Synthetic Blockchain Overview
Synthchain WP (4)
Zurcoin is a failed proof-of-work Blockchain dating back to 2013. Since then, it has not averaged over at its peak $30,000 in annual daily volume and currently stands at 0.1 cent with average daily volume around a few hundred dollars per ZUR. Monkey (MNY) is a failed ICO that in August 2018 resulted in a default judgement against the issuer Monkey Capital LLC for the unregistered issuance of securities.
Is there a way in which we can take the core concepts of the ideas behind these assets and make them established cryptocurrencies? This would serve to re-compensate the individuals who mined or purchased into both currencies at point of issuance. Proof-of-work has a natural advantage in-built: there are progressively less of the coins issued as time goes on, making cost of production relatively higher. At the same time, the Monkey Capital ICO, which billed itself as a decentralised hedge fund, proposed a number of compelling (but as yet incompletely executed) ideas, foremost of which was the tying together of the exterior global economy and the crypto economy.
By applying today’s smart contract technology, we discovered a way to solve both of the problems of these failed digital assets. Note that it is not important that the assets are Zurcoin and/or Monkey, especially, rather that we are providing a solution to rescue those that put in money into these initiatives and restore those investments to parity, while creating in and of itself a superior technical currency solution with multipurpose future utility.
For MNY, we applied the proposed recommendation by the currency’s founder and used the Bitcoin historical price algorithm. We did not share his suggestion that all ERC tokens should be allowed to mine into MNY however, only core network coins in synthetic ERC20 form (e.g. Cardano, NEO etc.)
For ZUR, we wanted to keep faith with the concepts of high maximum supply (127 million was a great deal of coins for 2013) and mining protocol. Thus, employing the Coeval Oracle we built, we streamed in the API of CoinMarketCap and divided the result by one billion, in order to give a natural equilibrium at which COE, the resultant currency, could be issued against MNY. We installed a feature connecting COE and ZUR so at the point of issuance, a percentile fraction (35%) of all COE mined by the MNY purchaser would be gifted to the 25 trillion ZUR “cheques”. The ZUR cheque holders were then distributed all the 35 Trillion cheques with the founder of the failed ICO project permitted to keep the lowest common holdings denominator (around 5 ZUR), with a value of pennies on the dollar.
What we achieved was a system whereby the boundaries of centralised and decentralised control had been curiously married in a compatible way. Basically, we can now allow developers to build their own Coeval notes, with their own unique API feeds streaming the price-points of each. As long as their currency accepts MNY as a form of purchase, and they feed at least 35% of their new supply into the ZUR notes mining capability, they will share in the pool of fees generated by all the digital assets on the Synthchain.