80% were pre-mined prior to the public release, Poor distribution, Desynchronization issues with Bytecoin wallet
Feb 28, 2014
Bytecoin is a private, decentralized cryptocurrency with an open source code that allows everyone to take part in the network development of Bytecoin. Privacy and security are naturally proponents of Bytecoin...
Bytecoin is a private, decentralized cryptocurrency with an open source code that allows everyone to take part in the network development of Bytecoin. Privacy and security are naturally proponents of Bytecoin and it’s best solution for those who want to keep their finances private.
Total anonymity, Transparent and untraceable transactions, Maximum security for funds, Based on Cryptonote technology, Guarantees a free instant international payment
Even though the name sounds so much like the popular digital currency, Bitcoin, don’t be fooled by that as there is so much more. It is the first cryptocurrency created with the CryptoNote technology which was first launched back in July 2012. The ring signatures technology is used to provide Bytecoin with completely untraceable and anonymous transactions.
Although there are multiple different cryptocurrencies in our day, one thing that differs it among the rest is that it is the first ever Altcoin based on CryptoNote technology. This coin is sometimes called a “totally anonymous cryptocurrency”. This is currency makes use of the utilization of ring signatures as well as one-time cryptocurrency addresses.
Bytecoin’s uses CryptoNight as its proof-of-work algorithm. It was created by BCN developers in cooperation with CryptoNote team and was designed to make CPU and GPU mining equally efficient and restrict ASIC mining. Since Bytecoin’s its launching in 2012, it was forked more than 25 times but still remained the most successful CryptoNight coin in terms of market cap. Its algorithms were also set as to not allow other users to know your wallet balance, to whom you send money and where you receive your funds from.
Another thing that sets Bytecoin apart from other Altcoins was its creation. It wasn't made from a fork of Bitcoin code. Bytecoin was actually coded from scratch. To clarify, many people call forks from Bitcoin as Bytecoins (BTE), but the currency we are tackling is Bytecoin (BCN). Another thing to note is that Bytecoin is also known as the first enterprise-ready Altcoin.
Bytecoin can be acquired by taking part in network maintenance and receiving BCN as a reward for it or buying it through exchanges. After acquiring, BCN can then be used for transactions, or wait until its exchange rate rises up then sell it. As of September 2017, more and more establishments accept BCN as a mode of payment. This favors BCN users since Bytecoin doesn't require intermediaries for money transfer. You can just broadcast the transaction to Bytecoin network. The transaction would take around 120 seconds, which is fee-free and can be sent to any place as long as there's internet access.
How to Buy
There are two ways to obtain Bytecoins. You can either take part in network maintenance and get a reward for it or buy BCN directly on exchanges.
There are many online exchange service providers ready to accept Bitcoins for Bytecoins. That simply means the best way to buy Bytecoins is to purchase Bitcoins first and deposit it in exchange for Bytecoins. HitBTC, Poloniex, and cryptopia are among the exchanges you can use for this purpose.
They are instant, and within minutes, your payments will be confirmed and your Bytecoins will be credited to your account. Just remember not to leave your Bytecoin with an exchange. Withdraw straight to your wallet.
Bytecoin is oriented towards fair and open business. Bytecoin network offers fraud protection which makes automatic chargeback impossible. Once a deal is closed and payment is done, no transfer can be returned automatically. The payment can be refunded only through the free will of the parties involved.
Since the data is well secured, you can easily and freely pay for goods and services with it. Since most merchants do not accept it as of now, you can also proceed to visit an online exchange trading platform where you can use your Bytecoins to pay for things.
Bytecoin comes with its own wallet that can be downloaded from its website. Once you open Bytecoin Wallet, it will automatically create your first Bytecoin address and start synchronizing with the network. It is highly recommended that you encrypt your new wallet with a password. Leaving the wallet unprotected makes it vulnerable in case your system is compromised. To encrypt your wallet, choose the "Settings" menu and then "Encrypt wallet".
Pros & Cons
- Total anonymity
- Transparent and untraceable transactions
- Maximum security for funds
- Based on Cryptonote technology
- Guarantees a free instant international payment
- 80% were pre-mined prior to the public release
- Poor distribution
- Desynchronization issues with Bytecoin wallet