UTXO Mining
UTXO Mining
The concept of UTXO mining is a reward will be given to you if you provide a distinct unspent set of signed coins in biblepay from one of our partner cryptocurrencies. This establishes proof that you hold a long position in that supported partner currency, therefore earning you a position in your BBP portfolio tracker, and a chance to win the current block reward (9000 BBP as of Jan 2021).
The primary reason UTXO mining is believed to become popular is it appeals to millions of distinct cryptocurrency users who are seeking a staking return on their crypto holdings.
The block reward gives the UTXO miner the impetus to sign the coins and place them into BiblePays ecosystem. (Learn about our signing tool for Dash and BTC, that may be scheduled for development soon).
The longer term benefit includes a constant daily ROI stream for your positions from our daily GSC superblock.
Daily Portfolio Rewards
Modify the Leaderboard, to be a list of participants who hold long stake positions. Each participant CPK will contain the sum of the amounts staked, the distinct list of tickers, and the magnitude, which drives the daily reward.
UTXO Staking Mechanics
A reward weight of .50 is given to BBP, .50 to DASH, .50 to BTC. A UTXO transaction either consists of BBP + a foreign crypto, this gives 1.0 * USD value, or BBP alone which yields .50 * USD value.
Therefore people who only own BBP can stake coins and earn block rewards, and maintain a BBP long position. Or people with a partner currency can earn double the reward.
The wallet will automatically stake oldest coins when creating a Miner Stake transaction. In order to win a block the BBP coins must be older than 24 hours old (this prevents gaming the system for mining rewards).
(Remove PODC, add UTXO Mining rewards).
Role of the Sanctuaries
In addition to being a sponsor for orphans, the sanctuaries will be our Oracles. They will loop through the list of UTXOs, and confirm them. Each day, the GSC reward contract will be verified and only bona-fide stakes will be counted.
Mining Transactions
Remember that we will not get rid of RandomX, therefore the chain will still be secure. Know that even with a 99% lesser RandomX reward, the security will be maintained simply because BBP is merge mined, meaning that it is required that the miner solves the XMR block header (therefore security is still high) even if the reward is reduced.
Therefore we can shift our RX rewards over to Staking Rewards (for our new stake transactions).
If there is no new stake transaction in the current block, the reward continues to go to RX as usual. However if we do have a stake transaction - meaning that someone in our network staked a UTXO + BBP in this timeframe, the block reward will be given to the top staker (in case there is more than one) sorted by UTXO uint256.
The way the mining works is the core wallet will have a staking command that accepts the UTXO argument. BBP will automatically combine this with an applicable BBP UTXO, and will lock these coins. Then it will send a staking transaction to all participants with this info in the chain. This reference will be the perpetual reference point for future rewards, forever, or until the UTXO is spent (if either the BBP or the foreign currency is spent, the contract is nullified).
Rewards are paid daily from our Portfolio leaderboard.
In this way our participants can create custom tailored long crypto positions and earn rewards driven by our market conditions!
Self Advertising
One nice aspect about UTXO mining is it theoretically is self advertising. With PODC, we have a niche where you need to be a sort of power user to run rigs and set it up for mining, but theoretically with UTXO mining anyone who stores coins can set up a reward stream, especially if we create a signing tool that makes it easy to participate. And we still have our RandomX POW to fall back on during periods of non-staking.
If the word gets out that one may earn staking returns on latent crypto, theoretically millions of UTXOs can be locked and word of mouth increases. In contrast to diminishing returns with mining to pay for electricity.
BiblePay Hardening features
- Remove DWS, Dash Stake, DAC type 1 forwarding, and convert to UTXO stake for high security. Leave DWS in pay-only mode until flushed but accept no new DWS. DAC type 1 forwarding - speak with MIP. This makes BBP rewards as hard as Dash and provides no way for one bad actor to "buy" all the sancs and issue fraudulent rewards. - Equal weights and measures: RX is fair, and UTXO rewards are fair. - Do not remove, but add block features for KJV bible, and gospel features. Give God all the credit for BiblePay success.
Long Live BIBLEPAY!
