A Beginners Guide to the DigiByte (DGB) Blockchain Project

Beginner’s Guide / 03.09.2020

DigiByte is an open-source third-generation blockchain that integrates a variety of proprietary technologies to simplify the most common tasks within the sector. This revolutionary platform provides users with more security, increased transaction speeds, improved functionality, and an overall better UX when compared to previous blockchains. Additionally, the platform’s flexible design supports digital assets, smart contracts, decentralized applications, secure authentication, and more.

Importantly, DigiByte is one of the safest, fastest, and most decentralized UTXO blockchain in existence. The history of this unique protocol begins in late 2013. This is when DigiByte founder Jared Tate announced plans to release the platform globally. By the start of 2014, he accomplished this task successfully. 

Governance

Unlike many of the other projects in the sector, DigiByte is a volunteer-based platform. There is no CEO or company that decides what actions the protocol must take. Instead, the community votes on important upgrades and protocol changes. In this way, DigiByte captures the spirit of trustless decentralization.

The DigiByte community includes developers from around the world. Surprisingly, DigiByte developers work purely as volunteers. No developer earns a paycheck for their efforts. This strategy makes DigiByte a true grassroots movement. It also falls in line with Tate’s goal to create a blockchain focused on the good of all.

What Problems Does DigiByte Address?

DigiByte attempts to tackle numerous issues currently plaguing the crypto market. One of the main concerns developers focused on was the centralization of mining operations. In the Bitcoin ecosystem, mining operations are somehow controlled by major mining pools. This situation reduces the overall security of the network and puts users at risk of 51% attacks.

Mining Centralization

Interestingly, DigiByte alleviates these concerns through the integration of the Odocrypt protocol. This next-generation coding alters the consensus mechanisms algorithm every 10 days. Crucially, this strategy eliminates the use of high-powered ASIC mining hardware. Consequently, it creates a more balanced mining landscape.

Transaction Speed

DigiByte was built from the ground up with scalability in mind. The platform can handle 1,066 on-chain transactions per second. Impressively, this is 40x faster than Bitcoin’s current capabilities. 

Digital Verification

DigiByte’s development team put considerable effort into the platform’s digital verification system. Blockchain verification is one of the fastest-growing sectors in the industry. DigiByte can provide reliable Digital Asset tokenization and a Digital ID for individuals. This strategy expands DigiByte’s use cases exponentially. 

Consensus

DigiByte utilizes a Proof-of-Work consensus algorithm that includes significant upgrades from Bitcoin’s system. For example, DigiByte integrates a proprietary tech known as DigiShield. This protocol uses five different cryptographic algorithms to secure the network. In comparison, Bitcoin relies on one. Today, multiple cryptocurrencies utilize the DigiShield PoW mechanism.

Every 15 seconds a node adds a new block to the DigiByte blockchain. In the Bitcoin ecosystem, this step only occurs once every 10 minutes. Notably, DigiByte is 40x faster than Bitcoin. Crucially, developers chose to integrate a real-time difficulty adjustment to further secure decentralization across the network.

How to Invest in DigiByte

Investing in DigiByte is easy. You don’t need any technical know-how to get started. All you need is a Smartphone or PC and about ten minutes to begin your DigiByte investment strategy. The first step is to find a reputable exchange. Luckily, DigiByte is one of the most popular cryptocurrencies on the planet. Here are just a few exchanges you can find this coin at:

  • Bittrex
  • Changelly 
  • KuCoin
  • Binance
  • Huobi
  • ShapeShift

Storing My DigiByte

Now that you are a part of the DigiByte community, you need to decide how to store your DGB. If you plan to hold a significant amount of DigiByte, you should invest in a hardware wallet. These devices keep your DGB in offline in “cold storage” safe from online threats. 

If you plan to trade or use your DigiByte daily, a mobile wallet such as Coinomi should be the perfect fit. Mobile wallets are easy-to-use and convenient. You have your crypto at your fingertips and you can trade your coins directly from your mobile device. DigiByte also offers a Desktop client for free.

Get Involved

As a DGB holder, you are now part of one of the fastest-growing communities in the crypto sphere. Be sure to participate and vote on relevant issues that affect your investment. In this way, you are doing your part to help keep DigiByte one of the premier projects in the blockchain sector.

David Hamilton aka DavidtheWriter is a long time Bitcoinist and cryptocurrency journalist. Currently, he has over a thousand articles published on blockchain technology. His expertise and experience makes him one of the most reputable writers in the sector.