XDC

Overview of XDC

XDC, also known as XinFin Digital Contract, is a type of cryptocurrency that was founded in 2017. It was developed by main founders Ritesh Kakkad and Atul Khekade. XDC can be exchanged on various platforms, including Bitfinex, Hotbit, Alphaex, STEX, and Indodax. The cryptocurrency can also be stored in a few different types of wallets, such as the XinFin XDC Wallet, Guarda Wallet, or MyEtherWallet (MEW). In its nature, XDC is similar to other cryptocurrencies as it is a decentralized digital asset.

Pros and Cons

What Makes XDC Unique？

XDC, or XinFin Digital Contract, stands out in the crowded field of cryptocurrencies through its unique hybrid blockchain technology. While most cryptocurrencies operate on either a public or private blockchain, XDC operates on a hybrid blockchain, which is a combined network of private and public blockchains. This unique infrastructure allows for a balance between transparency and security, as it can offer the privacy of a private network while also providing the transparency and security of a public one.

Another differentiator of XDC is its focus on providing blockchain solutions for global trade and finance. It aims to bridge the gap between decentralized and centralized entities by enabling instant cross-border transactions and reducing the complexity of global trade processes. These are practical applications that some cryptocurrencies forego, opting instead for a more theoretical focus on decentralization and currency.

Moreover, XDC is designed for energy efficiency. Unlike other cryptocurrencies, such as Bitcoin and Ethereum, that use a Proof-of-Work (PoW) consensus mechanism, XDC uses a more energy-efficient consensus mechanism known as XinFin Delegated Proof of Stake (XDPoS), which helps minimize its environmental impact.

How Does XDC Work？

XinFin Digital Contract (XDC) operates under a unique hybrid blockchain technology which combines the advantages of both private and public blockchains. This is different from the majority of cryptocurrencies, which tend to operate exclusively on either a private or public blockchain.

The working mode of XDC is best understood in two parts: the underlying blockchain infrastructure and the consensus mechanism it utilizes.

At the infrastructure level, the hybrid blockchain technology means that XDC transactions can be processed privately on the network's private state, and the hash of these transactions are subsequently stored on the public state. This gives users the option to maintain privacy for their transactions, while still benefiting from the security and transparency of the public network.

Moving on to the XDC consensus mechanism, it uses the XinFin Delegated Proof of Stake (XDPoS) system. XDPoS is a development on the original Proof of Stake model, in which node operators are chosen based on the number of tokens they hold and are willing to 'stake' as collateral. It's designed to provide high transaction throughput, fast transaction times, and energy efficiency. Being delegated, the model adds an additional layer, authorizing certain nodes to validate transactions and create new blocks based on token holders' votes.

Exchanges to Buy XDC

1. Bitfinex: Bitfinex supports XDC/USD and XDC/ETH pairs, allowing users to buy XinFin Digital Contract with US Dollars or Ethereum.

2. Hotbit: At Hotbit, users can trade XDC with Bitcoin and USDT, therefore, it supports XDC/BTC and XDC/USDT pairs.

3. Alphaex: Alphaex provides users a platform to buy or sell XDC using XRP, hence, it supports XDC/XRP pair.

4. STEX: At STEX, XDC can be paired with Ethereum and Bitcoin, hence, it supports XDC/ETH and XDC/BTC pairs.

5. Indodax: At Indodax, users can buy XDC using Indonesian Rupiah, hence, it supports the XDC/IDR pair.

How to Store XDC？

Storing XDC tokens involves sending them to a digital wallet designed to hold cryptocurrencies. A digital wallet is a software application that allows users to securely store, send, and receive digital currencies. To store XDC tokens, you need to use a wallet that supports this type of cryptocurrency.

Here are some wallet options for XDC:

1. XinFin XDC Wallet: This is the official wallet developed by the team behind the XDC Network. It can store, send, and receive XDC tokens securely.

2. Guarda Wallet: Guarda is a multicurrency wallet that supports over 40 blockchains and over 10,000 tokens, including XDC. It is available in Web, Desktop, Chrome Extension and Mobile (iOS, Android) versions.

3. MyEtherWallet (MEW): Another popular wallet that supports XDC is MyEtherWallet, a free, open-source, client-side interface helping users interact with the Ethereum blockchain.

4. Ledger Wallet: Ledger is a hardware wallet that supports a wide variety of cryptocurrencies, including XDC. Due to its physical nature, it provides a greater level of security as the private keys remain offline.

5. Metamask: Metamask is an extension for accessing Ethereum enabled distributed applications, or “Dapps” in your browser, which can also store XDC tokens.

Should You Buy XDC？

The XinFin Digital Contract (XDC) is suited for various types of investors with different objectives. However, it may particularly appeal to those who:

1. Believe in the Potential of Hybrid Blockchain Technology: XDC's unique hybrid blockchain combines the transparency, security of public blockchains with the privacy and speed of private ones. Those who seek to invest in innovative, differentiated technology may find XDC attractive.

2. Invest in Energy-efficient Blockchain Solutions: XDC's XinFin Delegated Proof of Stake (XDPoS) consensus mechanism is more energy-efficient compared to cryptocurrencies that use Proof of Work. If the environmental impact of cryptocurrencies is a concern, XDC offers a more sustainable alternative.

3. Want Exposure to Crypto Space: XDC can be one way to gain exposure to the digital asset class. However, as with all cryptocurrency investments, it should ideally form only a part of a diversified investment portfolio.

FAQs

Q: On which platforms can I trade XDC？

A: XDC can be traded on multiple exchanges such as Bitfinex, Hotbit, Alphaex, STEX, Indodax, and others.

Q: Can I store XDC in any wallet？

A: No, XDC can only be stored in wallets that support it, including XinFin XDC Wallet, Guarda Wallet, MyEtherWallet (MEW), Ledger Wallet, Metamask, Trezor, and Trust Wallet.

Q: Is XDC a good investment？

A: As an investment, XDC, like any cryptocurrency, brings potential for return but also comes with risks, so thorough research and possibly professional advice should be considered before investing.

Q: How does XDCs blockchain work？

A: XDC operates on a hybrid blockchain, where transactions can be processed privately on its network, with the transaction hash recorded on the public state for enhanced transparency and security.

Q: How does XDC ensure energy efficiency？

A: XDC achieves energy efficiency through its unique XinFin Delegated Proof of Stake (XDPoS) consensus mechanism, which requires less computational power than traditional Proof-of-Work models.