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Monero’s 200% Gain On Darknet Marketplace Adoption

Last Updated March 4, 2021 4:50 PM
Justin OConnell
Last Updated March 4, 2021 4:50 PM

The popular crypto-currency Monero has increased approximately 200% over the past week as darknet marketplaces have adopted the currency. The cryptocurrency, formerly BitMonero, focuses on privacy and scalability as its two main use-cases. The recent gains bring the Monero market cap to more than $20 million. 

Monero functions on the proof of work consensus algorithm, similar to Bitcoin. Other alt-coins function using a proof-of-stake, a slightly different model. Innovation initiatives are launched by Monero Research Labs, a group of people which includes core developers. One of the most popular uses for the cryptocurrency has been MoneroDice, a provably fair dice game online. This is similar to the role SatoshiDice played in the early years of Bitcoin. Monero, as in part evidenced by recent price gains, still maintains a community of supporters interested in the technology.

Monero’s price increase seems to be on the heels of its adoption as a currency on several darknet marketplaces. Darknet marketplaces became a large part of the cultural fabric after Silk Road, which depended on bitcoins so customers could purchase digital currency.

Darknet Marketplaces have long focused on Bitcoin, but as recent issues in the Bitcoin industry – such as the block size debate and increasing scrutiny on identities behind wallet addresses – it would make sense for the darknet marketplace space to explore alternatives, especially in an industry – alt-coins – where so many seem eager to earn new adopters in order to increase price increase, and thus, more adopters.

As made clear by the charts, the bulk of price action in the history of Monero has taken place in the past week, but it certainly has had an active price history all time. Year to date, the price of Monero has quietly edged up over time as talk of blockchain and Bitcoin block sizes have carried on.

Darknet marketplaces have noticed the crypto-currencies dedication to privacy and have employed it for their crypto-currency driven systems.  Regulators take note.

Featured image from Shutterstock.