What is the Mina Protocol? Why Should You Take MINA?
May 28, 2022
What is the Mina Protocol? Why should I take MINA? What is the Main Purpose of the Mina Protocol? How Does the Mina Protocol Work? What are the Contributions to the Mina Protocol?
You can find answers to your questions and other details about this project.
Table of Contents
What is Mina Protocol?
Mina protocol is the decentralized finance project with the lightest blockchain among all existing blockchains. MINA coin is the cryptocurrency of this protocol.
Mina Protocol, a minimal-scale, “concise blockchain” reduces computational requirements to run decentralized applications (DApps) more efficiently. Mina stands out as the smallest blockchain structure in the world, as it is designed to keep the size constant even as its use increases. It also works in a balanced way in terms of security and decentralization. Formerly called Coda Protocol, the project was rebranded as Mina in October 2020.
Users have the opportunity to perform their transactions very quickly, as the Mina protocol has the lightest blockchain.
This protocol supports the development of decentralized finance applications. In order for these applications to have a more efficient system; minimizes the need for computational operations.
Although this project has the shortest blockchain, it is designed to remain the same size despite increasing transactions. This is also a solution to scaling problems.
The Mina protocol uses the Ouroboros Samasika technique, developing the Proof of staking system. This technique consists of block generation, block verification and Zero Knowledge Proof stages. Zero Knowledge Proof, which is one of the important cryptographic methods, allows users to perform transactions on the network; It means proving that he has that information without having to inform anyone, including miners, about the transaction he will perform. In this way, users have the opportunity to log in to websites without having to give their passwords. For detailed information about this cryptographic method, see What is Zero Knowledge Proof? What are the Usage Areas? you can take a look.
Users earn MINA token rewards if they support the Mina protocol network. Users also have the opportunity to earn additional earnings by staking MINA tokens.
What is Mina Protocol’s Main Purpose?
Mina is working to create an efficient distributed payment system that allows users to verify the platform directly through the genesis block. The whitepaper includes the phrase “blockchain in short”.
Protocol; Zero-Knowledge Succinct uses a cryptographic proof system called Non-Interactive Arguments of Knowledge (zk-SNARK), which enables authentication without revealing any data. However, enabling the user to monitor the platform back to the genesis block process may be impractical in large-scale networks. That’s why Mina is calculating SNARKs incrementally, focusing only on the last few blocks. So end users check the proof data compressed with zk-SNARK instead of the entire transaction history.
At the heart of the Mina protocol is the native virtual asset MINA, which functions as both a utility currency and a medium of exchange.
How Does Mina Protocol Work?
Mina is similar to the Bitcoin network except for the way transactions are handled. For account modeling, methods in the Ethereum network are used.
In this context, the main difference between Bitcoin and Ethereum networks comes to the fore. While Bitcoin focuses on the list of unspent cryptocurrencies, account balances are handled on the Ethereum network.
Mina, on the other hand, uses a provider (or snarker if desired). Working like a miner, this item ensures that every block occurs according to the rules.
Since Mina works by booting from the genesis block, it uses Ouroboros Samasika, a type of PoS mechanism specifically designed for abbreviated decentralized networks.
The abbreviated blockchain networks focus on verification and updating capabilities. Verification; Consensus focuses on blockchain digest and block contents, while the update function works on consensus and chain digest.
Apart from the above applications, the project uses parallel scanning feature to optimize the processing speed. Here, the unproven blocks are grouped into groups and the process is assigned to parallel proofs.
What are the Contributions to Mina Protocol?
Mina; It introduces innovations that will revolutionize the current blockchain landscape, where most platforms have validators such as miners and stakers, and thin clients act as third parties when verifying transactions.
Mina takes a different approach by having multiple participants in the decentralized network, each performing different functions.
How Do Mina Transactions Take Place?
The process starts with the user that triggered it. It then goes to the mempool, a pool of validated but unconfirmed transactions.
Then the snarkers move on to the SNARKS or proof process. The process is followed by the selection of the block producer (BP), and the selected producer bundles the transactions into a block. It should be noted that BP eliminates profitable transactions through the mempool.
Next, BP chooses a SNARK according to the rules in the consensus mechanism.
It is important to note that the block manufacturer selects the lowest priced SNARK offers. In addition, recent trades added include an updated SARKS order book.
Then it’s time to include the SNARKS in a block, add the block to the chain, and update the network. To help keep the size of the protocol constant, snagged transactions are removed from the chain.
Then the block generator updates the zk-SNARKS of the protocol.
Eventually, the new block becomes an immutable part of the chain.
Mina coin review
This project provides users with advantages in terms of speed and cost, as it has the shortest blockchain among all blockchains. In addition, with the cryptographic method used; It also offers significant advantages as it enables investors to perform secure transactions and rewards users who support the network. Due to its current features, the protocol’s MINA coin is also expected to gain value in the future.
Where to buy MINA coin?
Some of the cryptocurrency platforms where Mina cryptocurrency can be purchased are: Binance, OKEx, Kraken, crypto, Paribu.