David Chaum releases a "potential replacement for physical cash"
|- David Chaum is launching Praxxis, says it has the security, stability and scalability to replace cash.
- Praxxis cannot be hacked by quantum computers and is immune to regular cryptanalysis.
Cryptocurrency pioneer David Chaum is launching a new digital currency, Praxxis. Chaum says that it has the security, stability and scalability to become a potential replacement of physical cash. Praxxis is expected to serve as a payments platform and is built on the Elixir blockchain. If successful, it will fulfill Chaum's view of Satoshi Nakamoto’s original vision for bitcoin to be a “purely peer-to-peer version of electronic cash.”
Elixxir president Jim Dolbear said:
“Bitcoin is not cash; It’s a digital currency; It’s a store of value. But it’s missing key features of cash. What we are doing in supporting payments is much more like electronic cash in the same way that bitcoin is a store of value.”
Chaum said:
“If you want to create a religious war, then any deviation from the current paradigm would be considered unholy. But for years people have been promising scale, sidechains, sharding, but it’s still not doing it.”
Chaum believes that cryptocurrencies have been hindered from developing into a global transaction system due to the failure in addressing security, scalability and speed at the same time. Praxxis is hoping to break this deadlock and ensure user privacy by deploying “denominated coin structure.” The platform breaks payments into smaller amounts and associates them with payments, so the user is aware of the exact money spent on transactions.
The Praxxis protocol can allegedly survive hacks generated by quantum computers, making it bulletproof against regular cryptanalysis initiated by hackers and even government agencies. The protocol “uses cryptography based on random function… then it is automatically quantum-resistant to a certain extent, and it’s also resistant to conventional cryptanalysis.” The whitepaper is expected to be released later this year.
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