Former Monero developers have officially launched Tari, a new layer-1 privacy-focused cryptocurrency network. Tari’s mainnet went live in early May 2025, introducing a default-confidential blockchain and a novel two-layer design aimed at making private crypto transactions and mining accessible to everyone . The project, which is merge-mined with Monero, promises easy at-home mining of its XTM coin using ordinary computers and a user-friendly app, all while protecting users’ transaction data by default . With heavyweight backing from the likes of Pantera Capital and a team led by Monero’s ex-maintainer Riccardo “fluffypony” Spagni, Tari is positioning itself as a next-generation privacy coin that could complement – or for some, even compete with – Monero itself.
Tari’s Vision: Privacy for All, With Ease of Use
Tari’s core vision is to marry strong privacy with mainstream accessibility. The network was co-founded by Monero veteran Riccardo Spagni in 2018 with a mission to support digital assets (like tickets, in-game items, NFTs) on a private blockchain . That vision has evolved into a full-fledged independent chain that “does one job, and does it well,” much like Monero – but with a broader scope . At its heart, Tari aims to be a platform for confidential digital cash and assets that anyone can use without sacrificing privacy or needing advanced technical knowledge.
Privacy by default is non-negotiable in Tari’s philosophy. Every transaction on Tari is automatically shielded: amounts, sender, and receiver addresses are all hidden on-chain . “By keeping transactions and balances confidential, users are kept safe,” explains Tari contributor Naveen Jain, emphasizing that no third party can monitor or profile a Tari user’s finances . This approach addresses a key shortcoming the team sees in transparent blockchains: “Default surveillance blockchains create a world where anyone can see how much money you have… Why should [users] use a system that makes them objectively less safe?” Jain argues . In Tari’s view, financial privacy is a fundamental ingredient missing in many existing chains – something they intend to deliver out of the box.
At the same time, Tari is laser-focused on usability. The developers tout what they call crypto’s easiest onboarding experience, requiring just a few clicks to get started . There’s no complex setup or invasive KYC hurdles before you can use the network. In fact, one of Tari’s early backers, the prominent NFT creator gmoney, remarked: “Tari Universe is like a crypto product designed by Apple… No crypto experience is required. Just download the app, install it, and start mining.” This highlights Tari’s approach to accessible design – from a streamlined wallet app to a gamified mining interface – all intended to welcome newcomers who might find other crypto platforms intimidating. Naveen Jain has poked fun at the cumbersome onboarding of other projects, saying many protocols are “as painful as a root canal” – requiring things like ID uploads or even dystopian retina scans – whereas Tari lets users simply install an application and begin participating within minutes . The overarching vision is clear: privacy for everyone, without the headache.
Under the Hood: Mimblewimble Privacy and Novel Architecture
How does Tari actually achieve its “confidential-by-default” magic? The answer lies in its technical underpinnings. Tari is built on the Mimblewimble protocol – a privacy-centric blockchain architecture originally popularized by projects like Grin and Beam. Mimblewimble uses cryptography (specifically Confidential Transactions with blinding factors and range proofs) to hide transaction amounts and allow transactions to be merged and compacted, enhancing both privacy and scalability . In Tari’s case, every on-chain transaction is confidential by default, meaning balances and histories are not exposed to the public ledger . This gives Tari the same kind of built-in anonymity that Monero users expect – but via a different mechanism. Instead of Monero’s ring signatures and stealth addresses, Tari’s Mimblewimble-based UTXO model ensures that only the transacting parties have the keys to decode their transaction details .
Tari didn’t stop at vanilla Mimblewimble. The developers introduced TariScript, an extension to enable more expressive transactions. In a pure Mimblewimble chain, transactions typically require interactive communication between sender and receiver to create a valid transfer (each transaction is like a handshake). TariScript adds flexibility by allowing scripting conditions on outputs, which can make features like one-sided (“non-interactive”) transactions or reusable addresses possible . One user-friendly innovation emerging from this is Emoji ID™ addresses – instead of long cryptographic strings, Tari wallet addresses can be represented as a sequence of emoji. “Addresses on the Tari network are strings of emoji,” the team explains, noting that the first and last three emoji act as a memorable identifier with an integrated checksum . This quirky solution, while playful, tackles a real usability pain point by making addresses easier to share and recognize (no more mistakes with O’s vs 0’s or l’s vs 1’s). It’s an example of how Tari’s architecture is tailored for human-friendly privacy – powerful cryptography under the hood, packaged in a way that everyday users can actually handle.
Another pillar of Tari’s privacy stack is network-level anonymity. Tari Aurora, the reference mobile wallet, automatically routes all traffic through Tor (onion routing) when connecting to the Tari network . This means a Tari user’s IP address and physical location are obfuscated when their wallet communicates with peers, adding a layer of protection against network surveillance. Combining Mimblewimble’s on-chain confidentiality with Tor-based communications mirrors the approach of privacy coins like Monero (which uses Dandelion++ and formerly explored I2P/Kovri) – but Tari bakes it in from the start, aiming to offer a holistic privacy solution.
In terms of software, Tari is implemented in Rust (a language known for safety and performance) and was built from the ground up as a new chain, rather than a fork of Monero or Bitcoin. The developers call Tari a “Layer 1.5”, because while it is a standalone L1 blockchain, it’s designed to work hand-in-hand with a native Layer 2 (codenamed Ootle). This two-layer architecture is one of Tari’s novel aspects: the base layer (sometimes dubbed Minotari) handles the core cryptocurrency (XTM) with all the heavy privacy and security, while the second layer (the Ootle network) is meant for smart contracts, assets, and high-speed transactions using a secondary token (XTR). By integrating scalability at Layer 2 with fast finality, Tari aims to support complex applications – DeFi, NFTs, game assets, etc. – without bloating or compromising the privacy of the base chain . In essence, Tari’s architecture echoes a pattern seen elsewhere (think Ethereum’s rollups or Bitcoin’s Lightning network), but here it’s part of the design from day one: use the base layer for what it’s best at (secure private transfers), and offload the rest to a flexible second layer.
Mining for Everyone: Tari’s User-Friendly Proof-of-Work
One of the most striking promises of Tari is accessible mining – the idea that anyone with a laptop or PC can participate and earn coins. To achieve this, Tari launched with a proof-of-work (PoW) consensus mechanism that deliberately favors consumer hardware. In fact, the network supports merged mining with Monero’s RandomX algorithm, so existing Monero miners can mine Tari at the same time with no extra hardware . The Tari blockchain splits its block rewards 50/50 between two mining algorithms: RandomX (CPU-friendly) and SHA3x (another PoW algorithm) . The RandomX portion allows Monero merge-miners to contribute their hash power to Tari, effectively piggybacking on Monero’s ASIC-resistant, CPU-driven mining community . Meanwhile, the SHA3x portion rewards standalone Tari miners, potentially broadening the mining base to those who might want to mine Tari exclusively (the specifics of SHA3x are tuned to be ASIC-resistant as well, optimizing for general hardware ). This dual-PoW setup is baked into Tari’s consensus rules to ensure that both independent miners and merge-miners secure the network in tandem .
For non-technical users, Tari provides a polished application called Tari Universe that turns the mining process into a simple, even fun, experience. Instead of configuring mining software via command line, users download Tari Universe for Windows or Mac, and with a few clicks their computer is hashing away for XTM. The app offers a visual mining dashboard with real-time feedback on mining progress, controls to adjust CPU usage or pause mining, and even some gamified elements (rewards like gems or hammers for participating) . Essentially, “Tari Universe turns your computer into a money machine,” as the project describes . By solving blocks on the Tari network, everyday users help secure the blockchain and are rewarded in XTM – all without needing specialized rigs or deep know-how. Early results from Tari’s testnet phase showed massive engagement: over 700,000 people signed up for the testnet airdrop, and nearly 100,000 users tried out mining on the Tari testnet via the app . This hints that Tari’s strategy of lowering the entry barrier for miners is working to attract a large community from the start.
Importantly, Tari’s merge mining design means Monero miners have an incentive to adopt Tari, not abandon Monero. Since Monero (XMR) and Tari (XTM) can be mined simultaneously with the same CPU work, miners can earn extra rewards in XTM alongside their XMR with minimal effort . This symbiotic approach could give Tari a ready pool of security (leveraging Monero’s existing hashpower) and bootstrap its distribution widely among privacy coin enthusiasts. In theory, it’s a win-win: Monero’s network remains unchanged, while Tari’s network benefits from the security and decentralization of merge-mining right out of the gate . For now, mining Tari does not require any KYC or special permission – true to its ethos, if you can run the software, you can join the network. This is a deliberate contrast to some recent blockchain launches that gated participation through registration or “proof of personhood” gimmicks. As Tari’s team colorfully noted, they wanted to avoid anything that felt like “dancing in front of a camera” or begging a biometric orb for access. Mining Tari is as simple as installing an app – which is about as close to plug-and-play as crypto mining has ever come.
Tokenomics: XTM, XTR and the Two-Layer Economy
Tari’s economic model introduces a few twists that set it apart from Monero and other classic privacy coins. First, the native currency XTM has a much larger supply – the genesis block instantiated 21 billion XTM as the initial supply . This is several orders of magnitude more units than Monero (which has ~18.3 million XMR in circulation as of 2025), but in practice it’s a similar economic concept just denominated differently (think of it as more atomic units; 1 XMR is roughly 1e-6 XTM if comparing supply sizes). Of those 21 billion XTM, 30% (6.3 billion) was pre-mined at launch . This pre-mine is not a free-for-all for founders; it’s allocated with strict lockups to various purposes: about 9% for infrastructure, 5% for community programs, 4% for contributors, and 12% for early supporters/participants, all vesting over long periods starting 6–12 months after mainnet . The rationale is to fund ongoing development, reward testnet participants, and grow the ecosystem, while still leaving the majority of supply (70%) to be earned via mining. 100% of post-launch emissions go to miners securing the network – Tari pointedly did not do an ICO or public sale, aligning with Spagni’s preference for VC funding and fair mining over crowdfunding token distributions .
After the genesis allocation, 14.7 billion XTM remain available as mining rewards . Tari’s emission schedule is designed as a smooth exponential decay – block rewards decrease slightly with each block (akin to a continuously slowing drip), amounting to a halving roughly every 3 years . This gradual decline will continue for ~12 years until most of the 21 billion supply is mined. After that, Tari has implemented a perpetual 1% annual tail emission . This tail emission means that even after the main emission period, the supply will grow at 1% per year, ensuring miners always have some block reward incentive (much like Monero’s tail emission of 0.6 XMR per block to maintain miner rewards indefinitely). The tail emission prevents the network from relying solely on transaction fees for security long-term, which is a concern with coins that have finite caps like Bitcoin. In Tari’s case, it strikes a balance: a fixed large initial supply (comparable to a 21 billion cap) but with a slight inflation thereafter to sustain participation .
Perhaps the most distinctive element of Tari’s tokenomics is its dual-token system spanning two layers. The layer-1 token XTM is the mineable coin that lives on the base chain (Minotari). Then there is XTR, the token of the layer-2 network (Ootle). How are these related? Tari uses a burn-and-mint bridge mechanism they dub the “Turbine Model.” In simple terms, to obtain XTR, one must burn XTM on the base layer . Burning 1 XTM on layer1 will mint 1 XTR on the secondary layer, and presumably the reverse process (burning XTR to redeem XTM) is enabled as well to maintain a link between the two supplies . This model creates a one-to-one relationship between XTM and XTR in terms of value, effectively pegging XTR to XTM (minus some fees) and ensuring the overall token supply across both layers remains in equilibrium . Tari’s Throttle mechanism plays a role here: it’s an algorithm that adjusts the “conversion rate” or fee for creating XTR based on demand and network conditions . For example, if there’s heavy usage on the layer-2 (many XTR transactions), the Throttle might increase the portion of fees burned (i.e. XTR destroyed) to keep the XTM:XTR peg stable and avoid inflation . Conversely, if XTR supply shrinks too much relative to XTM, the Throttle could ease the burn rate. This dynamic system is meant to stabilize the two tokens’ value and ensure neither layer’s economy runs away from the other.
The practical upshot is that XTM and XTR function as a single economic system across two chains. XTM is like the “gold” secured by PoW on layer1, while XTR can be seen as “claim checks” used in faster, feature-rich transactions on layer2. By burning XTM to get XTR, every layer2 operation has a cost in XTM, which ties the utility of the second layer back to the base currency’s value. The Tari team hopes this will enable all the fancy features on layer2 – such as smart contracts, private NFTs, decentralized applications (or “tapps” as they call them) – without debasing the currency or requiring trust in a federated bridge . It’s a novel approach that sidesteps some of the complexities seen in other multi-chain ecosystems (for example, wrapped tokens or custodial bridges). Time will tell how this dual-token model performs in the wild, but if it works as designed, Tari could offer the holy grail of a scalable smart contracts platform that still preserves default privacy and a sound token economy.
Tari vs. Monero: How Do They Compare?
Because Tari’s founders come straight from the Monero community, it’s natural to compare the two privacy coins. On the surface, Tari and Monero share a common philosophy – both prioritize privacy, decentralization, and fair, open participation. Monero (XMR) has long been the gold standard for private digital cash, using techniques like ring signatures, stealth addresses, and RingCT to obscure transaction details. Tari (XTM) achieves similar ends via Mimblewimble and confidential transactions . In both networks, outsiders can’t see your balances or track your payments – a stark contrast to transparent chains like Bitcoin. In fact, Tari’s confidentiality is arguably as strong as Monero’s, with some trade-offs: Mimblewimble does not provide the same kind of untraceability by default (Monero’s mixins hide sender among others), but it does compress and aggregate transactions in a way that can make chain analysis extremely difficult. Tari’s use of one-time UTXOs and stealth Emoji ID addresses serves a similar role to Monero’s one-time stealth addresses . Both also integrate network-layer privacy (Monero via Dandelion++, Tari via Tor) to hide where transactions originate from.
Consensus & Mining
This marks a key difference. Monero relies on a single PoW algorithm (RandomX) and has no concept of merged mining – it’s a standalone chain where miners only mine Monero. Tari innovates here by inviting Monero’s hashpower to also secure Tari via merged mining . For a Monero miner, this means extra income (XTM) at no additional electricity cost, which could be attractive. For the Tari network, it means tapping into a proven pool of miners from day one. Tari also introduces a second algorithm (SHA3x) to diversify mining , whereas Monero sticks strictly to RandomX. Both coins are committed to ASIC-resistance to keep mining on CPUs (Monero has successfully kept ASICs at bay; Tari’s approach with RandomX suggests the same). In terms of supply, Monero’s circulation is much smaller unit-wise (and Monero famously has no fixed cap, instead tail-emitting ~0.6 XMR per 2-minute block forever). Tari opted for a large fixed initial supply with a tiny inflation tail . If measured in percentage inflation, Tari and Monero are comparable: Monero’s inflation after tail emission is under 1% and decreasing, Tari’s tail is fixed at 1%. One notable contrast is the pre-mine – Monero had no premine or dev tax; it was a fair launch in 2014 where all coins were mined over time. Tari’s 30% premined allocation might raise eyebrows among Monero purists. However, the Tari team has imposed long vesting on those tokens and argues that funds are needed to foster the ecosystem (Monero’s development, by contrast, is funded by donations and a community-run CCS system). For some in the Monero community, trusting a new coin with a large premine may be a hurdle, even if it’s handled transparently.
Use cases and extensibility are where Tari really diverges from Monero. Monero is deliberately simple – it focuses on being digital cash, not a platform for dApps. Tari on the other hand aspires to support assets, smart contracts, and an “app store” of blockchain applications on its second layer . This puts Tari in a different category: more like an Ethereum-style platform but with Monero-like privacy. Monero does not natively support tokens or complex scripts (no ERC-20 or NFT equivalent on Monero). If someone wanted to issue a private digital ticket or create a privacy-preserving game item, they can’t currently do that on Monero’s chain – but Tari is built for that purpose (indeed, the initial vision of Tari was as a digital asset sidechain for Monero ). Tari could thus attract users and developers interested in privacy beyond just currency transactions, tapping into realms like DeFi or gaming but in a confidential way. In short, Monero is a privacy coin; Tari is aiming to be a privacy platform.
That said, Tari and Monero can be seen as complementary more than strictly competitive. Thanks to merged mining, a strong Monero network can directly translate into a strong Tari network, and vice versa . Monero users who mine or run nodes could do the same for Tari with minimal extra effort. There’s also the possibility of cross-chain interaction: the Tari team has mentioned plans for a cross-chain transaction layer in the future . This could hypothetically enable atomic swaps or exchanges between XMR and XTM, further knitting the two communities together. For now, Monero remains the more battle-hardened and widely used of the two, with a 9-year track record in the wild. Tari is new and unproven in real-world adversarial conditions – something Monero enthusiasts will watch closely. It will need to earn trust over time through code audits, transparency, and resilience, just as Monero did. But given the pedigree of Tari’s creators, privacy coin fans are paying attention. Tari represents an attempt to take what Monero pioneered (private money) and extend it to a broader world of private digital assets and applications.
How Tari Stacks Up Against Other Privacy Coins
Beyond Monero, Tari enters a landscape with several other privacy-oriented cryptocurrencies, each with different techniques. Grin and Beam are the most obvious comparisons because they also implement Mimblewimble. Like Tari, Grin and Beam transactions are confidential (no visible amounts) and require parties to interact to transact. Tari sets itself apart by enhancing Mimblewimble with features like Emoji ID addresses and one-step transactions (via TariScript), aiming to fix the usability issues that made Grin challenging for casual users. Grin also had an unlimited inflationary supply, which some argue hurt its economics; Tari’s supply model is more structured, with a clear cap+tail. Beam introduced some programmability on Mimblewimble (such as confidential DeFi via assets and scripts), which is somewhat analogous to Tari’s Layer-2 plans. However, Beam’s adoption remained niche, and it used a corporate treasury model for funding. Tari’s large community push (hundreds of thousands in testnet) and backing by top VCs could give it more momentum out of the gate than Grin/Beam had.
Another point of comparison is Zcash (ZEC). Zcash uses zk-SNARKs to achieve privacy, allowing users to send “shielded” transactions that hide details. Tari’s approach (and Monero’s) doesn’t rely on heavy zero-knowledge proofs, which means transactions are lighter weight and don’t require a trusted setup like early Zcash did. Unlike Tari, Zcash’s privacy is optional (many users still transact transparently), whereas Tari is private-by-default with no option for plaintext. On the flip side, Zcash has years of production use and is transitioning to a proof-of-stake model, whereas Tari is brand new and sticking with proof-of-work. Firo (FIRO) and others like Dash (PrivateSend) or Bitcoin’s CoinJoins also aim to obscure transaction data, but none of those have the integrated asset platform concept that Tari brings. In terms of user experience, Tari is arguably breaking new ground by making the entire process – from obtaining coins (mining via a slick app) to sending them (via emoji addresses) – approachable for non-experts. Many privacy coins historically catered to more technical users due to their complexity. Tari is trying to change that narrative and broaden the appeal of privacy coins to mainstream users who just value convenience and safety.
Community and Outlook: Should Privacy Advocates Adopt Tari?
The early signs for Tari show both enthusiasm and the challenges of starting a new network. The project’s testnet and airdrop campaign garnered huge numbers (three-quarters of a million sign-ups) , indicating a pent-up interest in a new privacy coin with modern features. Tari’s mainnet launch has been accompanied by a flurry of positive commentary from both the crypto community and industry figures. Pantera Capital’s Paul Veradittakit said “Tari’s relentless focus on users” – combining strong confidentiality with an intuitive one-click interface – is what excited them, as it lowers the barrier to entry for individuals to join the crypto economy . Such backing suggests that big players see potential in Tari becoming a widely-used network.
For privacy coin enthusiasts, Tari’s appeal is clear: it brings fresh ideas and usability improvements to a space that, while technologically advanced, has sometimes struggled with user-friendliness. If you’re a Monero user, you might not **“switch” to Tari entirely (Monero isn’t going anywhere), but you may **adopt Tari alongside it. Mining Tari is practically a no-brainer for many Monero miners since the merge-mining lets them earn XTM in parallel . Running a Tari node or wallet is also accessible – the software is open source and the system requirements are modest, similar to Monero’s. As a currency, XTM’s value proposition overlaps with XMR’s (private, fungible money), but Tari might carve out a niche for peer-to-peer applications and community tokens that require privacy. For example, a game developer could issue an in-game currency on Tari’s Layer 2 and benefit from privacy features, something not feasible on Monero. This could draw new users into the Tari ecosystem who wouldn’t have used a privacy coin otherwise.
Of course, there are open questions. Tari’s long-term security will depend on maintaining miner interest especially once the initial hype fades – the gradually dropping block rewards and reliance on tail emission means the project must grow usage to supplement miner fees . The two-layer system with XTR will need to prove that it can indeed handle DeFi and NFTs smoothly and that the peg mechanism remains robust under pressure . Additionally, Tari’s decision to pre-mine tokens for insiders and contributors, even with vesting, will be watched closely; the team will need to uphold trust by using those funds transparently to benefit the network (the shadow of other projects that mismanaged premines looms large). Competition in the layer-1 space is fierce – Tari is launching into a crowded field of L1s , and while its feature set is unique, gaining real adoption is the ultimate test.
Still, for a project just launching, Tari has a lot in its favor: a respected team with credibility in privacy tech, funding and support from major investors, a sizable initial community, and technology that builds on known foundations (Mimblewimble, Rust, merge-mining) while pushing them a step further. It’s rare to see a new coin that is “confidential by default” and ready to use by everyday people – usually, those two traits haven’t gone hand in hand. If Tari can deliver on its promises, it could become a compelling option for users who want the freedom of cryptocurrency without broadcasting their finances to the world. As one early Tari supporter put it, “They have built a platform that balances privacy and accessibility” – a combination that might just attract the next wave of privacy-conscious crypto adopters.
Conclusion
Tari’s launch represents a significant development in the privacy coin arena. It offers Monero’s DNA of privacy and decentralization, splices in Mimblewimble’s efficiency, and wraps it in one of the most user-friendly packages to date. While it’s too early to tell whether XTM will unseat or merely complement XMR, the project’s bold approach to privacy for all is certainly turning heads in the community . Privacy coin enthusiasts now have an intriguing new network to experiment with – one that asks them not to compromise between confidentiality and ease of use. Only time will tell if Tari can live up to the high expectations, but its arrival underscores a broader point: the quest for digital privacy is alive and well, and continuously evolving with projects like these.