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DGB is one of many promising altcoins on the global crypto market. But, does it have what it takes to stand out amongst well-established competitors? Even so, should you convert your BTC to DGB? Here’s an overview of DigiByte from the investor’s standpoint. Let’s learn more about the main features of this crypto, how it performs on the market, and what are experts’ predictions of its future price.
What Is DigiByte?
Digibyte is an open-source blockchain network modeled after the Bitcoin blockchain. Digibyte inherited the proof-of-work (PoW) consensus mechanism from Bitcoin. However, this newest blockchain is faster and more versatile than its competitor’s one. It also has a higher transaction speed and throughput. Nowadays, Digibyte is a fully functional smart contract platform with an active development community. Its token (DGB) has been around since 2014.
One of the main advantages of DigiByte is the high level of security. It was achieved due to the security and privacy innovations released. One of these is Digi-ID, an authentication protocol. It allows users to securely log in to websites and applications using the public/private key cryptography. The process entails the generation of a Digi-ID QR code, scanning it with a DigiByte wallet, and user authentication with a PIN code or fingerprint. Then, Digi-ID will send a cryptographically-signed request to a needed website or app ensuring the secure log-in.
DigiByte Main Features
DigiByte has distinguishing features, the most notable of which are the following:
- Transaction speed and throughput. DigiByte features high-speed transactions for the convenience of users. Adding new blocks on this blockchain takes roughly 15 seconds, compared to Bitcoin’s block time of 10 minutes.
Besides, DigiByte can process about 1060 on-chain transactions per second (TPS) due to the SegWit protocol. Just compare this to Bitcoin’s average of 4.6 TPS and Ethereum’s average of just 30 TPS.
- Security measures. DigiByte is positioned as an innovative blockchain introducing some safety protocols before any other. For one, its Dandelion++ privacy enhancement helps obfuscate the sender’s IP address. Moreover, DigiByte uses five cryptographic algorithms in its consensus mechanism to ensure military-grade encryption.
- Decentralization. Most cryptocurrencies have a large amount of pre-mined coins that were distributed to founders and early investors. This means a huge number of their coins are under the control of a few people, and therefore, such cryptos are more centralized.
On the opposite, only 0.5% of all DGB were pre-mined just to incentivize the interest of new investors. So, this token can be considered a decentralized one. It also uses multi-algorithm mining to prevent mining centralization.
All of the above features apply to DGB and the tokenized assets hosted on its blockchain. DigiAssets is a scalable layer on top of the blockchain. It gives users and developers a simplified way to create and own digital assets like NFTs or digital identities.
DigiByte Price Predictions
DGB is traded at around $0.012 as of May 2022. Now let’s turn to the opinion of experts. They complement the DigiByte price prediction for the end of 2022. Below is a summary of the average DGB prices that were statistically forecasted by several sources.
|Source||Average price prediction|
Three out of four sources predict either a modest or rapid price rise for DGB this year, while Gov.capital forecasts a 40% collapse in the coin’s value. However, it also claims that the price will recover and skyrocket up to $0.05 by mid-2023.
In a Nutshell
DigiByte is a robust blockchain that has a lot to add to the altcoin market. It has been a leader in the matter of blockchain security since its foundation, which happened almost a decade ago. Besides, DigiByte has a superior speed and throughput to offer to its users. It is not a surprise that investors are willing to purchase crypto assets of this smart contract platform.
Experts predict that significant fluctuations in DGB price will be happening regularly. Still, experienced traders will definitely feel like adding this crypto to their investment portfolio.