What Is The Monero (XMR) Cryptocurrency?

Bitcoin vs. Monero
It seems that Cryptocurrency is definatley having somewhat of a resurgence after the steady climb of Bitcoin over the last Eight weeks. With Monero currently the leading privacy coin by market cap we thought that we would touch on it and what it does as well as if we feel that it is a good potential speculative investment or not.

So, Monero is a privacy coin meaning that it is almost impossible for people to track who you are paying as well as how much you are paying when using the Monero coin. It has some excellent technology behind it to do this that pushes it slightly ahead of the other coins on the market right now that are also in the privacy space.

Although it is rumored that criminals use Monero as their current payment solution of choice rather than Bitcoin but in actual fact, cold hard cash is still the preferred payment by criminals by far. So this leaves us asking what is the use case for the Monero coin?

Well, the coin has seen a solid uptake in use with both left wing and right wing libertarians who don’t like the idea of the government being able to track what they are doing with their money. Many online merchants will also accept Monero as a payment option now too allowing libertarians to purchase a large number of their goods using the coin.

In addition to this, another use case that is steadily increasing with the Monero coin is anonymous charity donations. Many people like to be anonymous benefactors of charities and cash can often be tracked through the banking system that can, in turn, end up with a number of charities spamming you with email or traditional mail to try and get donations from you.

Monero removes the ability for them to do this and as a registered charity is exempt from taxes they can transfer the donation into cash without issue. More about this system is explained in this post.

So this brings us to the question of if you should hold Monero as part of your cryptocurrency investment portfolio. Although there are an absolute ton of people who hold the coin, we personally feel that all privacy coins should be avoided when it comes to the investment mindset.

Many governments have already expressed the desire to stop privacy coins as they are unable to track what’s happening with them. One point we always see raised by the privacy coin holding community is that the privacy element is hardcoded into the coin so it does not matter what the governments say or do.

On the flipside of this though, all the governments have to do is go to the largest cryptocurrency exchanges in the world and tell them to delist the privacy coins or cease trading. This will instantly dry up the liquidity of the privacy coin market sending the price into a downward spiral.