Internet celebrity project Grin, in addition to half heaven and half hell
This article is from:Hashpie (ID: hashpie), Author: LucyCheng, forwarded with authorization.
Hashpie (ID: hashpie)
, Author: LucyCheng, forwarded with authorization.
With the help of various bigwigs, mining pool miners, and large and small exchanges, Grin, which has been silent for more than two years, has become a new celebrity in the currency circle in 2019. Before its mainnet was officially launched, the Internet search index and news exposure rate soared; and after the first block was dug out in the early morning of January 16th, Beijing time, the price of Grin on some exchanges was even pushed up to 200 USD or more.
image description
image description
Screenshot from: grin.blockscan.com
Regardless of whether there is an element of excessive pursuit or inflated evaluation, in the blockchain industry where faith has been shattered one after another and the market has been depressed for a year, Grin, which is both topical and innovative, has indeed inspired a lot of enthusiasm in the industry. And whether this wave of upsurge can continue depends on how hard the core of Grin is.
secondary title
It is not unreasonable for Grin to carry a mysterious curse to be hot
Advanced concept, full of geek spirit, Bitcoin fundamentalism, etc. are the evaluations of Grin by the media and some big Vs in the currency circle; but in essence, Grin is just one of many payment and settlement cryptocurrencies.
image description
Screenshot from: https://grin-tech.org/
According to the description on the official website, Grin is a modern electronic currency designed for the next few decades, without third-party restrictions, and available to all people. The main features of the project are as follows:
Team maintenance: 100% driven by the community, only accepts donations, no ICO, no pre-mining and founder rewards;
Monetary policy: There is no upper limit on the total amount of issuance, the speed of issuing coins will not change (60 coins/min), and inflation will gradually approach zero;
Issuance method: two PoW algorithms are adopted, namely the ASIC-friendly main algorithm Cuckatoo31+ and the ASIC-resistant secondary algorithm Cuckaroo29;
Higher scalability: using cryptography technology to greatly compress past transaction data, so as to ensure that Grin will not collapse due to over-carrying data in the future.
Similar to Bitcoin, Grin is only produced in the form of mining, jointly maintained by the community, and can be used as a peer-to-peer payment tool; but different from it, the latter pays more attention to the privacy of transactions and tries to solve it in new ways The general scalability problem of the blockchain system. And this new solution is the MimbleWimble protocol with the same name as the "Harry Potter" tongue-typing spell.
This blockchain format and protocol was also proposed by an anonymous person, and initially appeared on the development forum as a bitcoin expansion plan; its main innovation is to modify the UTXO model of bitcoin, using an encryption algorithm based on elliptic curves for all inputs and output to create a multi-signature, so as to achieve confidential transactions without disclosing the address and transaction amount. In simple terms, both parties to the transaction only need to share the blinding factor composed of the transaction party's private key and public key, and then they can verify the validity of the transaction through related equations. And because of the different verification mechanisms, the block does not need to store the complete transaction history, and only key information can be kept to maintain normal operation; this greatly reduces the storage burden of nodes and improves the scalability of the network.
In 2019, when the field is eagerly anticipating new developments in capacity expansion, it is not unreasonable for Grin, which can theoretically achieve high compression and opacity, to suddenly attract a lot of attention. Coupled with the haze of the bear market, the production reduction of Ethereum, and the general anxiety of the GPU mining circle, it is normal for mining pools and miners to pin their hopes on Grin, which is anti-ASIC in the early stage and has a low entry threshold for mining.
But does the current blockchain field really need such a project?
From the current point of view, not necessarily.
But it is undeniable that Grin is a potential stock in the track of anonymous digital currency, and there are certain innovations in technology. Integrating MimbleWimble protocol, Bulletproofs technology, Schnorr-based MugSig signature scheme and other technologies, Grin not only guarantees strong anonymity, but also solves the problem of insufficient performance of Zcash "fully anonymous transactions". Therefore, if the market demand for strong anonymity digital currency increases greatly in the future, Grin is also likely to enter the mainstream and become one of the main forces in the anonymous currency market.
secondary title
Even if you have a future, you may not be rich
But before that, Grin still has many internal and external issues to be resolved. Grin, whose mainnet was launched less than a month ago, has been launched on multiple exchanges; however, due to the limited market transactions, insufficient circulation, the transaction process requires both parties to be online at the same time, and lack of supporting infrastructure, etc. Internal and external factors, the current Grin Prices haven't really been formed yet, and there are significant price differences across exchanges. In the context of these major premises and the fact that top players have seized the market, the time required for Grin, which only relies on mining to produce coins, to become popular and circulated on a large scale will also be greatly slowed down; its distance from becoming a universal payment currency , and even said that there may still be a long way to go to catch up with the footsteps of old-timers such as Monero, Zcash, and Dash.
Grin’s transactions on some exchanges (picture from: Coinmarketcap)
Even so, it does not prevent some people from speculating on Grin. At the moment when the actual application value of the project has not yet been truly reflected, the main force supporting the daily trading volume demand of tens of millions of dollars in the market is obviously speculators who do not want to miss the early dividends. But is Grin really suitable for large investments? I don't think so.
Let’s not talk about Grin’s current internal and external troubles. Even if it really develops in the future, Grin may not be a good choice for long-term investors who want to obtain multiple returns. Judging from its currency model of continuous inflation, Grin's developers are more inclined to develop it into a digital currency suitable for value exchange, rather than a digital gold that is developing towards value storage like Bitcoin. In fact, to put it bluntly, I just don’t want you to hoard it; the premise that everyone is willing to use it is that the price of Grin can remain stable to a certain extent. Of course, any currency in the currency circle has the possibility of doubling, but at least not now; after all, the bear market has a long way to go, and it will not be possible to usher in a real warm spring.
image description
Date of data: February 14, 2019
According to the account manager of Spark Mining Pool earlier this month, as a currency that supports GPU mining, the current mining income of Grin is higher than that of Ethereum, and Beam, which also implements the MimbleWimble protocol, is also close to the income level of Ethereum. With the growth trend of Grin's computing power gradually slowing down and the price volatility decreasing, mining Grin can indeed bring some benefits to GPU miners in the short term. However, this wave of upsurge can only bring a little comfort to the old miners who are deeply in the cold winter; in the future, with the increase of the computing power of the whole network and the release of ASIC mining machines (Innosilicon said that it will release the first ASIC for GRIN in the late summer of 2019) Mining machines), the market share left to small miners will become smaller and smaller, and the mining market is still the home of large players.
The new miners who take advantage of the trend are likely to put themselves in a dilemma; unless the price of Grin can reach more than 20 US dollars within twelve months, they may have to struggle on the way back to their capital in the next year Struggling (data source: TokenGazer).
secondary title
