Reddcoin (RDD) is a digital currency designed for tipping and sending money for social payments.
It is the cryptocurrency that powers the Redd ecosystem, a social tipping platform and volunteer-run organization that lets you support, donate and help fund various causes around the world. It is one of the oldest projects in the cryptocurrency space and was launched back in 2014 — during what many consider to be the year of peak innovation for blockchain technologies.
The cryptocurrency is designed to be a simple to use mode of payment that can be transferred at low cost on the Redd Network. It can also be used as a means of payment on most social network platforms, allowing users to easily transact with their friends and followers, much in the same way that Snapcash does for Snapchat users, and Facebook Cash does for Facebook users.
The Reddcoin token (RDD) can be earned through a unique algorithm known as proof-of-stake-velocity (PoSV), which sees RDD holders stake their assets on the Reddcoin wallet to earn rewards.
Who Are the Founders of Reddcoin?
Reddcoin was originally developed by Jonathan Patenaude, a software developer who crafted the core code for the platform. He joined Larry Ren in creating the first legal entity surrounding the Reddcoin platform in 2015 — a now-dissolved UK-based company known as Reddcoin Ltd.Both Patenaude and Ren resigned from their posts at Reddcoin in 2015, and the remaining team members began working with the community to continue the development of the project.
As of November 2020, the core members of the Reddcoin project are Jay Laurence, John Nash, David Faust and Tim Musick. Jay Laurence, an experienced developer and early cryptocurrency adopter is listed as the project leader, whereas John “CryptoGnasher” Nash, a heavily experienced project manager and IT expert, is its solutions architect. Meanwhile, David Faust and Timothy Musick music handle operations and business development at Redd respectively.
Beyond this, the team consists mainly of volunteers, ranging from developers to designers, social media mavericks, and more. The Reddcoin company currently lists 11 employees on LinkedIn, but it is currently unclear how many of these are on the payroll or volunteering.
What Makes Reddcoin Unique?
Reddcoin is designed primarily for tipping, sharing and donating to others around the world. To help facilitate this, it has eliminated several of the major barriers that have hindered the adoption of some other cryptocurrencies — such as slow transactions and high transaction fees.With Reddcoin, transactions are confirmed in just seconds. Since it is a Litecoin fork, it benefits from extremely short block times, with a new block created every minute. As a result, transactions rarely take more than a minute to finalize. On top of this, transactions are free. This means no gas wars or transaction fee hikes when the network load increases, making Reddcoin ideal for micropayments and donations.
From a consumer’s perspective, Reddcoin represents an opportunity to easily monetize content and seek funding for charitable causes via a wide variety of social media platforms. As a currency backed by a social cause, Reddcoin provides content creators and activists with a platform they can use to advocate for social campaigns while being rewarded for their time and energy.
RDD holders, on the other hand, can stake their tokens to help secure the network and earn a yield while doing so.
Related Pages:
Learn more about Litecoin (LTC) — the platform Reddcoin was forked from.Learn more about Ethereum (ETH)— the most popular platform for decentralized finance (DeFi) apps.
Find out the difference between proof-of-work (POW) and proof-of-stake (POS) at CoinMarketCap Alexandria.
Visit the CoinMarketCap blog for the latest blockchain news and insights.
How Many Reddcoin (RDD) Coins Are There in Circulation?
As of December 2020, there are just over 28.8 billion RDD in circulation, representing 100% of the total supply at the time. Due to the rewards distributed via the proof-of-sake-velocity (PoSV) consensus mechanism, the total supply of Reddcoin increases by around 5% per year.The platform rolled out an updated version of its POSV algorithm in October 2019 as part of a major platform upgrade. This update aimed to “provide enhanced network growth stability, strengthen staking incentives, and provide funding support for development teams.”
The update introduced a developer funding reward, which sees 8% of newly minted tokens derived from the inflation rewards distributed to the developer wallet — to ensure the continued development of the project.
The rest of the rewards are distributed to stakers. As of December 2020, a total of 15.46% of RDD tokens were staked, representing an expected yield of 32.3% — though these figures are likely to change as the staked supply varies with time.
How Is the Reddcoin (RDD) Network Secured?
As with most major cryptocurrencies, Reddcoin is built on a decentralized network, and information is stored on a peer-to-peer (P2P) network. As a result, there is no middleman handling user data, making Reddcoin a privacy-preserving alternative to fiat.The network is built on top of a novel consensus algorithm known as proof-of-stake-velocity (PoSV), which is a modified version of proof-of-stake (POS). This intends to boost network activity by introducing additional rewards for users that stake their coins, sign blocks and interact with their assets on a regular basis.
The process of staking helps keep the Reddcoin network secured against attacks by disincentivizing dishonest behavior while incentivizing participation.
Where Can You Buy Reddcoin (RDD)?
Reddcoin is currently available to trade on just a handful of exchange platforms, the most prominent of which is Bittrex. As of November 2020, Reddcoin can be traded against Bitcoin (BTC), Ethereum (ETH), and USD Coin (USDC), or again fiat currencies like the Euro (EUR) and US dollar (USD).To learn more about buying cryptocurrencies with fiat, see our easy-to-follow guide.
Source: CoinMarketCap
