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Whitepaper

You are reading the latest version of Canxium Whitepaper

  • Updated on Nov 6, 2024.
  • Version: v2.6

Retained Proof of Work

Canxium’s Retained Proof of Work (RdPoW), previously referred to as Offline Mining is designed to make cryptocurrency mining accessible to individuals in regions with limited or intermittent internet connectivity. Unlike traditional mining, which requires continuous online access, Retained PoW allows users to store PoW over time and submit it later, enabling participation in the Canxium blockchain network without the need for constant internet access. This innovative approach is aimed at democratizing access to mining, expanding global participation, and promoting financial inclusion in underserved areas.

Canxium supports two types of Retained PoW:

  1. Independent Retained Proof of Work: Miners create special mining transactions defined by Canxium and work on these specific transactions. They can choose to either retain the proof or submit it immediately to the Canxium network to receive rewards.

  2. Cross-Chain Retained Proof of Work: This method leverages proof of work generated by miners from other blockchains, retains it, and then sends it over to the Canxium network once again to receive rewards.

Cross-Chain Retained Proof of Work

Cross-Chain Retained PoW, similar to traditional Merge Mining, is a process that allows miners to use the computational work from one blockchain’s proof-of-work (PoW) algorithm to simultaneously contribute to another blockchain. This enables miners to efficiently mine two (or more) blockchains without incurring additional computational costs.

Traditionally, merge-mining is used to secure smaller or newer blockchains by leveraging the hashing power of an already established and secure blockchain. However, Canxium introduces a novel twist: instead of focusing on blockchain security, Canxium’s Cross-Chain Retained PoW centers around creating new tokens as evidence of completed PoW workloads.

Traditional Merge-Mining: An Overview

In traditional merge-mining setups:

  • Single PoW Problem: Miners solve a PoW problem that satisfies the difficulty requirements of both blockchains.
  • Shared Headers: Miners include the block headers of both blockchains in their computational work, ensuring compatibility.
  • Dual Validation: Blocks are submitted to and validated by both blockchains independently, with miners receiving rewards from each network.

This method is primarily designed to enhance the security of smaller blockchains while maximizing miners' efficiency.

Canxium Cross-Chain Retained PoW: Unlocking Cross-Chain Synergy

Canxium redefines merge-mining by focusing on token creation rather than blockchain security. Its innovative approach leverages the computational power of other PoW blockchain miners, particularly those in the Litecoin network, to generate CAU coins as proof of completed workloads.

Key Features of Canxium’s Approach:

  • Token-Centric: Each CAU coin represents a tangible PoW workload, enhancing the intrinsic value of the Canxium ecosystem.
  • Cross-Chain Collaboration: Canxium creates a symbiotic relationship between its ecosystem and other PoW miners, fostering collaboration and growth across blockchains.
  • Mining Mechanism: Unlike traditional setups, Canxium integrates a transaction-based validation process (type 0x7E transactions) linked to external PoW results, such as Litecoin or Kaspa blocks.

This reimagined merge-mining model transforms the process from a security-focused mechanism to a decentralized token-generation system.

Key Differences: Traditional Merge Mining vs. Canxium Cross-Chain Mining

AspectTraditional Merge-MiningCanxium Cross-Chain Retained PoW
Primary PurposeEnhance blockchain securityGenerate CAU coins as proof of completed PoW workloads
MechanicsSolve a single PoW problem for both blockchainsIntegrate external PoW results into Canxium’s PoW validation via type 0x7E transactions
RewardsNative tokens from both blockchainsCAU coins based on external PoW difficulty

Why Cross-Chain Retained PoW Matters

1. Cost Efficiency for Miners

Cross-Chain Retained PoW allows miners to maximize the value of their computational work without increasing energy consumption or infrastructure costs.

2. Ecosystem Expansion

By bridging blockchains, Cross-Chain Retained PoW introduces miners and users from established ecosystems (e.g., Litecoin) to emerging blockchains like Canxium, fostering collaboration and growth.

3. Proof of Workload Contribution

Cross-Chain Retained PoW directly ties token creation to measurable computational efforts. Each CAU token represents a fair and verifiable PoW workload, enhancing trust in the system.

4. Decentralized Token Creation

This method ensures a decentralized and equitable generation of CAU tokens, with each token carrying intrinsic computational value backed by completed PoW tasks.

5. Attracting Miners

Cross-Chain Retained PoW offers an easy onboarding process for miners from established networks like Litecoin. With no additional resources required, it becomes an attractive option, especially during Canxium’s growth phase.

6. Scalable Token Supply

The token supply dynamically adjusts based on miners' computational contributions, creating a scalable and adaptive reward mechanism.

7. Cross-Chain Collaboration

By integrating with Litecoin, Kaspa and more, Canxium fosters interoperability, innovation, and shared adoption between ecosystems, encouraging long-term ecosystem synergy.

By shifting the focus of merge-mining from security to token creation, Canxium redefines the potential of PoW-based systems, driving innovation and cross-chain synergy.

Why Cross-Chain Retained PoW with Kaspa & Litecoin?

Kaspa: Kaspa’s innovative architecture and newer ecosystem could provide a more experimental and flexible environment. Advantages:

  • Aligned Philosophy: Kaspa’s blockDAG architecture emphasizes scalability and decentralization, aligning with Canxium’s offline mining ethos. This synergy might attract tech-savvy miners or developers.
  • Emerging Market: As a newer blockchain, Kaspa miners might be more open to experimenting with Canxium, increasing participation rates for new coin creation.
  • Flexibility for Mining: Kaspa’s innovative infrastructure could better accommodate unique aspects of Canxium, such as retained proof of work mining and proof-of-demand mechanisms.

Litecoin: Cross-Chain Retained PoW with Litecoin presents a unique opportunity to expand Canxium’s ecosystem by leveraging Litecoin’s robust Proof-of-Work network. Litecoin’s established infrastructure, widespread adoption, and consistent hash rate provide a reliable foundation for introducing additional computational tasks without disrupting its primary blockchain operations.

After successfully integrating Cross-Chain Retained PoW with the Kaspa and Litecoin blockchain, we plan to expand further by enabling Cross-Chain RPoWg with additional blockchains. Our goal is to incorporate their mining algorithms into Canxium's mining framework, fostering greater interoperability and innovation across ecosystems.

Conclusion

Cross-Chain Retained PoW with Canxium is a forward-thinking approach that redefines how blockchains leverage PoW workloads. By partnering with Litecoin’s robust mining community, Canxium creates a cost-efficient, decentralized, and scalable process for CAU generation. This strategy not only benefits miners but also fosters the growth of Canxium’s ecosystem, laying the foundation for future cross-chain interoperability and innovation.

Cross-Chain Retained PoW acts as a bridge, designed to attract the interest and participation of miners from other PoW chains by offering immediate incentives while leveraging their existing infrastructure. This phase is critical for building engagement and fostering a robust mining community.

Key Benefits of Retained PoW:

Increased Accessibility:

Retained PoW opens up cryptocurrency mining to individuals in rural or remote areas where internet access may be unreliable or expensive. By allowing PoW to be stored and submitted later, Canxium enables a wider audience to participate in the blockchain economy, creating new pathways for financial inclusion.

Reduced Barriers to Entry:

Traditional mining often demands costly hardware, continuous power, and internet access, which can be prohibitive for many users. Retained PoW reduces these requirements, making mining feasible for people who might not have had the resources to participate otherwise. This feature allows for easier entry into the world of blockchain, creating a more inclusive ecosystem.

Energy Efficiency and Cost Savings:

Retained PoW reduces the energy costs associated with constant network access and online data processing. By enabling local processing, users can save on energy consumption, making it an environmentally friendly option that aligns with Canxium's commitment to sustainability.

Enhanced Resilience for Miners:

Users in areas prone to frequent network outages or connectivity issues are no longer excluded from mining opportunities. Retained PoW ensures these individuals can contribute to the Canxium network without interruption, fostering a resilient, decentralized mining community.

Broadened Decentralization:

With Retained PoW, Canxium decentralizes mining on a truly global scale. By bringing in participants from previously disconnected regions, the blockchain achieves a more geographically diverse and secure network, strengthening the ecosystem against centralization risks.

Connection Between Blockchains:

Other blockchains' proofs of work can also be retained and transferred over the Canxium network for rewards, thus creating a connection between blockchains through Canxium and increasing security through increased rewards at zero cost and no risk. This facilitates cross-chain interaction and enhances the overall security of the blockchain ecosystem.

The Future of Mining with Offline Accessibility:

Canxium’s Retained PoW represents a forward-thinking approach to blockchain accessibility and financial inclusion. By accommodating users in areas with limited connectivity, Canxium pioneers a more inclusive digital economy, bridging the gap between technology and underserved populations. This feature not only expands the network’s reach but also upholds Canxium's mission to create a sustainable, adaptable blockchain ecosystem that serves a diverse global audience.

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