Binance lists Digibyte

DigiByte (DGB) is an open-source blockchain project that was launched in 2014. The DGB native token has a maximum supply of 21 billion tokens and 0.5% of this total supply was pre-mined and distributed to early community members. The blockchain is expected to hit its token limit in 2035.

DGB is currently listed as the 33rd largest on the Brave New Coin market cap table, with a market capitalization of ~US$284 million. It has been a strong performer amongst mid-cap assets in the last week, rising 24%. Each individual DGB token currently trades for ~US$0.021.

The DGB project uses the UTXO blockchain model for cryptocurrencies, popularized by the Bitcoin blockchain in 2009.

The UTXO model links transactions through a chain of digital signatures. The digital signatures are represented by the public key of the recipients of a token transaction, and each new signature represents a new owner for a token on the chain.

When a coin is transferred from one user to another it is spent, but the blockchain also includes information from each user’s transaction that is unspent. For example, if a user with an address balance of 10 DGB sends 2 DGB to another user on the Digibyte blockchain, the 8 DGB not sent is recorded as the unspent portion of the transaction.

The transaction also creates a new output for the 2 DGB sent. If the new recipient uses this 2 DGB for a new transaction, the information about the originator of the transaction will still be recorded. This model of blockchain recording is often referred to as triple-entry bookkeeping.

Source: Bitcoin.org

The system is scalable as multiple UTXOs can be processed at the same time, and is also private as no personal information needs to be shared between transactors apart from the public keys which exist as a string of numbers and letters.

The age of unspent transactions can also be used for analytical purposes, for example, if coins remain unspent for a long time, it can be inferred that there is a larger group of long term holders.

In February 2014, the Digibyte team introduced DigiShield, a real-time difficulty adjustment mechanism that stabilizes block times to combat exponential changes in mining hash power. This was introduced as a way to protect the network from large mining pools accumulating network hash rate because of low difficulty levels.

Dibyte uses a MultiAlgo mining format that lets miners from a range of different proof of work (PoW) mining methods to accommodate different types of mining methods such as dedicated ASIC mining, GPU, and CPU mining. As of June 2020 12,000 active nodes world-wide, 5 parallel cryptographic hashing algorithms are used to mine the network

The network currently has an average block time of ~15 seconds. In July 2019 as part of core update DigiByte v7.17.2, the Odocrypt consensus algorithm was implemented. The algorithm automatically modifies itself every 10 days in order to prevent ASIC dominance.

This update also included Dandelion, a privacy implementation that is designed to conceal the IP address of a DGB user when they broadcast a transaction. The DigiByte v7.17.2 release notes suggest “Dandelion acts somewhat like a built-in TOR layer helping to mask DigiByte users IP’s. Helping to prevent DGB addresses from being linked to specific IPs.”

In April 2017, Digibyte implemented the Segregated witness (Segwit) protocol upgrade, before both Litecoin (LTC) and Bitcoin (BTC). The main idea of the protocol, which was implemented as a hard fork, is to reorganize block data in a way that signatures are no longer placed along with transaction data.

Segwit essentially separates transactions from public-key signatures within a block to allow the blockchain to store more transitions within each block. Segwit implementation enabled the Digibyte network to support up to 1066 on-chain transactions per second with negligible fees.