In a media podcast, Aaron Lammer’s and Jay Caspian Kang gave a deep-layered insight into Grin the latest privacy project set to launch this week.
One of the background stories for Grin has been the “casting of Libertarianism onto Satoshi…With Bitcoin, we can win a major battle in the arms race and gain a new territory of freedom for several years.”
But Kang says, “The biggest evidence I would say for that is the whitepaper makes it pretty clear that he doesn’t even really think that Bitcoin. The Bitcoin that people use right now is not the exact same thing that was put out at the Genesis block.”
Grin on Mimblewimble
Grin’s official website says that Grin is a new coin much like bitcoin of 2009, identifying a parallel to “the first four years of bitcoin emission rate are identical to the first four years of Grin.”
However, Grin is a privacy coin.
As per developer information, “new coins have developed the rate of one per second.” It operates on the basis of dual PoW system which runs on the Cuckoo Cycle Algorithm. This allows both ASIC miners and GPU to use it. As per schedule, it is expected that nearly 90% of the block will be mined by an anti-ASIC algorithm.
However, the highlight of the project is its interestingly named protocol – Mimblewimble. One other project currently using this protocol is Beam.
Monero has been using it extensively for several years now and even has a sidechain called Tari on Mimblewimble.
However, in the first week of January Grin had run into some controversy.
Criticism from the industry
According to Dovey Wan, the Founding Partner at Primitive Ventures, Grin has higher trading volume than available supply. In her Tweet, “A few exchanges started Grin trading before the coin is even minted, and some of them have volume > the total available supply. This reveals a bigger time bomb of centralized exchanges that can print more *BTC* out of thin air with a non-solvent BTC reserve.”
She explains that Grin was traded on exchanges even before it was minted by many exchanges. This could be identified by the overdrawn volume numbers that did not tally with the actual supply of the digital asset.
Providing technical insight, Dovey says, “the volume I referred to is the initial volume on the sell order book for the first few hours. Grin’s inflation schedule is calculable, and it requires 1440 blocks confirmation for coinbase reward maturity, before that you can’t spend the coinbase output.”