What is DigiByte?

DigiByte (DGB) is an open-source blockchain and asset creation platform that was developed in October 2013 and launched in January 2014. It is a public blockchain and cryptocurrency that uses five different algorithms to enhance security. DigiByte seeks to improve on the security, capacity, and transaction speed of the Bitcoin blockchain. It consists of three layers: a smart contract "App Store," a public ledger, and the core protocol featuring nodes communicating to relay transactions. DigiByte was created by Jared Tate, who was involved with Bitcoin from 2012 onwards and authored the first book written by a blockchain founder, "Blockchain 2035: The Digital DNA of Internet 3.0."

How does DigiByte work?

DigiByte operates on a proof-of-work (PoW) system, where miners receive tokens as compensation for validating blocks via block rewards. It uses five proof-of-work algorithms to secure the blockchain and reduce the risk of double spending or 51% attacks. Difficulty adjustments ensure resilience against hostile moves within mining circles. With roughly one block every 15 seconds, DigiByte’s blockchain has managed to prove the longevity of its PoW blockchain since launch. DigiByte also introduced another offering, DigiAssets, with DGB as its native token. DigiAssets appeals to developers looking to launch digital assets, decentralized applications (DApps), and encode the necessary corresponding smart contracts.

What are the potential use cases for DigiByte?

DigiByte seeks to diversify security, speed, and capacity possibilities. It can be used for digital assets, smart contracts, decentralized applications, and secure authentication. DigiByte's operations depend not only on developers but also the DigiByte Foundation, a volunteer organization tasked with overseeing the preservation of the project. A third group of volunteers, the DigiByte Awareness Team, is responsible for marketing and promotional activities.

What is the history of DigiByte?

DigiByte was developed in October 2013 and the genesis block of its DGB token was mined in January 2014 as a fork of Bitcoin. It was created by Jared Tate, who oversaw its development from inception to its current setup before announcing that he was temporarily retiring from his position in May 2020. Tate has since returned and as of September 2020 once again appears closely involved with DigiByte’s growth. DigiByte has communicated that it did not engage in fundraising activities or give away tokens through instruments such as an initial coin offering (ICO) or similar token sale.