Introductory preview to XNM Protocol

Mattia Pintus
Aug 7, 2018 · 4 min read

NovaMining is a start-up whose main objective is to improve the business model in the cloud mining industry, proposing to the market its own concept.

The Solution proposed by NovaMining, XNM: a scalable protocol to increase transparency and competitiveness in the cloud mining industry, preventing frauds and information asymmetries

Through XNM and our platform, it will be possible to buy and sell Hashpower (or Hashing-Power) through the use of Smart Contracts for mining, which constitute a level of Proof-of-Stake between the parties, without any need to give any trust to the operators.

Thanks to the Proof-of-Hashrate-Commitment, an open-source implementation developed by NovaMining, it will be possible to produce and verify a cryptographic proof, which is able to determine the exact amount of Hashpower used by an operator.

Such Merkle-Tree based proof, is produced and verified thanks to the specifications of the smart contract related to the general specifications declared by the operator, determining that the gains are fair based on the Hashrate rate actually used by the operator himself.

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This allows users who buy the computational power to verify whether the operator with whom they have purchased, is actually observing the stated specifications thus respecting the conditions of sale of contracts, in order to establish a standard that induces all the operators for competitiveness and transparency.

Given the moment of crisis in the sector, of which we talked about in one of the previous articles, the solution proposed by NovaMining could certainly give new life to the same, helping first of all the small operators, whom are in increasingly difficulty in competing with the biggest ones.

More precisely because of the fact that users themselves tend increasingly to lose their trust, preferring to actually turn to the bigger operators going against the decentralization of the various networks, causing possible damages of which we have spoken in a previous article, as well as the consequent sustainability of the networks itself.

Moreover, through the signaling system implemented by-design, users can express their preference in case of Forks or proposals for implementations that require voting by the miners, an operation that is not possible with any operator today.

Through the Marketplace of our platform, it will also be possible to buy and sell mining Smart Contract also among users; if they have purchased a contract and it doesn’t meet their expectations, they can put it back for sale.

The authenticity and validity of contracts put up for sale by users, will be guaranteed thanks to the use of trusted third parties that will hold the private keys of contracts, thus preventing the occurrence of frauds among users.

In order to guarantee the security and decentralization of the protocol, a voting system will be implemented, which when necessary, will ask to the users to express their preference to regulate the occurrence of incorrect or slightly transparent behaviors by the operators.

Operators who doesn’t respect the rules, depending on the severity of the incidents, will be warned, suspended or excluded from the use of the protocol; if the market decides that the proposed sales model works better than the current one, they will be excluded from the cloud mining market.

GitHub: https://github.com/novamining-official/GitLab: to be disclosed soon.

We will publish further information as soon as possible through our website that will be opened to the public, from which it will be possible to download the White Paper to learn more about XNM and the benefits that will bring to the whole cloud mining ecosystem. Furthermore it will be possible to know the dates and the participation modes at the Pre-Sale and ICO Token-Sale phases.

This article was originally written in Italian and translated in English by Mattia Pintus for NovaMining.

BTC: 35wVmfBS7QB6dx8KkKuFfBSNPbg5hTuaKc ETH: 0x85078e4c4157441A7c59E5F16569bba7c77bDE86 LTC: MJEwXPKUUQn4zQxXMJ2tYmEBff1BiY1oee

NovaMining Media

News, updates, insights from our emerging startup into blockchain industry

Mattia Pintus

Written by

Founder@NovaMining (novamining.io) #BUIDL Blockchain, Crypto, Web 3.0, DLT, Distributed Systems keybase.io/pntmtt

NovaMining Media

News, updates, insights from our emerging startup into blockchain industry

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