The highly anticipated Beam cryptocurrency has officially launched under the Mimblewimble protocol and aims to become a Bitcoin alternative.
Alongside Grin, another cryptocurrency that was created for the same protocol, Beam is set to utilize Mimblewimble as a distinct means to securely conduct transactions. This it will accomplish by eliminating traceability and boosting confidentiality.
In 2016, Grin was the first crypto concept to theorize the use of the unique Mimblewimble protocol. Nonetheless, Beam—despite being established two years later after Grin in 2018—will make its debut ahead of Grin as per the announcement.
What Is the Mimblewimble Protocol?
The Mimblewimble protocol is an exclusive proposal that centers around establishing a Bitcoin-like blockchain network which could either function as an extension block scheme functioning as an integrated side chain or as a side chain.
Mimblewimble leverages concepts like OWAS (one-way aggregated signatures) and confidential transaction systems to provide secure transactions and better scalability, according to the whitepaper introducing the protocol.
The protocol will operate in the event a trade-off between any interested parties searching for privacy and scalability.
Beam Launches Officially
The official GitHub of Beam outlines everything that the users ought to expect soon after the digital currency is unveiled.
In line with the launch, the users of this currency will have full control of the availability of their details to any interested party. In essence, Beam seeks to restore full control of personal data to its users and owners. This option mainly benefits firms looking to ascertain precisely who they are dealing with before doing business.
What’s more, besides allowing data control, Beam is also set to introduce a new technology referred to as Dandelion. This is a technology which is set to promote and enhance transaction confidentiality. Moreover, Dandelion will also center on expediting the obscuring of the network traffic activity via the randomization of the present pathways. This will be enabled with the paths through which the transactions of the blockchain begin to get distributed on the devolved network structure.
Their team would initially need to pursue the growth of the existing prototype and start the testing of the project on its network. Consequently, after the introduction, a cut-off of Beam’s general block reward by 20 percent is set to follow. This portion will be forwarded to a Beam treasury made up of investors, founders, as well as the BEAM Foundation. This mechanism is set to work similarly to other prevailing privacy-focused digital currencies like Zcash.
According to the Beam development team, they expect their block reward to phase out after half a decade.
Grin and Beam are both grabbing headlines and gaining popularity as privacy-enhanced alternatives which could potentially solve the current networks. Currently, the existing cryptocurrencies are gradually gaining the respect of various seasoned Bitcoin developers like Jameson Lopp, creator of statoshi.info and the new CTO of Casa, who has voiced his support of Grin and Beam on Twitter.
These developers are openly advocating for the new Mimblewimble technology taking shape.
These two digital currencies, however, have no plans to unveil their ICOs in the near future. For instance, Beam is a strong advocate of their users earning their currency through mining.