Burstcoin is a digital cryptocurrency and payment system that uses a unique algorithm called Proof-of-Capacity. It is considered a ‘green coin’ as it does not need much electricity for mining purposes and for confirming transactions. It also uses hard drive space to store hashes instead of generating them from a GPU. Burst bills itself as a computer-based platform capable of doing much more than what other cryptocurrency platforms can do. For instance, it touts itself as a financial platform, sales platform, and a stock market. It is essentially a Bitcoin 2.0 platform, in that it is similar to Bitcoin at its root, but with a lot more to offer.
History of Burstcoin
Burstcoin came into being on August 1, 2014, after being introduced on Bitcointalk.org. The identity of the original developer is still unknown as they go under the alias ‘Burstcoin.’ The first block of Burstcoin was released on August 11, 2014, without an ICO (initial coin offering).
The main developer, Burstcoin, disappeared from the network one year later, paving the way for other members to take over the development of the cryptocurrency and payment system. On July 22, 2017, the Burst network was spammed with messages that caused wallets to crash. In the aftermath of that attack a new development team, dubbed, PoC Consortium, took over the development of the platform.
How Does Burst Work?
Burstcoin seeks to address the lack of decentralization, waste of energy, and supremacy of big miners in the crypto world. The Burst platform offers users, investors, and developers a multitude of possibilities.
Investors can use the platform to participate in the stock market to invest in companies of their choice. The platform also provides a way for developers to convince investors of their ideas, thus collecting additional financing for the development of their projects.
For normal consumers and users, Burstcoin provides a way to offer products in the ‘Burst Digital Goods Shop’ and be able to sell them in a peer-to-peer way and free of charge.
The Burstcoin platform also provides a way for users to carry out encrypted communications, as well as keeping encrypted accounting.
How to Mine Burstcoin
Most cryptocurrencies are mined through Proof-of-Algorithm, which requires a lot of effort and electricity to generate an output. The process also requires a special type of software dubbed ASIC that is very expensive and, therefore, the domain of very large mining firms.
One of the biggest deficiencies of Proof-of-Algorithm is that it requires a lot of computational effort inserting numbers to a hash function to generate an output. With Proof-of-Capacity, which is used in Burstcoin mining, numerical input only has to be performed once.
To mine Burstcoin, miners must compute a large data set which is then saved to a computer storage medium. The datasets are known as plots. Each miner reads through a tiny subset of saved data plots at one second time intervals known as deadlines. The miner with the lowest deadline is normally crowned as the winner and rewarded with fees and a decreasing block reward of Burstcoin. Miners collectively mine in what are called mining pools to have a more evenly distributed Burstcoin income.
Burstcoin can be mined using standard hard drive equipment, which makes it possible for any person to engage in the mining process. The mining process does not take too much time and requires less power.
To mine, one needs first to plot drives using a plotter. This can be done by first downloading an AIO Wallet for Burstcoin that comes with plotting and mining features. Mining rewards decrease by 5% every month.