be used to store Monero.
2. Monero GUI wallet:
The Monero GUI wallet provides an interface for you to access XMR and also send and receive the crypto asset. The application is paired with a Monero daemon that notifies you of new transactions.
3. Mobile Wallets:
Some of the best Monero wallets for Android and iOS devices include Cake Wallet, Monerujo, My Monero, and Edge. The members of the Monero community have highly recommended these wallets. And if you're wondering how to access Monero wallet easily, it would be with the use of a mobile wallet.
How to Buy Monero
You can buy Monero using USD, EUR, GBP, CAD, or JPY on cryptocurrency exchanges such as:
- Kraken: SEPA, Bank Wire, SWIFT, Bank deposit
- Poloniex: Trading exchange via Tether USD
- Bitfinex: Trading exchange via USD
- MoneroForCash: Cash, Mail or money order
- LiveCoin: Wire transfer, OKPAY
The following cryptocurrency exchanges will enable you to convert Bitcoin to Monero:
- Alfa Cashier
Accepting Monero as Payment
You can accept Monero on your website as payment for goods and services by using cryptocurrency payment processors. Some of the best payment processors include Coinpayments, Coingate, and PayKassa. There is also the Monero WooCommerce Extension you can install on your e-commerce website.
Monero mining relies on a proof-of-work algorithm called CryptoNight. The cryptocurrency can be mined from a PC running on Windows or Linux (Fedora and Ubuntu) operating system. Follow these steps to mine Monero
1. Download Monero Mining Software:
Download a mining software on your computer such as the xmr-stak-cpu (Intel processors), xmr-stak-amd (AMD GPUs), xmr-stak-nvidia (NVIDIA GPUs), xmrminer, monerospelunker (Windows OS), or cpuminer-multi (Linux OS).
2. Join a Monero Mining Pool:
Join a Monero mining pool like supportxmr.com, monero.hashvault.pro, xmrpool.eu, and monero.crypto-pool.fr.
3. Mine Monero from a Web Browser:
There are Monero miners for web browsers that will enable you to generate the crypto asset conveniently from a Chrome or Firefox web browser. Here's how to mine Monero from a web browser:
- From your Chrome web browser, goto Minero
- Register and access your dashboard
- Click on 'Start mining'
Other sites you can mine Monero from your web browser are:
Monero Price Predictions
Monero is valued at $56.70 at the time of writing; however, the Monero price prediction for 2020 and the years ahead shows that there is a high possibility for the virtual asset to be priced higher. For example, Crypto ground, a cryptocurrency prediction website as of today predicts that Monero will spike to $77 by 2020, $236 by 2021, and $477 by 2024.
On the other hand, Longforecast, a forecasting agency, predicts that Monero may dump significantly soon. According to the platform, XMR will trade around $43.2 by December 2020 and $23.9 by December 2021. Wallet Investor also notes that XMR could dump to $4 in 2020.
Monero is one of the top cryptocurrencies in 2019, and it has gained a lot of attention due to its enhanced privacy. However, the Monero price predictions show that you have to make an informed decision before investing in the crypto asset.
Featured Image Source: Investopedia.com