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Review on Bytecoin by Bert Harper
Bytecoin review
Bytecoin is the first ever blockchain to implement the CryptoNote algorithm. It is designed to substantially increase the security of the cryptocurrency. The network also has some interesting privacy features. While it still uses public and private addresses, just like other networks, but the public keys are grouped in such a way, that no one can accurately tell from where the transaction originated.
Bytecoin is a quite controversial project and cryptocurrency. Even though the community doesn’t approve fully of the project and negative history surrounding the anonymous founder, it is still in the top 40 crypto coins in the world.
In the earlier stages of the project after launch, the identities of the team members were hidden. Due to the increasing skepticism and mistrust from the community, they decided to go public and share the names and structures of some of their departments
Bytecoin is a decentralized peer to peer network using the Proof of Work consensus mechanism and the CryptoNight hashing function. It offers great security and privacy features as well as an automated network difficulty adjustment that is triggered at every block.
Currently, on the Bytecoin cryptocurrency network, there are two types of nodes – full nodes and light nodes. Full nodes are responsible for keeping a complete copy of the blockchain transaction history and distributing it among other nodes. Light nodes are the mobile wallets that do not require the full blockchain to operate as they rely on the full nodes.
Unfortunately, due to the popularity and sheer size of the Bytecoin network, it was a target for 51% attacks a few times in its past and mid-2018 when there was a spike in active users on the network, deposits, and withdrawals of exchanges had to be stopped in order to protect themselves.
Pros
- Bytecoin is the first network to use the CryptoNote algorithm, which provides low-fee and private transactions. The CryptoNote algorithm wraps the addresses using a ring signature. This makes it impossible for transaction analysis and the blockchain to pinpoint the origin of the transaction because these ring signatures are shared between multiple users.
Cons
- The network is not using the best technology that is available and also, the cryptocurrency is completely pre-mined from the start. there are known wallet stability issues that hinder the normal usage.
