Peercoin

Last updated
Peercoin
Logo of the Peercoin.png
Denominations
PluralPPC, Peercoins
CodePPC
Subunits
 1⁄100mPPC (millicoin)
 1⁄1000000μPPC (microcoin)
Development
Original author(s)Scott Nadal, Sunny King (pseudonym)
White paper "Peercoin Documentation"
Initial release12 August 2012, 17:57:38 UTC
Latest release 0.15.0 / 21 February 2025
Code repository github.com/peercoin/peercoin
Development statusActive
Source modelOpen source
License MIT/X11
Ledger
Ledger start12 August 2012, 18:00:00 UTC
Timestamping scheme Hybrid Proof-of-stake and Proof-of-work
Hash function SHA-256
Block rewardVariable; depends on network difficulty
Block time8.6 minutes
Block explorer https://chainz.cryptoid.info/ppc/
Circulating supply29.3M PPC (9 December 2024)
Supply limitUnlimited
Valuation
Exchange rate US$0.50 (9 December 2024)
Website
Website www.peercoin.net

    Peercoin, also known as Peer-to-Peer Coin, PP Coin, or PPC, is a cryptocurrency utilizing both proof-of-stake and proof-of-work systems. [1] [2] It is notable as the first cryptocurrency to implement the proof-of-stake consensus mechanism. [3]

    Contents

    History

    Peercoin is based on an August 2012 [4] paper that listed the authors as Scott Nadal and Sunny King. King, who also created Primecoin, is a pseudonym. [5]

    The Peercoin source code is distributed under the MIT/X11 software license.[ citation needed ]

    Economics

    Peercoin uses both the proof-of-work and proof-of-stake algorithms. [6] Both are used to spread the distribution of new coins. During its primary years, Peercoin relied heavily on PoW, although there has now been a transition to PoS. [7] Proof-of-stake is used to secure the network: The chain with longest PoS coin age wins in case of a blockchain split-up.

    To target a global 1% annual inflation rate, individual stakes typically receive a 3 - 5% annual reward, as only a minority of coins are actively staked. [8] This reward is based on a dynamic portion (75% of the reward) and a static portion (25% of the reward). [9] The dynamic portion of the reward for an individual stake is based on the number of coins, their unspent age, and degree of global staking participation. Stake-for-Stake, periods of low (high) global staking participation will result in a higher (lower) dynamic reward. The static portion of the reward is based on the fraction of the existing total coin supply minted on average in a year, and is awarded regardless of stake size. As of December 2024, the static reward for a proof-of-stake block is approximately 1.4 PPC. [10]

    A transaction fee prevents spam and is burned (instead of being collected by a miner), benefiting the overall network. [11]

    References

    1. ↑ "Wary of Bitcoin? A guide to some other cryptocurrencies". Arstechnica. 2013-05-11. Archived from the original on 2016-10-18. Retrieved 2017-06-14.
    2. ↑ Zhao, Wenbing; Yang, Shunkun; Luo, Xiong; Zhou, Jiong (26 March 2021). "On PeerCoin Proof of Stake for Blockchain Consensus". ICBCT'21: The 3rd International Conference on Blockchain Technology. ACM. pp. 129–134. doi:10.1145/3460537.3460547.
    3. ↑ Saleh, Fahad (2021-03-01). "Blockchain without Waste: Proof-of-Stake". The Review of Financial Studies . 34 (3): 1156–1190. doi:10.1093/rfs/hhaa075. ISSN   0893-9454.
    4. ↑ Daly, Lyle. "Peercoin: Defined and Explained". The Motley Fool. Archived from the original on 2024-02-04. Retrieved 2023-12-25.
    5. ↑ Popper, Nathaniel (24 November 2013). "In Bitcoin's orbit: Rival virtual currencies vie for acceptance". The New York Times. Archived from the original on 1 February 2014. Retrieved 25 February 2014.
    6. ↑ Frankenfield, Jake. "Peercoin Definition". Investopedia. Archived from the original on 3 June 2021. Retrieved 30 April 2023.
    7. ↑ Daly, Lyle. "What is Peercoin?". The Motley Fool. Archived from the original on 30 April 2023. Retrieved 30 April 2023.
    8. ↑ Daly, Lyle. "Minters Get Richer?". Peercoin. Retrieved 10 December 2024.
    9. ↑ Daly, Lyle. "Peercoin Inflation Adjustment". Peercoin. Retrieved 10 December 2024.
    10. ↑ "Static reward". Peercoin Charts. Retrieved 10 December 2024.
    11. ↑ Nagalim (14 March 2021). "A Smarter Fee". Peercoin. Archived from the original on 30 April 2023. Retrieved 30 April 2023.
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