What is Decred (DCR) Cryptocurrency: Everything You Need to Know about DCR

Decred (DCR) is currently being traded as the 26th largest cryptocurrency as per data provided on Coin Market Cap, valued at the price of 43$ to where it declined by -66% of over 120$ per one DCR.

Decred was launched back in 2016, years after Bitcoin (BTC), the original cryptocurrency, but somewhat makes sense to be represented as an extension of Bitcoin that allows for implementation and improvements within btcsuite, which is actually an alternative node of Bitcoin network.

That same developers that came up with btcsuite, later realized that they could create a currency that is similar, almost the same as Bitcoin due to its origin, but one which allows new updates, progress, and implementations.

That is how Decred currency was born. What exactly is Decred and why you should care?

What is Decred (DCR) Cryptocurrency: Proof of Stake and Proof of Work Combined

In case you like to be updated on all actual news and problems within the blockchain space, you most certainly know that there are many speculations on the behalf of some of the most famous consensus protocols, Proof of Work and Proof of Stake.

While Bitcoin is made to have Proof of Work protocol that allows Bitcoin transactions to be validated through mining, many suggest that this protocol (PoW) is actually anything but energy efficient.

Moreover, this protocol is said to create competitiveness among BTC miners, allowing for ASIC miners to establish hegemony over BTC transactions.

This altogether explains why it is virtually impossible to send microtransactions with Bitcoin without paying large fees.

However, Decred utilizes a combination of Proof of Work and Proof of Stake, which makes up for a hybrid protocol that diminishes issues we are aware of in Bitcoin.

This hybrid protocol is also known as Proof of Activity (PoA).

Decred Advocating for Complete Decentralization

Decred was mainly designed and created in order to enable different devs and community members of different vocations to contribute to the community behind DCR and compliment the network with their proposals, suggestions, and implementations.

In that spirit, Decred a project subsidy wallet which contains 10% of block rewards on the network. The team behind the currency should open the project officially in 2018 where it will be decided by voting in which way should this fund be spent, of course in the terms of developing and promoting the Decred project.

Thanks to the hybrid Proof of Stake and Proof of Work, Decred turns DCR into tickets that then make holders into Stakeholders, allowing them to make decisions within the network consensus, that way promoting complete decentralization.

Decred (DCR) Showing Positive Pace of Growth in the Market

Although DCR lost -66% since touching its record price back in January, just like BTC, DCR is still showing a positive pace of growth in the market.

DCR is currently traded at the value of 43$ and it seems to have fair chances of breaking through the resistance of 50$ by the end of the year.

It seems that DCR is catching on as a healthy alternative to the original cryptocurrency, which might be the reason why the currency acquired a somewhat stable movement in the market despite the ongoing crisis.

Disclaimer: The information on this site is provided for discussion purposes only, and should not be misconstrued as investment advice. Under no circumstances does this information represent a recommendation to buy or sell securities.