What is Monero?
Monero (XMR) is a cryptocurrency where privacy is built into the protocol level and enabled for all transactions without exception. An outside observer cannot determine the sender, recipient, or transfer amount.
How it works
Anonymity is provided by three technologies: ring signatures mix the sender's transaction with others, stealth addresses create one-time credentials for the recipient, and the RingCT protocol masks amounts. The coin is mined using an algorithm resistant to specialized hardware, allowing mining on regular processors.
Pros and cons
- Pros: highest privacy level among major cryptocurrencies, coin fungibility, decentralized mining.
- Cons: strict regulatory pressure and delistings from major exchanges, reputational risks, limited availability for purchase.