NEM: A Beginner’s Guide to the Revolutionary Cryptocurrency
When it comes to cryptocurrency, Bitcoin and Ethereum are the two most well-known names in the game. However, there are other players in the market that are making noise too, and among them is NEM.
NEM, which stands for New Economy Movement, is a blockchain-based cryptocurrency that allows for fast and secure transactions. Created by a team of developers in 2015, NEM has differentiated itself from other digital currencies by offering features such as multisignature accounts, encrypted messaging, and a unique consensus mechanism known as Proof of Importance (PoI).
What is Proof of Importance (PoI)?
PoI is NEM's consensus mechanism that determines which nodes are allowed to add new blocks to the blockchain. Unlike other similar mechanisms like Proof of Work (PoW) or Proof of Stake (PoS), PoI puts emphasis not only on the amount of currency a node has but also on its commitment to the network. The more transactions a node processes and the longer it has been active on the network, the more important it becomes. This incentivizes participation and helps prevent centralization of power among a small group of participants.
What are Multi-signature Accounts?
NEM's multi-signature accounts allow for multiple parties to hold and manage an account together. This is beneficial for businesses or organizations that require more than one person to initiate transactions. For example, a company may require two executives to approve a payment before it is released. NEM's multi-signature accounts offer an additional layer of security and help prevent unauthorized transactions.
What is Encrypted Messaging?
Encrypted messaging is another feature that sets NEM apart from other cryptocurrencies like BTC or ETH. With NEM's encrypted messaging, users can send messages securely and privately within the network. This is particularly useful for businesses or individuals who want to communicate sensitive information without the risk of interception or surveillance.
Why Choose NEM?
NEM's unique features, such as PoI, multi-signature accounts, and encrypted messaging, make it a strong contender in the cryptocurrency space. Additionally, NEM boasts one of the largest and most active global communities in the industry, with members in over 40 countries. This community-driven approach has helped drive innovation and adoption of the cryptocurrency, making it a promising investment option.
How to Buy and Store NEM?
If you are interested in investing in NEM, you can purchase it on several popular exchanges such as Binance, Bitfinex or Okex as NEM Foundation admitted, however, due to the evolving regulations, it is important to double-check the status of any exchange before investing. Once you have purchased NEM, it is important to store it in a secure wallet. Several wallets are available, including the official wallet provided by NEM, as well as hardware wallets like Trezor or Ledger.
Conclusion
NEM is a cryptocurrency that offers innovative features like PoI, multi-signature accounts, and encrypted messaging. These features, combined with a strong and active global community, make NEM a promising investment option in the digital currency market. However, as with any investment, it is important to do your research and understand the risks involved.