Nano (that passed through life as RaiBlocks before) is rapidly gaining popularity. The cryptocurrency was only recently available on two exchanges, while it was already in the top 15 of the largest cryptocurrency top 15. Nano coin is part of a new generation of cryptocurrency’s (cryptocurrency 3.0) that attracts more and more attention to itself. It is the crypto coins that use the new Direct Acyclic Graph (DAG) technology. This makes these cryptocurrency’s infinitely scalable, super fast and ensures that there are no transaction costs. We’ve already written about IOTA that manages to do this with Tangle, but Nano is a (relatively) new and unknown player who does nothing less than IOTA as a means of payment and may even be a lot further away.
How To Buy NANO
So you’re interested in buying NANO? Currently, there is no way to buy NANO directly with fiat, so the best way to buy NANO is to first purchase Ethereum, transfer it to your chosen trading platform and change it to NANO. We’ll show you how.
2. Once your account has been created and confirmed, log into your Binance account. Once you have logged into the account, go to the menu, click on the funds section and then deposit on the drop down bar.
3. Once you’re on the Deposit section, click the drop down menu labeled “Select Deposit Coin” and look for Ethereum, or type ETH and select.
4. This is your Ethereum Deposit Address, we have chosen Ethereum instead of Bitcoin due to the lower fees and transfer times. Next we’re going to look at buying Ethereum and depositing it into your Binance account.
1. First change the Buy option from BTC to ETH for USD and then choose your amount.
2. When you have chosen the amount of Ethereum you want to purchase (A minimum of 0.05 ETH is required), you will need to register and confirm your CEX account and payment details.
Once that has been confirmed and the ETH has been deposited into your account, we will then need to move it over to Binance.
3. Select the Withdraw option at the top of the site and select Ethereum as your currency. You will then be given a field, where you will add a wallet. This is where you can transfer your money to Binance.
4. Go back to your Binance Account and copy the alpha numeric code under your Ethereum Deposit section and paste it into your Ethereum Withdrawal section on CEX.io. Confirm that this address is correct and press “Withdraw“.
Your Binance account will now be credited with Ethereum.
2. On the trading platform, select the ETH section and use the search function to search for NANO/ETH and confirm.
3. On the NANO/ETH trading section you can now choose how much NANO you want to buy with your Ether. Once you have chosen your amount, press Buy NANO and place your order.
Once your order has been fulfilled, your account will be credited. Congratulations you’re now the proud owner of NANO.
What is Nano?
As mentioned above, the Nano coin is a cryptocurrency with zero transaction costs, near direct transactions and infinite scalability. Moreover, no miners are not needed for transactions, which saves a great deal of energy. Nano has been in existence since 2014 and is one of the first cryptocurrency based on DAG (Direct Acyclic Graph). Nano focuses only, but then only on the transfer of value between consumers. They consciously do this under the slogan:”Do one thing and do it excellently”. For the time being, they seem to be very successful.
“Do one thing and do it well.
The advantages of Nano coin
Before we go into more detail about all the benefits of Nano, we will list the biggest advantages:
Virtually direct transactions
No transaction costs
No mining and energy needed for mining and energy
All cryptocurrencies are on the market, there is no inflation.
Fair distribution of the cryptocurrencies
For investing: not yet available on the largest exchanges (but soon on Binance!)
The NANO team
Nano’s team is very talented and currently consists of twelve people, including six programmers and six business developers (responsible for the growth of the company). The great man and main programmer is Colin LeMahieu, who has been focusing on this project for three years. It is striking that he has been able to develop Nano so far without having worked full-time on it. We are therefore curious to know what he will be able to do in the coming period now that he has indicated that he will focus on the project fulltime from 12 December.
Another big advantage of Nano is that the coins are distributed fairly. As of March 2017, users could earn XRB (the ticker of the Nano coin) by solving captchas. If you were fast above average, you could receive 75 XRBs per hour. At the current rate, this seems to be a (more) lucrative hourly wage, but at that time one XRB was worth between 1 and 18 cents of dollars. For Dutch terms, a not very rewarding salary for a not so much fun job. However, if we look at countries like India, where some people earn EUR 18 per month, it would have been worth the effort. Thanks to this method of distribution, most of the coins have most probably ended up with people who could use it well.
Quick arrow transactions
It is the dream of every crypto trader. A transaction speed of less than a second and then no transaction costs to pay. Bitcoin will be stinking jealous. Nevertheless, Nano has actually managed to achieve this. We took the test and sent Nano coins (then RaiBlocks) from one wallet to another. We were not disappointed. The transaction had indeed been done in an instant without us having to pay a cent of transaction costs for it. It has to be said that Bitcoin was also fast and cheap in the early days, but now that it has a lot of users, these advantages no longer have any benefits at all. Luckily we at Nano don’t have to be afraid of that. The cryptocurrency claims to be infinitely scalable thanks to their new technology:”Block Lattice”.
Block Lattice: the technology behind Nano
The most important question with this cryptocurrency is of course how the revolutionary technology works. As mentioned above, Nano is based on DAG, as is the case with IOTA. In this article you can read how this works at IOTA. At Nano it works differently. Where IOTA uses the Tangle, Nano uses block-lattice (free translated to Dutch: block grid). The block lattice operates approximately the same as the blockchain with a few essential adjustments. The most important of these is that no one blockchain is used, but that each account has its own blockchain, a so-called account chain. Only the user of this account chain is able to modify his/her individual chain. This means that users can send and receive blocks without having to trust the entire network. To make this work successfully, two Nanotransactions are needed: a sender transaction and a receiver transaction. Before a transaction is successful, the receiving party must indicate that the amount has been received. Until then, the transaction is set to’ pending.
Another important feature of Nano that connects to this is how the block-lattice handles the storage of transactions. With the traditional blockchain, all new blocks are added one by one, making the blockchain bigger and bigger. At Nano, each transaction is a separate block and each new block moves the block on the individual blockchain of the user. In order to build a decent history, the new block keeps the current balance sheet of the user. Does this still sound complicated? Maybe a picture and example will provide more clarity.
Stel Alice has 100 XRB and sends 5 XRB to Bob, which also has 100 XRB. This transaction is then checked by taking the difference between the current balance sheet (100 XRB) that it has and the transaction (5 XRB) that it does. If this difference is positive (and therefore has enough XRB to actually carry out this transaction), the transaction can take place and Bob will be notified that 5 XRB have been sent to him. Bob accepts this transaction and a new block is created for both users to replace the old one. Alice gets a block with her new balance of 95 XRB and Bob gets a new block with a balance of 105 XRB.
Meanwhile, Nano keeps track of what all current balance sheets of all accounts are on the main block chain. Thus, as with blockchain, there is not a whole history of all the transactions that have ever been done. The only thing that needs to be tracked are all the current balance sheets. This new way of using blockchain ensures that transactions can be done in an instant, no transaction costs have to be paid for and it is infinitely scalable.
Nano coin (xrb) crypto block lattice is displayed visually in this image. The transactions of Nano coin (XRB) between persons A, B and C show a clear difference between block lattice and blockchain.
As always, we also need to look critically at new coins. At Nano, however, it has proved difficult to find something negative about this. The biggest problems surrounding the cryptocurrency are currently the exchanges on which they are traded. The smaller trading platforms were not able to handle the demand well, and KuCoin seems not to be fully integrated. The revolutionary technology that Nano uses may be infinitely scalable for the individual user, but the exchanges seem to have a lot more difficulty with this. RaiExchange, for example, an exchange that wants to use Nano as the cryptocurrency against which all other crypto coins are exchanged (as is currently the case with Bitcoin at other exchanges), has great difficulty integrating the coin (read here why). Fortunately, they are well supported by Nano’s team and this is probably going to be a lot smoother with other trading platforms in the future, and there has also been a big fiasco with one of the first exchanges that Nano (then still RaiBlocks) accepted. Bitgrail was good for a large part of all volume in trading Nano coins, but the developer behind it turned out not to be the best programmer. Due to a mistake in his code, 17 million coins were stolen. More than 13% of all Nano is therefore in the hands of people who are not so honest.
Another critical point is that the technology behind the cryptocurrency, just as with IOTA and EOS, is very new and has undergone few tests. In theory, it seems to be a perfect replacement for Bitcoin and blockchain, but in practice this should still prove to be the case with a mass-adoption. Another point of criticism we can mention is that Nano focuses only on one thing and that is to act as a currency between people. For other options, such as the Internet or Things or the creation of decentralised apps (dApps), Nano is not suitable. As mentioned earlier in this article, however, this is a conscious choice under the motto:”Do one thing, and do it excellently”.
Future and rumours
If you’ve been in the world of crypto for a while, the name Nano may be known to you from the hardware wallet Ledger Nano S. The name has little to do with that in principle, but the team and the community behind Nano are working hard to get the cryptocurrency on this hardware wallet, so that everyone will soon be able to keep their Nano completely safe on it (you can buy this wallet from us as well).
In addition, the community behind Nano has also made it easy to make donations with Nano coins on the Twitch game streamlining platform. This can provide an enormous boost in awareness and ensure that it will continue to grow as an ideal coin for donations (and can therefore knock ReddCoin off the throne). For example, other members of the community had already built a Reddit fooibot for Nano.
Nano is a very promising cryptocurrency. We’re mainly looking for cryptocurrency’s that come up with a new technology that can handle mass-adoption, because it looks like blockchain is not suitable for this. The alternative that Nano comes with is revolutionary and it could just as well be that this cryptocurrency is the candidate who will make mass-adoption possible for crypto as a means of payment. Yet this is all speculation, because Nano has not yet been extensively tested with a large number of users. However, the cryptocurrency is attracting more and more attention and the fact that the distribution of the tokens has gone so honestly speaks for itself in the cryptocurrency. Moreover, Nano coin has just been added to all major trading platforms and has its own exchange. We are very curious to see how this outsider will develop further and whether it will eventually be the ultimate challenger for Bitcoin and Ripple.