Latest posts of: 100KN

Hello Everyone,

I present to you a 'premise' and a 'proposal' for a better future cryptocurrency, I have spent a few days formulating this in my mind and then on paper. Its a long post and fairly technical, but spend a few minutes following the logic trail and let me know what you think. Criticisms most welcome!

Proof of Work (Bitcoin)

- Energy intensive. Not ecological.
- Centralization. Unfair wealth distribution.
- Unsustainable, may not scale.
- Transaction fees not mandatory
- Reducing block rewards
- Commercial Mining
- 51% attack threat

Proof of Stake (Eth/Nxt,NEM):

- Not trustless
- No verifiable longest chain.
- No 'work' involved
- Blockchain can fork
- No single source of truth, history can be re-written
- Checkpoints need trust.
- Economic inequality, rich get richer.
- Centralization, attack, total collapse.

What I've gathered so far:

- Work (wastage?) is inevitable.
- Transaction fees are necessary.
- Mining is essential economically.
- Monetarism - controlled inflation
- 100% premined will not work eventually.
- Fungibility is essential, but so is transparency. Ideally should offer flexibility, like ShadowCash does; Monero cannot be mainstream.

Proposing a modified "Proof of Activity" (hybridized PoW/PoS)

Gist:
First shortlist lucky miners to sign next block based on stake (even distribution; weighted on stake ); next offer them a 'work' i.e. a complex math problem, (ASIC 'resistant', not asic proof), the first one to solve gets to sign the block and gets the reward.
In reality there is no prior shortlisting and handing them a math problem.
Each node is able to quickly self verify if it qualifies for the stake based lottery**( explained below) and if 'yes', it can begin solving the math problem**(explained below).

------------------------------------------------------------------

Stake based selection:

Design Considerations:

1 - Give weight-age to stake/investment.
2 - Reward 'activity', securing the network.
3 - Balance 1 & 2 such that Miners will NOT consider diversifying investment into accounts.
4 - Prevent centralization to possible extent.

Algorithm:

L = Chain window length , e.g. 50
N = circular counter (1-50), changes with each block
BhX= Hash of Block N, in base-62, 64 digit long
BhY = Hash of Block (L-N), in base-62, 64 digit long
A = node's address in base 62.

Each node performs,

M (mash) = Fa(BhX,BhY), number in base-62, 64 digit long. i.e. Add the two base-62 BhX & BhY, apply modulo '%' to limit length to 64.
Ss (score)= Fcb(M,A) , see link for the basic game, https://www.rosettacode.org/wiki/Bulls_and_cows , but extended as below:
- alphanumeric matching in same position will gather 3 points.
- alphabet matching in same position but different cases (upper,lower) will gather 2 points.
- alphanumeric matching in different position will gather 1 point.

V = UTXOs of node's address 'A' in currency units.

Dfs = Difficulty factor(stake), range 0.0 to 1.0

Q = Dfs * 62 - (log (V) / log (√2))

Note:

- So you can interpret Q value as number of character matches a node is able to find.
- Scroll to the end to find a sample tabulation of V & Q values, for Dfs of 1.0 (unlikely to be used)

A match can gather either of 1,2 or 3 points. So on average a match accumulates 2 points.

if (Ss > 2*Q) then mine();

------------------------------------------------------------------

Proof of Work:

Design Considerations:

1 - Common everyday computers / miners should be able to participate.
2 - Do not use existing ASIC friendly algorithms
3 - Solving should be limited to heuristic techniques at best.
4 - The obvious difficult to solve, but easy to verify.
5 - Invent one, because its fun

Algorithm:

Imagine an everyday number lock, only this one has 62 wheels instead of 3.
Each wheel/dial has 62 unique digits/characters, A-Za-z0-9.
Each wheel is NOT independent, so turning each wheel affects other wheels.
Moving a (any) wheel by 1 step up, moves all the following (progressing to the right) wheels in different number of steps, following some (Fibonacci?) pattern ,and also alternating Up and Down. It also wraps around until it reaches the neighbor on the left.
Also consider the wheels can be turned on Y axis too, and they have similar effects of moving their neighbors below them alternating Left and Right.
Now, the node is supposed to come up with a short route to align numbers on the pseudo 3 dimensional wheel such that,

Sw = Score for work done.
Dw = Difficulty for work/mining
CoR = values of a single column or row that is potentially matching to the address A, based on the scoring system described above (Bulls and Cows based)

Sw = Fcb(CoR,A)

If Sw > Dw sign next block and claim block reward.

Of course this should be easy to verify by the remaining nodes as the winning miner will publish the path(Pt) to align the dials which contain the interested CoR,
The path could be an unoptimized string in this format:

N = Column/Row number
Di = Up/Down
St = Steps to move, min 1 to max 10

[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St],[N][Di][St]

Pt = Path to align the dials, limited to 16 instructions.
pCoR = pointer to CoR, contains the column number or row number of the winning combination.

***sample tabulation of V & Q values, for Dfs of 1.0.

62 10
61 14
60 20
59 28
58 40
57 56
56 79
55 111
54 156
53 220
52 311
51 438
50 617
49 871
48 1,228
47 1,731
46 2,441
45 3,441
44 4,852
43 6,842
42 9,647
41 13,602
40 19,179
39 27,042
38 38,129
37 53,762
36 75,805
35 106,885
34 150,708
33 212,498
32 299,622
31 422,467
30 595,678
29 839,906
28 1,184,268
27 1,669,817
26 2,354,442
25 3,319,764
24 4,680,867
23 6,600,022
22 9,306,031
21 13,121,504
20 18,501,321
19 26,086,862
18 36,782,476
17 51,863,291
16 73,127,240
15 103,109,408
14 145,384,266
13 204,991,815
12 289,038,459
11 407,544,227
10 574,637,360
9 810,238,677
8 1,142,436,535