BFX Coin

POW

WHAT IS CRYPTOCURRENCY ?

A proof of work is a piece of data which is difficult (costly, time-consuming) to produce but easy for others to verify and which satisfies certain requirements. Producing a proof of work can be a random process with low probability so that a lot of trial and error is required on average before a valid proof of work is generated. Bitcoin uses the Hashcash proof of work system.

One application of this idea is using Hashcash as a method to preventing email spam, requiring a proof of work on the email's contents (including the To address), on every email. Legitimate emails will be able to do the work to generate the proof easily (not much work is required for a single email), but mass spam emailers will have difficulty generating the required proofs (which would require huge computational resources).

Hashcash proofs of work are used in Bitcoin for block generation. In order for a block to be accepted by network participants, miners must complete a proof of work which covers all of the data in the block. The difficulty of this work is adjusted so as to limit the rate at which new blocks can be generated by the network to one every 10 minutes. Due to the very low probability of successful generation, this makes it unpredictable which worker computer in the network will be able to generate the next block.

For a block to be valid it must hash to a value less than the current target; this means that each block indicates that work has been done generating it. Each block contains the hash of the preceding block, thus each block has a chain of blocks that together contain a large amount of work. Changing a block (which can only be done by making a new block containing the same predecessor) requires regenerating all successors and redoing the work they contain. This protects the block chain from tampering.

The most widely used proof-of-work scheme is based on SHA-256 and was introduced as a part of Bitcoin. Some other hashing algorithms that are used for proof-of-work include Scrypt, Blake-256, CryptoNight, HEFTY1, Quark, SHA-3, scrypt-jane, scrypt-n, and combinations thereof.

List of Algorithms

Traditional proof of work
  • hashcash with double iterated SHA256
  • hashcash with scrypt internal hash
  • Momentum birthday collision
  • Various other proof of works functions (e.g. Ethereum had a few candidates)

Scrypt proof of work

Scrypt proof of work denotes the Hashcash proof of work using scrypt as underlying hash function. By using a memory-intensive hash function designed to reduce the efficiency of logic circuits, this was claimed to make only CPU mining remain profitable, even with the advent of GPU mining, and completely failed in that goal.

It has been less widely used and analyzed than the SHA2 hashing algorithm used in Bitcoin, so there is some concern about possible weaknesses in its cryptographic scheme being discovered in the future.

Name of the Coin BFX
Coin Type POW + POS HYBRID Coin
Difficulty Retargetting Kimoto Gravity Well
Total Supply 1000 Million
Premined 300 Million
Block Time 6 Mins
Block Reward 500 Coins
Reward Halving 438000 Blocks or 5 years
Mining Stake 1 Millions coins
Staking Reward 12% anuually
Coin age 1 Millions coins