Peercoin

What Is GPU Mining?

## What is Peercoin?

Peercoin, also known as PPC or Peer-to-Peer Coin, was created by Sunny King and his team and launched in August 2012. It is the first blockchain to implement Proof-of-Stake consensus.

The primary inspiration behind the creation of Peercoin was to address a number of perceived shortcomings of Bitcoin, including energy efficiency, security and sustainability, decentralization and long-term viability.

Essentially it was designed as an enhanced replacement for Bitcoin. As such, it was originally forked from Bitcoin and uses the same UTXO style blockchain. However, Peercoin's code was modified to introduce Proof-of-Stake as its primary consensus protocol. The next section explains how this makes for a better blockchain.

Given that Peercoin uses most of the same code, it can easily port new features from Bitcoin and utilize any of the supporting infrastructure, including tech advancements like Taproot or Lightning Network. Peercoin is the only Proof-of-Stake blockchain that uses modern Bitcoin code, making it the perfect drop-in replacement.

Peercoin also has a dedicated community, is actively developed, fairly distributed, has low barriers of participation, can do everything that Bitcoin does, minus the 13 TWh of energy usage, and it's not a scam.

## How to Obtain Peercoin (PPC) and Wrapped Peercoin (wPPC)

There are two versions, real peercoin (PPC) and wrapped peercoin (wPPC).

PPC is the native coin on the Peercoin blockchain, running now for over 11 years. You can obtain PPC from the following exchanges: https://peercoin.net/resources#exchanges

wPPC is more recent. wPPC is a synthetic Peercoin-backed token that exists on EVM blockchains like Ethereum and Polygon. It can be traded on Uniswap and QuickSwap for example. wPPC is created when real peercoin is wrapped using http://bridge.peercoin.net and destroyed as peercoins are unwrapped. You can obtain wPPC from here: https://peercoin.net/resources#wrapped-ppc

The contract addresses for wrapped peercoin (wPPC) are as follows:

**Ethereum:** 0x044d078F1c86508e13328842Cc75AC021B272958

**Polygon:** 0x91E7E32C710661C44ae44D10Aa86135d91C3Ed65

## What is the Difference Between Proof-of-Stake and Proof-of-Work?

In a Proof-of-Work blockchain, new blocks are created by mining, but in Peercoin’s Proof-of-Stake, new blocks are created by staking.

In a Proof-of-Work blockchain, the act of mining involves using computer processing power to solve blocks. The miner who solves the block first has the privilege of adding that block of transactions to the blockchain, earning them new coins as a reward for their service to the network. 

Ultimately, miners are responsible for validating and processing transactions on a blockchain network, and electricity is the scarce resource they use to do this work.

Naturally, miners will attempt to solve and produce blocks faster than their competitors in an effort to earn more rewards for themselves. Becoming faster than the competition requires more processing power, which inevitably requires more electricity to be burned, an incredibly wasteful process. 

This process works to secure a blockchain, however it ends up centralizing power over the network with pool operators, as most miners will lend their hash power to a few large mining pools in an effort to continue earning rewards.

Economies of scale also play a factor in centralizing Proof-of-Work blockchains, with miners who manage to grow so large that they are able to get better deals on hardware and negotiate better energy prices. They will always outcompete the small home users and drive them out of profitability.

In Peercoin’s Proof-of-Stake system, the scarce resource used to secure the blockchain is not electricity, but time. Basically, the older your coins are, the more time they’ve accumulated sitting in your wallet. Coins with a higher time accumulation have more power to participate in producing blocks and securing the network.

Let’s say you own 100 peercoins, and you want to start minting new blocks. After sitting in your wallet for 30 days, you will have accumulated 3000 “coin days”, because each of those 100 coins is 30 days old. These coin days are the actual minting power of your coins. You can think of your coin days as being similar to your hash rate from traditional mining. Accumulating more coin days means you’re more likely to produce a new block on the chain.

There are a number of rules in place to make this a fair system. 30 days is the minimum time you need to hold your peercoins in your wallet before they can become eligible to start minting. If you transact with your coins, that timer will reset. 

Every time you produce a block, you will earn new peercoins as a reward (about 3-5% annually) and the age of the participating coins will reset to zero. After 90 days, peercoins will hit their maximum minting power. These time limits are all security features designed to decentralize minting power and keep the process fair.

Using time as an integral part of Peercoin's security means that blockchain security becomes inexpensive. It no longer becomes necessary to consume some scarce resource (like burning electricity), which could be used in a more beneficial way.

Why waste electricity at all when a green alternative exists that can perform the same function? Time is also a scarce resource. It is limited. You can't create more of it, and you can't manipulate it, or speed it up to benefit yourself. All you can do is wait, and waiting doesn’t cost anything except your patience.

The main costs for staking in Peercoin are an investment in the coins and time necessary to participate in the staking process. As a result, Peercoin staking is energy efficient, sustainable, and can even be done on low powered devices like the Raspberry Pi. 

Peercoin has proven over the past decade of continuous operation that the energy wasted to secure Proof-of-Work blockchains is completely unnecessary.

## Did Peercoin Really Invent Proof-of-Stake Consensus?

Yes, the Peercoin blockchain is the very first working implementation of proof-of-stake consensus. Peercoin's founder, Sunny King, designed it as a sustainable alternative to Bitcoin’s proof-of-work.

## What is Minting (Staking)?

Staking, or ‘minting” as we call it in Peercoin, is a fundamental concept that plays a key role in securing the network. This is the original Proof-of-Stake mechanism, and arguably the only true Proof-of-Stake mechanism to this day.

When you hold peercoins in your wallet, they begin to accumulate "coin age." Coin age is a measure of the amount of time your coins have been held in your wallet and not used for transactions.

When your coins meet an age of at least 30 days, your wallet is eligible to participate in the staking process. Your wallet competes with others for the opportunity to mint a new block. If your wallet is selected by the protocol, you create a new block, validate transactions, and earn the block reward associated with this new block.

Minting benefits users by allowing them to **1)** directly maintain and secure the blockchain by finding new blocks, **2)** earn block rewards and **3)** directly participate in the consensus and governance process.

## Can Small Coin Holders Participate in Minting?

Given that the core principle of the original peercoin design is to be the most decentralized blockchain, the minting is direct. There is no middleman between the user and the blockchain (like in DPoS) when it comes to minting. There is no gatekeeping either (like a required minimum balance). It is an open market of coinage and a lottery to be the next to find a block. Anyone can participate, even those holding only one PPC have a chance to find a block. It will always be easier if you own more coins, but the main point is that there are no limitations or requirements to mint except the 30 day wait.

## How do I Start Minting with my Peercoin?

Minting is extremely simple, because [the wallet](https://www.peercoin.net/wallet) will do everything automatically. The user needs to download the wallet and deposit some coins. After the necessary 30 days of coinage are accumulated, all that is left to do is to occasionally open the wallet in order to allow it to try to find a new block. Leaving your wallet open 24/7 will allow it to mint continuously, earning you a higher annual percentage reward. Mint rewards are around 3% for periodic minters and up to 5% for continuous minters.

## Does Peercoin Use Proof-of-Work Mining Also?

Peercoin actually uses both Proof-of-Stake and Proof-of-Work. Proof-of-Stake is used for security of the network, while Proof-of-Work is only used as a mechanism for continuous distribution of new coins. This continued distribution helps increase decentralization by ensuring that newly created coins end up on the market where outsiders can buy them.

Essentially, the role of PoW in Peercoin is to create new holders that will mint, rather than placing new inflation only in the hands of existing holders. The PoW in Peercoin is modified from Bitcoin because the block reward automatically decreases as the mining hashrate increases, leading to less inflation over time.

## Why is Peercoin One of the Very Few LEGAL Crypto Assets?

The USA has strict legislation about crypto. Under the laws of the USA - Peercoin is perfectly legal as it had no ICO, no presale, no allocation to team members or founders and no "dev tax" of any sort. Peercoin (just like Bitcoin) distributed its entire supply automatically as block rewards through its consensus protocol (Proof-of-Stake and Proof-of-Work). As a result, Peercoin is NOT a crypto security.

The vast majority of crypto assets however are unregistered securities due to one or a number of the above listed items that cause them to pass the howey test. The law is very clear on this topic. Given that unregistered securities are at higher risk of being targeted by law enforcement, Peercoin's legal status offers both users and exchanges a sense of safety and peace of mind. It is also an excellent indicator of long-term viability.

## What is Something Fun I can do with Peercoin?

[Immutable.place](https://immutable.place/) is a collaborative pixel art project (inspired by Reddit Place) hosted on the Peercoin blockchain. Anyone can produce artworks on a 1000x1000 pixel canvas by spending coins to a burn address. Each pixel has 16 addresses that represent 16 colours. Colours that receive the greatest amount to their address are filled in. The resulting artworks are independently reproducible from the blockchain by querying the balance of addresses. Check [this tutorial](https://www.peercoin.net/blog/immutableplacetutorial/) on how to use it, including ways to place pixels faster.

## Important Links

- [Peecoin.net](https://www.peercoin.net/)
- [Intro Video Series](https://www.youtube.com/playlist?list=PLvd1OhApu6fULYdoGIDBxlNl9qglo2vJG)
- [Twitter](https://twitter.com/PeercoinPPC)
- [Blog](https://www.peercoin.net/blog/)
- [Documentation](https://www.peercoin.net/docs/overview)
- [Forum](https://talk.peercoin.net/)

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The original pioneer of Proof-of-Stake, and the first sustainable blockchain. Since 2012, Peercoin has provided energy efficient transactions and value storage.

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BitShares Blockchain is a decentralized “Blockchain as Organization” (BaO); an industrial-grade decentralized open source platform built to run high-performance financial technology operations. It represents the first decentralized autonomous decentralized community that enables its core utility token (BTS) holders to decide the Blockchain future direction in order to develop and maintain a wide range of decentralized financial technology products, features and functions. BitShares Blockchain is a Blockchain that permanently records financial technology operations between different Blockchain accounts and facilitates a wide range of access controls across BitShares Blockchain user financial means.

BitShares Blockchain is a technology that supports the digital generation entrepreneurs, investors, and developers with a common interest in building and participating in free market solutions by leveraging the power of globally decentralized consensus and decision making. Consensus technology has the power to do for economics what the internet did for information. It can harness the combined power of all humanity to coordinate the discovery and aggregation of real-time knowledge, previously unobtainable. This knowledge can be used to more effectively coordinate the allocation of resources toward their most productive and valuable use.

BitShares looks to extend the innovation of the Blockchain to all industries that rely upon the internet to provide their services. Whether its banking, stock exchanges, lotteries, voting, music, auctions or many others, a digital public ledger allows for the creation of distributed autonomous companies (or BaO) that provide better quality services at a fraction of the cost incurred by their more traditional, centralized counterparts. The advent of (BaO) ushers in a new paradigm in organizational structure in which companies can run without any human management and under the control of an incorruptible set of business rules. These rules are encoded in publicly auditable open source software distributed across the computers of the companies’ shareholders, who effortlessly secure the company from arbitrary control. BitShares does for business what bitcoin did for money by utilizing distributed consensus technology to create companies that are inherently global, transparent, trustworthy, efficient and most importantly profitable.

BitShares has went through many changes and has done its best to stay on top of Blockchain technology. BitShares is using Consensus as the mechanism by which organized people decide upon unitary rational action. While not considered technology in the traditional since, consensus “technology” is the basis of democratic governance and the coordination of free market activity first coined by Adam Smith as the “Invisible Hand.” The process of consensus decision-making allows for all participants to consent upon a resolution of action even if not the favored course of action for each individual participant. Bitcoin was the first system to integrate a fully decentralized consensus method with the modern technology of the internet and peer-to-peer networks in order to more efficiently facilitate the transfer of value through electronic communication. The proof-of-work structure that secures and maintains the Bitcoin network is one manner of organizing individuals who do not necessarily trust one another to act in the best interest of all participants of the network. The BitShares ecosystem employs Delegated Proof of Stake in order to find efficient solutions to distributed consensus decision making.

BitShares

Oxen (formerly known as LOKI) is a privacy tech project with a mission. It’s a private cryptocurrency with instant transactions. An enormous and powerful PoS network. A secure messaging platform. A network anonymity layer. Tools to build a more private future for the Internet — all on blockchain.

Our vision is to provide a range of tools and services powered by the OXEN coin, enabling users and developers all over the world to leverage the power of our decentralised blockchain network to achieve unparalleled privacy and security as they work, play, and live their day-to-day lives on the internet. And this isn’t just an empty vision — we've put in the hard yards and spent years building these technologies to make our vision a reality.

The Oxen privacy stack includes:

Session, a fully anonymous, totally decentralised encrypted messaging platform

Lokinet, a powerful low-latency onion router

Oxen Name System (ONS), a registration system that allows users to provably burn OXEN to purchase temporary or permanent usernames for Session (and Oxen wallets), and domain names for Lokinet services

The Oxen coin is used for:

Staking to run Oxen Service Nodes

Purchasing name registrations for Lokinet (our onion router) and Session (our private messenger)

Transferring value through instant, private transactions with our revolutionary Blink transaction tech

Oxen

Nimiq is designed to make cryptocurrencies easy to use for everyone without compromising decentralization. Nimiq is the only blockchain where users always participate directly by default. In comparison to the likes of Bitcoin and Ethereum where the default is to use a third-party node to connect to the network. Learn more: https://youtu.be/dA40oyDVtqs

Team Nimiq invented Nimiq OASIS, the DeFi crypto-fiat bridge! Atomic swaps between crypto like NIM and BTC (ETH coming soon) and fiat currencies like EUR (USD next) with no personal information are now possible. Earned swap fees are converted to NIM and held to create scarcity. See how it works: https://youtu.be/Spp_Be4dHaM

Nimiq created Albatross, a new, super fast Proof-of-Stake consensus algorithm that will launch with Nimiq 2.0, the next version of the Nimiq Blockchain. We expect ~1000 TPS and finality in one second, pushing Nimiq 2.0 to the theoretical limits of single chain blockchain protocols. Energy consumption will also be reduced to less than 1% (compared to current Nimiq POW) with this upgrade. Try out the demo: https://www.nimiq.com/albatross/

Nimiq’s “super-halving” coming soon! The transition to Nimiq 2.0 will reduce the emission rate from currently ~3000 NIM to only ~525 NIM per minute. Calculate your rewards using the Staking Calculator: https://www.nimiq.com/staking-calculator/

Join the friendly Nimiq Community to ask questions and learn more: https://www.nimiq.com/community/