Every day you come across new cryptocurrencies. As a result, some cryptocurrencies are more popular one day than the next. One of the cryptocurrencies that is very popular today is NuCypher. This coin has increased in value in recent days, indicating that more and more crypto enthusiasts have a positive view of this crypto project.
We will therefore tell you more about NuCypher in this article. Of course you want to know what this is, how it works and who is on the team of this project. We also share where to buy this project’s native token, NOW, and how to keep it. Enjoy reading! Just watch a video about NuCypher below that lasts under a minute.
What is NuCypher (NU)?
In 2015, MacLane Wilkison and Michael Egorov founded NuCypher. It is a decentralized key management system (KMS) that overcomes the limitations of using consensus networks to securely store and manipulate private data and encrypted data by using proxy re-encryption (PRE).
NuCypher’s native token is NU, and it is used for network prompting, worker node execution, and governance of participating protocols. As a result, we can say that NuCypher’s network is autonomous and can work on its own, taking into account decentralization (which is important in the blockchain world).
NuCypher is intended as a layer of encryption and data protection for Ethereum (as well as possibly other networks) and decentralized applications (dApps) that do not rely on a central service provider (such as a company or web server).
The protocol, which the team calls a decentralized key management system (KMS), aims to give developers the ability to store, share and manage private data on public blockchains. These are blockchains that can be used by anyone, without having to ask for permission in advance.
Developers receive this encryption service through a network of NuCypher nodes in exchange for a fee (paid in ETH). Participants can only run a node by keeping the NuCypher token, NU, as collateral on the network. We’ll explain how you could do that later in this article. We also tell you whether it is possible to mine NyCypher .
The team behind NuCypher
It is important to know who is on the team of a crypto project before you decide to invest in it. The team says a lot about the opportunities of a project. As mentioned, NuCypher was created by Mikhail Egorov, who is also the creator of Curve, along with MacLane Wilkison. The white paper of this project was launched in June 2017, after which the testnet was only launched in November 2018.
Egorov was also first the CTO of NuCypher, when he was also a researcher at Moscow University. The other creator of this project, MacLane, was a software engineer and CEO of NuCypher. Before entering the world of blockchain , he worked as an investment associate at Morgan Stanley. Here he offered financial services to companies active in the world of technology and media.
What makes NuCypher special?
When we come across a crypto project, we often see that they are mainly focused on themselves. They want to be the best in the market, hoping to beat the competition. Why? Because of course they believe in the fact that their solution is the best solution out there, and they also like to see the value of their cryptocurrency increase.
It’s different with NuCypher. This project does not focus on itself, but on other blockchains. They want to be a security layer for other blockchains so that they can benefit from this. The founders of NuCypher believe it is important that blockchains and cryptocurrencies become more secure.
It uses different techniques that we don’t often come across together. Nevertheless, a combination of these techniques ensures that extra safety can be provided. Using the NuCypher network, users can access data with multiple users at the same time.
Can I mine NuCypher (NU)?
NuCypher (NU) is a cryptocurrency that is attracting a lot of interest. Investors are very interested in it and wonder if they can mine it. Justly! Maybe you are one of them. However, to date it is not possible to directly mine NuCypher (NU) but that does not mean that there are no alternatives!
It is possible to discontinue NU tokens on some platforms. We have to tell you here that you can not only make money by staking crypto. There is also money to lose if, for example, the price drops significantly during the strike. After all, crypto is very volatile, and it is therefore not surprising when this would happen.
But why can’t you mine NuCypher? This is because it is a project that runs on the Ethereum blockchain. This project does not have its own blockchain, so you would not be able to mine for this either. In addition, the blockchain would then have to use Proof of Work (PoW). This is a consensus algorithm that Ethereum currently also uses, although they will soon switch to Proof of Stake (PoS).
The NOW Token
The native token of this project is called NOW, and it is used for several purposes. Consider, for example, the security of the network. The more tokens distributed, the more secure the network is. This is partly due to the fact that greater liquidity and decentralization is created at that time.
The owners of NU tokens can also vote for certain plans that are proposed to the network. In this way, the creators of this project want to ensure that the network leads itself, and that all the wishes of the users are met. This also ensures that the network is a bit more decentralized than most other projects within this spectrum.
Another function of the NU tokens is staking for a node. The network is also protected against malicious staking: when this is noticed by the network, the node will be removed automatically. So you can participate in the network with confidence (if of course you have good intentions).
You can also use NOW to participate in the NuCypher DAO. This is the protocol that checks network parameters and smart contracts for upgrades on the network. Users who strike NOW can also participate to validate DAO protocols.
There is currently (September 2021) a total supply of 3,885,390,082 NU tokens. There is now only a small part of this total supply in circulation: about 17%. That’s 1,274,331,757 tokens. This can say a lot about the future price of the token. When few tokens are added, the supply will decrease. If this happens while demand remains the same or even increases, the price is likely to rise.
It is therefore important to do good research into the number of tokens in circulation when you want to decide to buy NOW tokens.
How do I buy NuCypher (NOW)?
Buying NOW coins is anything but difficult. This cryptocurrency is offered on almost every crypto exchange . However, it is not always smart to buy these on just any exchange. This is because of the potential dangers that can come with it.
If you want to buy NOW in a safe way, it is best to use Binance . Here you also pay the best price for NOW. This is because this platform can offer high liquidity. So there are always enough coins that are offered and taken away. High liquidity also means more security. You know for sure that there is enough collateral to buy or sell your coins.
Of course, you can also buy NOW on a decentralized crypto exchange, such as Uniswap or SushiSwap . However, these exchanges are a lot less secure than Binance. This is because you have to go through more steps here to perform a transaction. The chance that things will go wrong is therefore many times greater. Therefore, it is better not to use this if you are still a beginner. Since September you can now also buy NuCypher on Bitvavo, you can do this below.
How can I save NuCypher?
It is important that a wallet supports NOW before you can store it in it. Fortunately, that is the case for the wallets that support Ethereum tokens. Think of wallets from crypto exchanges such as Binance. So you can store the coins here quickly and easily. However, this is not the safest way. There are many known cases of people who have lost their crypto coins after they had stored them in a software wallet.
If you want to store your NU coins in the safest way, it is best to choose a hardware wallet . This is a kind of USB stick that you can disconnect from your computer, and therefore also from the internet. The moment the USB stick is not connected to anything, no one can access the crypto coins in the wallet. Of course you still have to store the wallet in a safe way.
The best-known hardware wallets are Trezor and Ledger. Both have proven themselves among crypto traders and can be considered safe.
Is it smart to buy NuCypher?
If you want to buy the technology and have faith in MacLane Wilkison and Michael Egorov, the project’s founders, now might be the time to invest in NuCypher. Take your time, don’t make hasty decisions and do your best to be sure of your investment. You obviously don’t want to be one of the people who lose a lot of money with crypto trading . And trust us: it is not very difficult not to lose money with crypto trading. It’s a matter of doing good research.
NuCypher price forecast
Many analysts have set high price targets for NuCypher, with some predicting a return on investment of over 1000% over five years. However, we are cautious about setting a definitive price target for NOW, or any other cryptocurrency for that matter. Indeed, the trajectory of blockchain technology is not as predictable as the stock market in the long run.
While it is never a good idea to invest with an ‘all or nothing’ mindset, the growth potential of NU tokens is promising. If you enter now at an early stage, you can still take advantage of the wider adoption of NuCypher services, increasing the value of the NU tokens.
So you have to take into account that an investment is not always profitable. It can also happen that you lose money with your investment. To cover this risk, you can do good research into a coin in advance. This can be done by means of a technical or fundamental analysis.
Performing such an analysis can be quite difficult, because NuCypher is a fairly new crypto project. This makes it often difficult to find enough information about it. However, it should certainly work if you have read this article carefully.
Founded in 2015 in San Francisco, NuCypher is software that aims to provide a combined layer of security and privacy for decentralized applications that rely on public blockchains, such as Ethereum. The two main services fall into two categories: secret management and dynamic access control.
It enables developers to store, share and manage private data and aims to add an interoperable layer of security to various blockchains in the long term. The platform’s native token feature, NOW, is used to request computers connected to the network to perform encryption services for users. It can be used to hold, transmit or wager and plays a key role in maintaining the network.
We are very curious about what NuCypher’s course will do in the future, but at the same time we are very confident. The technology the team uses is new and innovative, where it is also a hot topic (security). Still, we will have to wait patiently to see what the price will do.
Thanh Lanh Tran(1989) is Chief Editor from BitcoinUSD.com