Review on Grin by Fanuel PORPORTY
Grin, a original crypto project, very interesting and important for the cryptocurrency ecosystem
Grin is an anonymous cryptocurrency that emerged a few months ago without an ICO based on the MimbleWimble protocol.
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Mimblewimble is a distributed registry concept focused on anonymity and scalability rather than programmability. Even if it is based on the same principles as Bitcoin, it is significantly different in a few aspects. Like Bitcoin, Mimblewimble is based on the concept of transactional exit. Each transaction is made up of inputs and outputs. The special feature of the system is that each entry represents the exit from a previous transaction. This is why we pay attention to transactional outputs, and in particular to unspent transactional outputs (called UTXO for Unspent Transaction Output) which represent the tokens in circulation.
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However, Mimblewimble has changed the structure of these transactions. For this, its inventor took up three ideas from Gregory Maxwell, developer of Bitcoin Core and co-founder of Blockstream: confidential transactions, the mixing of transactions and the sectioning of transactions. Mimblewimble is thus a digest of confidentiality techniques allowing to obtain an opaque blockchain. Confidentiality being the main goal of this concept of blockchain, we can say that the bet is successful.
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Pros
- On the monetary policy side, Grin adopted an inflationary policy: the number of tokens is infinite and 60 are created for each block. This means that it will be necessary to wait 100 years to have a rate of monetary emission lower than 1%. This is why Grin will not aim to become a store of value, but rather a confidential exchange tool.
- Despite the simple design of its site, Grin is a serious crypto project, both in terms of its technical model and its monetary policy, which differs greatly from the classic model.
- Grin came with the intention to improve the world, not to enrich it easily, for the same reasons that brought Bitcoin to the world.
Cons
- Not resistant to quantum: Mimblewimble systems are not resistant to quantum computers (overdeveloped and ultra powerful computers). MW is based on relatively simple properties of digital signatures. Having said that, be aware that a mature, functioning quantum computer is unlikely to be a reality for decades to come, cryptocurrencies using Mimblewimble will likely find ways to prevent quantum attacks in the years to come.
- Volume of transactions: Confidential transactions significantly reduce transaction throughput. Compared to a non-private system, a blockchain that uses CT reinforces its confidentiality but its GST rates suffer (transactions per second). That said, we can admit that the compact size of MW offsets the GST limit caused by confidential transactions.
