Over time, all Proof of Work chains go through halvenings which decrease the mining reward for the miners. Without an extremely high volume of transactions and transaction fees, these chains will be paying their miners a tiny, paltry allowance after only 4 or 5 halvenings.
By paying only very small rewards to miners, PoW chains are not incentivising enough Hashpower and thus become very inexpensive to 51% attack. Hackers can re-organize the blockchain up to 8 months and decimate all users funds, like the attack on Verge (XVG) today.
This will cause all PoW chains except those in the top 10 in terms of activity to die out and fail over time.
With this in mind, 0xBitcoin was launched on the Ethereum Network in Feb 2018 and it is the first PoW coin that is secured not by mining, but by the Ethereum Network. This is because it is an ERC20 token that is pure-mined using SoliditySHA3 algorithm. The PoW challenge, supply schedule, halvenings and difficulty adjustment all happen automatically in the Smart Contract.
It is highly advised that you read the Smart Contract since 0xBTC is the only ERC20 token that lets you prove authenticity and incorruptibility of the money supply. This is because the contract code proves that no tokens were given to the original contract deployer: every single token has been mined using neutral unbiased mathematic Proof of Work.
https://etherscan.io/address/0xb6ed7644c69416d67b522e20bc294a9a9b405b31#codeIf you have more questions check out one of the community websites:
https://0xbitcoin.org As an immutable and immortal PoW currency, 0xBitcoin brings lost-energy-based currency to Defi without the use of Synthetics. You control your own funds. This is because self custody is more important than anything; even price pegs (in our view).
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