Analysis of the NGK blockchain’s mining principle and miners’ income
As the total amount of computing power sold in the entire network has increased significantly, the NGK blockchain computing power market has become more popular, and many ecological builders have participated in the mining of NGK blockchain. Obviously, NGK blockchain mining has become a well-known project.
Today, we will understand the mining principle of the NGK blockchain and the income of miners.
1. The working principle of NGK blockchain mining
At present, there are two main types of mining. One is mining by mining machines, where people actually mine in the mine, while the other is cloud mining, where miners promote blockchain projects and maintain the effective participant.
Most of the traditional cloud computing power mining blockchain projects are based on the POW or POS consensus mechanism, but these two consensus mechanisms have certain drawbacks, especially in terms of network performance. Thus, it is necessary to promote the improvement in the blockchain mechanism. However, during the process of improvement, there is often a question of whether the technology development and the miners can reach a consensus on interests. If the protocol changes and there are differences between the communities, it will lead to a fork, such as the fork found during the expansion of Bitcoin.
The NGK blockchain adopts the DPOSS consensus mechanism to avoid this risk. Due to the fairness and transparency of the mechanism and the stable performance of the network platform, the miners can work stably on the NGK blockchain without the disagreement on consensus.
Users only need to configure the corresponding data in their digital asset contract on the NGK blockchain, such as the blockchain model, block size, consensus mechanism, mining mode, etc., and store them in the NGK blockchain. If the miner finds that the income is appropriate, it will switch some computing power to generate the sidechain and support the blockchain of the project, so that he can earn tokens on the NGK blockchain and the corresponding digital assets. On the other hand, if the miner finds it not cost-effective to support the digital asset, he can discard the digital asset.
2. Miners’ revenue
Each miner of the NGK blockchain will receive a certain reward, which is mainly divided into two types, computing power reward and mining reward.
1) Computing power reward
Each miner on the NGK blockchain has a related computing power value in the network, which is proportional to the contribution and determines whether it has the right to mine the block at each stage. By mining blocks, the NGK blockchain miners can receive “block rewards” and charge fees for the messages contained in the block.
In addition, the miners of the NGK blockchain regularly submit storage proof to the chain. With that, they can obtain storage fees from the customers with whom they trade.
2) Mining rewards
In addition to computing power rewards, NGK blockchain miners can also receive mining rewards. There are mainly two types. The first is storage rewards. The storage costs mainly come from fees paid regularly by customers after the transaction is completed. The second is token rewards, such as NGK tokens. The NGK blockchain will reward miners with a certain amount of NGK tokens to encourage miners to actively participate in the mining. After receiving the NGK tokens, miners can choose to sell them in the secondary market or hold them for long term.
Comparing with traditional mining methods, the NGK blockchain mining has many advantages for both ecological builders and actively participating miners. With the support of miners and ecological builders, the NGK blockchain mining will have better development.