Paycoin (XPY) is scam

Quote from: vancefox on January 04, 2015, 01:20:11 AM

I already did in this thread on one of the more important ones... but I'll summarize it:

1) Orion Controllers require a hard fork to get what they're advertised. Currently the tx fees are destroyed and they're supposed to go to the Orion Controllers and Prime Nodes as an added "payment" for holding x # of coins. This isn't too big of a red flag in itself but to spend "months" on a coin release and have "professional" devs build your coin only to have something as trivial as transaction fees being destroyed when they're not supposed to be is, in my opinion, weak.

2) The wallet release was so horrid that there are still constant posts on HashTalk and poor souls entering the realm of IRC looking for help. Some had such a fucked up wallet that their coins were actually locked up in that piece of shit and they couldn't do anything about it without help. It was very obvious that there was very little, if any, GAW support for their qt wallet release as well as very little "non-zencloud" expertise among the gawlets themselves. Thousands of coins were, and possibly still are, at the mercy of good-hearted souls to recover.

3) Prime Nodes... 49 prime nodes that have stake rates of 10% (3 wallets), 20% (2 wallets), 100% (10 wallets), and 350% (35 wallets). Each of the pub keys in those lists are linked to a priv key (not a paycoin address key btw so this was literally built to be anonymous as to which wallet gets what until the blockchain shows through the transaction) that tells the wallet to say it is a prime node.

One thing is that there are 49 prime nodes but 50 keys. The extra key could be anything from 10-350% but I'm going to assume that it's a 350% key that's the odd man out. This means that most likely there is an extra priv key for whoever Josh picks (who do you think Josh will pick to possess that key?) to possess it that stakes higher than the rest of the network suckers.

Just an fyi: The normal staking rate for Paycoin (XPY) is 5%. This means that there will be extreme and unbalanced hyperinflation affecting this coin shortly after the 35 350% prime nodes start dumping/selling/trading their enormous stakes.

4) Revalation noted that there was additional code that I didn't see. I have looked at the code and verified that the additional line @ L974 gives additional numbers that just, well, hide in plain sight how the interest is actually calculated each coin day.

Code:

33 / ( 365 * 33 + 8) = 0.00273790757487762382809259105617

Daily Rate * 350 = 0.95826765120716833983240686965901
Daily Rate * 100 = 0.27379075748776238280925910561686
Daily Rate * 20  = 0.05475815149755247656185182112337
Daily Rate * 10  = 0.02737907574877623828092591056169
Daily Rate * 5    = 0.01368953787438811914046295528084

So above you will see the daily stake rates for all "tiers". If that doesn't show that there will be unequal inflationary pressure on this coin, then nothing will.

So there are 4 specific reasons why I can not approve of, recommend, or support this coin.

In my opinion, it is not a question of if it will fail... it will fail and it's just a question of when.