Understanding the Bitcoin Private (BTCP)?
The Bitcoin Private cryptocurrency originates from a hard fork between Bitcoin (BTC) and ZClassic (ZCL) that occurred in March 2018. Rhett Creighton, who founded ZClassic, was the founder and primary developer. The goal of Bitcoin Private is to combine the inherent privacy and security of ZClassic with the popularity and flexibility of Bitcoin.
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Basic Understanding of Bitcoin Private (BTCP)
The idea behind Bitcoin Private was to perform a “fork-merge” which would merge the Bitcoin blockchain with the Zclassic blockchain simultaneously, instead of being a standard blockchain fork.
Essentially, the ZClassic hard fork creates a new blockchain called Bitcoin Private by combining the unspent transaction outputs (UTXOs) of ZClassic and Bitcoin. Ethereum addresses and their Bitcoin amounts will be merged with ZClassic addresses and their amounts.
The Bitcoin Private whitepaper describes the combined blockchain as having two features: transparent and shielded transactions.2 As with Bitcoin, the blockchain stores the originating and destination funds and amounts. In shielded transactions, the details of each transaction are encrypted into a special block section, making them verifiable but difficult for third parties to interpret.
What is the difference between Bitcoin Private and Bitcoin?
As During the middle of the 2010s, Bitcoin gained popularity, but it’s fixed, small block size and slow block times caused speed, cost, and energy issues. In response to a higher transaction volume, fees rose and processing times increased, resulting in backlogs. Due to Bitcoin’s current state, it became obvious that one of its aspirations was not feasible.
Further, Bitcoin’s decentralized ethos came under question due to the rise of power-hungry ASIC-based mining. Many mining companies and pools consolidated their mining power. As a result of blockchain innovations, including the Equihash proof-of-work (PoW) algorithm, ASIC-based mining systems can reduce their cost-performance tradeoffs.
Despite the intention to allow users to remain anonymous with Bitcoin, transactions can be tracked. In addition, combined with other sources of pseudonymous data, a Bitcoin public key can be used to identify an individual.
Bitcoin Private aims to accomplish the following
A combination of Bitcoin security and a means of encrypting transactions seemed like a good idea in 2017 and 2018. The market capitalization of Bitcoin Private was around $550 million when it launched. Nonetheless, it has not been listed on any crypto exchanges since February 2022.
In the beginning, Bitcoin Private raised a lot of red flags: 96.6% of the total coins were pre-mined, leaving only 3.4% as a mining reward. As well as piggybacking on Bitcoin’s reputation and adoption, it also attempted to grow its user base organically rather than by acquisition.
Bitcoin in the Private Sector
It is still possible to follow Bitcoin Private on Twitter. Developers announced on Feb. 8, 2022, that they have purchased a private server to help eliminate storage costs and development costs.
Bitcoin Private claims in its most recent Medium post, dated June 16, 2021, that a new chain will be revealed7. However, it is unclear when and if Bitcoin Private will become a notable cryptocurrency.
Does Bitcoin Private have the characteristics of a cryptocurrency?
BTCP can be considered a cryptocurrency. The mainnet release date is not set yet because the project is still under development.
Where Does BTCP Fit in Cryptocurrency?
In an attempt to merge Bitcoin and ZClassic blockchains, BTCP is Bitcoin Private.
This is definitely not certain, how it will stand in the coming future, but it sure will require storage options too like online Bitcoin wallet used for storing Bitcoins.
