Nano was launched in 2015 by Colin LeMahieu. LeMahieu, a software developer, originally stumbled on Bitcoin in 2010. A fan of its potential for decentralization, he began researching it and studying it and eventually discovered some of its flaws with scalability, fees and transfer times. So in 2014 he began a mission to solve these issues and create what is now known as Nano.
Nano’s site shows a team of 10 members, most of whom are developers. Unlike a lot of Blockchain companies that host numerous positions, joint business partners and advisers, Nano’s team is pretty straightforward. You tend to find this more with currency coins rather than utility coins, which provide a multitude of services and thus need a much bigger team.
This is what ultimately sets Nano apart from most of its currency competitors. Nano designed a way for their transactions to be instant and feeless, and by doing so, had to take a completely different approach to the use of blockchain.
Typical blockchain currencies look like this:
You send a transaction (hash), the transaction is then put into the mempool with many other transactions where it waits until the miners pick it up. Once the miners pick up your transaction along with others, it puts them into a block and then once validated, is added to the blockchain. This is why your typical currency coins have a waiting time when you are making transactions and incur fees associated with the miners validating the blocks via Proof of Work (PoW). These performance issues are what Nano saw as a problem that could become an issue for cryptocurrency in everyday use and why they designed a system that could solve both of these issues.
Instead of a blockchain, Nano’s design is a block-lattice:
You can immediately see the differences between the standard blockchain and Nano’s block-lattice. Heres how it works: In the Nano block-lattice, each account has its own blockchain. So lets say I want to send Bob some money, I would create a send transaction in my blockchain and Bob as a receiver would have to create a receive transaction in his blockchain. This allows the transactions to work on their own blocks, without a waiting time for other transactions to be picked up and without the need of a miner to validate the block, thus causing fees.
Nano is a Delegated Proof of Stake consensus algorithm. So what that means is if for some reason there is a conflict in payment, say someone tries to create two transactions from their last block, in an attempt to make a double transaction, the representatives (who were voted by stakeholders) would vote to determine which block would be included and which one would be denied. This system is similar to the DPOS consensus that is used in $EOS.
To prevent spamming of the network, Nano does a have a very slight PoW consensus that is done on your computer or even phone with each transaction, but the computation needed is so small, that it requires almost no energy and therefore no fees are paid to anyone for this work.
Nano is currently ranked #23 on the Coin Market Cap with a current USD value of $7.80 (89970 sats). Due to it all being premined (no PoW or PoS) It has a max and circulating supply of 133,248,290
On February 9th, 2018, Italian cryptocurrency exchange Bitgrail, claimed that they were hacked for 17 Million $NANO, at the time the USD value was $170 million. This caused a massive drop in price. ATH prior to this and market drop was $34.43.
Nano did get a nice boost up in price after Litcoin founder Charlie Lee tweeted out that he is invested in Nano and thought it was a great product. The surge in price also helped the coin gain consumer confidence that the creator of one of its competitors was big on the coins long term success.
On January 31st, Nano, formerly known as XRB Raiblocks announced that they would be doing a rebrand and changing their name to Nano, along with a change to their logo. Honestly, I feel they should have stayed with XRB Raiblocks. A quick Google search of “Nano” gives you a plethora of results, while Raiblocks would have dialed in to exactly what you were looking for. Nano is somewhat of a generic name and definitely lacks the ring Raiblocks had, but in the scheme of things, it isn’t a huge impact to the coin itself.
Of all of the currency coins, I think Nano has the best opportunity of leading the pack. The question everyone asks is, “Can it replace Bitcoin?” And while the short term answer to that is no, the long term success of Nano is very bright. The idea of a feeless, instantaneous currency is huge in so many ways. Imagine what this will do for people needing to send money overseas, to families with limited funds that cannot afford the high international transaction fees. And on a day to day basis, for anyone needing to make a purchase with currency, this is ideal for both companies and consumers. Companies avoid paying fees for transactions through a centralized bank while consumers have the fees removed instantly, without waiting sometimes days for this to clear their account.
When asked why can’t it replace Bitcoin, the answer to that is simple. Bitcoin has been proven to be 100% secure. It has yet, since its inception, been penetrated. It becomes very challenging to take the spot of a coin that has proven itself so worthy when it comes to security. While Bitcoin has had issues with costs, speed and scalability, these issues continue to find small resolutions, but as long as it remains secure, it will be tough to dethrone; which is why it is best to focus on what Nano can do and less about it becoming the next Bitcoin. Nano has all of the abilities to be one of the top currency coins on the market. With a small cap, a system that has found a way to fix the issues that have been plaguing currency coins and more interest in both people and businesses in using digital currency, Nano will no doubt be a household name in cryptocurrency.