Monero (XMR)

Table of Contents:

• What is Monero?
• How does Monero ensure the privacy of its users?
• Monero and Bitcoin - differences
• How to mine Monero (XMR)?
• How much is Monero (XMR)?
• Monero (XMR) - on which exchanges is it available?
• Which cryptocurrency wallet to choose for Monero (XMR)?

What is Monero (XMR)?

Monero (XMR) is a cryptocurrency targeting confidential and private transactions. This virtual coin differs from Bitcoin (BTC) or Ether (ETH) in that its blockchain is not public. Nobody can trace the transaction history on it or gain access to public addresses, as is the case with most other cryptocurrencies. Operations carried out through Monero become undetectable thanks to advanced cryptography solutions.

What functions does this cryptocurrency perform? As we mentioned above, it is peer-to-peer (P2P) electronic cash that allows for fast, cheap and confidential transfers of funds from one person to another without any time or border barriers.

How does Monero ensure the privacy of its users?

This cryptocurrency is based on the so-called ring signatures and hidden addresses that allow you to secure the data of the sender and recipient of the transaction. The user cannot be associated with the public address in this case, since the ring signatures combine the user's key with other keys in the Monero blockchain. In this network, all XMR coins are simply mixed together when making transactions.

Such high privacy has its advantages and disadvantages. This cryptocurrency is most often used by people who value the confidentiality of transactions. The negative response that appears around Monero, however, is that XMR, due to its strengths, can be used by criminals on the black market or used to circumvent the law.

Monero and Bitcoin - basic differences

The XMR cryptocurrency differs from BTC in many ways. While Bitcoin is usually credited with anonymity - in fact, it has nothing to do with it. BTC blockchain, the so-called blockchain is public. This means that each user can see when, from what public address, where and how much money has been transferred. Due to the fact that most cryptocurrency platforms have to comply with the KYC and AML policies, it is easy to get to a ball along the thread. In other words, if the stock exchange is subject to verification, the company knows who the public address belongs to and, if necessary, is obliged to provide information to the relevant law enforcement authorities.

The situation is completely different in the case of Monero. Although this cryptocurrency is not as popular as BTC, it gains an advantage when it comes to the level of transaction privacy. Of course, this is not the only difference between the two coins. See the table below for more details!

Monero uses a concept known as "bulletproof." This technology reduces the transaction size; hence more transactions can fit in a block; therefore, Monero charges less than Bitcoin. Bitcoin's transaction fee is around 39 cents, and Monero's is 2 cents.

How to mine Monero (XMR)?

The XMR cryptocurrency, as well as BTC, is mined in the process of the so-called mining. Mining Monero, however, is much simpler. Special equipment is not needed for this process, so XMR is also open to smaller users - this is one of the main advantages of this coin.

Cryptocurrency miners can mine XMR on regular computers, they don't need specialized cryptocurrency miners for this. For each block they excavate, they receive a fixed reward of 0.3 XMR.

How much is Monero (XMR)?

The current market capitalization of this cryptocurrency is USD 1,631,612,925 (as of August 25, 2020). Currently, this coin is on the 17th position in the CoinMarketCap ranking. Its ATH, i.e. the highest price level, was recorded on January 7, 2018 (during the cryptocurrency bubble), it was then $ 495.84 per coin. The current price of XMR is around $ 92.30.

Monero (XMR) - on which exchanges is it available?

The XMR cryptocurrency is a subject of much controversy due to its high privacy. For this reason, at the turn of the last few years, many platforms had to give up its listing. Don't worry, this coin is still available on the largest cryptocurrency exchanges, for example, users can buy Monero in pair to Bitcoin (BTC) or Tether (USDT) on Binance.

Which cryptocurrency wallet to choose for Monero (XMR)?

To invest in Monero, the user must have a special cryptocurrency wallet. We can divide them into two main categories: cold wallets (functioning in the offline mode) and hot wallets (constantly connected to the Internet). These, in turn, are grouped into subsequent subcategories.

Is it worth knowing before choosing the right wallet? First of all, be aware that it does not function in the same way as a bank account. In the event that a user loses their private key, they will not be able to access their funds - so keep this in mind!
What cryptocurrency wallets support Monero (XMR)? Examples are listed in the table!