TUESDAY 27TH MAY 2014
The altcoin market currently has a market cap of $700mill compared to Bitcoin’s $7.3 billion.
Impressed by the size of this market, I set out to find 10 genuinely useful digital currencies to support that might become major players in future commerce and trade.
Disappointingly, it’s difficult just to find 10 altcoins that aren’t blatant premine /instamine/ fastmine pump and dump scams, never mind 10 coins that genuinely improve on bitcoin.
OINS WHICH DO MAKE A GENUINE ATTEMPT:
CATEGORY 1 – ANONYMOUS COINS
The only obvious feature that could improve upon bitcoin is Anonymity > Pseudonymity.
Anoncoin gets an honorable mention for having the ability to route traffic over TOR/I2P.
This does a pretty good job at preventing people from associating transactions with IP addresses, but doesn’t do much else. It’s not a great deal different than the proxy functionality already built into bitcoin based client. – Hazard
Tuesday 23rd September 2014
Open Transactions vs. Anoncoin
It seems that the main reason Chris Odom and many of the supporters of Open Transactions aren’t that excited about altcoins is that they understand what this project can do for Bitcoin. One feature that Odom specifically pointed out is anonymity. Altcoins such as Darkcoin and Anoncoin are looking to take advantage of the fact that anonymity and privacy are two areas where many Bitcoin users would like to see improvements. As a side note about anonymity during the altcoins panel, Odom noted, “Open Transactions uses Chaumian untraceable cash. You don’t need an altcoin to do it.”
In addition to providing enhanced privacy and security measures for any financial instrument issued on the platform, Open Transactions can also be used for microtransactions and instant confirmations. These features are made possible by the fact that Open Transactions is simply a system of federated servers rather than some kind of blockchain technology. While it does not come with the same level of security as a blockchain, there are only certain types of transactions where blockchain-level security is actually needed. A user can always keep savings on the blockchain in cold storage and use an OT server as their hot wallet. It should be noted that voting pools (see video presentation by Justus Ranvier) will make it impossible for a single server to run away with a customer’s bitcoins – Kyle Torpey
Saturday 2nd July 2016
In May 2014 I wrote a report looking to find a few coins that were potentially useful and not scams. I couldn’t find many because of the premined, instamined problem.
Here’s how the coins I analyzed on May 27th 2014 have performed since:
Category 2: Legitimate / Potentially Useful Coins
May 27th 2014: Market Cap = $1.1mill
July 1st 2016: Market Cap = $0.4mill