Coinmetrics report: Over 2 million Bitcoin Private tokens were covertly premined, breaking the 21 million supply cap
https://www.theblockcrypto.com/2018/12/23/coinmetrics-report-over-2-million-bitcoin-private-tokens-were-covertly-premined-breaking-the-21-million-supply-cap/Coinmetrics, a cryptoasset data provider, released a 10-page report titled: “Don’t trust, verify: A Bitcoin Private case study,” analyzing Bitcoin Private’s coin supply
Bitcoin Private is a fork-merge of Bitcoin and ZClassic, a cryptocurrency with privacy features, which itself was a fork of Zcash
The report found that 2.04 million additional Bitcoin Private units were covertly minted, pushing the actual supply cap of BTCP to 23.04 million, instead of 21 million
Coinmetrics explains that during the UXTO import leading to the Bitcoin Private fork, “special blocks” were produced by the Bitcoin Private network that contained 400 extra outputs containing 50 bitcoins each. Coinmetrics found that there were 102 of these special blocks. By calculating these figures (102 special blocks * 400 extra outputs * 50 bitcoins) Coinmetrics concludes that 2,040,000 additional BTCP were produced. Coinmetrics charted out the expected bitcoin UXTO import vs. the actual import in the chart below.