4

They basically let you do the same thing. The differences are that: Counterparty relies on the XCP currency whereas colored coins work directly on Bitcoin, so you don't have to get price exposure or volatility risk with a new currency when you use colored coins. Counterparty uses a monolithic protocol where breaking changes are introduced about every 2 ...


4

The main difference between these protocols is how they associate and store data about asset ownership. Colored coins at least as implemented by Coinprism, put data in the form of a transaction output that must be retained in later transactions involving the associated standard transaction outputs (spending money). If a colored coin is handled by a wallet ...


3

Colored coins just "mark" coins with a "color". This is done by using unused data space in the Bitcoin transactions. Counterparty on the other hand has: the same functionality as colored coins decentralized asset trading with automatic order matching assets that can pay distributions (dividends) assets can be customized (divisibility, callback, locked or ...


3

The link you provided seems dead by now but there is an online documentation available at http://counterparty.io/docs/about_counterparty/.


2

Yes, you can use your Bitcoin addresses to receive Counterparty tokens. Make sure you have the private keys to your addresses backed up. Counterparty is a layer built on top of the Bitcoin protocol which basically allows you to embed data into the Bitcoin blockchain. This data can be used to represent tokens which will be recognised by the counterparty ...


1

There is a counterparty whitepaper: https://github.com/CounterpartyXCP/Counterparty


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