CryptoNote is an

application layer An application layer is an abstraction layer that specifies the shared communications protocols and Interface (computing), interface methods used by Host (network), hosts in a communications network. An ''application layer'' abstraction is speci ...

protocol designed for use with

cryptocurrencies A cryptocurrency, crypto-currency, or crypto is a digital currency designed to work as a medium of exchange through a computer network that is not reliant on any central authority, such as a government or bank A bank is a financial i ...

that aims to solve specific problems identified in

Bitcoin Bitcoin ( abbreviation: BTC; sign: ₿) is a decentralized digital currency that can be transferred on the peer-to-peer bitcoin network. Bitcoin transactions are verified by network nodes through cryptography and recorded in a public distr ...

. Namely: * Traceability of transactions * The proof-of-work function (see

Bitcoin network The bitcoin network is a peer-to-peer payment network that operates on a cryptographic protocol. Users send and receive bitcoins, the units of currency, by broadcasting digitally-signed messages to the network using bitcoin cryptocurrency ...

) * Irregular emission * Hardcoded constants * Bulky scripts * Financial privacy The protocol powers several decentralized privacy-oriented cryptocurrencies, including

Monero Monero (; Abbreviation: XMR) is a decentralized cryptocurrency. It uses a public distributed ledger with privacy-enhancing technologies that obfuscate transactions to achieve anonymity and fungibility. Observers cannot decipher addresses tradi ...

MobileCoin MobileCoin is a peer-to-peer cryptocurrency developed by MobileCoin Inc., which was founded in 2017 by Josh Goldbard and Shane Glynn. Technology overview MobileCoin claims to focus on transactional anonymity (fungibility), ease of use, tran ...

and Safex Cash. Nothing is known about the original author of CryptoNote, "Nicolas van Saberhagen." Its mathematical component and motivation are described in the article "CryptoNote Whitepaper", released in two editions: in 2012 and in 2013. Launched in the summer of 2012, Bytecoin was the first cryptocurrency to use this technology. Later, several teams launched their networks, based on the Bytecoin code.

Emission

Just like in Bitcoin, miners are rewarded for finding solutions. But the stepped release curve characteristic of Bitcoin has been replaced with a smooth one in CryptoNote: the reward decreases with each block. One implementation of the CryptoNote protocol has resulted in a non-smooth emission curve, specifically, the S-curve of the Safex Blockchain, which was designed to match the

Diffusion of Innovations Diffusion of innovations is a theory that seeks to explain how, why, and at what rate new ideas and technology spread. Everett Rogers, a professor of communication studies, popularized the theory in his book ''Diffusion of Innovations''; the book ...

technology adoption curve theory.

References

Application layer protocols Cryptocurrencies Digital currencies {{Cryptocurrency-stub

Emission

See also

References