One of the greatest ethical and logistical challenges humanity has been forced to face is one that has not changed since the dawn of society itself. The fair and even distribution of wealth and power.
We live in world where half of the world’s net wealth belongs to 1% of the population. The emergence of Cryptocurrency has brought about a rapid disruption across many industries but none more than Finance and Economics.
Less than 1% of the worlds population has acquired any cryptocurrency at all. 80% of Bitcoins supply has already been mined with the remaining 20% to take the next 100 years to produce, the bulk of which will be exhausted by 2033.
We need an alternative to Stablecoins. Zerozed is built on it’s own Proof-of-work backbone using the ASIC compatible Scrypt Algorithm which breaks away from the legacy incentive models currently in use by cryptocurrency.
Using the Diffusion of Innovations to model a more sensible inflation schedule, Zerozed aims to bring stability to the wider market via use of Atomic Swaps with focus on interoperability.
CAmount GetBlockSubsidy(int nHeight, const Consensus::Params& consensusParams)
double nSubsidy = 1 * COIN;
double nsubsidy_function = 0;
double Xheight = 0;
if (nHeight == 1)
nSubsidy = 2000000.0 * COIN; // Premine 2 Million
else if (nHeight > 1 && nHeight < 1274030) // Sets max block height
Xheight = nHeight * 0.0000038051750381;
nsubsidy_function = ((3583.5719028332051*(pow(Xheight,8)))
nSubsidy = ((floor((nsubsidy_function*(1.0/60000.0)*0.33757734955)*100.0))/100.0) * COIN; // our emission curve [no. of coins per block]
nSubsidy = 0 * COIN; // Coins cease production
The core incentive model for Cryptocurrency heavily relies on competition and scarcity, much like gold, giving the network and the coin itself intrinsic value. This allows it to be priced based on supply and demand. This old model does not work in the new system as it centralizes a finite supply within an early and rapid inflation period. This all happens prior to even the early adopters having on-boarded.
Bitcoin Inflation versus Time
The Diffusion of Innovations describes the process in which new technologies are adopted and diffused across all markets and groups of social networks within society. The process, rate and stages of the DoI are firmly understood and is applicable across many fields much like Network Theory which also plays a major role in understanding how technology itself evolves over time.
There are 5 categories of adopters within the social system, each with their own traits. Innovators, Early Adopters, Early and then Late Majority finalised with the Laggards. All 5 process must occur for the technology to attain market saturation. Failed diffusion merely implies 100% adoption was never attained before succumbing to technical obsolescence.
Diffusion of Innovations
Using a Diffusion of Innovations based inflation model along with an industry tried-and-true mining algorithm, Zerozed incorporates cross-chain transactions, such as the Atomic Swap network on the Komodo (KMD) platform, in order to solve a long time debated issue surrounding not just volatility but also how to achieve successful diffusion of a currency whilst maintaining the normal distribution and a standard score of 0z.
In other words, how do we create a stable Cryptocurrency that is, relatively speaking, evenly dispersed between everyone alive once new coins cease production.
The Normal Distribution