What is Nano
What is Nano and what are the advantages?
Nano is a trustless, low-latency cryptocurrency that utilizes a novel block-lattice architecture, where each account has its own blockchain and achieves consensus via delegated Proof of Stake voting. This allows each account-chain to be updated immediately and asynchronously to the rest of the block-lattice, resulting in quick transactions. Since blocks can only be added by each account-chain’s owner, transferring funds from one account to another requires two transactions: a send transaction deducting the amount from the sender’s balance and a receive transaction adding the amount to the receiving account’s balance.
Zero Fees, Ultra Fast, Unlimited Scalability
Offers feeless, ultra fast transactions, as well as practically unlimited scalability only limited by hardware, making Nano ideal for peer-to-peer transactions. One transaction fits within a single UDP packet, and transactions are handled asynchronously, eliminating any block size issue. Nano will always have zero fees. Wallets pre-cache the anti-spam Proof of Work for the next transaction once a transaction is sent, making transactions really fast, as both sides have the proof of work ready to go. Once a transaction is seen by a node, a rapid confirmation process takes place among representatives resulting in finality within seconds.
A Green Currency with High Throughput
The network requires minimal resources, no high-power mining hardware, and can process high transaction throughput. A small proof of work is done for each transaction which is estimated (as of mid 2018) to require only 0.000032 kWh/tx. Only 4 square meters of solar panels on a sunny day can technically power 7 transactions per second! The real transaction throughput is yet to be stress tested but early lab tests has shown 7000 TPS. It's a different beast to manage in a decentralized network but community tests have shown sustained throughput of 100 and shorter peaks above 500. These figures will change while the protocol is being optimized.
No More Mining
Nano is not mined and has reached its maximum supply of 133,248,290 NANO. Funds were initially distributed via a captcha-based faucet distribution system that ended in October 2017. The proof of work used in PoW cryptocurrencies such as Bitcoin is used as a consensus model, but with Nano (which has no fees) it´s implemented on every transaction as mechanism against spam. Websites claiming to mine NANO are actually mining other cryptocurrencies, such as Monero, to trade for NANO on an exchange, and then paying out miners in NANO, leveraging Nano’s feeless transactions.
As of Dec 2018, the Nano network has processed near 15 million transactions with an unpruned ledger size of only 7.7GB.
Some misconceptions about Nano has been floating around. We try our best to clarify those in the FAC_(Frequently_Asked_Concerns).