Community benefits from Sigma

Community benefits from Sigma

 
But despite all the bells and whistles there is always room for further improvements. Development of Gulden therefor continued relentlessly. Always aiming for better techniques, with highest standards for safety and better transaction and synchronization speeds.

The new SIGMA mining algorithm is a good example of the above, further enhancing the blockchain. 

Let’s dive into one of these techniques and discover what benefits it beholds, not only for the chain, but also for the users, the community.

Scrypt

The Gulden blockchain builds upon the commonly used Scrypt algorithm. Scrypt is not a very efficient algorithm e.g. when it comes to mobile device battery life. Mining with Scrypt requires heavy duty and thus expensive hardware, resulting in centralized mining pools. It is incredibly energy intensive, outdated and inflexible to improvements.

Miningpools

The current problems with miningpools are twofold. Currently over 90% of the newly minted coins are sold on the exchanges as they become available due to multipools selling straight away no matter the price. Secondly the pools induce massive swings in difficulty resulting in block inconsistency. Gulden developed DELTA to help combat this, but even that technique can’t iron out the huge hash jumps. Result is that users are confronted with sometimes long waits before a transaction goes through. Something you do not want for a payment system.

SIGMA

With SIGMA Gulden takes another huge leap forward in developing the best a blockchain can be. Together with Gulden’s unique witness functionality signing for blocks, a very robust system has been created.

DELTA – Guldens’ differential algorithm – will still be used with the implementation of SIGMA to ensure block times don’t become too erratic for whatever reason. Consider it a failsafe.

A lot of thought went into the development of the new SIGMA algorithm to combat GPU and potentially ASIC mining, decentivizing mining software engineers and ASIC hardware companies attempting to produce for SIGMA.

User benefits

Instead of the instant dumping on exchanges, with SIGMA mining rewards will be going to end users directly who can then determine how they want to use their minted Gulden.
For example save them up to become a witness, spending them at a merchant accepting Gulden, trading etc.

It’s basically a reset, bringing mining back to the average person who has a PC and providing an opportunity for people to test Gulden without having to spend money. Mining software has always been overly complicated. With SIGMA being incorporated in the desktop wallets, it will be offering an unique and approachable way for users to start mining themselves. It could very well in turn grow the network of users.

In Short

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