Various types of cryptocurrencies can cater to different needs. In the privacy-oriented segment, PIVX has built up a very solid reputation over the years. This Proof-of-Stake privacy coin continues to innovate and grow as more time progresses.
Why is PIVX a Thing?
By default, the top cryptocurrencies all lack one crucial aspect. None of them are private or anonymous. Their public ledgers allow anyone to monitor all transactions in real-time. Albeit that is not a bad thing, it also erodes any idea of having financial privacy. That is why currencies such as PIVX exist today.
Initially created in 2016, the currency has undergone many changes. From day one, the project positions itself as multifaceted and community-centric. PIVX Wants to be a currency preserving privacy and security, while providing a sustainable supply model.
To become a global currency, the PIVX team was the first to have its website translated into several dozen native languages. This allows it to gain a lot of traction all over the world. Combined with several core features to make it stand out, this project has become a well-respected name in the crypto industry.
Proof-of-Stake and Masternodes
Unlike Bitcoin or Ethereum, PIVX is not a currency to be mined. The core algorithm is proof-of-stake. Users can buy coins from various exchanges, and keep them in a wallet to earn passive interest. This is a model embraced by different cryptocurrencies over the past few years. It is an effective way of rewarding all participants connected to the network.
The proof-of-stake model embraced by PIVX is different from traditional implementations. It does not rely on how long an unspent transaction output remains in one’s wallet. In this cryptocurrency, the Zerocoin PoS model is utilized.
It provides higher block rewards to participants. Additionally, it lets users and their coins remain private while staking. That would otherwise not be possible due to the public nature of default PoS systems. Last but not least, it increases liquidity for future spends and obscurity. That aspect further enhances the private nature of this cryptocurrency accordingly
Similar to other privacy coins, PIVX offers a masternode system. These “super’ nodes are incentivized by the network. In exchange for handling specific tasks, masternode owners will receive different rewards. A multi-tiered system like this increased security for all users.
Noteworthy Features and Aspects
Standing out among different cryptocurrencies is no easy feat. PIVX provides crucial core functionality to make it more appeasing. All of these functions offer additional tools for users who value privacy over anything else.
The first feature to take note of is SwiftX. This feature grants users access to instant transactions on the PIVX blockchain. It is possible to spend received PIV within mere seconds. Masternodes guarantee the validity of SwiftX transactions and remove the need for additional network confirmations.
Secondly, there are very low transaction fees. Cryptocurrencies are often criticized for being too expensive to use as money. PIVX addresses this problem through its proof-of-stake efficiency. As a result, the network costs are reduced to fractions of a penny.
Unlike some other privacy coins, PVX has no ICO, token sale, or active pre-mine. All coins generated to kickstart the blockchain have been destroyed.
Special mention: the Zerocoin protocol. Due to it being part of the staking aspect, it guarantees full privacy to users. PIVX Utilizes a customized version of Zerocoin. All publicly viewable PIV are converted into zPIV, or anonymous PIV. These zPIV have no origin, even when spent.
However, the developers have currently disabled zPIV. A new privacy protocol is currently being researched. More information on those advancements will be made available in the future.
Which Wallet to Use?
When it comes to storing cryptocurrencies, finding the right wallet type is crucial. PIVX Supporters can fall back on the native client at all times. It is available for Windows, macOS, and Linux, in both 32-bit and 64-bit versions.
There are also several third-party wallets that support this privacy coin. Both MAGNUM and Coinomi have integrated PIVX some time ago.
Where to buy PIVX?
It is often difficult for alternative cryptocurrencies to get listed on a big exchange. PIVX’s solid reputation works in its favor in this regard. Due to its solid development and community, numerous trading platforms and brokers provide access to this privacy coin.
No cryptocurrency is perfect, leaving room for improvements and changes. For the PIVX team, there is a lot of work to look forward to. Several core aspects of this currency will be revamped completely in the very near future.
The next privacy protocol is currently being research. There is no indication as to which option is being looked at. Building something from scratch is also an option, albeit a far more complex one.
The proof-of-stake aspect of this currency will receive a full upgrade. The focus shifts to improved security and lowering resource and energy consumption. One interesting feature is how low end devices will benefit from a fairer block distribution in this new version.
Users will also be pleased to hear Trezor support for masternodes is coming. Those who prefer to keep their collateral in a Trezor wallet will soon be able to do so.
Other features to look forward to include cold staking, the integration of Dandelion – to mask the sender’s IP addresses untraceable – and support for BIP39 and BIP 44. Light nodes and wallets will also receive some updates in the months to come. Behind the scenes, a lot of work is done to make PIVX more versatile across different aspects and industries.