Monero is an open-source digital currency. It aims to ensure security, privacy, and untraceability. Monero uses a blockchain to securely record transactions.
Ring signatures make it possible for transactions to remain untraceable. Ring signatures are a group of cryptographic signatures with at least one real participant, but no way to tell which in the group the real one is as they all appear valid. Stealth addresses also assist in hiding the identity of senders and receivers. These factors makes it difficult for a transaction to be linked to a particular user.
Monero can be used as payment for numerous goods and services, varying from real estate development to even gift cards. Monero can also be exchanged for other forms of cryptocurrency, such as Bitcoin.
The term ‘altcoins’ is short for alternative coins. Given that Bitcoin was the first cryptocurrency to surface in the market, the other digital currencies that emerged are referred to as altcoins.
A blockchain is a digital ledger recording cryptocurrency transactions, maintaining records referred to as ‘blocks’ in a linear, chronological order.
Using a blockchain ensures security and manages digital relationships as part of a system of record.
A distributed ledger is a database, digitally recording transaction information using cryptography, making it secure and unforgeable.
There are several differences between a blockchain and a database, including the level of control. Blockchains are under a decentralized control, whereas a centralized database creates a dependent relationship between users and administrators. Users tend to prefer confidentiality, which is better achieved through a centralized database. Performance also differs, as a centralized database is able to compute information faster than blockchains
