MimbleWimble blockchain – what is it
MimbleWimble is a new blockchain protocol created in 2016 that combines several innovative technologies that radically change the structure of transactions embedded in Bitcoin (BTC). The main features of MimbleWimble are:
The creator of the MimbleWimble protocol is a user of the forum where Bitcoin (BTC) cryptocurrency developers communicate, under the assumed name Tom Elvis Jedusor. The idea for creating MimbleWimble was a large number of problems associated with the Bitcoin network.
MimbleWimble Protocol Features
As mentioned above, scalability and privacy are the main advantages of MimbleWimble over other blockchains. Let’s look at how they are achieved. Transactions in MimbleWimble are not transparent, but can be verified despite the absence of addresses and transaction amounts that are completely hidden to third parties.
To structure transactions, MimbleWimble uses the properties of cryptography based on elliptic curves (ECC). Checking transactions in Mimblewimble requires that the sum of the transaction output minus the sum of the input is always zero. It is also interesting that there are no addresses in MimbleWimble. Instead, two users exchange data with each other when the recipient creates and sends the address to the sender.
Only participants can see this data; moreover, they do not need to be online at the same time. To summarize, the nodes in the network can verify the authenticity of transactions without revealing the transmitted values, there are no addresses and identifiable information in transactions. The approach MimbleWimble uses to increase scalability is much more direct than sophisticated second-tier solutions to increase throughput in the chain.
Instead, MimbleWimble relies on eliminating old and unnecessary blockchain transactions to increase efficiency. In particular, the protocol deletes expended input data on the blockchain over time by aggregating intermediate transactions, so that the size of the blockchain decreases dramatically. The protocol uses a method called end-to-end. A MimbleWimble transaction consists of the following components:
- A set of inputs that are referenced and conducted by a set of previous outputs;
- A set of new outputs (Pedersen Commitments);
- A transaction core that contains a kernel excess and a transaction signature.
Where is MimbleWimble used
At the beginning of 2019, 2 coins based on the MimbleWimble protocol appeared in the cryptocurrency industry. These coins are:
- Grin Coin;
- Beam Coin.
By clicking on their names, you can read reviews of these cryptocurrencies. The Beam cryptocurrency network was launched on January 3, 2019, and the start of the Grin coin occurred on January 15, 2019.
As some experts note, it is these coins that can truly become scalable anonymous cryptocurrencies. And some even think that they are able to overshadow bitcoin.
Despite the fact that MimbleWimble technology is very promising and attractive, it is not widely covered in the media.
It is also worth noting that miners were especially enthusiastic about the launch of these coins, as they can solve their problems with mining profitability.