XDAG was developed by a Nakamoto-like Russian professor. His codes were so casual that very few people could understand them. The professor was so mysterious that no one knew his real information. Due to his Nakamoto-like style, everyone nicknamed him Satoshi Nakamoto in Russia. In January 2018, the XDAG is launched on public line and in February, the professor “withdrew” due to the disputes with the community and XDAG was maintained by the community fans spontaneously.
However, since XDAG is maintained by the community, XDAG would certainly face a lot of problems. Whenever the professor himself couldn’t stand them, he would come back to lend a hand. In this way, XDAG just grew up cared by its creator and a lot of fans to own the mining pool, the exchange and the consensus in the community. XDAG started to own the circulation price, which rose to about 0.024USD.
Network by POW and DAG
After more than half a year of development, XDAG has gradually showed its own advantages, such as the fast transfer speed, the blocking time is 57S, no handling fees, no ICO/pre-mining, relatively low price, which basically solve the defect of the similar decentralized payment projects.
Compared with the POS and DPOS, POW has the advantage of distribution, high attacking costs and high security level. However, since DAG is a relatively new technology, it will occasionally suffer from some minor problems, but it also solves the problems of slow payment with traditional POW.
However, in the case of the same block packing time with DAG, N blocks can be packed concurrently in the network, so the transaction volume can be expanded to N times. Some well-known projects adopting DAG including IOTA, Byteball and so on. In the case of a large number of transactions, the DAG relieves the crowded traffic and changes only one straight lane into endless loops.
In the DAG, “block = transmission = address”, such a mode has very high efficiency and can basically meet the needs of various applications. All transactions are blocks, and the witnesses will ensure that the first transaction blocks to be linked to the main blocks according to relevant rules. Only the blocks linked to the main blocks are valid, so it solves the problem of uncle block/fork in the POW.
No handling fees means that the mining pool cannot charge commissions from the transactions, which provides a relatively fair mining environment for the diligent mining workers.
The total amount of XDAG is 4 billion, which will be halved in output every four years and exhausted within 160 years. So far, a total of more than 1 billion has been mined. The actual market circulation is still good. According to the structure of mining hash costs, the higher hash for XDAG mining, there will be less average mining revenues and higher costs. If it’s lower than the costs, the mining workers will be unwilling to sell the coins they mined, so the price will rise. At present, it is still in the early stage of the project with great potential for appreciation. The current price is only about 1 yuan, which is still far below the expectation.
After this Spring Festival in China, the price of XDAG rise to 2 yuan. Due to the withdrawal of the creator, the price kept falling. After multipole ups and downs, the price of XDAG is now stable at around 1 yuan.
The official website provides the link to download wallet. At present, XDAG supports GPU and CPU miner but ASIC miner is an exception. And there is already an FPGA mining machine (AGPF SK1) that support XDAG mining on the market.
Mining Pool Standard
Finally, let’s talk about the mining pool.. The charging fee: 1% of mining pool fee, 1% reward for workers who has directly mined blocks, and 1% for community funds. According to the information on official website, the remaining 96% will be shared equally by all the mining workers of the pool.
The XDAG mining pool must be approved by the community. So, the XDAG can endure the stability of the mining pool by means of strict requirements on the pool as well as restrictions on the number of miners in the pool. The mining pools approve by the community on the official website are listed as follows.
Each pool has an upper limit to ensure that the hash will not be over-centralized. In addition, those who want to focus on mining pools must seize the opportunity to make prompt application. The approval period will last about 2 months. The F2Pool has launched XDAG.
Without ICO, the entire XDAG ecosystem is currently maintained by the community and the latest community information can also be obtained on the official website. So, everybody can participate in the revisions or propose recommendations as not only the mining workers but also the community contributors. It’s an ecological model of mutual supervision. Now, it seems that the XDAG is under active development in the right way.
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