Pushing the fronteirs of new technology, PayCon has released a new wallet update this week with over a dozen new features, most notably being CON for Charity (the ability to have up to 50% of your Stake reward automatically sent to an address of your choosing and an increase in fees on transactions to match the Stake reward.
What is PayCon and Proof of Stake and how does it work?
Proof of Stake mean proof of ownership and it is based on the time in which you received Coins into your wallet. When you receive a transaction, the amount of Coins begin to accumulate Coinage (the amount of Coins in the transaction X days past since receiving it. Once a “Block” of Coins has been stationary in your wallet for a minimum of 2 days, it will begin to compete with other Blocks on the network for a chance to Stake and receive a fixed reward of 30 Coins plus any Fees in the Block. This all happens automatically, with no need to buy any hardware and only requires owning a small amount of Coins to get started.
bitcoin is cost intensive to buy hardware, mining is cost intensive for electricity, you lose value over time vs the overall money supply and requires a lot of technical knowledge to begin mining.
PayCon only requires the wallet and ownership of Coins, Staking happens automatically and can be run on an old laptop. You generate Coins in proportion of your Coins relative to the amount of Coins Staking on the network at any given time, this means that if active in Staking that you gain on your Coins over the total money supply.
Here is an example to help understand Staking a little better.
John sends you 10,000 PayCon to you in one transaction, this becomes a “Block” of 10,000. After 2 days you open your wallet and your Block of Coins “Stake”, confirms a transaction and you receive a reward of 30 CON.
However, the average Block size that will Stake after the minimum age of 2 days is around 500 CON so if John had sent you 20 transactions of 500 CON each (or you split them up by sending them to yourself), each transaction would also Stake after 2 days and you would have received a total of 600 CON!
Think more Blocks are better? the lower the amount in each Block, the longer each Block will take to Stake and at 14 days, each Block will stop accumulating coinage, however after 5 days multiple Block will combine into one Block of 500 or more and will Stake on the network. You have more chance to Stake with more Blocks but each transaction costs 0.05 Coins to send, the key is managing your Blocks efficiently for maximum reward.
If you would like to know more about Proof of Stake (or would like to download the wallet and get started) you can visit us on our announcement thread at https://bitcointalk.org/index.php?topic=937480.0
