Proof of Useful Work: ZK-verified Markov state transitions on a Bitcoin-anchored

[MarkovProtocol]

Standard proof of work proves a hash was computed. Nothing more. The nonce that solved the block is discarded the moment it's found. The computation produced no output the world can use.

This protocol does something different. The work function is a Markov regime-switching computation. Every block that gets mined advances a Hidden Markov Model across five asset classes and produces a cryptographically verified economic regime classification. The computation is the product. The chain is the archive.

The Mechanism
Each block contains four fields:

- s_input — starting state vector, derived deterministically from the previous block hash via SHA-256. The miner cannot choose a favorable input.
- M — a 3x3 stochastic governance matrix (genesis matrix is public and fixed at genesis; governance can propose updates via BFT commit-reveal vote)
- s_output — result of applying M to s_input for N steps (current N=2)
- zk_proof — a BN128 Pedersen vector commitment with Schnorr sigma proof (Fiat-Shamir heuristic) attesting that the computation was performed correctly under the canonical M

s_output is a probability distribution over three regimes: ACCUMULATION, MARKUP, DISTRIBUTION. Every block adds one verified observation to the archive.

The full genesis matrix:

M = [[0.70, 0.25, 0.05],
     [0.10, 0.75, 0.15],
     [0.20, 0.15, 0.65]]

ZK Proof System

The proof on each block is a Schnorr sigma proof over the BN128 curve under the Fiat-Shamir heuristic. It proves: "I applied the canonical M to the correct s_input for exactly N steps and produced this s_output." Any node can verify this in milliseconds without re-running the computation. Proofs are stored on-chain and publicly verifiable at api.quantsynth.net/verify/{root}.

Full cryptographic specification: chain.quantsynth.net/zkspec.html

Four-layer Markovian Proof standard (matrix provenance, input commitment, output attestation, miner credibility) defined in the protocol RFC: chain.quantsynth.net/rfc.html

Bitcoin Anchoring via AuxPoW

The chain uses AuxPoW merge mining. Any SHA-256 miner can point at the pool and mine Kovs (the native token) alongside their existing Bitcoin operation at zero additional energy cost. The stratum endpoint is live now.

Two lanes:
- Port 3333 — SHA-256 AuxPoW. Username: YOUR_BTC_ADDRESS.worker
- Port 3334 — RandomX (CPU). Username: YOUR_MKV_ADDRESS.worker

The Reader Layer

Separate from miners is a second participant class: readers. A reader polls the chain tip, reads the s_output vector, classifies the regime, and submits a signed read back to the protocol. Reads are scored 10 blocks later against the on-chain output — the chain scores itself, no oracle required.

Lightweight readers use argmax of s_output. No model, no LLM. Pure Markov classifier. Deep readers bring their own M matrix and run independent synthesis pipelines. When independent readers converge on a regime, that convergence increases consensus confidence. Divergence is also information.

Reader accuracy accumulates on-chain. Leaderboard: api.quantsynth.net/leaderboard

Current State

- Genesis: June 4, 2026
- Height: 113,000+ blocks
- ZK proofs active on all blocks above height 9,287
- Archive: 14.9M verified observations
- Nodes: Nuremberg DE (canonical), Denver CO (replica)
- 4 active miners at genesis

Mine / Run a Reader

Python SDK (CPU miner + data client):

pip install requests numpy py_ecc
curl -O https://api.quantsynth.net/sdk/markovian.py
python3 markovian.py mine --address YOUR_BTC_ADDRESS --node https://api.quantsynth.net

Reader:

curl -O https://api.quantsynth.net/sdk/reader.py
python3 reader.py YOUR_MKV_ADDRESS

Links

- Chain explorer: chain.quantsynth.net
- Node API: api.quantsynth.net
- White paper: chain.quantsynth.net/whitepaper.html
- ZK spec: chain.quantsynth.net/zkspec.html
- RFC: chain.quantsynth.net/rfc.html
- ANN thread: bitcointalk.org/index.php?topic=5585444
- Mining guide: chain.quantsynth.net/mining.html

 :oTechnical questions welcome. Critique of the ZK circuit especially.

[tromp]

Standard proof of work proves a hash was computed. Nothing more.

If by standard, you mean the Hashcash Proof of Work.
There are many other PoW though. such as Primecoin's PoW, Cuckoo Cycle or Equihash,
which prove something else.

The nonce that solved the block is discarded the moment it's found. The computation produced no output the world can use.

Primecoin produces prime number chains like Cunningham chains and Bi-twin chains where primes roughly double or follow a specific sequence.

This protocol does something different. The work function is a Markov regime-switching computation. Every block that gets mined advances a Hidden Markov Model across five asset classes and produces a cryptographically verified economic regime classification. The computation is the product. The chain is the archive.

How can the world use that?

[MarkovProtocol]

 The classifications feed a commercial data product. Institutional quants run Hamilton regime-switching models — this is 35-year-old standard methodology at central banks and hedge funds. The protocol produces those outputs continuously, ZK-verified, archived permanently. The archive is the product. Data buyers pay BTC. Revenue distributes to Kov holders.
 Primecoin produces primes that have no buyer. Cuckoo Cycle proves memory hardness — valuable for ASIC resistance, not for downstream use. This protocol produces regime data that already has a market. The distinction is a paying application.
 

[tromp]

Cuckoo Cycle proves memory hardness — valuable for ASIC resistance, not for downstream use.

Actually,. Cuckoo Cycle (and Cuckatoo Cycle in particular) is rather ASIC friendly; provided the ASIC has enough SRAM on board. It can be considered a proof of SRAM.