January 3rd 2019 marks the launch of a new cryptocurrency called Beam. Beam is one of two highly sought-after privacy coins that implements the “Mimblewimble” payment protocol. Mimblewimble is a new and innovative way to make confidential and virtually untraceable transactions.
The Mimblewimble protocol was first announced in the summer of 2016 by a user by the pseudonym Tom Elvis Jedusor in a Bitcoin developers chatroom. He left a link to a whitepaper that states by using the Mimblewimble protocol, the privacy and scalability of the Bitcoin network could see significant improvements.
Two different cryptocurrencies will be launching in January, both supporting the Mimblewimble protocol. These are Beam and Grin. Grin was initially theorized at the end of 2016. Beam, on the other hand; was only conceived in March 2018.
While the two cryptocurrencies are somewhat similar, Beam is run by a startup. Eventually, they will hand over all operations to a dedicated non-profit foundation. The development of Grin, however, has been completely community funded through donations.
Mimblewimble is putting the pressure on other cryptocurrencies to adapt and find the right tradeoffs, creating a net positive to the ecosystem
On Beam’s Official GitHub page, they explain that users will be able to choose which information they leave available and to which parties. This gives users complete control over their personal data, according to their wills and applicable laws. To summarise, Beam will also have the feature of full transparency. This could be a big benefit to the businesses that want to use Beam tokens but need better insight into who they’re doing business with. The Mimblewimble protocol definitely has the potential for large scale adoption.
The Beam cryptocurrency essentially allows for truly private transactions and a scalable, vastly smaller blockchain than other implementations. The Beam main net launched in nine months after its initial proposal. This launch beat Grin, a competing Mimblewimble project that has been in development since 2016.
After 48hr of the first MimbleWimble implementation went live
‼️acquired 1/3 of $XMR hashrate
‼️$500M fully diluted mcap
⚠️consumer level GPU mining won’t work pic.twitter.com/SntLcnS70h
— Dovey Wan 🦖 (@DoveyWan) January 6, 2019
Beam uses the Equihash Proof-of-Work consensus mechanism, making the coin GPU-friendly for miners. As there is no pre-mine or ICO, the development of the Beam project will see support from a trackable treasury system. 20% of each block reward will go towards the treasury.
Post-launch, Beam still has plans to develop and release various features such as; Atomic swaps with Bitcoin (BTC), mobile wallet support, and API integration for payment platforms.
If the word ‘Mimblewimble’ sounds familiar, its probably because it was a spell in the “Harry Potter” series. But if you don’t read Harry Potter, it’s because the Mimblewimble protocol was one of 4 proposals by Charlie Lee, founder of Litecoin. This proposal arose when their team was considering adding new privacy features to Litecoin.
Mimblewimble is definitely a significant development in the cryptocurrency space. Once Beam and Grin are both on the market, people will see the potential for the Mimblewimble protocol and it could see wider adoption. Until then, if you want to try the new protocol for yourself, you can mine or buy BEAM tokens on the market.
This article is intended to educate and should in no way be seen as investment advice or an enticement to use the ice3x.com platform. Bitcoin is highly volatile with big profit opportunities but you should also remember that you could lose part or all of your investment whenever you take part in any high risk investment. Bitcoin trading is not a regulated industry in South Africa, which in itself carries additional risks. IF YOU ARE NOT AN ASTUTE BITCOIN TRADER, SEEK INDEPENDENT FINANCIAL ADVICE BEFORE MAKING ANY INVESTMENTS.