Minter 1.2

As part of preparations for Minter 1.2 update, we held three rounds of voting among validators:

1. https://minterscan.net/proposals/1.2a (84% for, 3% against)
2. https://minterscan.net/proposals/1.2b (74% for, 0% against)
3. https://minterscan.net/proposals/1.2c (80% for, 0% against)

Minter 1.2 functionality is in the final stages of development. We’re now working on adapting the services, SDKs, and applications.

TL;DR:

1. No more unbond coins
2. Coins can now be “recreated”
3. Max. number of validators: 64
4. You can now change the owner for a multisig wallet
5. BIP price brought on-chain
6. Ability to modify validator’s public key

Main Changes

1. Coin Archiving

Many projects do not hurry to create their own coin on the Minter Network because they can’t change parameters once it’s live. To make Minter more business-friendly, we’re introducing an ability to “archive” old coins and recreate them with new parameters.

How it will work:

1. The coin tickers will have an owner. The owners for new coins will be the addresses that created them. For those already in circulation, it’ll be quite different: if by the time of update, 100% of supply is concentrated at one address, that address will be assigned as the owner.
2. The owner will be able to recreate the coin. Suppose there is COIN and its owner sends a transaction to recreate it. At this point, the old coin is renamed to COIN-1, and the new one is issued under the ticker COIN.
3. The owner will be able to transfer the ticker ownership rights to another address.

Why this is the best option:

• Coins are not deleted, but simply renamed.
• For users, everything is as simple as it gets. They will see a notification of a name change, and the company can automatically exchange old coins for new ones or open an exchanger. At any rate it wishes.
• Companies will be able to try out Minter on “empty” coins and then switch to the ones with reserve. Also, with BIP price volatility, firms will be able to automatically adjust their coins to new conditions.
• Many projects that had not figured out how Minter coins worked in the first place rushed to issue the one of their own, wasting time and resources as a result.
• Large businesses will be protected from having to go through a long approval process in case they want to issue an immutable coin.
• It will be convenient to change the logic of rewards. The logic of companies will transform anyway, this cannot be avoided. What they must have, however, is the very opportunity to change, or else they will come up with “crutches” that will be uncontrollable or drop the idea of turning to Minter whatsoever.

2. Stake Calculation Formula Changed

An ability to bypass current unbond period is Minter Network’s existing vulnerability. At the moment, nothing threatens the security of the network, but in the future, this issue can be used as an attack vector. The elimination of this vulnerability will also allow us to pass blockchain security audits without complications. An audit is necessary for major partnerships when the other party wants to make sure that the proposed solution is safe.

To solve this issue, we’re changing how stake’s custom coins are denominated in BIP. The new way is:

bipValue = (reserve-CalculateSaleReturn(nonLockedSupply)) * value / totalDelegatedValue

The old one:

bipValue = CalculateSaleReturn(totalDelegatedSupply) * value / totalDelegatedValue

The idea is to calculate how many “guarantees” the delegator gives with their stake. That is, how many of their BIPs will be penalized if the validator misbehaves. The new approach ensures that the network is protected against malicious validators and long-range attacks.

Also with this approach, we can change the way slashes are calculated. Instead of slashing stake’s value, we can slash stake’s bipValue. This means that coins with a low CRR will no longer be fined at significantly higher rates.

An additional effect of this change is economic. The new stake calculation method will render unbond coins useless, and the network’s economy will be able to develop more steadily.

What do you do if you have an unbond coin? There are two options:

1. Sell the coin and delegate your BIP stake
2. Delegate the unbond coin’s entire supply and continue to receive your share of block rewards

3. Validators No. Limited

Validators with small stakes (less than 1% of voting power) do not affect the decision-making process and decentralization of the network, but they slow it down significantly being equal participants of the consensus.

To maximize the Minter Network’s efficiency, we’re setting the maximum number of validators at 64.

This change will make Minter Network even faster and lighter.

4. Third (Control) Address for a Validator & Public Key Modification Feature

To safeguard the validators, we’re enabling them to change their public key for 100,000 BIP. This is a network fee, which — like the rest of them — will be distributed between all delegators. Once changed, the old public key is blacklisted.

For the same security-related reasons, we’re introducing the third, control address: ControlAddress. Its functionality is strictly limited to switching masternode on and off (SetCandidateOnline/SetCandidateOffline transactions).

5. New Transactions: EditMultisigOwners & PriceVote

EditMultisigOwners

To make integration with other blockchains and sidechains as seamless as possible, we’re adding a new transaction type: EditMultisigOwners. It will allow one to make changes to the list of multisig owners without changing the address itself. With this transaction, we can reach the ability to use a constant entry point for other blockchains and sidechains.

PriceVote

To run complex smart contracts and services, we need a way to discover the price of BIP on-chain. We’ll start development with introducing a new type of transaction: PriceVote. Validators will broadcast the current market price of BIP onto the network, and their votes will form the weighted average price that the services will be able to use.