SINOVATE (SIN) is a “Peer-to-Peer (P2P) digital currency and ecosystem which creates unique and modern Blockchain products, services and solutions.” According to CEO Tamer Dagli, SINOVATE “was created to introduce new, unique technologies for mass adoption of cryptocurrencies …”
Previously, I focused on the business behind SINOVATE – the project’s plan to make money. Services and products, such as “Incorruptible Data Storage” (IDS), “Datasend”, and “SINOVATE Document Verification” (SDV) were identified and discussed in brief. Today, we switch gears to discuss SINOVATE’s unique features – cryptographic developments that allow SINOVATE to stand out in a sea of shitcoins.
According to the whitepaper, SINOVATE’s two primary, unique features are its ASIC-, FPGA- and Quantum-resistant X25X consensus method and Proof-of-Burn-based Masternodes that allow for transaction speeds 75 times faster than Bitcoin transactions. Let’s examine each of these features.
Mining centralization due to ASICs is a well-known problem in the world of cryptocurrencies. In theory, it is possible to obtain mining fairness using GPU and CPU equipment, but developers have been, for the most part, unsuccessful in implementing sustainable equality measures for their altcoin projects.
“X25X aims to help rejuvenate and sustain the GPU mining community and provide for decentralization of the network.” – Tamer Dagli, SINOVATE CEO
ASIC, FPGA, and Quantum Computing Resistant
The SIN Blockchain runs on the X25X proof-of-work algorithm, a chain of 25 well-known hashing functions, which was developed to be ASIC, FPGA, and quantum computing resistant.
Implementing a chain of 25 algorithms creates the need for ample chip space to accommodate the entire chain. X25X would be strenuous on FPGA and ASIC mining equipment, while the same memory requirements are very easily handled in GPU miners, thanks to their RAM capabilities. X25X is relatively energy-efficient, and showcases a new “shuffle stage”, designed to circumvent malicious activities from private miners.
SINOVATE plans to increase the chain size of X25X over time with additional hashing stages, released periodically, to address concerns around future FPGA chips with increased capacity and to force chip manufacturers to constantly revise their designs.
SINOVATE Hashing Algorithms
Below is the full list of standard hashing algorithms integrated by the X25X Chain including the unique shuffle stage, corresponding input and output sizes as well as eventual zero-padding.
SWIFFTX (important for quantum computing resistance) implements a much greater input size, which spans across the outputs of 4 preceding algorithms. The shuffle stage accepts all preceding algorithm outputs as input.
- Blake (in: 80b, out: 64b)
- BMW (in: 64b, out: 64b)
- Groestl (in: 64b, out: 64b)
- Skein (in: 64b, out: 64b)
- JH (in: 64b, out: 64b)
- Keccak (in: 64b, out: 64b)
- Luffa (in: 64b, out: 64b)
- Cubehash (in: 64b, out: 64b)
- Shavite (in: 64b, out: 64b)
- SIMD (in: 64b, out: 64b)
- Echo (in: 64b, out: 64b)
- Hamsi (in: 64b, out: 64b)
- Fugue (in: 64b, out: 64b)
- Shabal (in: 64b, out: 64b)
- Whirlpool (in: 64b, out: 64b)
- SHA512 (in: 64b, out: 64b)
- SWIFFTX (in: 256b, out: 64b)
- Haval (in: 64b, out: 32b + 32b zero-padding)
- Tiger (in: 64b, out: 32b, + 32b zero-padding only for the shuffle stage)
- Lyra2 (in: 32b, out: 32b + 32b zero-padding)
- Streebog (in: 64b, out: 64b)
- SHA256 (in: 64b, out: 32b + 32b zero-padding)
- Panama (in: 64b, out: 32b + 32b zero-padding)
- Lane (in: 64b, out: 64b)
- X25X Shuffle (in: 1536b, out: 1536b)
- Blake2s (in: 1536b, out: 32b)
Inflation is a serious issue for many cryptocurrency projects, leading to declines in value over time which naturally result in pump-and-dump schemes. SIN masternodes, referred to as “Infinity Nodes”, are designed to mitigate inflation and associated risks.
What Is “Proof-of-Burn”?
Infinity Nodes implement a Proof of Burn (PoB) mechanism designed by the SINOVATE team, who states that:
“Infinity Nodes represent groundbreaking technology and the evolution of masternodes, as they successfully provide passive, annual income while concurrently decreasing inflation.”
How Does Proof-of-Burn Work?
The Infinity Node system entirely removes those coins used as node collateral from the SINOVATE Blockchain, rewarding owners with a guaranteed annual interest. All Infinity Nodes have a life of 12 months, at which point they are removed from the node count. Node payments are received every day, for the duration of one year.
At the end of the Infinity Node’s lock-up year, the node is burned forever. All “burn fund” transactions are recorded in SINOVATE’s blockchain. This allows SINOVATE node holders to verify whether or not other owners are authorized to run their nodes.
This is an interesting approach to masternodes – having been on the other end of high inflation not only in masternodes, but in fiat currencies, as well, this author appreciates efforts made to preserve investor wealth.
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