 You're watching The Daily Decrypt, where if it ain't currency competition, we don't want it. I'm your host, Amanda B. Johnson, and today's episode is brought to you by Crypto Compare. The 3.0 Lite client of Supernet has been released just today. And to find out what that means and what the Supernet does in general, I've spoken with Tobias Schwartz, who's a core team member. What is your involvement with Supernet? Yeah, I've been there right from the start. I've been hanging around to the NXT forum when it started already. So I'm not one of the initial investors of NXT, but I found the community very early. So I don't know how much you know about James and the initiative of Supernet. Is that James as in JL777? Yeah, exactly. Okay, I don't know that much about him, no. Okay, yeah, he was there at the start of NXT and he had a lot of ideas how to bring the blockchain forward. And so he had many theories. When is this that we're talking about? When was the start of NXT? Yeah, two years ago, more or less. And so in March 2014, I found next and James has already been involved a little bit into the community and the NXT forum started. So this was when a lot of ideas around NXT started spinning around and he tried to adopt a lot of those ideas like distributed exchanges and then had those exchanges to other currencies like Bitcoin and trying to find solution. And he's still doing that, working on instant decks and working on several technologies that he wants to go with decentralized applications forward with Supernet. Okay, so what is a Supernet? Because you're talking to me about NXT and I know what NXT is. NXT is a cryptocurrency that lives on a blockchain. What the hell is Supernet? Why do they always seem to be talked about in the same context? Yeah, maybe because Supernet started out of NXT. So the initial idea was to have like NXT sitting on top of it and then other cryptocurrencies and taking them to the NXT software. And this was the initial idea. Well, James hadn't been always satisfied with the development of NXT. So there was kind of a split and Supernet is now trying to get all those different ideas and unique aspects of blockchain software together and try to make them, you know, you use Dash when you want to have private payments. Maybe you want to use Litecoin just for the fun of it or Dogecoin and maybe Phopy and Coin. If you have special requests for coins, the idea is to just use this coin. They have the technology. You don't have to invent it or places on top. Maybe we can try to fit it all together into one wheel to make it easier to use them. So is Supernet a blockchain network? First, let me ask that. Not really. It uses the other blockchain technologies and tries to combine them all together. So it's more on top of all the blockchains to combine them in power. OK, so Supernet is like a peer-to-peer protocol, though, however. OK, OK, so Supernet is a peer-to-peer protocol. And I've seen the interface. I've had it open on my computer myself. And so it supports this peer-to-peer protocol supports what? Calling up various coins. Like, as you said, like Litecoin, Dogecoin. There was an addition of Dash in today's version. Is that correct? Yeah, not exactly. So there is a difference between the Supernet Lite client, which I'm working on and we released today, and the Supernet initiative itself. So Supernet is more or less developing into something that's called Iguana. That's their release focus for the software. And I'm developing the Supernet Lite client. So this is mostly using the NXT network in order to let you exchange assets on the decentralized asset exchange. And there is another software called Multigateway, where you send in the Bitcoin. You this checks, OK, everything is correct. Then it sends the same amount of NXT assets, Superbitcoin, that's called. And then you can start trading the Superbitcoin into the NXT network in a decentralized way. So it's more or less, well, what Bitcoin you can just do, send payments mostly. So it's trying to make it easier for you in the end. And you don't have to worry about Bitcoin block times and the Bitcoin fees. And if it's ever accepted into the network in this stuff. OK, so what would I use Supernet for precisely? You're saying it's to buy things in the NXT asset exchange? Or why would I use Supernet exactly? Well, you do not have to download any blockchain right now. You just sort of the program. You can use the NXT software totally. And we are using the Multigateway. You can send in Bitcoin and send out Bitcoin as you like. So if you want to store them there, you can send them to other Bitcoin addresses. That's totally fine. But you never have to do blockchain downloads. You're still using a decentralized approach and don't have a centralized wallet like on blockchain.info. Who are doing a great job? Yes, but we are trying to focus on the decentralization aspect we know of. So Supernet could act as a decentralized wallet. So where are all the nodes then? I mean, like who? So you're saying that whereas blockchain.info is like a centralized wallet for my Bitcoins. You're saying that Supernet offers decentralized wallets. So is that would my Bitcoin information be hosted by all the people who are also running the Supernet client? Yeah, this is more like two layers now. The first layer is the Multigateway. This is a disk. It's called a distributed multi-signature. Yeah, a distributed multi-signature host. So what they do, they have several servers set up, and they share all the keys, and they cannot control it without having to accept it from the other servers. You send in your Bitcoin. They will share it between themselves. Make sure that nobody gets access on them per se, just if you have access to all of them, you could send out Bitcoin. And then you get the NXT assets in exchange. And then you can start using the NXT asset like Bitcoin itself, more or less. Does this make sense? No, it doesn't. Okay, so if the point is to send in one's Bitcoin and to have that hosted in a decentralized way, why the support for Litecoin, Dogecoin, Dash, Bitcoin Dark, what's all that for? If you want to use those, you can use them. So we're using the same technology for all of those currencies. Well, later in the point, currently we are more or less a multi-wallet, you could say, and an easy access to the NXT wallet without the need to download the blockchain. Furthermore, it will later expand into trying to get all the technologies itself into the wallet. So this is the later point. Currently, we are very early in this technology, and the Supernet itself is developing rapidly. Yeah, this is a plan that you can later, if you have Hopi Income, you can use Hopi In Tools. Or if you have StoreJcoin, you can use StoreJcoin Tools. But that is not the case right now. It's more like a multi-wallet and the NXT wallet on top, all without download, so I think it's a good thing to have. What is your profitability plan? How could I make money by being a Supernet node or by holding, there's a Supernet token, I believe, right? Is that issued via NXT? Yeah, it has been, now it's independent, more or less. James has planned to also make an asset on Bitcoin, and I don't know if he's going to use Counter Party or how he's going to do it. But it initially started on the NXT blockchain, and it is tradable on the NXT blockchain and on Poloniax and some other exchanges. Right now, the wallet itself is more or less proof of concept made out of law for the community because you don't have to download the blockchain. Sometimes you want to access your funds quickly. It doesn't generate any profit yet, and it's not really made for that in this sense right now. You can, we are connecting to NXT nodes, and NXT nodes can make fees in torching with their NXT, but that has nothing to do with the Supernet light wallet in the end. And why would Supernet tokens have value? Are they set to pay dividends someday or why would I want to hold a Supernet token? Yeah, they already do. Well, right now, Supernet is launching a lot of different projects. So they have been Pangea, which is a decentralized poker software. There's been Cormedia, which is a blog with blogging on Supernet and NXT and crypto. And so there have been various assets launched already within Supernet. And if you hold Supernet, you'll get dividends in those assets that Supernets invest into or that are launched within Supernet. And there is Instant Dex, a decentralized exchange that will make later money on the fees and so on, I don't know the revenue model. But it is going to work with fees and with, I don't know, maybe some bonuses. It will make profit and then you'll profit with holding Supernet or Instant Dex and all those several assets. When you have Supernet, the Supernet token, you'll have it all in one bag, so to say, all the projects that are going within Supernet. I must say I've found Supernet like the most difficult to understand project in the entire crypto sphere for as long as I've been around, which is about two and a half years now. I can understand this, I've been involved into it as well for a long time now. And I've seen the things launched, so it's easier for me to grasp it. How you have to understand that more or less is that it is a various project. It's not one single project. Supernet, the idea of Supernet is to unify all the cryptocurrencies out there. We don't have to be against each other and saying, no, Ethereum is bad because this and that and next is so much better or Bitcoin is so much better because, no, let's use different technologies for different use cases and let's try to make it all together. And so Supernet picks the unique projects and says, yeah, if you want to work together with us, we are trying to build some use cases for you and integrate it into Supernet. And then in the end, you should be able to use any approach you like for the project you have in mind and instead of making all the research for yourself and finding the correct currency, so it's trying to combine the things. So at this point or at any point in the development roadmap, could I ever exchange my Litecoin for Dash using the Supernet in a way that is at all better or less risky than using a centralized exchange? Will there be any exchange capabilities using the Supernet? Because I remember at some point hearing Supernet referred to as a federated servers like, hey, some people who are super invested into NXT, they host some servers. And some people who are super invested into Bitcoin Dark, they host some servers. And all of these people are hosting some servers to potentially what, facilitate some exchange among the supported cryptocurrencies that perhaps doesn't require as much trust as, say, using Cryptsy or Poloniex or something. I don't know, or was that totally a misunderstanding on my part? No, no, you're on a good track there. This is the project called Instant Dex. This is planned to give exactly this, so you can exchange coins directly. So yeah, you send in, well, you have a layer on top like an exchange. And then you can say, I'm selling 100 Dodge and I want to have one Dash in exchange or whatever the prices are. So yes, this is totally planned for the future and James is working on it for one and a half years now, making progress, but he's, well, split up into many projects, which is, a lot of people don't like that that much, that he's split up. What the hell does he think could be more useful right now than an actual decentralized exchange? Yeah, yeah, it is close to launch. I'm hearing her hearing for half a year now, a lot of, well, it's not as easy as it sounds like. So he's trying to solve many problems to get to this point. And yeah, I'm always seeing all the change logs and what he's doing. And yeah, I have problems understanding it myself and working as deep into the protocol as he does. But he's making progress and I hope myself that we can use it soon this year. All right, well, if people want to follow updates on the Supernets, many prongs of products, where do you recommend they go? Slack is always the Supernet Slack. Yeah, you will have all the developers there. James is always online and answering questions himself. I will be there. Yeah, there's many of developers helping to support your project if you have any ideas or if you have just questions, just put them there. Okay, very good. Thanks for your time, Tobias. Thank you. And yeah, I just wanted to say I very much appreciate your shows. Please continue going on. I very much like it. Oh, well, that's very nice. Thank you for your fine words. Yeah, thanks. Bye-bye. Bye-bye. Today's episode is brought to you by CryptoCompare.com, which is a social hub to discuss all things cryptocurrency. You can create an account yourself to begin leaving questions of your own or asking questions about mining, exchanges, wallets, and even the social influence and expected price changes of all of the top cryptocurrencies. Complete with various guides and tutorials. It's all free for you at CryptoCompare.com. Well, folks, as the first decentralized exchange among multiple crypto networks has yet to be released or used anywhere, what do you use in the interim? Leave a review about an exchange that you find trustworthy in the comments below. Have a good day. Web and mobile wallets which support multiple cryptocurrencies make it easier to, say, try out a new coin or just to keep balances of various currencies all in one place. The Daily D Crypt knows of four such wallets, and we'd like to give you a brief review of them now.