Formerly known as Raiblocks, Nano is a digital currency that seeks to replace fiat currencies. Its mission is to address the shortcomings of other cryptocurrencies like Bitcoin, which tend to be slowed down by network congestion and high transaction costs.
NANO uses a unique technology known as block lattice to deliver speedy transactions at zero fees.
It adopted its current name in January 2018 when it rebranded from Raiblocks.
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Can Nano cryptocurrency become the future BTC?
Looking at its white paper, it’s easy to see that NANO effectively solves some of the challenges of early cryptocurrencies, including their inability to scale.
Nano uses the block lattice technology, a peer-to-peer network of individual blockchains that sync with each other. The system essentially removes the need for miners to confirm transactions, the reason it delivers fee-less transactions.
Given that scaling and high transaction fees are the major problems facing Bitcoin, NANO looks set to be the future BTC.
Is Nano a good investment?
The cryptocurrency world is experiencing a flip of the bullish run that it enjoyed in 2017. ETH, BTC and most other cryptocurrencies, including NANO have all but shed their prices.
But beyond the market corrections, is NANO a good investment?
Let’s look at how it stacks against BTC to see whether it’s a good investment.
NANO overcomes the challenges of BTC
There’s no denying that its team has pieced together one of the purest digital currencies so far. The block lattice technology allows it to scale.
Additionally, it scores one better against BTC; it has fast transactions speeds and charges no transaction fees.
Foundation of Nano
Unlike a typical blockchain whose foundation is a genesis block, Nano’s foundation is an account chain. Each account chain is linked to another to form of chain known as block lattice.
Where to get Nano
Unlike Bitcoin, Nano cannot be mined.
To get your hands on some, you’ll need to buy it in an exchange.
NANO and DPoS
Nano uses the Delegated Proof of Stake algorithm to deliver a balance weighted voting process.
Users with more funds in their accounts are incentivized to keep up the honesty and integrity of the system.
The Nano system is not secured by miners as none exist.
Transactions settle individually. The DPoS secures the system.
To hack Nano, you’ll need to execute the >50% attack. Nano developers believe that executing the >50% attack is almost financially impossible as it requires massive funds.
Nano also uses minimal electricity to run its nodes.
With block lattice technology, scalability isn’t a problem. Transactions take place in individual blockchains so they are confirmed fast, without having to be run on the entire blockchain.
According to the Nano white paper, Nano can process over 7000 transactions per second compared to Bitcoin’s seven transactions per second. It’s seen as a possible BTC replacement as it effectively addresses the scalability issues of BTC,
Why would using NANO be better than other solutions?
NANO is proving to be a scalable payment system that’s secure and easy to use. It doesn’t attract any transaction fees because it doesn’t have miners.
NANO is not the first cryptocurrency to use Directed Acyclic Graphs. Other solutions like IOTA use the same model. The best selling point for NANO is scalability.
Because it’s made up of small blockchains, it can be scaled to reach millions of people across the world. It’s also one of the few cryptocurrencies that do not charge any transaction fee.
NANO is also decentralized and is not regulated by any central authority.
Compared to most other coins, NANO is more energy efficient as it doesn’t have miners.
How to buy XRB and store it in a wallet
Having proved to be a promising coin from the start and a practical BTC replacement, NANOs future is assured. If you’re looking at buying a few XRB coins, here’s a general guide to help you through the process.
Before buying, you’ll need a wallet to store your coins. Go to NANO online and create an account. Make sure to back up your seed and personal identifier and finally generate a wallet address.
At this point, it’s important to note that you can’t buy XRB directly using fiat currencies. Head over to an exchange (like Binance) that allows for fiat to cryptocurrency trading and buy ETH.
You’ll need to convert it for XRB later. Next step; deposit the ETH in a wallet. Once you have some ETH, head over to an exchange like Kucoin or Binance to buy XRB.
Once there, you’ll need to first create an account if you do not have one. Assuming you’re using Binance, first head over to Funds>Deposits withdrawal>deposit to fund your account. Follow the prompts and click on Submit. A wallet address will be created.
Copy the address and paste it to the wallet holding your ETH. Once you’ve deposited ETH, head over to the “markets” tab on the exchange. Select XRB/ETH trading pair and place an order.
Input the amount of XRB to buy and the price and click “OK” to complete the process. Instead of leaving your coins in an exchange, withdraw them to the XRB wallet you created earlier or add them to a cold storage wallet like the Ledger.
Decentralization and electricity efficiency
NANO uses a network of nodes and not miners. As such, it doesn’t require lots of electricity compared to BTC and most other cryptocurrencies that rely on miners to confirm transactions.
Unlike most altcoins that rely on miners to secure the network, NANO has adopted a smart way of securing the system. First, it has the delegate Proof of stake algorithm and no single investors can misappropriate power to destabilize the system. Finally, each individual account authenticates its transactions.
Why is NANO better than Bitcoin?
NANO aims to succeed where Bitcoin failed; scalability. For a long time, BTC has struggled with slow transaction speeds and high costs. For a digital currency that wants to be the premier global payments system, this isn’t a good thing.
Enter NANO, a digital currency that delivers high transaction speeds at zero cost. It might be a small market capitalization coin, but its underlying technology could propel it to the top, ahead of BTC in future.
Price and statistics
Looking at the price of NANO, it surged in January 2018 before tanking in the following months. To be better than BTC, NANO needs to maintain its value.
How will it do this? It first needs to get listed in most digital exchanges. With the listing, the demand for the coin goes up and the price follows suit.
As one of the latest cryptocurrencies to join the industry, the NANO team is yet to be as popular as the teams of leading cryptocurrencies.. The team is led by Colin LeMahieu, the creator and lead developer of Nano.
There’s no denying that Raiblocks stands out because of its zero fee transactions. It achieves this by having each account on a separate blockchain, so all transactions are processed separately.
This technically translates to small blocks so there’s no problem of huge block sizes.
How do users take advantage of Nano?
It’s not every time that we get to make and receive payments without paying a transaction fee. Nano allows users to do exactly that.
With such an incentive, there’s no reason users shouldn’t be using Nano to make and receive payments.
Why use Nano?
Anyone using cryptocurrencies would be happy to send or receive money quickly and at no cost. With Nano, zero fee transactions are a reality.
The cryptocurrency is also highly scalable because it uses individual chains, so no problem of large block sizes that slow down blockchains.
Additionally, the digital currency uses an anti-spam proof of work system to forestall spammy transactions.
How does Nano improve on existing cryptocurrencies
Compared to Bitcoin, Nano seems to have a significant advantage. It can process thousands of transactions per second, at no fees.
Bitcoin takes up to seven minutes to process an average block. On the Nano blockchain, every transaction is a block and is processed instantly.
Nano is also smart secure, in that it uses a delegated PoS mechanism. This essentially means that hackers cannot destabilize the network as they need to carry out the >50% attack to do this.
With DPoS, getting the financial muscle to gain the >50 % control is almost impossible.
Finally Nano doesn’t use miners, so it’s low on power consumption compared to most other coins such as BTC.
What you should know about Nano tokens
Nano tokens were distributed in October 2017 during a crowd sale event. The coins circulating supply is the same as the total supply, standing at 133, 248, 290 XRB. It’s traded in a number of exchanges, including Kucoin and Mercatox.
XRB can be stored securely in two online wallets; nanowallet.io and nanovault.io. Other storage options include a desktop wallet, an Android and iOS mobile application and the Node and Developer wallet V16.2
Nano’s use cases speak for themselves. The team has managed to create a simple but effective platform that could become the future of payments.
They also seem to have overcome the scalability problem that has dogged major cryptocurrencies for a long time.
What they need to do is to boost their marketing strategies to increase adoption. They have an active team of developers that seems ready and qualified to take care of the development needs of the project.