Decred, found online at Decred.org, is an open cryptocurrency that uses community-based governance built on the blockchain. Here’s our Decred review.
What Is Decred?
Decred is a cryptocurrency that uses a hybrid consensus system to strike a balance between miners and users. The goal of Decred is to use this hybrid system to create a more robust currency:
“Typically, the miners who operate the infrastructure wield considerable influence while the users have relatively little sway. Decred allows users to participate in the project directly without the need for expensive mining hardware.”
How Does Decred Work?
To start using Decred, you’ll need to install the software. You can choose from multiple clients to get a node on the network and Decred in your wallet. Getting started with Decred isn’t quite as straightforward as it is with other cryptocurrencies and blockchain technologies. The developers have published an installation guide for beginners online.
You can access the Decred platform using applications like Paymetheus (the only Windows GUI client as of now), dcrd (the node daemon, which is a command-line application that handles block management and consensus), dcrwallet (the wallet daemon, which is a command line application that handles addresses and transaction management), dcrctl (the remote procedure call (RPC) client, which is a command line application used to control dcrd and dcrwallet via RPC commands), and Decrediton (a cross-platform GUI client).
Paymetheus is available exclusively for Windows. Dcrd, dcrwallet, and dcrctl are available for Windows, Mac OS, Linux, and other Unix OSes, while Decrediton is exclusively available for Mac OS and Linux.
Together, these applications are used to access the Decred ecosystem. There are three main ways to interact with the Decred platform:
- The Wallet: You use the wallet to send and receive funds, and to participate in PoS mining.
- Proof of Work Mining: You use computing power to validate transactions on the network and generate new Decred tokens.
- Proof of Stake Mining: You use funds to vote on important network development matters and validate transactions for rewards.
I’ll explain more details about the unique PoS/PoW mining system down below.
Decred is a multi-platform digital currency available through clients for Windows, Mac OS, Linux, and Unix-based operating systems. The platform promises to offer easy-to-use wallet apps for efficient sending, receiving, and mining of Decred.
Meanwhile, those who like to tinker can enjoy a full suite of command line tools that can customize your Decred experience.
The easiest way to get started with Decred is to use the Web Wallet. Anyone can access that wallet at wallet.decred.org. You don’t need to download anything.
Alternatively, Windows users can use the Paymetheus wallet, while Mac and Linux users can use the Decrediton wallet.
Sending And Receiving Decred
After you have a Decred wallet, you can begin to send and receive Decred. You only need an address to send or receive funds. That address can be generated from any Decred wallet. The address always begins with a D and contains 26 to 36 alphanumeric numbers.
After a transaction has been made, funds will clear in about 5 minutes. You’ll be charged a small fee in addition to your transaction amount. The developers claim that a transfer of 100 DCR would incur a fee of about 0.006 DCR.
Main Network Block Explorer
You can use the Main Network Block Explorer, to search all of the blocks and transactions in the Decred blockchain.
Mining involves validating transactions on the Decred network – similar to how mining works on other blockchain platforms. In return for their validation work, miners receive newly-generated Decred tokens. there are two methods of validating transactions on Decred, including Proof of Work (PoW) or Proof of Stake (PoS).
With PoW mining, transactions are grouped into blocks, and those blocks are validated by PoW miners. After a block is validated, it’s a permanent member of the Decred network. Miners can dedicate spare computing resources to the network in exchange for Decred.
PoS mining, on the other hand, requires little computing resources. Decred funds are used to purchase voting networks on the network. Then, every block, five tickets from the pool of live tickets are chosen at random to vote on the validity of the previous block.
This adds an extra layer of decentralization to Decred, allowing users to vote on suggested network changes.
Buying And Trading Decred
Since Decred is still a new currency, the easiest way to get Decred is by using bitcoin. After you have bitcoin, you can purchase Decred at cryptocurrency exchanges. As of February 2017, the currency can be purchased at Poloniex, Bittrex, and Bluetrade.
Future Planned Features
Part of the reward from new blocks goes towards future development of the Decred system. This ensures the platform will continually evolve to meet the needs and wants of the community. Some of the planned features for the future include:
- Payment integration
- Hard fork voting
- Enhanced privacy
- Continuous UI and design development
- Lightning network support
- Decentralized control of development funds
- A stakeholder-directed DAO
These issues are frequently talked about on the Decred blog. You can visit the blog to stay updated on the latest news about planned future features.
Decred is an open cryptocurrency that emphasizes community-based governance. The project first appeared on the internet in December 2015. Today, the Decred currency is available for purchase on Bittrex and Poloniex, among other exchanges.
The ambitious project uses a unique PoW/PoS mining system to reward contributors, along with a wallet you can use to easily send and receive funds (without any verification or signup required).
To learn more about Decred, visit the project’s official website at Decred.org.