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Blockchain DBX: what is it, and how is it used in finance?
24.07.2021
Blockchain DBX: what is it, and how is it used in finance?

Nowadays, cryptocurrency is gaining immense popularity, and along with it, there is growing interest in such technology as blockchain. Today, this latest technology is discussed not only in the world of finance. Blockchain is beginning to be used in areas such as marketing, processing, storing personal data, identification, etc. So what exactly does the blockchain mean?

 

Blockchain is a continuous chain of blocks that contains all information about transactions made in a certain period of time. All this information is arranged in chronological order. Blockchain technology reliably protects personal information and an electronic wallet from fraud, hacking, and theft.

 

Despite the fact that transactions in cryptocurrency are considered safe and confident due to blockchain technology, the situation has begun to change in recent years. This is due to the fact that cryptocurrency has become more popular and attractive for investments. Therefore, government authorities are increasingly tightening conditions regarding the use of crypto-assets and are trying to find ways to control this type of currency. Therefore, the DBX team decided to create a development in which could combine traditional payment services and blockchain. Thus, they solved two of the biggest problems of payments in using cryptocurrency: the high volatility of the electronic currency and the tightening of the conditions for using cryptocurrency.

 

How does the DBX digital ecosystem work, and how does it function on multiple blockchains?

The DBX digital ecosystem includes a number of projects running on multiple blockchains while being a single platform. It is based on Quark and ERC-20 technologies. The DBX team combine in their project all the advantages and functionality of the two largest decentralized networks: Bitcoin and Ethereum.

Algorithm "Quark"

Nowadays, Quark is considered one of the most secure algorithms. Thanks to this algorithm, the DBX team was able to solve a number of problems associated with the use of cryptocurrency and provide its customers with fast transactions. The developers have applied innovative technologies that ensure that the network will work even in the failure of critical nodes. The “DBX” team uses the “Quark” algorithm as the main gateway, which is a system of 6 different secure hashing processes.

It is also worth noting that the “Quark” algorithm is used in POW or POS consensus mechanisms, which significantly increases the level of security and guarantees the operating capacity of the cryptocurrency ecosystem.

Algorithm "Zerocoin"

The "DBX" protocol is based on "Zerocoin" (zDBX) and ensures the anonymity and security of transactions. Many cryptocurrency blockchains record all transactions transparently and by default. All transactions are available for any analysis as the confidentiality of financial information is a top priority for cryptocurrency users. However, from another side, such confidentiality and transparency completely destroy the interchangeability of coins, which is absolutely unacceptable for free trade and secure settlements. Therefore, “DBX” uses zero-knowledge proofs that are used in the “Zerocoin” (zDBX) protocol. This idea is based on the achievement of anonymity through the minting of special tokens that are used only in the pool and have no connection with addresses.

Algorithm "ERC-20"

Due to the huge demand for investment activity that develops and evolves from cryptocurrencies into the “DeFi” space, another multi-level “DBX network - ERC-20” algorithm has emerged.

“DBX (ERC20)” was designed to provide flexibility to blockchain operations and provide users with access to the “Defi” industry.

The ERC-20 protocol is a development aimed at the financial industry and is the official protocol of the Etherium network. A huge number of ICO / IEO held in the world use smart contracts of this particular blockchain platform.

Thus, the main goal of the “DBX” platform is to create a fundamental digital asset that can replace ordinary money both in the accumulation of funds and in transactions for purchases in everyday life. As far as business structures are concerned, the “DBX” cryptocurrency is an indispensable tool because it is profitable, confidential, and completely safe to use.

Why choose the DBX ecosystem?

DBX is an electronic currency that is a system of decentralized distribution databases, i.e., blockchains.

This system has many advantages, such as:

  • decentralization
  • fast transaction
  •  interchangeability of coins
  • anonymity

 

But the most basic benefit of the DBX ecosystem is that it is based on multiple blockchains. Thanks to this solution, the developers were able to eliminate the shortcomings of cryptocurrencies, including BTC and their forks.

The DBX system is reliably protected from any influence from legal entities and individuals using masternode 2.0. In this way, the DBX developers were able to create a secure cryptocurrency network that is very convenient for shopping, instant payments, and generating income. People who own DBX tokens can make payments without restrictions. It is worth noting that a minimum transaction fee is charged.

The DBX system provides the ability to transfer electronic currency from the Quark blockchain to the ERC-20 blockchain and vice versa. Thanks to this advantage of the “DBX” ecosystem, users have the opportunity to choose the most suitable blockchain for their needs.

 

What does DBX offer?

Although the DBX platform is new, the developers have managed to create solutions that the crypto community really needs. Digital tokens are targeted at businesses, individual users, and investors.

As far as businesses, the DBX token allows businessmen to offer their services and goods upon receipt of payment in tokens. The payment infrastructure and technologies that underlie the DBX token help to simplify interactions and payments for customers and businesses.

With a token, businesses can also offer payment to many people at the same time. This is suitable for companies or firms with a large number of employees. Payment can be made to bank cards, a DBX wallet, a phone balance, or even cash.

As a promising token, payment cards for products and services are also issued in the company’s name and can be used for payments and storing cash withdrawals.

For individuals, the DBX token allows them to make fast international payments that happen instantly and take about 5 seconds. Users of the DBX application can also easily pay.