MobileCoin

About MobileCoin

MobileCoin is a privacy-focused cryptocurrency that aims to enable fast, secure, and private transactions on mobile devices. The project was started in 2017 by Joshua Goldbard and has received backing from prominent investors like Binance Labs and Alameda Research.

Origin and History

MobileCoin was founded with the goal of overcoming the limitations of existing cryptocurrencies when it comes to usage on mobile devices. Issues like slow transaction speeds, high fees, and poor privacy have hindered mainstream mobile adoption of cryptocurrencies.

To solve these problems, MobileCoin adopted an innovative protocol based on Stellar Consensus Protocol (SCP) and trusted execution environments (TEEs) provided by Intel SGX. This allows MobileCoin to achieve consensus quickly while protecting user privacy.

MobileCoin raised over $30 million in funding from investors like Binance Labs, Alameda Research, General Catalyst and others. This has allowed the project to recruit top talent and actively build out the ecosystem.

Features and Technology

Some of the key features and technological innovations behind MobileCoin include:

• Fast transactions – MobileCoin can process transactions in less than one second, making it ideal for mobile use cases that require quick payments.
• Low fees – Transaction fees are a fraction of a cent, ensuring affordability.
• Privacy by default – User data and transaction details are encrypted by default, preventing tracking.
• Intel SGX for security – MobileCoin leverages TEEs provided by Intel’s SGX technology to keep encryption keys secure while preventing double spending.
• Stellar Consensus Protocol – Allows for fast and efficient consensus that can scale to thousands of transactions per second.
• Light client support – MobileCoin has light clients that allow transactions on low-power mobile devices while still ensuring security.

How does MobileCoin Work?

To grasp the complexities of how MobileCoin operates, it’s essential to understand the role of the MobileCoin Consensus Protocol (MCP). This protocol is central to its functioning and builds upon the Stellar Consensus Protocol (SCP) for documenting transactions. MCP integrates a variety of privacy-enhancing techniques such as CryptoNote, zero-knowledge proofs, and RingCT to ensure user anonymity. While it draws from SCP, MobileCoin adapts and optimizes it for its own use, enhancing its defense against potential security breaches known as Byzantine faults. This customization has the endorsement of the MobileCoin Foundation and is implemented on verification nodes that operate on advanced Intel SGX chipsets, providing extra protection through encrypted memory.

MobileCoin stands out for its approach to privacy, as it doesn’t require nodes to store a complete history of transactions indefinitely. Instead, data can be discarded after a transaction is completed, offering an additional safeguard against intrusive monitoring. The architecture of its consensus mechanism includes a Federated Byzantine Agreement system, distinguishing between Validator and Watcher nodes. This setup strives to maintain a delicate balance between expanding the network’s capacity and ensuring its security. By focusing on an energy-efficient consensus process, MobileCoin positions itself as an environmentally friendly option within the blockchain space, emphasizing its commitment to reducing power usage.

Privacy and Fungibility

MobileCoin’s foundation is deeply rooted in a strong dedication to maintaining user privacy and ensuring the interchangeability of its currency, achieved through the implementation of advanced cryptographic methods. It introduces unique addresses for each transaction to protect asset ownership and incorporates ring signatures to validate transactions. These secure enclaves function as confidential computational spaces, eliminating any irrelevant data after verification to prevent any possible tracing of transactions between participants. Moreover, MobileCoin enhances privacy by concealing the amounts transferred, thus offering a currency that excels in both secrecy and interchangeability.

The MobileCoin Ledger, an openly accessible blockchain record, relies on the encrypted foundations of the CryptoNote protocol. It integrates Ring Confidential Transactions (RingCT) to bolster privacy, ensuring that only the recipient of a transaction can disclose and utilize the newly transferred funds. This mechanism promotes the finality and non-reversible nature of transactions, paralleling the characteristics of tangible cash.

Addressing two critical obstacles—recognizing incoming payments and generating new ones—MobileCoin Fog presents a solution through its service infrastructure. It provides a mechanism for encrypted, secure, and efficient recognition of transactions and aids in the generation of new payments via a method that safeguards privacy through oblivious data access. In doing so, MobileCoin exemplifies an equilibrium between sophisticated cryptographic safeguards and the convenience and privacy needs of its users.

Use Cases

MobileCoin (MOB) aims to become a pivotal tool for executing seamless, secure, and private transactions, with a particular emphasis on mobile usage. Its integration into encrypted messaging applications such as Signal exemplifies its commitment to providing a secure platform for private financial transactions. The efficiency and rapid processing of transactions make MobileCoin well-suited for consumer purchases, both online and in-person, where maintaining privacy is essential. Additionally, its design is advantageous for international money transfers, facilitating swift cross-border fund transfers with low costs and preserving the anonymity of its users.

In sectors where privacy and the ability to conduct rapid transactions are crucial, such as the performing arts, MobileCoin has the potential to revolutionize the way artists receive compensation or contributions in real-time during live events, eliminating concerns over privacy infringements. Furthermore, its low demand on computational power and energy contributes to its eco-friendly profile, making it an attractive option for those who prioritize environmental sustainability. MobileCoin stands out by offering an exceptional combination of privacy, efficiency, and security, catering to the needs of users in diverse, demanding scenarios.

MOB Token

The MobileCoin network’s primary utility token, MOB, serves a multitude of purposes within the ecosystem. As a versatile digital currency, MOB enables users to transfer value directly between peers, eliminating the need for intermediaries. Furthermore, the token functions as a reward mechanism, incentivizing participation and engagement within the network. Users have the opportunity to generate passive income by lending their MOB tokens to others through the platform’s built-in lending features. With a predetermined maximum supply of 250 million coins, all of which were minted at the genesis block, MOB maintains a level of scarcity that contributes to its value proposition. This finite supply ensures that no additional tokens will be created, providing a sense of stability and predictability for the network’s participants.

MobileCoin Team

The MobileCoin team boasts a wealth of expertise and experience in various fields, positioning the project for success. At the helm is Joshua Goldbard, serving as the CEO of MobileCoin Inc. With a professional background that includes a stint at telecommunications giant AT&T and a founding role at Crypto Lotus, a hedge fund focused on cryptocurrencies, Goldbard brings a unique blend of knowledge in network deployment, mobile systems, and cryptography to the table.

Complementing Goldbard’s leadership is Shane Glynn, who serves as the General Counsel for MobileCoin. Armed with a law degree and a history of working at Google, Glynn’s expertise in telecommunications and mobile devices, coupled with his legal acumen, ensures that the project navigates the complex landscape of crypto regulations with confidence.

Notably, the project has also benefited from the guidance of Moxie Marlinspike, a renowned figure in the world of secure communication. As the creator of the encrypted messenger Signal, Marlinspike’s reported involvement as a technical advisor during MobileCoin’s early stages undoubtedly provided invaluable insights and direction for the project’s development.

With such a diverse and accomplished team at its core, MobileCoin is well-equipped to tackle the challenges and opportunities that lie ahead in the rapidly evolving world of cryptocurrencies and mobile payments.