What is BlueCoin (BLU) Crypto Beginner’s Guide
BlueCoin is a cryptocurrency. It utilizes cold-staking. This is an interest-generating method that works while coins are stored offline. Payments are processed via Bluetooth connections. This process doesn’t require Internet access.
There are several advantages to BlueCoin. It is censorship-resistant. The inflation rate is low – 3% annually. Coin holders are rewarded for maintaining the network. Transactions are very quick – it only takes 60 seconds. It is backed by Litecoin’s hashing power. The transaction fee is very low as well – it is only fractions of a cent. The Bluetooth mesh network that transfers the currency is encrypted.
BlueCoin has an extensive community network. There are forum discussions and community bounties. Users can help develop the network by completing tasks and collecting bounties. There’s a thriving support center as well that helps new users.
BlueCoin is available on Mac OSX and Windows.
BlueCoin (BLU) Token Information
Users can download the BlueCoin client to their computer. They can buy BLU tokens at several exchanges. BLU tokens are traded at YoBit and Livecoin. BLU tokens are paired with BTC tokens. BLU has a market capitalization of 2.1 million USD. This places BlueCoin at 1,053rd place. Daily trading value is about 41 USD. There are 574.7 million BLU tokens in circulation.
BlueCoin (BLU) Trading Trends
Recent trading data reveals that BLU is starting to increase in value. From mid-July 2018, this token has been on the rise. It rose from a market capitalization of 1.1 million USD to 2.1 million USD. This pales in comparison to the previous highs reached by this token. In May 2018, it had a market capitalization of 4 million USD. In mid-December 2017, it had a market capitalization of 9.1 million USD. This was an all time high. The token started its march to this value in mid-June 2017 when its value was a miniscule 680,000.
Proof-of-Work and Proof-of-Stake Hybrid Mechanism
BlueCoin utilizes a hybrid Proof-of-Work and Proof-of-Stake mining method. The initial mining period lasted 50,000 blocks (PoW).
Proof-of-Stake and Proof-of-Work are two validation methods for mining tokens. The Proof-of-Stake method prevents users from mining disproportionate amounts of blocks. This method is dependent on the amount of tokens a user holds. They will only be able to mine a certain amount of blocks (verifying transactions). This amount is dependent on the number of tokens they hold. If they hold 2% of available tokens, then they are limited to mining 2% of the blocks on the ledger.
Proof-of-Stake is an energy-efficient method of mining. The alternative verification method, Proof-of-Work, requires a lot of electricity to process a cryptocurrency transaction. This is equivalent to the amount of electricity required to power 1.57 American households for one day.
Proof-of-Stake is a secure mining method as well. Since the user has a stake in the network, it is unlikely that the user would attack the network (51% attack method). Their earnings would decline if that happened.
The Proof-of-Work method requires the requester to perform a task to ensure that it is a legitimate connection. This usually involves solving a puzzle. This prevents spam and hackers from infiltrating the network.