Monero (XMR) is a peer-to-peer digital currency focused on privacy. It was primarily designed to maximize anonymity.
How is this achieved?
For instance, no single transaction on the Monero blockchain can be linked to a specific user or real-world identity, thanks to its fungibility.
This "fungibility" thing refers to a currency where each unit is identical and interchangeable. So, while Bitcoin acquired from different sources can sometimes be traced through blockchain analysis, any two Monero coins are just indistinguishable.
Diving a bit into history, the currency was created in April 2014 by a group of just seven people. And the whole XMR thing started as a fork of Bytecoin, the first cryptocurrency based on the CryptoNote protocol. The main reason for doing so was that 80% of Bytecoin's supply had already been mined when it was released, which was an unfortunate revelation. A dramatic one that led the community to create Bitmonero. Later on, they dropped the "Bit," and that's how we got the name we're all familiar with today — Monero.
How Does Monero Work
To ensure privacy and anonymity, Monero relies on two key concepts:
Stealth addresses.
Ring signatures.
The former allows the sender to generate a unique, one-time public address for the recipient in each transaction. However, this very recipient may still use a single public address to receive all payments — just like in Bitcoin.
Moreover, every Monero user generates two private keys:
A private view key lets one check all transactions linked to the account.
A private spend key, similar to Bitcoin's private key, is used to authorize payments.
In simpler terms, Monero owners can create a one-time wallet for each payment, adding an extra layer of security.
As for ring signatures, these are a general cryptography concept where a digital signature can be created by any member of a group with private keys. When you make an XMR transaction, your Monero wallet forms a "ring" of other users' keys pulled from the blockchain.
As a result, observers can't determine which key was used to sign the transaction, ensuring anonymity.
Notably, in January 2017, Monero introduced Ring Confidential Transactions (RingCT), which also hides the transaction amount.
That's the gist of it: the developers place a strong emphasis on anonymity. Nuff said.
How can one get it naturally?
By mining, for example. The classic way.
Monero uses a blockchain with a Proof-of-Work (PoW) mechanism, which means that transaction validation depends on the participants' computing power.
Miners get a set reward for each block they do.
For context purposes, we'd like to note that the block generation speed in the local network is fixed at two minutes. Last year (2024), though it's still too early to finalize this year's statistics, as things may change significantly, the block reward was 0.65 units per mined entity.
Monero originally used CryptoNight algorithms, yet in 2019, they switched to RandomX, which is a custom solution developed by the project itself. This one is designed to be CPU-efficient and resistant to ASIC dominance, promoting decentralization by making GPUs more effective than any specialized hardware.
What Is Monero Used For?
In today's global economy, where money and markets are more intertwined than ever, keeping financial matters private isn't just a nice-to-have — it's a necessity of a kind. Monero is also the perfect solution for those living in unstable economies, as it effectively helps protect wealth: when local currencies lose value, XMR doesn't.
And, sure do, there's the simple desire for reasonable and rational privacy. A totally natural and legitimate concern.
Advantages of Monero
Monero, as we've already defined, is distinguished by its maximum operational anonymity, providing network participants with robust privacy.
Yet that's not all.
Thanks to its resistance to hacking, Monero also maintains a high level of security. Over time, only a few vulnerabilities have been identified, and all are promptly resolved.
One of these (and arguably the spookiest one as well) was a bug that allowed attackers to steal assets from crypto exchanges. The exploit involved creating a stealth address, sending one $XMR to it, and then cashing out the equivalent in other items. Fortunately, some vigilant redditors detected the issue, alerted the developers, and the problem was swiftly fixed.
Next, Monero's investment appeal is further evidenced by its staggering price growth — over 9,400% since its launch.
The project also boasts an active community of enthusiasts and developers.
Lastly, transactions are processed quickly enough (typically between 2 and 20 minutes) with minimal fees, setting XMR apart from BTC.
How and Where to Buy Monero (XMR)
Xgram.io makes purchasing Monero super simple — no registration, no hassle at all.
Here, you:
Pick the cryptocurrencies you want to exchange. Xgram supports all major digital assets: Bitcoin, Ether, altcoins, TON tokens, and others. Just remember that one of these assets has to be on one side and XMR on the other. Then, click the "Exchange" button.
Next, enter the recipient's wallet address. Double-check it carefully, as blockchain transactions are irreversible, and mistakes can result in permanent loss of funds. Unfortunately, there's no way to recover them. This is just a critical security feature.
Now, send the amount to the address provided. Xgram is totally transparent, with no hidden fees or extra charges.
Once confirmed, the funds will be sent right away to the wallet you specify. You'll see the "Completed" status.
That's pretty much all of it.
And note that you may purchase various cryptocurrencies for Monero:
Whether you're new to crypto or a privacy enthusiast, Xgram.io offers the easiest way to get Monero.
Wrapping it up, Monero is one of the best (if not the best) tools out there for protecting your financial anonymity. With its features, like stealth addresses and ring signatures, the asset makes sure that one may transact securely.
Pick Monero — where privacy and power meet altogether.
