An open-source application called Ravecoin branched from Bitcoin. Coinrivet explains in this guide what distinguishes the decentralised protocol and its native coin.
Many new cryptocurrencies, including Ravencoin, are modelled after Bitcoin, which is known as the “king of coins.” As a differentiator from its parent currency, Ravencoin uses technology that is somewhat comparable yet modified. One of these modifications is a unique algorithm that makes it possible to mine Ravencoin with standard computers.
In contrast to Ravencoin, mining Bitcoin and other cryptocurrencies is expensive, energy-intensive, and frequently calls for specialised hardware. Nevertheless, as we shall describe in more detail later, Ravencoin attempts to uphold Bitcoin’s original objective of decentralisation. Could Ravencoin be the heir apparent among the numerous cryptocurrencies already in existence? Let’s investigate.
A blockchain-focused subsidiary of Overstock.com, Medici Ventures, financed Ravencoin after its initial 2018 debut. It was specifically created to create a mining ecosystem where mining could be carried out using standard computer sets without the need for Application-Specific Integrated Circuits (ASICs).
What is Ravencoin?
An open-source programme cloned from Bitcoin is called Ravencoin. As was already said, the main goal of Raven currency is to establish a channel for immediate transactions between users.
Only seasoned miners are now able to mine cryptocurrencies due to hurdles. Decentralization, one of the core tenets of blockchain technology, is overruled when random systems using AISC mine more for themselves. On the other side, Ravencoin uses the always improving AISC resistant algorithms to stay in front in order to maintain its decentralised nature.
According to Tron Black, the principal creator of Ravencoin, ASIC miners discovered a means to circumvent Ravencoin’s initial algorithms, giving them an advantage over machines with standard processing power.
The Ravencoin development team further customised its algorithms in an effort to address the issue. Therefore, even if miners choose to use ASICs, their equipment would still operate in a similar manner to other computer systems. In essence, this arrangement levels the playing field and ensures mining is equitable.
How does Ravencoin works?
Ravencoin implements the KAWPOW mining algorithm, which was built to overcome the issues brought on by miners using Application-Specific Integrated Circuits (ASICs), such as centralization and monopoly.
The development team noted that the design of the standard hashing algorithms employed in this system lends itself to the systems utilised by Application-Specific Integrated Circuits (ASICs) miners in the X16R algorithm whitepaper.
In the past, two algorithms were employed:
The first algorithm, X16R, was created to stop the hashing algorithm orders and solve the issue brought on by AISC miners. Similar methods to those used in SHA512 and X15 were implemented, however with X16R, the algorithms’ ordering was changed based on the hash of the previous block. Over time, AISCs were able to mine X16R, and the community decided to develop new algorithms to correct the unequal distribution AISCs had made.
The community has undertaken two algorithm votes that resulted in forks in order to mitigate and balance the potential efficiency increases that AISC miners might make to their hardware. The choice was taken to establish a balance between gear intended for common consumers and hardware used by AISC miners.
The most recent algorithm used by the Ravencoin community is KAWPOW. It intends to implement counter Graphics Processing Unit (GPU) memory techniques to address the centralization issue brought on by AISC miners. It will therefore enable the majority of consumer-grade GPUs to fairly mine Ravencoin. The KAWPOW algorithm is the offspring of ethhash and ProgPOW, with a few tweaks made to maintain fair mining and guarantee enough distribution of Ravencoin to every user.
There hasn’t been any news of a new algorithm forking anytime soon as of yet. To oppose existing systems, it might nonetheless encourage the creation of new ASIC technology, however as of the time this article was written, none had been discovered.
A “No On-chain form of governance” underpins Ravencoin’s operation. As a result, no one entity or person has the authority to discuss the procedures. Instead, the community votes on every decision. It applies the BIP9 rule of governance when the system needs to be modified.
Tokens can be used to create assets and send money to holders. The official coin for Ravencoin is RVN. Additionally, depending on the demands of the holder, they can be utilised for anything, including energy credits, land deeds, virtual commodities, security, airline miles, automobile ownership, etc. The local currency, RVN, can be used for all rewards and payments.
The official governance token for the Ravencoin network is the RVN coin. Users have to destroy several RVNs, per the white paper, in order to create a new cryptocurrency asset. 21 billion RVN coins are currently in circulation, and as the blockchain expands, more exchanges are using this digital money.