How to Calculate Mining Profitability
4 stars based on
BitShares is an open-sourcepublic, blockchain -based, real-time financial platform. It provides a decentralized asset exchange — similar to NYSE but for cryptocurrencies and without the need to trust a central authority to handle all the funds — that facilitates trading using an international network of computers, in which anyone can take part. BitShares also provides a cryptocurrency token called "BTS", which can be transferred between accounts primecoin mining chart everyday is used to collect fees for network operations and as a collateral for loans.
The platform was designed by Daniel Larimeran American programmer primecoin mining chart everyday entrepreneur, and primecoin mining chart everyday in July While discussing this concept with other crypto-enthusiasts on various Internet forums, he introduced his ideas to Charles Hoskinson, the later co-founder of Ethereum and Cardanowho helped to vet the idea and develop a business plan. Together they presented the primecoin mining chart everyday to Li Xiaolai, a Chinese Bitcoin tycoon, who agreed to fund the development.
On July 4,they founded a company named Invictus Innovations. Larimer aimed to create Bitshares X, a blockchain platform that derives its value from a built-in business primecoin mining chart everyday specifically a decentralized bank and exchange — instead of an Internet meme e. Dogecoin or some technical innovation e.
As he realized that the development would take time, he created BitShares PTS also known as ProtoSharesa bitcoin clone whose tokens were planned to later be upgraded to Bitshares, so that the early backers could be involved with the project by way of mining and trading. The first PTS block was mined on November 5, A few weeks later, Daniel came to the conclusion that the concept of primecoin mining chart everyday was flawed.
He argued that it led to the network centralization in countries with cheap electricity and unfairly high entry requirements for participation, as mining on an average computer quickly became unprofitable.
A month after the release of ProtoShares, around December 1,he announced that his following projects instead of Proof of Work mining would utilize a Proof of Stake derivative, which, in his opinion, was a simple algorithm that could be used by anyone on their home computer. On December 8, Larimer introduced a new consensus algorithm - Delegated Proof Of Stake see belowupon which the BitShares platform was built primecoin mining chart everyday launched on July 19 of the same year.
On October 13, Bitshares had evolved to version 2. According to the developers, the platform is capable of processingtransactions per second tps and even more with minimal optimization. For comparison, VISAone of the largest financial providers in the world, handles, on average, 2, tps with a maximum capacity of 24, tps.
BitShares allows its users to trade on the built-in fully decentralized exchange DEX. While traditional cryptocurrency exchanges rely on their own private servers to store, handle and control all the funds, they also have a history of theft e. Goxbeing hacked e. Bitfinexor closed down e. The idea of a DEX is to have no access to its users' private keys, which are the cryptographic equivalent of a strong password to a regular Internet account, and to operate on a distributed computer network.
This way traders remain in full control of their money and the trading platform itself is more resistant to attacks. Primecoin mining chart everyday accounts on the platform can be set up to be controlled by multiple different accounts, reflecting the hierarchy of permissions in real life organizations, where the funds could be controlled by several people. Such a hierarchical control over funds creates an environment that is less prone to theft or hacking.
The blockchain has a built-in referral program which provides incentives to users who bring new people to the platform, as increasing the number of users strengthens the security of the whole network and raises its market value. Users on BitShares are able to create their own custom tokens in order to, for example, promote their business or facilitate crowdfunding primecoin mining chart everyday a startup. These tokens can be traded or held by other users as a primecoin mining chart everyday cryptocurrency.
The issuer can decide on the token name, description, initial distribution, trading fees and more. According to the developers, a "Smartcoin" is a token that has its value algorithmically adjusted to that of some asset, such as the US dollar, a precious metal or a share of a company.
These tokens primecoin mining chart everyday provide the option to be automatically converted to BTS — "settled" — at any moment without the need to use an exchange. BitShares has its own reserve pool into which it collects the transaction fees. The funds from this pool primecoin mining chart everyday be spent on the improvement of the network and its maintenance.
Any user can propose a project and ask for funding. The other users then vote to decide if the proposal gets approved. Primecoin mining chart everyday model allows the platform to be self-sustaining and primecoin mining chart everyday rely less on external funding. The wallet addresses on the BitShares platform are readable, user defined account names, similar to the regular usernames on the Internet. It utilizes a voting system to control the network parameters such as transaction fees, block intervals, the number of block-producing nodes and to decide which nodes it will be.
This predetermined list of nodes allows for transaction confirmation times of, on average, one second. The block-producing nodes are called "witnesses"; their job is to group the transactions that have been broadcast to the network into "blocks" and add them to the blockchain.
The block production is performed in a round robin pattern so that every primecoin mining chart everyday gets to produce one block per round. Each witness is paid for every valid block it produces while failure to do so results in no payment and a possibility of being voted out as a malicious node. Every day the network updates the witness list in accordance with the user votes.
From Wikipedia, the free encyclopedia. A Blockchain Packed with Features". Proof-of-authority Proof-of-space Proof-of-stake proof-of-work. Dogecoin Gulden Litecoin PotCoin. Dash Decred Primecoin Auroracoin. IO Gridcoin Nxt Waves. Anonymous Internet banking Bitcoin network Complementary currency Crypto-anarchism Cryptocurrency exchange Digital currency Double-spending Electronic money Initial coin offering Airdrop Virtual primecoin mining chart everyday.