To improve the underlying protocol, the makers of Monero (XMR), a privacy-focused cryptocurrency, announced an update to the “Oxygen Orion” network. The update will implement a new software – a ring signature protocol – called “CLSAG” to make transactions “lighter and faster”.
The CLSAG (or Compact, Spontaneous, Anonymous, Group) feature is expected to reduce average trade size by approximately 25%, as well as improve typical verification performance by 10%.
While the new Monero update is seen as a hard fork, the Monero blockchain will not split up and no new coin will be created. However, as a result of this hard fork, all participants in the Monero network will have to update their software.
Monero Atomic Swap Fully Funded
In addition to the Monero hard fork, there is one more announcement today. The Monero Atomic Swap proposed by the Community Crowdfunding System (CCS) was fully financed.
As atomic swaps allow users to exchange coins directly, Monero urged users to exercise due care and learn about the origin of funds.
While the Monero developers believed that a hard fork would make the network more “solid”, they also hoped that users:
… Recognize the usefulness of a trustless low resistance path to turn their BTC into monero, and become Monero users.
Monero and the tax office
According to the Monero working group, the US tax office should start analyzing private coin technology, rather than spending money to ban or destroy them. The thing is, the IRS recently announced that it is offering $ 625,000 to anyone who helps the institution crack the Monero code.
A spokesman for Monero Outreach, an independent working group focused on promoting XMR, he said Cointelegraph, that the IRS should find out how Monero works first. He stressed that the features of the cryptocurrency in fact only provide users with a certain level of transparency, stating:
“$ 625,000 would be better spent by the IRS if a few consultants were hired to educate their staff about how Monero works and how its features allow users to consent to transparency.”
He added that Monero is “Designed to act like cash”, emphasizing that the US dollar also provides some privacy:
“The US dollar is used in most of the world’s wicked activities, and yet it sets the balance sheet for the IRS. […] The IRS doesn’t know how much money you’ve made unless you report it, but you don’t see them trying to destroy the US dollar. “