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Author Topic: [ANN][KMD][dPoW] Komodo - An Open, Composable Smart Chain Platform, Secured by B  (Read 1192044 times)
ohweoh
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November 23, 2016, 04:20:38 AM
 #2681

after BTCD swap , did number of  kmd coin for btc investors will drop.

No each BTC investor gets 1 KMD for each 0.00012907 BTC he invested. The number of KMD coin for BTC investors was announced by KomodoPlatform after the end of the ICO.

Each BTCD holder swaps one BTCD for 50.448 KMD, but that doesn't change the number of KMD the BTC investors get.


Calculation were made, and the official (more precise) exchange rates are:
1 KMD = 0.00012907 BTC
1 BTCD = 50.448 KMD

Total Market Cap: 12,900 BTC



I think you all mean 0.012907.

.00012907 would mean you get  770950 KMD for each xbt you have invested.

1 XBT = 100 satoshi  

129 XBT = 1 KMD



Not to be a picky, but Kraken uses XBT as a representation of BTC. Not that Kraken should decide terminology, but just pointing out that XBT isn't used universally the way you specified.

I use quadrigacx and its xbt also.
Just making sure the numbers are what they are as I invested the equivalent of 4.39 BTC and my projected total is north of 33000 KMD as per the Komodo ICO page
boomboom
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November 23, 2016, 05:29:33 AM
 #2682


This is an pretty impressive ammount you have there  Wink
Allow me the question, how will you ensure you can definitely get one node actively running? I understand there are 16 spots in each region. Everybody has one vote for each of the 4 regions. So for one region there could be the scenario, that you will be outvoted, especially with combined voting power of others. This assumtion is also valid for the other regions. Just curious how you can ensure this offer with 100% confidence...
Cheers!

Yes, I was not aware of this aspect of the election process (each KMD votes in each region). I had anticipated a node quota being 1/64 of 100M KMD, with this scheme a node quota will be 1/16 of KMD, which is 6.25% of the vote. Even with ~2.7% of the vote I am clearly well under half a quota now. I am considering whether to run now at all as I don't believe I would get elected now. My 'plan B' option of hiring a node operator myself to run a 'guaranteed' node looks to be dead in the water. Maybe 2-3 other individuals could combine votes with me into 6.25% of the total vote and then we run 4  guaranteed nodes, but that is more difficult. As I said above, I prefer a set-and-forget arrangement that gives me a nice income stream. Less is more for me if the arrangement is simple and easy to manage!

Others have mentioned the likelihood of 'voting pools' starting eventually, similar to mining pools in PoW coins, and forging pools in NXT. I will wait and see what happens there. I am not too keen on the idea of just selling my vote to the highest bidder, but 2.69% of the vote does have some value. I do want to see viable and stable node operators emerge, but where there are elections and money involved, there will always be coalitions, horse-trading, & deals made to get people elected. I will wait and see what happens. I will say I have no complaint on the election scheme. I was not aware of this detail, but it makes sense why it was chosen.

I don't think selling votes makes much sense until KMD price is A LOT higher, most nodes will make a small loss or small profit for a couple of years, even with the subsidy, so node runners wont have cash to buy votes. When KMD price is high it'll be a different story ... that's when things might get Funky with vote trading.

How many KMD can a node mine in a month anyway?
polycryptoblog
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November 23, 2016, 06:22:44 AM
 #2683


This is an pretty impressive ammount you have there  Wink
Allow me the question, how will you ensure you can definitely get one node actively running? I understand there are 16 spots in each region. Everybody has one vote for each of the 4 regions. So for one region there could be the scenario, that you will be outvoted, especially with combined voting power of others. This assumtion is also valid for the other regions. Just curious how you can ensure this offer with 100% confidence...
Cheers!

Yes, I was not aware of this aspect of the election process (each KMD votes in each region). I had anticipated a node quota being 1/64 of 100M KMD, with this scheme a node quota will be 1/16 of KMD, which is 6.25% of the vote. Even with ~2.7% of the vote I am clearly well under half a quota now. I am considering whether to run now at all as I don't believe I would get elected now. My 'plan B' option of hiring a node operator myself to run a 'guaranteed' node looks to be dead in the water. Maybe 2-3 other individuals could combine votes with me into 6.25% of the total vote and then we run 4  guaranteed nodes, but that is more difficult. As I said above, I prefer a set-and-forget arrangement that gives me a nice income stream. Less is more for me if the arrangement is simple and easy to manage!

Others have mentioned the likelihood of 'voting pools' starting eventually, similar to mining pools in PoW coins, and forging pools in NXT. I will wait and see what happens there. I am not too keen on the idea of just selling my vote to the highest bidder, but 2.69% of the vote does have some value. I do want to see viable and stable node operators emerge, but where there are elections and money involved, there will always be coalitions, horse-trading, & deals made to get people elected. I will wait and see what happens. I will say I have no complaint on the election scheme. I was not aware of this detail, but it makes sense why it was chosen.

I don't think selling votes makes much sense until KMD price is A LOT higher, most nodes will make a small loss or small profit for a couple of years, even with the subsidy, so node runners wont have cash to buy votes. When KMD price is high it'll be a different story ... that's when things might get Funky with vote trading.

How many KMD can a node mine in a month anyway?

Approximately  2700 a month if there are 48 notary nodes,  that number doesn't factor in non-notarynode miners, so it will probably be lower than that.
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November 23, 2016, 06:27:15 AM
 #2684

I am sorry if this has been asked before..

http://blog.zcoin.tech/zcoin-and-zcash/

Why the zcash choice.

Zcoin is the same but allows the overall coin balance of the platform to be known so that if a major error happens it can be caught.

https://soundcloud.com/cryptoholics/ep02-interview-with-riccardo-spagni-of-monero-and-gary-le-of-zcoin

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LiskEnterprise
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November 23, 2016, 06:31:47 AM
 #2685

JL777 how do you feel about Komodo and SuperNET if SAFE successfully launches?

Having a server-less internet seems ideal, do you have views on this and how SuperNet will combine or be independent from this?

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barbierir
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November 23, 2016, 06:49:16 AM
 #2686


Why the zcash choice.



A similar question was posted before and this was jl777 answer:


Did the dev team ever consider using Zcoin over Zcash?
you must be kidding.

why would we choose an obsolete 3 year old libzerocoin implementation that has significant bloat issues?

it would be like choosing an Intel 8080 CPU over Xeon

so no, never considered zcoin

I was thinking more of how parameter generation happens in both, I just read this comparison,

http://blog.zcoin.tech/zcoin-and-zcash/
You mean "Zcoin uses parameters generated 25 years ago from the RSA Factoring Challenge." those "secure" parameters??

If you would rather trust parameters generated by a single entity that has been caught putting backdoors into encryption, then that is your choice. Keep in mind that if anybody in the 25 years has gotten a hold of the RSA factoring parameters, it is compromised. What assurance is there that it hasnt been compromised?

As opposed to zcash which will use a carefully thought out parallel oblivious transfer method with a peer reviewed research paper where all participants need to be compromised.

We might as well compare zcash to ring signatures.

There is a lot of FUD against zcash parameters, but nobody has described to me how all the zcash parameter creation participants will be fooled into running the mystery laptop gift that just arrived in the mail. Or that they can all be bought. Or all their systems can be compromised.

It is not that any one of them can be compromised to compromise the parameters. ALL participants need to be compromised.

Good points, I'm still trying to get my mind around things. Which organisation created the Zcoin parameters 25 years ago? That is the key 'trust' point in Zcoin
RSA
you are putting your trust in RSA
the same one as in this article: http://arstechnica.com/security/2013/12/report-nsa-paid-rsa-to-make-flawed-crypto-algorithm-the-default/


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LiskEnterprise
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November 23, 2016, 07:13:35 AM
 #2687


Why the zcash choice.



A similar question was posted before and this was jl777 answer:


Did the dev team ever consider using Zcoin over Zcash?
you must be kidding.

why would we choose an obsolete 3 year old libzerocoin implementation that has significant bloat issues?

it would be like choosing an Intel 8080 CPU over Xeon

so no, never considered zcoin

I was thinking more of how parameter generation happens in both, I just read this comparison,

http://blog.zcoin.tech/zcoin-and-zcash/
You mean "Zcoin uses parameters generated 25 years ago from the RSA Factoring Challenge." those "secure" parameters??

If you would rather trust parameters generated by a single entity that has been caught putting backdoors into encryption, then that is your choice. Keep in mind that if anybody in the 25 years has gotten a hold of the RSA factoring parameters, it is compromised. What assurance is there that it hasnt been compromised?

As opposed to zcash which will use a carefully thought out parallel oblivious transfer method with a peer reviewed research paper where all participants need to be compromised.

We might as well compare zcash to ring signatures.

There is a lot of FUD against zcash parameters, but nobody has described to me how all the zcash parameter creation participants will be fooled into running the mystery laptop gift that just arrived in the mail. Or that they can all be bought. Or all their systems can be compromised.

It is not that any one of them can be compromised to compromise the parameters. ALL participants need to be compromised.

Good points, I'm still trying to get my mind around things. Which organisation created the Zcoin parameters 25 years ago? That is the key 'trust' point in Zcoin
RSA
you are putting your trust in RSA
the same one as in this article: http://arstechnica.com/security/2013/12/report-nsa-paid-rsa-to-make-flawed-crypto-algorithm-the-default/



Ok thats great, always straight to the point answers - i appreciate it..

http://heatledger.com LIVE ICO 3.0 GENERATION CRYPTO WITH COMPANY STOCK IPO OPTIONS
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November 23, 2016, 07:13:54 AM
 #2688

It such a wasted opportunity that I have not participate in notary node election . What a great opportunity would it be. Is there another round of election after the first?

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PondSea
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November 23, 2016, 09:08:19 AM
 #2689

It such a wasted opportunity that I have not participate in notary node election . What a great opportunity would it be. Is there another round of election after the first?

Yes but time period is not determined yet.





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jl777 (OP)
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November 23, 2016, 11:40:27 AM
 #2690

P-Trump runs for KMD node election!

I have been accumulating BTCD since 2014, my bags are full.

On present ICO numbers I am guaranteed one of the 64 notary nodes with my vote alone.

I am looking for an experienced and qualified person to setup and maintain a top quality node that meets all jl777's node specifications.

My guarantee to you 'I will never sell down my KMD, I will have sufficient KMD to get elected forever'

Your guarantee to me 'You will run a high quality node with above average reliability forever'

You will manage and pay for the node, and in return you will get 50% of the profits from the node, forever!

My offer is conditional on me winning a node, which is only guaranteed if there are 64 nodes, and on your ability to prove you can run and pay for a full spec node now.

I will try and verify your claim with jl777 and/or other Komodo organisers before we sign any agreements. By that time you will know I have sufficient KMD to have been elected

If there are less than 64 notary nodes at launch I may not win. If this happens I will keep my powder dry until there is an election for a full compliment of 64 notary nodes. Then I will win a node.

If you're interested please reply here. This is not a first-in-best-dressed offer, so take your time to think this offer through. I'm looking for the best candidate I can find who wants to run a notary node for a long time.



I ended up with 2.69M KMD (i.e. 2.69% of the vote)

I've had a few enquiries so far.

Now that the ICO is over attention should turn towards the coming election.

At one extreme there are tech guys with skills & time to run nodes, but not enough KMD/votes to elect themselves

At the other end there are guys with enough KMD/votes to elect themselves, but not enough time & skills to run a node

Some testnet node operators will have sufficient KMD/votes to elect themselves - my offer is obviously not of interest to you

Some testnet node operators will have arrangements with other large holders now - my offer is probably not of interest to you now (but maybe later)

Some testnet node operators will not have sufficient KMD/votes to elect themselves AND they don't have a current arrangement with another large holder - my offer should be of interest to you!

To those people running testnet notary nodes I will point out the obvious - If you don't get elected, you wont be running a notary node!

I'm looking for a long-term 'set and forget' arrangement. Assuming a standard first-past-the-post voting system, my KMD/vote quota should be enough to guarantee ~1.5 notary nodes ... Forever!

I accumulated BTCD since 2014 in the hope of securing a hassle free income stream for many years, I'm planning to hodl my KMD for many many years.

If you want a hassle free income stream for many many years too, but you're not 100% sure that you'll get elected, and KEEP getting elected, then my offer might be worth considering.

If I can't come to a mutually beneficial long-term relationship then I'll bite the bullet and pay someone to setup and manage a node for me, and I'll keep 100% of the profits.

BUT, I'd be happy with 50% of the profits if I didn't have to worry about ANYTHING.

I do really want a set and FORGET arrangement, and I'm prepared to pay 50% of the profits from running a notary node to get it.



This is an pretty impressive ammount you have there  Wink
Allow me the question, how will you ensure you can definitely get one node actively running? I understand there are 16 spots in each region. Everybody has one vote for each of the 4 regions. So for one region there could be the scenario, that you will be outvoted, especially with combined voting power of others. This assumtion is also valid for the other regions. Just curious how you can ensure this offer with 100% confidence...
Cheers!

Yes, I was not aware of this aspect of the election process (each KMD votes in each region). I had anticipated a node quota being 1/64 of 100M KMD, with this scheme a node quota will be 1/16 of KMD, which is 6.25% of the vote. Even with ~2.7% of the vote I am clearly well under half a quota now. I am considering whether to run now at all as I don't believe I would get elected now. My 'plan B' option of hiring a node operator myself to run a 'guaranteed' node looks to be dead in the water. Maybe 2-3 other individuals could combine votes with me into 6.25% of the total vote and then we run 4  guaranteed nodes, but that is more difficult. As I said above, I prefer a set-and-forget arrangement that gives me a nice income stream. Less is more for me if the arrangement is simple and easy to manage!

Others have mentioned the likelihood of 'voting pools' starting eventually, similar to mining pools in PoW coins, and forging pools in NXT. I will wait and see what happens there. I am not too keen on the idea of just selling my vote to the highest bidder, but 2.69% of the vote does have some value. I do want to see viable and stable node operators emerge, but where there are elections and money involved, there will always be coalitions, horse-trading, & deals made to get people elected. I will wait and see what happens. I will say I have no complaint on the election scheme. I was not aware of this detail, but it makes sense why it was chosen.
A lot of voting will be somewhat random and spread out across all candidates, so any node that gets a significant stake voting for it will get a very large chance to win.

It is like the swing states votes. A relatively small amount of voting power determines the winner.

I think it is good that a large stakeholder is actively campaigning and I would assume many others would too and so you should get votes from the rest of the voters.

http://www.digitalcatallaxy.com/report2015.html
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November 23, 2016, 11:43:40 AM
 #2691

JL777 how do you feel about Komodo and SuperNET if SAFE successfully launches?

Having a server-less internet seems ideal, do you have views on this and how SuperNet will combine or be independent from this?
I am always looking at new technology and how to best utilize it. If SAFE gets established and provides a good value, then I would certainly consider integrating it.

However, it is not any high priority at this point as I want to get the current round of projects completed first

http://www.digitalcatallaxy.com/report2015.html
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November 23, 2016, 12:21:01 PM
 #2692

After the crash of ZEC... I don't think this coin will do something... and with all those new scam clones of ZEC (ZCL, ZDASH,...) it won't help either.

I hope people can ask for a refunds Wink

Are you talking about one of those coins you mentioned or Komodo? Sorry but, most of us disagree with you and we have put our BTC on the line to prove it. And, ZEC didn't crash, it is simple reaching its true value. KMD tech is miles ahead of ZEC already.


i totally agree with your point, but however zec's price is not a match and won't well cover with it production spends. in another way , its not a profitable coin for miner. so i wish zcash devs enjoy their 20% shares and hold it tight, else it will plump again.
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November 23, 2016, 01:30:44 PM
 #2693

Yesterday we dealt with a diff bomb!

It was a self-inflicted one due to a small problem with the mining algo, but that combined with a few missing notary nodes to almost stop the blocks.

Diff peaked at over 10 billion.

The good news is this was a nice fire fighting drill to see how well komodo responds to such an event. No matter how much you prepare, the unexpected will always arrive unexpectedly. So it is good to be able to respond.

And respond we did. I was already a bit nervous about the rapidly rising diff and had made a corrective release, but we needed a much more forceful way to reduce the diff. I also solved how to avoid such a diff explosion (and implosion) in the future and the good news for non-notary miners is that at least 1 block in 64 will be available for normal mining. Additionally any miner that is not online to mine their blocks will lose it to the non-notary miners. Though the notaries can also do non-notary mining.

I am not sure what percentage of notaries will be offline at any given moment, but now there is a specific financial penalty of the lost KMD to provide a direct feedback to incentivize being online 100% of the time.

By having at least 1 block in 65 go to external miners, the diff will be tied to the actual hashrate. It might sound easy to create a dual-diff mechanism that allows notary nodes to mine at easy diff, while still allowing non-notary nodes to mine at normal diff, with a seamless transition between the two.

Its actually quite tricky to avoid all the edge cases and I have had to evolve the algo to arrive at the current solution. Initially it was a literal round-robin where for a given block only one notary was able to mine it at low diff. This was not bad, but it affected the block production whenever a notary node is not online. Also, the lowdiff makes it trivial to find a block and without a delay, we would end up with a really fast block.

There is another issue that needs to be avoided and that is a mining war between notary nodes. While this is not the end of the world, the financial model is affected as the mined KMD is expected to be a significant part of the notary's revenues and we are wanting to minimize the BTC subsidy needed. If real mining resources are needed on top of everything else, each notary's financial equation changes, not to mention the reallocation of the precious KMD.

Ideally, we can rely on the notary nodes to not compete as they are a team, but considering the massive controversy over what region some border countries belong to, I would feel better if there was a technical enforcement of the round robin.

Now this timer is what created the diff explosion. I had it set to 45 seconds, figuring that it was close to 60 seconds and at the time it was before the ratification of the 64 notaries, so there was a lot of non-notary blocks, thus minimizing the faster block issue. Granted if all notaries changed their timer to 30 seconds or less for whatever reason, this would have been an issue.

Then the ratification of the 64 notaries got into the blockchain and activated.

At that point the vast majority of blocks came in at 45 seconds to 50 seconds, which triggers a diff increase to slow down the blocks. Of course, the notary exemption doesnt care what the actual diff is, so we ended up in a never ending increase of the diff. Which by itself is not such and issue as if a notary is going to mine a block at low diff, what does it matter? It matters when the designated notary node is not there and it would take 20 million CPUs to mine the next block!

I had enhanced the set of eligible notary nodes for low diff to be the chosen node plus any notary that didnt generate any of the previous 63 blocks. Which worked quite well until we got to where all active notaries had generated a block recently and the current chosen notary was missing.

After I released a few hotfixes, we ended up not able to tell which was the right mainchain as the blocks were so slow and you cant resolve a fork on the block it forks. Anyway, after a notary wide fire drill to update to the hotfix version, we got the blocks coming in regularly again and the diff is down over 1000x and is currently ~3 million. Another day and it should get down to a reasonable mineable level which is required for proper operation of the system.

The current post-82000 height solution to this is as follows:

A) At any given height, any notary that hasnt generated a block in the prior 65 blocks is eligible for low diff.

B) After a block is mined, a minimum of 59 seconds from start of mining is ensured before submitting to the network, with another 0 to 2 seconds randomly added.

I believe these two simple rules achieves all the desired properties, including avoiding a mining war between notary nodes and preventing artificial speeding up of blocks.

There is little to gain from reducing the 59 second delay as after a block is mined, a notary needs to wait for all the others to mine a block and also the one external. So all reducing the time would do is create one fast block. And if many notaries somehow all decide to do this, we have the diff explosion to disincentivize such fiddling. What point to generate blocks a bit faster if it just creates a diff explosion event. Also, it will be easily seen on the blockchain that a specific notary has adjusted the setting, so it is not anything that would go unnoticed.

Blocks will come in like clockwork, literally, as most all the blocks are based on the clock 59 seconds + random(2 seconds) for average of 60 seconds. Currently this is not active, but already it can be seen that blocks are quite regular: http://www.zpool.ca/explorer/1720

This method is also very resilient from a missing notary condition as it does not matter which notary, just any notary that doesnt have a recent (within 65 blocks) mined block. which means if any such notary is available, a new block arrives. After the initial race as to who wins the intial blocks, we end up in a randomized round robin as at any given block, all notaries have already mined a recent block and have to wait for the single eligible node to mine its block.

And here is where the external (non-notary) mined block comes into play to calibrate the diff to reality. Whenever all notaries are waiting, which would be (1 + inactive notaries) blocks per 65, the block is up for grabs for external miners and ineligible notaries.

It is a good sign that by simplifying things it achieves more. If anybody sees any issues, please post! There might well be a way to improve it more, but at least the current solution guarantees blocks to online notaries, gets us clockwork blocks, calibrates diff to reality and penalizes offline notaries.

My assessment is that Komodo during pre-mainnet has responded to a blockchain event as well or better than most mainnet coins and kudos to all the notary operators!

On the coding side, I am down to a couple of final issues dealing with the fiat chains and once that is done the current mainchain can become the official mainchain. I estimate 95%+ chance that the current "testnet" chain will become the actual mainnet, which means all test coins mined are the real KMD

http://www.digitalcatallaxy.com/report2015.html
100+ page annual report for SuperNET
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November 23, 2016, 01:40:11 PM
 #2694

I estimate 95%+ chance that the current "testnet" chain will become the actual mainnet, which means all test coins mined are the real KMD

Awesome!  This would pay for a lot of testnet hardware expenses.

MoveCrypto for Komodo Notary
https://komodoplatform.com/
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November 23, 2016, 02:17:11 PM
 #2695

Thanks for the update on the forum James. It was nice to see how most of the testnet node operators together responded quickly and tried to bring the diff to normal heights. It was going to the roof!!

Cool to be part of this.  Smiley
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November 23, 2016, 03:22:41 PM
 #2696

Komodo Dev Blog: Unexpected Difficulty Explosion Drill.


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November 23, 2016, 09:44:43 PM
 #2697

Yes, I was not aware of this aspect of the election process (each KMD votes in each region). I had anticipated a node quota being 1/64 of 100M KMD, with this scheme a node quota will be 1/16 of KMD, which is 6.25% of the vote. Even with ~2.7% of the vote I am clearly well under half a quota now. I am considering whether to run now at all as I don't believe I would get elected now. My 'plan B' option of hiring a node operator myself to run a 'guaranteed' node looks to be dead in the water. Maybe 2-3 other individuals could combine votes with me into 6.25% of the total vote and then we run 4  guaranteed nodes, but that is more difficult. As I said above, I prefer a set-and-forget arrangement that gives me a nice income stream. Less is more for me if the arrangement is simple and easy to manage!

Others have mentioned the likelihood of 'voting pools' starting eventually, similar to mining pools in PoW coins, and forging pools in NXT. I will wait and see what happens there. I am not too keen on the idea of just selling my vote to the highest bidder, but 2.69% of the vote does have some value. I do want to see viable and stable node operators emerge, but where there are elections and money involved, there will always be coalitions, horse-trading, & deals made to get people elected. I will wait and see what happens. I will say I have no complaint on the election scheme. I was not aware of this detail, but it makes sense why it was chosen.
A lot of voting will be somewhat random and spread out across all candidates, so any node that gets a significant stake voting for it will get a very large chance to win.

It is like the swing states votes. A relatively small amount of voting power determines the winner.

I think it is good that a large stakeholder is actively campaigning and I would assume many others would too and so you should get votes from the rest of the voters.

Thanks James! I think it'll take a while to fully digest the situation with the node elections. I've faced some criticism of my actions in private, and maybe some people think big holders of KMD should just vote for good node candidates and not try and make any return for themselves. I understand this point of view, and it makes sense for the first few elections. But later on I think it's best to view things from a different perspective. Let me give an example that illustrates how I view the notary node economy.

In my city, as in many others, the government wants to insure a good taxi cab service is provided to the city residents. They set the number of taxi licences and auction them off periodically. Occasionally they will buy some licences back too. Their goal is to find the 'sweet' spot for taxi numbers - too many licences and competition is too great, and drivers can't make a decent living so drop out, or cherry pick the prime times and locations only, so overall service levels decline - but too few licences and while drivers can now make a good living, there aren't enough cabs to provide a reliable city wide service.

With Komodo nodes we have a similar situation to taxi cab numbers. We want a reliable global service - too many notary node numbers and competition will be too great and operators wont be able to earn a stable income, so overall notary service level will decline - too few nodes and operator income is stable, but there aren't enough nodes to provide a reliable global service.

In the taxi example the government sets the number of taxi licenses and auctions them off. Some drivers will start off in the industry as a wage earning driving for another licence holder, then they save up and buy their own licence and graduate to an owner/driver. Some will often buy up a second and third licence as they accumulate savings, and they will hire drivers for their other taxis (i.e. they share the guaranteed income from the licence they purchased with a driver who doesn't own a licence). So a taxi licence is a valuable asset, it can provide a stable income for the owner, from being a taxi driver OR from hiring a driver and sharing the guaranteed income.

With Komodo, jl777 could have auctioned off 64 notary node licences as an alternative method to the election system. It could achieve the same result, stable income for node operators and reliable notary service for the network. With the election system there aren't 64 explicit node licences as with the taxi example, but the 100M 'votes' of KMD holders perform the same function. If you want to drive a taxi and earn a stable income you either buy a licence for yourself and drive the cab, or you come to a profit sharing agreement with someone who owns a spare taxi licence. In a similar way, if you want to earn a stable income running a node you don't buy a notary node licence, but you need to 'acquire' sufficient votes for a notary quota in the election.

At the start when KMD price is low it does make sense to support existing testnet guys,  at monero sized marketcap it becomes a little more like the taxi example. At ethereum marketcap running KMD nodes will be highly profitable, so it will definitely start feeling like the taxi example.

So if I own 2.7M KMD votes it means I own equivalent to ~40% of a node 'licence' in each region. If I use that to make some income it's the same as if I bought 40% of a taxi licence and hired a driver. The driver does the work, but I own 40% of what gives him the ability to do the work. That is what restricting the number of nodes to 64 means. The KMD votes have a value in the system, by design.

That's how I see things anyway.
Depending on the market price of KMD, a notary node is either a way to make a bit of money each month in exchange for a bit of time, or a money printing machine.

Based on the randomized round robin, each notary node (at 64) will get approx 2000 KMD per month. At 6 cents, this requires some BTC subsidy to cover the costs of the notary operators. At 25 cents, it is self-sufficient without any need for BTC subsidy. At $1, well it is a nice income in most parts of the world, etc.

So the election dynamics will definitely change as the KMD market price changes. However, KMD enabling people with money to make more money, well that is the golden rule and I dont see anything wrong with that. Especially as in order to protect their investment, they will need to ensure stable servers.

http://www.digitalcatallaxy.com/report2015.html
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November 23, 2016, 09:55:50 PM
 #2698



I have to say, I am having a hard time believing that people gave up 1,951,627 BTCD to invest in an unproven Komodo platform that is a fork of the Zcash platform, when only 2688 BTC was invested by 1060 people. I accept the BTC because I see the numbers, but I cannot see the actual number of investors that parted with the BTCD.

Call me a Skeptic but it doesn't make a whole lot of sense. There have been scammers before that have falsified the numbers on an ICO just to keep more for themselves.



I believe you are misunderstanding the situation.  The ~1.3 million BTCD is able to be swapped at a fixed rate of .00651 BTC into Komodo.  This swap is available for 1 year.   The Komodo that is left over from BTCD that did not get swapped ( coins lost, forgotten, owner missing )  will go towards the development fund.   

So by the end of 2017, all of the Komodo coins from the ICO will be distributed,  regardless if people decide to hold on to their BTCD for more than 1 year.


The numbers are not falsified  they just take into account the fact that all coins will distributed and since the number of BTCD is known and the swap rate is known, the equivalent BTC value can be calculated.

Thank you for the explanation. I appreciate the information.
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November 23, 2016, 10:19:32 PM
 #2699


Interview!

Audo had an interview with Superbcrew.com. In it he talked about SuperNET, Komodo, and their vision & roadmap. Enjoy  Cool



http://www.superbcrew.com/supernet-aims-to-decentralize-financial-services-and-bring-them-together-under-the-same-roof/

◈▣ KOMODO ● Set Your Ideas Free ▣◈
.......AECOSYSTEFONATIVE BLOCKCHAINS.......
Blockchain Generator | Atomic Swaps | Decentralized Exchange | UTXO Contracts | Community-Led | Open Source | Scalable Ecosystem
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November 23, 2016, 10:23:53 PM
 #2700

Interview: SuperNET Aims To Decentralize Financial Services And Bring Them Together Under The Same Roof.


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