ProtoShares also known as PTS is a new alternative cryptocurrency that was launched in November of 2013 by Invictus Innovations. ProtoShares are different from other cryptocurrencies as the coin is not made as a form of payment method, but rather as a form of shares that coin holders will receive in the next coins that Invictus Innovators wants to launch, which are targeted towards different financial markets. When you buy a ProtoShares coin you will of course still be able to use it for investment purposes and make some money out of it, but its main goal is to provide coin holders with shares in new coins and by that give them a financial profit if these coins become successful and have a high value.
ProtoShares are based on the basis of the Bitcoin, but with several modifications made towards it, to make it different and in their opinion better. It uses the SHA512 protocol for mining the coins and aims to create a new block to be mined every 5 minutes, which the system will adjust the difficulty towards. There will be a total of 2 million coins that can be mined and to make the coin resistant to inflation there will be a 1% inflation rate after 2 years, so that there will be created 1% more coins every year after two years. The mining system has been made so that it cannot be exploited by people with ASIC and GPU rigs, not allowing them to sit and mine most of the coins and have a big advantage over regular miners. Instead it is only possible to mine by using the CPU that every computer in the world has, making it fair and easy for everyone to begin mining the coins no matter what equipment they have. They are using a new proof-of-stake algorithm, which is the key to avoid GPU and ASIC miners to exploit the system. When the coin was launched there was no pre-mining done by the developers, so that all coins could be mined by potential miners.
The ProtoShares coin is currently the 11th biggest cryptocurrency coin on the market, having a market value of around $15 million. There are currently 1.5 million ProtoShares coins in circulation, each having a value of around $11-$12, which is in the high end of the alternative coins. The coin has been relatively stable in its value over the last couple of weeks, but still have enough volatility in order for you to invest in them profitably. You can buy and sell ProtoShares through different cryptocurrency exchange sites, where you can exchange your Bitcoins and Litecoins to ProtoShares as well as buy them for cash through the different ProtoShares communities, where people are selling them for money on bank or PayPal.
ProtoShares are not meant to be something that you can really use for payments or anything similar, but is a coin that has been created to create liquidity towards new coins that will be launched and have different purposes in the future. The coin holders will be given a share in the new coins based on the amount of ProtoShares that they are holding, so that they will not be needing to mine or buy the new coins when they come out, but can sell them and potentially make a profit. ProtoShares can otherwise be used to invest in if you are a currency speculator, having enough volatility to make it profitable.