MXC Foundation
Published in

MXC Foundation


DKPIII Low-Power Bitcoin Testnet Critical Analysis

After successfully running the third and final low-power Bitcoin mining testnet, also known as “Das Kaiser Projekt III” (DKP III), for 90 consecutive days, our test officially ended on the 26th of February 2022. The overall analysis of DKP III demonstrated a big success, resulting in even better than expected outcomes, highlighting the fundamental determining factors for making low-power Bitcoin mining possible for everyone on a permanent basis.

The factors our data engineers studied are those that form an essential part of our state-of-the-art MXProtocol and fulfill the Proof of Participation requirements to revolutionize the mining experience by successfully rolling out low-power BTC mining. The PoP prerequisites setup for DKP III aided in generating sufficient mPower to leverage a collective network strength to perform the mining at the supernode level and maintain the proper formalities for a uniform distribution of mining efficiency whilst under significant mining traffic pressure.

Following the previous two testnets, DKP III has proven to be a success, establishing an important milestone and revolutionizing the mining industry, allowing a futuristic method of Bitcoin mining using the collective mining network strength of our community.

A Brief Recap of the DKP I & DKP II Testnets

When compared to DKP III, the previous two testnets, DKP I and DKP II, resulted in certain limitations. Under the DKP I testnet, the test was initially planned to run for more than 30 days, and participants were carefully selected to ensure an appropriate mix of samples. However, the testnet had to be stopped after 30 days due to valuation discrepancies experienced by our backend engineers. Thus, detailed analysis and deep fixes in the complex computational algorithm were required.

The drawbacks of DKP I led to the layout of the need for a second testnet for low-power Bitcoin mining, DKP II. Unlike DKP I, the DKP II testnet was extended to a significantly larger pool of participants. No random selection was made, but instead, the entire M2 Pro Mining community was invited to join, opening up the cap on a required minimum of participants. As a result, the DKP II testnet ran its expected duration without the need to be stopped. However, allowing more participants to join highlighted some critical issues within the algorithm, namely reliability, and scalability. In addition to this, the participants faced irregular and unreliable mining performance due to scalability factors regarding the number of transactions occurring at a single point in time, resulting in the insignificant generation of mPower needed to perform BTC mining with any notable mining power.

The primary focus of launching the DKP III testnet was to overcome those drawbacks that came up from the previous two testnets. For that reason, backend engineers had to dig deeper into the MXProtocol and find the optimal PoP prerequisites to generate sufficient mPower at the supernode level. Therefore, the significance of having at least 90% miner health and 6000 locked $MXC per miner allowed the creation of the correct mix needed to generate the rmPower and simultaneously let everyone join the third and the last testnet.

A deep dive into the last and final analysis of Das Kaiser Projekt III

The generation of significant rmPower or relative power generated per miner required under DKP III was to lock 6,000 $MXC towards your BTC mining, with a prerequisite of having a miner with a minimum of 90% miner health. This unique combination allowed the MXProtocol to generate a massive amount of liquid rmPower, exceeding the expectation of the needed mPower and thus allowing us to hear again and deliver to our mining community by reducing the amount required to lock $MXC towards BTC mining. We listened to the community’s voices and have changed the requirements for the full rollout of BTC mining within the DataDash environment. Therefore, positive and more inclusive changes have been made that will be covered further below under the future of the permanent Bitcoin mining section.

The duration of the last and final BTC mining testnet accounted for a total of 90 days. It ran according to the scheduled time frame, without any significant system overloads, and allowed everyone globally to join the low-power mine BTC. As expected, thousands of M2 Pro owners worldwide shortly joined after announcing the launch of DKP III. Since making multi-token BTC mining available to everyone in DKP III, the data team expected heavy loads and participation from the community, which indicates that in comparison to DKP II, analysts had to take extra precautions regarding scalability. Fortunately, we’ve studied and improved the scalability issues already experienced during DKP II. Furthermore, the engineers also double-checked and cross-checked the scalability issues raised during DKP I, with a significant increase of the mining community participating in this third and final test. As a result, DKP III incorporated all the improvements in the backend algorithm, which proved to be a massive success regarding the scalability of BTC mining.

Consequently, the DKP III, fortunately, did not experience any inefficiencies regarding unreliable mining with all the improvements. There was remarkable consistency even when multi-mining events occurred (including $MXC, $DHX, and $BTC). Backend systems were sequentially balanced and up-to-date, ready to take on the challenges of a completely open testnet. Of course, it goes without saying, with many thousands of miners generating mPower simultaneously, there was a significant increase in the number of miners and strain on the system. The engineering team was pleased to announce that the backend system could handle the increased load despite a massive increase in involvement within DKP III.

With all of the testnets, we are determined to listen to our community’s feedback: One of the main concerns/feedback raised by the community was the 90 days longevity of the locked $MXC needed to generate the required mPower. We listened and took all the necessary steps to update Protocol requirements and shorten the locking period whilst ensuring there was no locked token without mining participation whilst continuing to manage the load. The internal testing environment proved that the massive accumulated mPower and the low-power BTC cloud mining could be delivered with improved efficiency with a relatively shorter locked period, giving once again more freedom to the mining community with their $MXCs. More on this to follow in the below section.

Talking about the community concerns, the enormous feedback we heard from the community was regarding the less mining efficiency and minimal BTC mining power per miner. We took this concern with us and had many elaborative meetings and internal discussions to decipher how we can continue to improve the BTC mining experience. After extensive investigation from the MXC Foundation’s backend engineers, improvements were made to the mining code focusing on the Bitcoin dTx mechanism to ensure a mix between mining efficiency per miner and an enhanced BTC mining power whilst continuing to be underpinned by our participative network. Underlying these Proof of Participation protocol elements, the team focused on the greater the participation, the greater the mining power, and thus a more significant ratio within the dTx transaction value. The code implemented now will allow everyone to increase their participation at any time during their BTC mining duration by simply bonding an additional $MXC per miner. More to follow on it in the coming section.

Before launching the permanent BTC mining rollout, we ensured that the above-mentioned critical aspects were carefully analyzed and that there were no complexities to occur under the permanent $BTC mining rollout to everyone. In addition, we even enhanced some parts of the mining model to make sure everyone is fully experiencing the PoP aspects and decentralized mining experience.

Permanent BTC Mining — LIVE

With increased demand and thousands of miners eagerly waiting worldwide, the permanent rollout of BTC mining aims to be available to everyone in the DataDash environment by the end of April if all have been approved and passed the intensive quality and security encrypted assurance tests. Furthermore, after constantly consulting with our mining community, updates were made to the rollout, ensuring scalability and reliability globally.

In the meantime, to make the desired changes, we are integrating extra computational power from our supernodes and dedicating them to BTC mining to allow higher BTC mining power. The upgrade will smoothen and strengthen the MXProtocol and our network and increase the supernodes’ ability, allowing us to add extra computing towards BTC mining. This upgrade will be implemented and activated simultaneously with the permanent rollout of BTC mining. The backend engineers are currently setting up the required factors within the code. The only thing needed is some dedicated syncing time for the remaining supernodes before the deployment of BTC PoP mining. To learn more about how the M2 Pros mining pool allows everyone to participate in BTC mining, you can check here, or if you would like to read the result of the previous DKP III analysis, you can check here.

The following are the changes we have made to the low-power Bitcoin consensus code integrated into our PoP MXProtocol after consulting and listening to our mining community:

1.Bond at least 5,000 MXC

The new permanent rollout of BTC mining will include a bond of only 5000 (Five-Thousand) $MXC towards low-power BTC mining. During the previous test we ran with a 6000 $MXC lock under the DKP III testnet, this has now been reduced after consulting with supporters. The term “bond” signifies the improved flexibility of the amount a node or miner can bind and their unique and individual ability to generate increased rmPower for a dTx transaction value. On the other hand, the term “lock” under the DKP III referred to the fixed amount of $MXC a miner needed to bind, and no changes could be made to that amount. Now, with the permanent Bitcoin rollout, users will be able to participate in BTC mining with a simple 5,000 $MXC bond. To make BTC mining more participative, supporters will now have the ability to increase their mining efficiency towards generating a greater rmPower by increasing the amount of bonded $MXC at any time during the 60 day bonding period. Thus, the more bonded $MXC, the greater the rmPower generated per miner, and therefore higher BTC mining performance. Additionally, a miner will have no cap on having the maximum bonded MXCs, thus letting every miner experience their comfortability towards how much they would like to participate in a decentralized and fair low-power BTC mining experience. Please note that each binding action denotes a new 60 day bonding period per new bind.

2. Bond Duration 60 days

You spoke, we listened! In addition to the reduction of $MXC token needed to mine BTC, we’ve also reduced the length of the lock, or, in this new situation, the binding time of your $MXC. The new bond period under the permanent BTC rollout will be 60 days following an initial bond, compared to the previous 90 days which many experienced under the DKP III testnet. Moreover, a node (or a miner) will also be able to cancel the bond within 48 hours prior to the ending of your bonding period; otherwise, the bond will be conveniently automated and rolled over for the next 60 days. If the user decides to unbind 48 hrs prior to the end of the bonding period, the bonded MXC towards BTC mining will enter a cooling-off period after the bonding concludes. The cooling-off period implies that the bonded MXC will be released to your DataDash wallet within five days, thus ensuring the systems are not overloaded with requests and will continue to run smoothly for all participants.

The enhanced code implemented on MXProtocol under the final rollout of BTC mining allows a node to increase their bound $MXC towards the BTC mining to generate greater mining efficiency. Every time a new bond of $MXC is created, that additional bond will follow the same principle as the initial bond, thus implying the same 60 days duration of the bond period, 48 hours canceling timeframe, and up to five days cooling-off period. However, a node can initially have a greater than 5000 $MXC bond when setting up its PoP elements for BTC mining; as always mentioned, MXC Foundation is about creating a decentralized mining experience, where a user has complete control and oversight over their individual mining capabilities.

3. Minimum 90% miner health

The final rollout of BTC mining has kept the health factor requirements the same as under the DKP III testnet of at least 90%. This way, it ensures the required liquidity needed at the supernode level to generate the significant rmPower per miner. The miner health factor is central to the PoP MXProtocol Bitcoin mining mechanism. A substantial 90% health requires a minimum multiplier effect to generate the needed computational power to exchange Wrapped BTC (WBTC). In addition, the DKP III testnet also confirmed that reliability and mining computational efficiency for individual miners is essentially dependent on PoP factors, including accessibility, location, and uptime of individual miners. This feature ensures the network stays robust and helps the global data network, including your participation in the network. The community has widely accepted this decision, and this easily attainable aspect of BTC mining in DKP III will be continued in order for the data republic’s network to continue to thrive.

These updated factors in the protocol will be the new aspects under the final rollout of BTC mining. Ensuring a more significant, participative influence and smooth out all the previous testnet limitations. These requisites will again be per miner, not per DataDash account. Also, it will be all-inclusive, thus letting anyone choose to participate in the world’s first and only multi-token BTC mining experience, along with the $MXC and $DHX tokens, with Polkadot, Kusama and more to follow.

From the entire MXC Foundation, we’d like to thank everyone from our mining community for participating and helping to build the world’s largest data republic!

About MXC

Based in Berlin, Germany, the MXC Foundation is a purpose-built IoT Foundation with the mission to inspire fast, efficient, decentralized data exchanges using LPWAN, Blockchain, and Token technology. The MXC Foundation is pairing “MXC” — the pioneer IoT cryptocurrency — with advanced LPWAN technology, developing the next, vital step in the fourth industrial revolution, enabling secure, vastly scalable, lightning-fast transactions. Learn more at:

For further information, media requests or comment, please MXC can be contacted directly at or via the website.



Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
MXC Official

Inspiring fast, efficient, decentralized data exchanges using LPWAN-Blockchain Technology. The future of IoT is MXC. | Official Website: |