MimbleWimble Will Launch Cryptocurrency, Not ICO

MimbleWimble Will Launch Cryptocurrency, Not ICO

Even though it will be an uphill task, the developers at MimbleWimble have set their mind on creating their own cryptocurrency.

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Even though it will be an uphill task, the developers at MimbleWimble have set their mind on creating their own cryptocurrency.

If you’re a Harry Potter fan, you’ve recognized this project is named after one of the spells in the books. Since 2016, they have been waiting for the day they will attach themselves to Bitcoin. Now that their platform is almost complete (although sidechains are still in development), the developers have turned to releasing their new cryptocurrency as the best way to test how real users interact with MimbleWimble. Even though this project looks more scalable and offering higher privacy, the time has proven that starting new cryptocurrencies has always been debatable.

Let’s be honest. We have seen many ‘altcoins’ that didn’t see the light of the day. Some have even tarnished the industry’s name. However, one developer at the company disclosed that they have measures in place that will ensure they don’t head south just like many others before them. They don’t intend to use problematic models or those that will hurt investors. Their lead developer, Igno Peverell guaranteed the public that the company is up to no mischief. Even though he didn’t give enough details, he did disclose that the project will probably run on donations from volunteers.

Do they intend to follow the sidechain or create a new chain?

The open-source team has been gradually growing with time. With each passing day, the project is making significant progress thanks to the active team. All the same, it is still challenging creating a Bitcoin sidechain.

The project requires that Bitcoin’s scripting structure be scrapped off. This has been the biggest barrier so far. Almost rendering the project an impossibility. One of the first MimbleWimble advocates, Andrew Poelstra agrees that the least option is to launch a new cryptocurrency. Mind you he’s a Blockstream mathematician. He hinted that there was a possibility of pegging their cryptocurrency (known as grin) to Bitcoin at a later stage using the technology he’s currently working on. He confessed to CoinDesk that he was impressed with grin even though it did not start as he had thought. On whether they would be competing currencies: At first, it looked like MimbleWimble wouldn’t support some of the complex operations offered by Bitcoin since they were utilizing scripts they didn’t have access to. Sadly, these types of transactions would be the ones giving them the biggest benefit.

Even though grid had improved privacy, scalability and most of the features that Bitcoin had, It would be tall order competing with them. They already have a large market share. As if this wasn’t challenging enough, Bitcoin improved and they now incorporate a segregated witness. With this upgrade, they can now facilitate even more complex transactions. Coming up with these advancements would require great input from their developers. At the end, Peverell declares that they won’t be competing with Bitcoin. He doesn’t see competition considering that they are using different approaches. He winded up by saying that they did not intend to compete with Bitcoin, they were only offering an improved alternative.

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