DigitalNote (XDN) cryptocurrency is being developed to increase the confidentiality of transactions and communication between network participants. The decentralized system provides not only the anonymity of the use of digital money data and the impossibility of tracking transactions but also the mechanisms for opening a deposit with profit from deposits.
Cryptocurrency DigitalNote
The project began to develop in 2014 and initially, the cryptocurrency was called duckNote. It was renamed DarkNote in September 2014 and DigitalNote in June 2015. The developers have identified the anonymity of use as the main development priority.
This decision is due to the characteristics of bitcoin – it was he who proposed the concept of confidential digital money. However, later it became clear that his technology does not provide the required level of anonymity – all translations can be traced back to the source.
In this context, the need arose to create a more secure cryptocurrency. DigitalNote uses CryptoNote technology, the main algorithm of which is the principle of a ring signature and the impossibility of identifying a specific user. At the same time, one-time addresses are actively used, which makes transactions unrelated and does not allow the possibility of identifying the sender and recipient.
The developers of DigitalNote also provided users with a private chat and the ability to exchange anonymous messages. This technology is designed to maintain the complete confidentiality and financial independence of the participants in the system.
The technical characteristics of the DigitalNote cryptocurrency are also focused on improving convenience and user benefit:
- block formation time is 4 minutes, which provides faster transactions compared to bitcoin;
- consensus protocol – PoW, mining is not available for ASIC devices and is focused on video cards and central processors;
- DigitalNote was launched without a premise, all blocks are formed from the very beginning by the network community;
- the maximum amount of XDN is 8589869056 coins, most of it has already been mined.
A distinctive feature of DigitalNote is also the ability to save funds in your account as deposits. For these purposes, their wallet was developed, in which each participant can freeze a certain amount for a period from a month to 10 years. The accrued percentage of profit fluctuates in the range of 0.4% – 1% per year.
Development prospects
DigitalNote cryptocurrency has some potential due to the privacy solutions offered to the community. However, these mechanisms are not unique, which casts doubt on the success and competitiveness of this digital money.
Analysts pay attention to many other projects being developed in the field of increasing the confidentiality of transfers – Monero, Dash, Zcash, and other similar cryptocurrencies. Given their user base and demonstrated success, DigitalNote’s developers will need to work hard to make their digital money more attractive.
The large issue volume of DigitalNote is also highlighted. This number of coins makes the cryptocurrency less volatile and increases the range of its use at the user level. At the same time, the low cost of digital money remains, which reduces its attractiveness for investment.
The DigitalNote exchange rate at the beginning of January 2018 showed a rapid jump, having quadrupled the value of the cryptocurrency in a short time. Then a long correction began, but analysts emphasize the continued upward trend, which supports certain prospects for digital money data.
For investment, DigitalNote is of controversial interest. There is an increasing interest from the community in anonymous cryptocurrencies and the search for alternatives to bitcoin. In this direction, you can count on long-term profit, supported by the depository capabilities of the project.
On the other hand, the lack of original developments significantly reduces the potential and competitiveness of this cryptocurrency. On this issue, analysts recommend turning to the news and tracking clearer signals indicating the development of the project – the integration of new technologies, cooperation agreements, and empowerment. Against the background of such news, one can count on profit from short-term and long-term investments.
