Feb 1, 2021
How scarce is VAST, an exchange from star value with 8 million computing power?
As we all know, fiat currency centralized and controlled by a powerful central entity (e.g. the Federal Reserve), while token represented by Bitcoin is decentralized. By running a node, everyone has the right to decentralize it.
Recently, NGK has also made many attempts for decentralization, among which the latest project is VAST. First of all, it is a mining project. If the SPC computing power reward token project is based on the NGK computing power mining, then VAST is mined with SPC computing power welfare tokens. They are both computing power mining projects.
Different from the previous two NGK projects, the VAST project does not carry out any airdrop activities in the early stage to maintain decentralization. It is completely based on mining output and exchanged based on the star value. The star value is obtained by holding SPC according to the condition that the NGK’s entire network computing power must reach the value of 8 million. When the computing power of the entire network reaches 8 million, the first star value will be rewarded, and with every 500,000 increase thereafter, the star value will be rewarded again. This means that the participants have 25 chances to obtain star value before the deadline of 20 million. We assume that the star value obtained each time is a fixed value, then the amount of star value obtained should be 40 million. So, how is this value of 40 million achieved? First of all, we know that the total issuance of VAST is 100,000 units, and a VAST token needs 10,000 Star value to obtain. So, to exchange for 100,000 VAST, we need 1 billion Star value, and ecological participants have 25 chances to obtain the star value, that is, the star value of one billion is divided by 25 equals to 40 million. Similarly, we can also calculate that the number of VAST released in a single release will be 4,000 units, which is the total number of 100,000 VAST divided by 25 times.
The blockchain is essentially a shared database, which can record the time and whereabouts of Bitcoin transactions, while token transactions generally involve an unaffiliated third party to verify the transaction first, and then entrust the transaction in the blockchain in order to exchange the token.
In the world of token, cryptocurrency is easily copied or spent twice. The reason is that the characteristics of cryptocurrency itself determine that it does not require any central agency to support and supervise its transactions, so it is not the banking system but the blockchain that processes the electronic transfers. This is the essence to the problem of double-spending and the reason for 51% attacks. With that, the NGK’s block producer mechanism can effectively prevent this problem.
