# Proof-of-Giving-Backup

By: R Andrews

Date: 11-14-2018

Subject: Proof-of-Giving for Beginners

**How do we explain Proof-of-Giving to a new user?**

POG is a mining algorithm in BiblePay that rewards those who Tithed to the Orphan foundation from the wallets internal pool reward system.

The sum of tithes sent into the orphan foundation from your home wallet over the last 24 hours establishes your tithe_weight in relation to other users.

Once in the pool, you are certain to receive a pool reward within 24 hours (if you have tithe_weight greater than zero).

The block solver receives 20% of the block reward, while the remaining 80% is split by tithe_weight with the chosen recipients.

Note that the higher givers receive up to a 5% tithe_weight bonus (at the expense of the groups share weight). This promotes higher giving (and single consolidated wallets).

**Payment Example:**

Let us assume we have 5 sowers who tithed 10, 20, 30, 40, and 50 bbp respectively.

Let us assume Miner 2 reaped (or solved) the block:

(2,000 BBP bonus is reserved for miner 2 (since s/he found the block; 8,000 bbp remains for the group.)

Block Distribution - Reward: | |
---|---|

Sower 1 reward: | 560 bbp |

Reaper 2 reward: | 1040 bbp + 2000 BBP (finding the block) |

Sower 3 reward: | 1600 bbp |

Sower 4 reward: | 2160 bbp |

Sower 5 reward: | 2640 bbp |

Total: 10000 BBP |

**POG Difficulty Algorithm**

The POG difficulty fluctuates between 0-65535, with 65535 being the hardest and 0 being the easiest. The difficulty is based on how many global tithes have been received over the last 24 hours. The pool has a maximum tithe per day cap (of approx. 100,000 - see the POG wiki for the exact deflation amount). As the pool gets more "full" and approaches its maximum tithe amount allowed per day, difficulty will be increased. Otoh, if the pool is empty, difficulty will be decreased.

The difficulty determines the minimum age of a BiblePay Coin (in your wallet) will be required to be allowed to Tithe. In this way, tithing is not "easy", you must have a coin meeting the minimum age and amount. You are also limited to how much you are allowed to tithe. These three parameters will be available on the UI for easy decision making.

Happy Giving, Generous BiblePayers!