Monday September 23, 2019
Home Lead Story New Cryptocur...

New Cryptocurrency Developed by MIT Researchers is Way More Faster, Efficient

The researchers built their system on top of a new cryptocurrency network called Algorand, which is secure, decentralised, and more scalable than other cryptocurrencies

0
//
Avoid making decisions based on emotions and find reliable sources for information as it will become a trader’s best asset.
Avoid making decisions based on emotions and find reliable sources for information as it will become a trader’s best asset.

MIT researchers have developed a new cryptocurrency that drastically reduces the data users need to join the network and verify transactions by up to 99 per cent compared to the current popular cryptocurrencies.

Cryptocurrencies, such as the popular Bitcoin, are networks built on the blockchain, a financial ledger formatted in a sequence of individual blocks, each containing transaction data.

To join a cryptocurrency, new users must download and store all transaction data from hundreds of thousands of individual blocks. They must also store these data to use the service and help verify transactions. This makes the process slow or computationally impractical for some.

In a paper to be presented at the forthcoming Network and Distributed System Security Symposium, the researchers introduced Vault — a cryptocurrency that lets users join the network by downloading only a fraction of the total transaction data.

It also incorporates techniques that delete empty accounts that take up space, and enables verifications using only the most recent transaction data that are divided and shared across the network, minimising an individual user’s data storage and processing requirements.

“The paper title is a pun. A vault is a place where you can store money, but the blockchain also lets you ‘vault’ over blocks when joining a network,” said Derek Leung, a graduate student in the Computer Science and Artificial Intelligence Laboratory (CSAIL) at the MIT.

virtual currencies, bitcoin, investors
Transactions in cryptocurrencies occur the same way that you make transactions using any other fiat currency. pixabay

“When I’m bootstrapping, I only need a block from way in the past to verify a block way in the future. I can skip over all blocks in between, which saves us a lot of bandwidth.”

In experiments, Vault reduced the bandwidth for joining its network by 99 per cent when compared to Bitcoin and 90 per cent when compared to Ethereum, which is considered one of today’s most efficient cryptocurrencies.

Also Read- Researchers Feels Cyber Attacks Are Outpacing Physical Terror Attacks

Importantly, Vault still ensures that all nodes validate all transactions, providing tight security equal to its existing counterparts.

The researchers built their system on top of a new cryptocurrency network called Algorand, which is secure, decentralised, and more scalable than other cryptocurrencies. (IANS)

Next Story

Facebook Buys Servicefriend To Boost Cryptocurrency Libra Experience

Aiming to make its cryptocurrency Libra customer friendly when it arrives next year, Facebook has acquired a startup called Servicefriend

0
facebook, servicefriend, startup, cryptocurrency, libra
Bitcoin, which has risen in value for eight consecutive days, received a boost after Facebook has said it would offer its own cryptocurrency, the Libra coin by end of June 2020. Pixabay

Aiming to make its cryptocurrency Libra customer friendly when it arrives next year, Facebook has acquired a startup called Servicefriend that builds Artificial Intelligence (AI)-driven bots for messaging apps.

The Israel-based startup is known for building “Hybrid Bot Architecture” – an approach that offers the enterprise the scalability of a bot with the intelligence, comprehension, and empathy of a human.

“We acquire smaller tech companies from time to time. We don’t always discuss our plans,” a Facebook spokesperson told TechCrunch.

“Facebook’s plan is to build a range of financial services for people to use Calibra to pay out and receive Libra as for example, to send money to contacts, pay bills, top up their phones, buy things and more,” said the report.

Servicefriend has been deployed by leading enterprises around the world.

By using a hybrid bot for Messenger from Servicefriend to provide meaningful and efficient customer service, the telecom company Globe Telecom successfully increased employee productivity by 3.5 times and reduced calls to its hotline by 50 per cent.

facebook, servicefriend, startup, cryptocurrency, libra
Representations of virtual currency are displayed in front of the Libra logo in this illustration picture. VOA

With Servicefriend, the bot is always the front end, and every conversation receives the same branded, consistent and cohesive experience.

The new digital wallet for ‘Libra’ currency would be available in Facebook Messenger, WhatsApp and as a stand-alone app in 2020.

ALSO READ: Facebook Selects Six Projects from India for AI Ethics Research

Facebook has tied up with 27 organisations around the world to start the non-profit Libra Association to create the new currency. (IANS)