Skycoin is a digital currency that aims to implement Satoshi Nakamoto’s original vision for bitcoin into the current bitcoin network. Here’s our Skycoin review.
What Is Skycoin?
Skycoin, found online at Skycoin.net, is a digital currency designed to have several key advantages over bitcoin. The coin was launched all the way back in December 2013. Today, it’s worth about $3 to $4 per token.
Skycoin was launched to embrace Satoshi’s original vision for bitcoin. Obviously, over the years, there’s been some controversy over how bitcoin has changed, and whether or not the community is following Satoshi’s original vision for bitcoin. With those goals in mind, Skycoin maintains benefits like 10 second transaction times, a fixed supply of 100 million coins, non-PoW (not based upon PoW or PoS), no 51% attack vulnerabilities, no double spending, and no mining required.
Because of these benefits, Skycoin called itself a “third generation crypto asset” when it launched back in 2013. Today, the developers continue to promote the currency as a way to fix the problems with bitcoin today and push Satoshi’s original vision forward.
In Q3 2017, for example, the developers will launch the first downloadable network node, which allows users to earn coins for powering the network. Also in Q3 2017, the developers are launching a platform called the Skywire Network, upon which they’ll build messaging applications, VPNs, and other services.
Currently, one SKY trades for about $3 or $4 USD. The currency has a market cap of over $22 million. Out of a total supply of 100 million tokens, there are a total of 5.8 million SKY tokens in circulation.
How Does Skycoin Work?
Skycoin is coded from scratch in Golang. The coin was designed to solve one of bitcoin’s biggest problems: the currency was designed to be decentralized over an enormous network of computers. However, today’s bitcoin network is controlled by three major mining pools. It’s no longer decentralized, and these mining pools have significant control over the future of bitcoin.
So how does Skycoin plan to solve this problem? Skycoin’s consensus algorithm is designed to achieve true decentralization of blockchain consensus. As mentioned above, that algorithm isn’t PoW or PoS.
Another unique feature of Skycoin is that it has no mining. Satoshi was famous for once saying that mining was bitcoin’s only flaw, and that miners were the greatest non-cryptographic threat to bitcoin. Mining introduces human factors – like greed – into the survivability and future of bitcoin as a currency.
However, Skycoin still allows users to earn coins for powering the network. In Q3 2017, the company plans to launch its first downloadable network node, for example, which allows users to earn coins for powering the network.
Around that same time, Skycoin plans to launch its first applications on the Skywire Network. The Skywire Network is described as “a decentralised, Redditesque, social media platform and VPN service.”
In preparation for that launch, Skycoin is selling one million tokens on August 8, 2017 at a fixed price of 0.002 BTC per SKY, which is about $1 or $2 USD above where they’re trading right now on the open market.
Skycoin emphasizes all of the following features:
- Speed: Skycoin is designed with speed in mind. The protocol was built to compete with credit cards and other instant online payment options. Transactions occur in seconds, not minutes.
- Privacy: It’s impossible to trace transactions with Skycoin. Skycoin mixes transactions from multiple wallets to increase privacy using the CoinJoin protocol.
- Security: Skycoin is more secure because it does not rely upon the good will of miners. There’s no possibility of a 51% attack because there’s no mining.
- Ecosystem: Skycoin is building a rich ecosystem of real world applications on top of Skycoin called the Skywire Network. The first applications, scheduled to launch in Q3 2017, will include messaging, social media, and VPN apps.
How To Buy Skycoin
Skycoin is available on a number of different exchanges, including C2CX and Cryptopia.
A wallet is available from Skycoin.net. You can download a wallet onto your desktop or run it directly from your browser. Downloads are available for Mac OS, Windows, and Linux.
Skycoin is one of the world’s top 100 currencies by market cap. At the time of writing (August 1), the currency has a market cap of $22.01 million, or just over 8,000 BTC, as well as a 24 hour trading volume of $68,569 (25.03 BTC). There’s a total supply of 100,000,000 SKY tokens, although the circulating supply sits at 5,820,526.
Skycoin implements several unique features that distinguish it from other currencies. There’s no mining, for example, and there’s no risk of a 51% attack. It removes human greed and mining operations from the equation, which – in the eyes of the developers – makes the currency a close match to Satoshi’s original vision.
You can learn more about Skycoin, or download the Skycoin wallet for yourself today, by visiting Skycoin.net. Look for more information about Skycoin to continue appearing online throughout the rest of 2017, as the developers plan to launch their Skywire application platform.