The project CryptoNote positions itself as an open source technology and the concept of the future of the crypto currency. Developers are going to apply advanced mathematical analysis and innovative ideas to promote cryptoanarchism and egalitarianism in the name of changing the global paradigm. On the basis of this algorithm, crypto-currencies such as Bytecoin, Monero, Boolberry, Bitmonero, QuazarCoin, Fantomcoin have already appeared and, judging by the trends, a lot of other forks are expected.
CryptoNote provides users with a completely anonymous payment plan. It is implemented using ring-signing technology, which allows you to sign a message on behalf of the group. The signature says only that the transaction is committed by someone from the group, but all the members of the group are indistinguishable from each other. No one is able to make the same payment twice. The modified Diffie-Hellman exchange protocol is used to map unique public key addresses.
Each transaction made makes the block as a whole even more resistant to analysis. Built-in processor instructions are used, which are extremely difficult and expensive to implement in ASIC, but which work perfectly on a general-purpose PC. The network changes adaptively, based on its previous states. There is a forum on the CryptoNote website, there is a link to White paper, a link to the first crypto currency based on this technology - Bytecoin [BCN], launched on July 4, 2012 (not to be confused with Bytecoin [BTE] on sha256, which is an unremarkable Bitcoin fork ). Another pleased button - "Submit your coin" by clicking it, you can send created on this algorithm crypto currency for community consideration. More on the site, except for e-mail, nothing and no.
Let's start with the fact that we revere White paper. In this document, a certain Nicholas van Saberhagen immediately takes the bull by the horns, listing the advantages of Bitcoin. In his opinion, these include:
Successful implementation of the idea of a decentralized e-currency.
Both professionals and ordinary public appreciated the combination of publicity of transactions and the concept of proof of work.
Buyers are attracted by the low commission and high level of anonymity provided by electronic currency. Vendors, in turn, are attracted by predictable and decentralized emissions.
Bitcoin proved that electronic cash can be as simple as paper money and reliable, like bank cards.
At the same time, the Bitcoin network has its drawbacks. The structure is not flexible, since most clients that use this protocol need to update to make changes.
For the sake of healthy competition and the creation of the next technology of electronic cash, the CryptoNote project was created.
Privacy and anonymity for electronic money are most important. Decentralized payments hidden from the eyes of a third person - this is what distinguishes crypto-currency systems from the traditional banking system. T. Okamoto and K. Ohta described six criteria for ideal electronic cash. In particular, they include confidentiality: the details of the transaction between the seller and the buyer should not be known to anyone else. To ensure confidentiality, it is required that electronic money satisfy two requirements:
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