RE: Let's Migrate Bitcoin Using Cardano Technology! (2)
- Create a hard fork of the Bitcoin blockchain.
The Bitcoin blockchain is powered by decentralized open-source software.
Because it is open source, it relies on mining nodes to maintain and develop the underlying code.
Most cryptocurrencies have an independent development team responsible for making changes and improvements to the network.
However, Bitcoin is entirely decentralized, and no development team can drive improvement.
However, it is necessary to start changing the Bitcoin network for the future of Bitcoin.
Otherwise, Bitcoin has no future, which will also affect other cryptocurrencies.
As a solution, we propose creating a fork in the Bitcoin blockchain, the hard-forked CBC (Cardano-based Bitcoin) network.
A new cryptocurrency can act with ADA via bridges.
Since the new cryptocurrency is a hard fork of Bitcoin, it may no longer be compatible with older blocks.
- How does the hard-forked CBC (Cardano-based Bitcoin) network work?
The CBC network uses a collaborative PoW mechanism that is a mixture of a proof-of-stake consensus mechanism and a proof-of-work consensus mechanism.
To participate in the CBC network, you must be qualified as a validator through proof of stake. In other words, CBC coins are staked to qualify as a validator. Preparing as a validator is the same as the existing proof-of-stake method.
Qualified validators can participate in proof-of-work.
It uses the exact consensus mechanism as Bitcoin mining that participates in the CBC network. The difference is that finding a block hash value close to the target difficulty is limited within a given timeslot. All validators are given the same amount of time to mine. And the block created by the validator who found the lowest block hash value during this period is confirmed as a new block. Of course, there may be complementary mechanisms that only favor validators with a few mining computing facilities. Therefore, the PoW mechanism is designed so that the expected value of the block generation reward remains at a similar level while the computing power of all validators is identical.
CBC Network uses the eUTXO model to solve the double payment problem. The eUTXO model will be important in maintaining interoperability with the Cardano network.