Dubbed “the digital money for the modern world,” Nano is a lightweight cryptocurrency designed to facilitate secure, virtually instant, fee-free payments, while also addressing some of the key limitations of both legacy financial infrastructure and many modern cryptocurrencies.
In this article, we will discuss:
What is Nano Coin (XNO)?
Nano is a zero-fee digital payment protocol that facilitates instant payment transactions between users. This means that it costs users nothing to send payments over the Nano network and transactions are completed in a matter of seconds. The native cryptocurrency of the Nano network is also called Nano (NANO), and can be used to facilitate daily payments between people or companies without transaction fees. Nano can also be used within the WeNano app — available for iOS and Android, a social wallet that facilitates payments, tips and lets you discover other Nano users nearby.
Compared to proof-of-work (PoW) networks like Bitcoin, Nano offers a significantly greener distributed payments network. This is because Nano utilizes what is called a block structure – a Directed Acyclic Graph (DAG) data structure in which individual accounts control their own blockchain instead of using a single blockchain for the entire network. This dramatically increases the speed of transactions, which allows Nano's crypto transaction confirmations to be performed much faster than most cryptocurrencies.
How does Nano Coin (XNO) work?
Nano was designed to be fast. So fast, in fact, that most transactions on Nano reach their absolute purpose in less than a second compared to most cryptocurrencies that take a few minutes or even longer. This speed makes Nano suitable for commercial payments, as merchants and customers no longer have to worry about transaction delays when accepting payments. In addition, transactions on Nano are completely free.
Since representatives do not receive financial compensation for their efforts to secure the network, there is no need to tax transactions. This makes Nano an ideal solution for processing microtransactions, as users no longer have to worry about transaction fee costs when making small payments. These features are made possible by its unique architecture.
Unlike many cryptocurrencies that are built on a distributed ledger known as a blockchain, Nano is built around a similar technology called a directed acyclic graph (DAG). This framework is highly reliable and allows Nano to process over 1.000 transactions per second (tps) — without requiring an intensive mining network to maintain its integrity, positioning Nano as an eco-friendly payment option.
Nano's DAG Network Framework — A Technical Overview
While Nano's block structure architecture has similarities to a blockchain infrastructure, it is differentiated in several fundamental ways. Most importantly, in Nano, individual users control their own individual blockchains rather than forming a distributed consensus over a shared blockchain. Achieving consensus – whether through Proof of Work or Proof of Stake (PoS) – is the most complex and challenging function of any blockchain network, and Nano's block structure avoids the process altogether.
Here's how it works: To initiate a Nano coin transaction, the sender publishes a block on their own blockchain that debits their account for the amount to be sent to the recipient. Then, the recipient must post a block that credits the amount sent to their account. Each block contains a user-generated proof of work data that is expensive and time-consuming to produce, but easy to verify.
However, Nano does not use PoW to reach consensus across its wider network. Instead, Nano uses a consensus mechanism called Open Representative Voting (ORV). With the ORV, representatives vote on the validity of transactions published on the network, with blocks confirmed after the quorum.
Anyone can become a representative by running a node on the Nano DAG network. Nano users elect representatives by delegating the balance of their Nano Coins account to representatives of their choice. It is important to note that delegating your account balance is not the same as staking your funds: if you delegate your balance, you will still be able to spend your funds without restrictions. As of March 2021, there are over 100 Nano delegates with over 13 million NANO delegates.
A matter of incentives
Nano is notably different from other blockchain-based networks in that there are no financial incentives to run a node and act as a proxy. That's why Nano can operate without transaction fees. Nano argues that node operators are driven by external incentives, such as cryptocurrency exchanges that earn fees through NANO trades and merchants that can avoid fees typically associated with credit cards.
However, some critics have argued that Nano's fee-free design comes at the expense of decentralization and makes it vulnerable to attacks — particularly Sybil attacks in which an attacker operates many pseudonymous nodes to gain a disproportionate amount of control over the network, or denial. service attacks (DoS), which flood the network with transactions.
So while a simple payment network attracts users – particularly when transaction fees on other blockchains can be expensive – it is necessary to consider whether user and representative incentives are aligned in a way that promotes the security, decentralization and health of the network.
nano and charity
Many philanthropic organizations have seen the benefits accruing from accepting and using cryptocurrency donations from donors globally. This opened the door for nano cryptocurrency to become the leading cryptocurrency for charitable donations. For example, community members Nano, Alisha and NanoByTheBay, successfully led a COVID-19 relief campaign on Twitter. This helped them deliver around 5.000 masks and essential necessities like food to over 1.300 people in India.
Additionally, there is a Nano Tip Bot that allows virtually anyone to donate via social media such as Twitter or Telegram. Nano Tip Bot is on-chain, intuitive, non-custodial and supports microtransactions. Therefore, making it the perfect way to endorse active community members and charitable causes that support XNO. As the two community members pointed out, they used nano because it worked well as a medium of exchange and anyone could make any amount, anytime, without fees and instantly.
Charities, for example, can accept cryptocurrency donations on XNO at will. As an example, XNO collaborates with NOWPayments – a cryptographic payment gateway that allows anyone to instantly accept cryptographic donations, without escrow and absolutely easy to use.
Sustainability
Nano is designed to run efficiently without the need for mining, a power-hungry mechanism to process transactions. Instead, nano uses an innovative voting system where no mining is required. This efficient mechanism allows the nano grid to use less energy than other digital currencies, providing the world with an eco-friendly and sustainable currency for a greener future.
NANO: Games
Use and earn nano (XNO) in-game on a variety of platforms:
- NanoQuakeJS – Earn nano payouts in Quake III online with other players around the world.
- JC2RP – Game Tap – Earn nano by playing a faction war mode in the classic multiplayer game Just Cause 2.
- Unreal Nano – Enjoy a relaxing atmosphere and interact with the magic nano tree, viewer and more – includes VR support.
- Nano BrowserQuest – A remake of the popular web-based MMORPG minigame BrowserQuest that offers a small nano reward upon completion.
- CS:GO Nano – Earn nano by playing Counter Strike against others online in Arms Race mode.
- Raiblocks MC – Join this Minecraft server to participate in a unique in-game economy, allowing you to earn nano in a variety of ways. Sell your items to other players, go hunting for hidden nano treasures, fight in a unique pvp game mode and much more.
- Player Killer Swap – Hack and slash action RPG that pays nano rewards for NPC kills – select zombie in faucet mode to play for free.
- Raesonic – A multiplayer online game with procedurally generated tracks, customizable vehicles and more. Features premium in-game items obtainable exclusively with nano
NANO: Wallets
Store your nano (XNO) securely:
- Natrium – Full-featured open source mobile wallet with advanced features like contact management, private key scanning, account icons and more.
- Nault – Open source and advanced wallet for web, mobile via web and desktop. Robust features including rep management, Ledger support, multiple accounts, and more.
- WeNano – Through globally distributed spots, you can earn nano and interact with other users in this unique social wallet experience.
- Atomic – Multi-asset wallet available for mobile and desktop devices with integrated exchange service.
- Exodus – Multi-asset portfolio that allows for representative changes and is available for desktop and mobile devices.
- Atto – A lightweight, open-source command-line wallet with a focus on simplicity, offering representative changes, multi-account support, and more
NANO Token
Similar to the vast majority of cryptocurrencies, there is a fixed maximum number of Nano tokens that will exist. This number is set at exactly 133.248.290 NANO. The original maximum supply was set at much higher than that, but all NANO tokens above the current cap of 133 million have been permanently burned. In total, about 39% of the original Genesis supply has been distributed.
Something unusual about Nano is the fact that its entire supply is already in circulation, which means it is totally diluted. Because it is fully diluted, Nano is also highly decentralized, and well distributed, with most Nano accounts having less than 100 NANO.
As of December 2020, around 20% of all Nano in circulation (~26 million) was held in a cold wallet associated with cryptocurrency exchange Binance. A total of 5% of the outstanding supply was retained for the ongoing development of the project, being allocated to a so-called “developer fund”.
XNO currency benefits
Some of the benefits of nano currency encryption include:
- Ecological – Nano has an energy-efficient consensus mechanism known as Open Representative Voting, which uses minimal energy. So it's on the front line to help reduce pollution and energy consumption.
- Zero Fees – If you have traded cryptocurrencies like Bitcoin or Ethereum, then you know how high transaction fees can get. However, when it comes to nano, transactions are simple, which makes nano cryptocurrency effective as a currency that can allow for tipping and microtransactions.
- Instant – Transactions on the nano blockchain happen much faster than you can send a text message from your phone to another. Thanks to the block-lattice system used by nano, users can pay for goods online or in-store without waiting for approval from the bank or credit card network.
- Decentralized – There is no incentive for centralization. The platform does not rely on mining or staking nano cryptocurrencies for rewards. Therefore, the platform remains truly decentralized and even tends to decentralize more over time.
Where to buy the NANO token?
NANO cryptocurrency can be traded on the following exchanges:
- Binance
- OK
- KuCoin
- Gate.io
Nano Price Forecast (XNO)
The price of Nano is predicted to reach a maximum level of $2.172 throughout 2022. According to our crypto price prediction index, in 2023, the price of Nano (XNO) may reach a maximum level of $4.180, with the average trading price of $3.108. According to our crypto price prediction index, in 2025 XNO is expected to cross an average price level of $5.039.
The minimum expected price of the Nano at the end of the current year should be $4.653. Furthermore, XNO can reach a maximum price level of $5.135. The price of Nano is predicted to reach the lowest possible level of $4.460 in 2030. According to our crypto price prediction index, the price of XNO could reach a maximum possible level of $8.224, with the predicted average price of $6.197 .
What is the future of the XNO?
From a user's point of view, nano is an ideal digital currency as it is sensitive, instant when making transactions and has great scalability potential. Most popular cryptocurrencies are not capable of instant transaction times. So this is a big change over the ordinary. Not to mention the fact that nano is energy efficient and doesn't require expensive mining hardware. There is also news that nano could lead the development of Mastercard cryptocurrencies. If that's true, then there's a great future for nano.
Conclusion
Nano (XNO) is a decentralized, self-sovereign, peer-to-peer, fee-free (none), very fast, all units already issued and in circulation decentralized digital money protocol, developed and driven by a volunteer community enthusiastic about open source software. Its focus is on efficiency, which by definition means delivering a better result (or accomplishing a certain task) with the lowest possible costs and resource consumption.
