Nxt news – November 2016 (IV): Good Wine Gets Better with Age

Newsletter-topNovember 2016 (IV)


Here, we bring you some of the latest news about Nxt over this past week in November:



Below, we give you more details about these news:



  • Hack for Democracy: First Hackathon about Online Voting

Martis has announced, on NxtChat on Slack, a hackaton for elections, organized by Tech City Lithuania, which will take place from the 2nd to the 4th of December, 2016. Since one of Nxt’s most exclusive and groundbreaking features is the Decentralized Voting System (which, in some occasions, has already been used by some other  corporations), it might be beneficial for some members of the Nxt community take part in this hackaton.

Here’s the original announcement that was published on Slack:

Democracy is not inevitable or a given; it must be sustained and strengthened by each generation. Today, democracy in the World is challenged by unlimited political contributions, polarized legislatures and opaque processes. Nevertheless, technology can make an important contribution toward improving democratic institutions.

With a strong belief in technology, “Tech City Lithuania” is organizing a hackathon focused on elections, politics and open democratic processes.

How can you participate?

Do you have an idea how to organize online voting? What tools do we need to improve data security? What data would make elections more transparent? Join civic hackers, data analysts and designers to make progress on these and other questions related to elections and politics.


These are the main tasks to be solved during the hackaton:

1. Display of voting results in real time
2. Data security
3. Voter identity authentication
4. Voters’ activity
5. Trust (possibility to check, that their vote was not changed and for vote anonymity)
6. All solutions in one

This is why they are looking for coders who could participate in it. People interested in helping with this event to use the Nxt blockchain should join the #developers channel on Nxtchat on Slack.

Source: https://nxtchat.slack.com/archives/general/p1479983457012945

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  • CryptoHolics – Interview with Travin Keith and Dave Pearce

Cryptoholics did an interesting interview with the members of the Nxt Foundation – Travin Keith (AKA marenkar) and Dave Pearce (AKA evildave).

After a short introduction, Travin and Dave started the interview with a thorough explanation of the differences between Bitcoin and Nxt, pointing out the innovative and disruptive features that it has. Nxt isn’t just a coin, because it also has an Asset Exchange, Coin Shuffle, Data Cloud, as well as an official NRS client loaded with these functionalities and more. Anyone can create their own asset at a ridiculously low price. as well as use systems for many other functionalities that turn Nxt into a really complete decentralized cryptoplatform.

[vsw id=”sju2KIStV_I” source=”youtube” width=”425″ height=”344″ autoplay=”no”]

The interview also deals with other subjects, such as:

– What Ardor is and what it intends: Dave and Travin explains how Ardor will have a main chain and a lot of child chains. This way, the blockchain bloat problem will be solved and anybody can launch their own chain secured by Ardor (the users of the chain won’t need to own ARDR), all while many transactions will take place per second.

Roadmap for the coming years: Governance in a decentralized community, what the current and future situation of cryptocoins are, and the Hyperledger project…

Source and more information: CryptoHolics Ep.03 – Interview with Travin Keith & Dave Pearce from the Nxt Foundation


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  • IBS Intelligence – Nxt’s Third Birthday

This past week, Nxt celebrated the third anniversary of its launch. Nxt was launched on the 24th of November, 2013, at 12:00 GMT. This 2.0 blockchain, also the first 100% PoS one, has had many changes and suffered big evolutions since its inception. Innovation and the inclusion of new features have been a constant trend during these three years, thus keeping Nxt at the forefront in its field and establishing a great level of security that some other supposed alternative coins can’t even imagine, all together with a passionate community surround it. So… HAPPY BIRTHDAY NXT!

Scott Thompson, editor at IBS Intelligence, wrote an article about Nxt where some current usage statistics are shown. Among them include: 2.3 million of transactions made, 160 000 accounts opened and 800 assets issued. Bas Wisselink, as a member of the Nxt Foundation and of Jelurida, also takes part in the article by expressing his hopes about the future of the platform.


Source: https://ibsintelligence.com/ibs-journal/ibs-news/nxt-celebrates-3-year-anniversary/


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  • Snapshot – Most Units are Already Sold

Next Tuesday, November 29, 2016, will be the last day people are able to buy the printed edition of the book Nxt – Unsurpassable Blockchain Solutions on Nxt’s Marketplace.

Ludom says:

How to buy the printed book
If you want to buy the printed collector book (200 numbered unit), you can buy it on our Nxt shop : NXT-DE5P-4A5T-6SHU-7FHCV.

This shop is open from 22nd Nov to the 29th Nov. The price is ~35$ in NXT, the price will be updated regularly.

The world wide shipping costs are already counted in this price. Don’t forget to send me your postal address.

How to buy the ebook (PDF+EPUB)

You can buy the e-book all the time on the shop. The price is 1600 NXT.

We’ll send a download link in the delivery message. We’ve already sent the download link to the assets holders (ebookeng, ebookfre, ebookrus). This assets don’t have any value now. If you want to buy the e-book, you’ll have to use the Marketplace shop.


More information: Nxt news – November 2016 (III): I’m not young enough to know everything


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  • Come-From-Beyond – Publishes BCNext Account’s Private Key

During these celebrations, Come-From-Beyond, one of the first developers of Nxt, made the following announcement on BitcoinTalk:

BCNext decided to stay anonymous. To execute his will I publish the private key to 1BCN1ugdKdWd9pQ8Am9hMhtHZfmbXzxE8a address which was used to sign his messages, till today only BCNext had access to the key, since today everyone does. Feel free to take those few satoshis left on the address.

This surprising and brief message has served, for some community members, as confirmation to their suspicions, and it has taken them no time to assert that BCNext’s true identity is CFB, a presumption that has been in their minds for a long time, but lacked substantial evidence. For those people, this has been the definitive confirmation.

However, some other voices claim that, despite this suspicious statement, there are still some reasonable doubts about the real identity of BCNext, because many members of the original development team could have previously accessed that private key (and not just one person), so it will be impossible to assert who truly is the real person behind BCNext.


The ambiguity in the message from CFB (maybe consciously, maybe not) won’t let us draw definitive conclusions, and it makes all theories, to some degree, plausible. And maybe the lack of definite and undeniable evidences is the best because, this way, all Nxters can keep their mental picture of the person who was able to reflect the great, brilliant and original idea that, in the end, has resulted in the Nxt we know today. The debate is still on, so… Imagine!

More information: http://test.nxter.org/bcnexts-nxt

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  • NXT Debit Card – Make purchases with your NXTs

User nxtdebitcard, a newcomer to the community, announced a few weeks ago on Nxtforum.org about the first NXT-funded debit card, together with a service for recharging your mobile number all around the world and many other services, all of them offered by the UQUID team.

Some of the advantages announced by the card issuer are as follows:

No deposit fee – Anonymous – Multi cards buy support – Fast and free delivery

To be able to use it, we have to sign in to UQUID, where a new Nxt account will be assigned to us, so that we can make our deposits. The NXT sent there will be automatically converted to USD/EUR, at market price, by means of the Shapeshift service.

As with any other service, prior to using it, we recommend that everyone carefully reads the terms of use and the fees charged when using that service which, sometimes, can be significant. Some well-known forum users have already tried the card in a test buy with no problem.

I can confirm, that I ordered card and received it (in 2 weeks). Funded it and spent some EUR in shop with it.

However, Bitcoin debit cards have been around for quite some time, like the ones offered by Wirex, Xapo, etc. Since the Nxt Reference Software allows us to directly use the Shapeshift service, by means of a couple of clicks we can convert some of our NXT into BTC, and use them to recharge our Bitcoin debit card on the platform we choose. We could also use the Nxt  Asset Exchange to buy SuperBTC (every SuperBTC asset is 100% backed with real BTC) in a decentralized manner, and use the Multigateway services to send these BTC to our card’s deposit account.


As we always do, we’d like to remind you to take the necessary precautions when trusting your NXT with third parties. These services use Nxt but are not a part of Nxt, so the security level offered by the NRS (where only you know your secret passphrase and where you can even set greater level of security with the Account control) won’t be the same once we’ve sent our NXT to these centralized external platforms.

Source and more information: https://uquid.com/nxt-debit-card



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  • Weekly NXT/ARDR Price Evolution

The following graphic shows the NXT / Bitcoin exchange price at Poloniex over this past week:


The following graphic shows the ARDR / Bitcoin exchange price at Poloniex over this past week:

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What is Nxt building?

Nxt as platform. NXT as tokens of power, not coins. That’s what BCNext imagined when he created the Nxt genesis block back in November 2013, and that’s what he proposed the Nxt Community should follow up, in his plans 1-3. Because in Nxtville: The community decides. And the issue has led to heated discussions from the beginning. Nxt was released as a crypto currency, and many investors wanted it to stay just that. Like any other crypto 1.0 investment, but with killer features to take it to the moon.

Only problem? Nxt just isn’t that. Take it from the horse’s mouth:

BCNext (through Come-from-Beyond):

NXTs r not coins, at least the creator of Nxt didn’t want them to be coins. They r tokens that grant privileges to support Nxt. Deflation is not much better than inflation, “real” coins should be created on top of Nxt and be issued in quantities that keep their value constant. BCNext understands that this is very arguable, the community should decide if it wants to follow the path showed by him or stick to Bitcoin legacy with unchangeable supply of coins in hope to become rich by doing nothing.

But… “real coins in quantities that keep their value constant”? Oh my. What if a NxtCoin really isn’t a coin but a share in a platform which is capable of powering not just other coins, money transactions, smart contracts, asset exchange and now the latest Nxt release: A p2p Marketplace – what if NXTs are real tokens of power, about to renew, decentralize and revolutionize just about everything – even the internet itself? Wah! Not a coin?

But then what about the “mining”/forging part, you might ask, shaky hand hitting the iPad to have another quick look at coinmarketcap, to make sure that Nxt is still there. Well, if you’ve been complaining about the forging algo, that it’s paying you too little, and that the fees are too low to generate real profit, or that the whales are getting more because they own more Nxt…, read on.

BCNext (through Come-from-Beyond):

Selfish miners (those who mine only to earn fees) should be “removed” from the system, they r not interested in success of Nxt and only want to cash-out. (…) True reward for supporting Nxt network comes from services that use Nxt. Someone owns a currency exchange and mine blocks to keep his business running. Another one owns a shop and mine blocks to keep his business running. The 3rd person owns a software company that develops programs for Nxt-based services and mine blocks to keep his business running.

Gulp. Don’t be in it for the “mining” fees. Forge to support the network. Fees will be even lower when the price of Nxt goes higher. The community has decided that. The demand is there. We want our services to use Nxt, and the world too.

You can buy yourself a good read in our NXTER STORE. You can even buy a house with NXT.
But consider the above quote again. It may be time to wrap your head around Nxt.

A new series about 3rd party developers and Nxt businesses will start on nxter.org tomorrow.
It’s called: ON TOP OF NXT.

Stay tuned.


This article is also available in French.

BCNext’s Nxt

Genesis account / BCNext / George Orwell, 1984:

It was a bright cold day in April, and the clocks were striking thirteen.

BCNext posted his intentions for Nxt in 3 parts.

Part 1:

Transparent mining, or What makes Nxt a 2nd generation currency


Below u’ll find a short description of Nxt mining system. The description is based on text written by BCNext, I paraphrase it in my own words to protect BCNext’s real identity against text style analysis (as was agreed).

I want u to pay attention to a paper titled Decentralised Currencies Are Probably Impossible But Let’s At Least Make Them Efficient.

The author writes:

To match this to the notion of “decentralised” (i.e. lacking central authority), the consensus group must be, at least, all participants in the currency. This does not present any real problem when that group is known. For example, it would be possible to define the group as “all people currently in the United States”– where the currency would be something akin to the US Dollar. Assuming the majority decide to behave honestly (as seems likely, after all, that is what happens now), then they should have no difficulty in forming consensus on who has how much money at what time. However, the most general notion of decentralisation does not admit such re-strictions. After all, in some sense, placing any such restriction simply pushes the central authority back a layer: instead of controlling the currency, the authority controls membership of the consensus group. A system like this must allow any entity to participate, and to join and leave the scheme at will. And here lies the problem. If you can never know who is in the scheme (bear in mind that knowing who is in is also a consensus problem!), then you can never get agreement.

In Nxt this problem doesn’t arise coz all participants (miners) r known. This is a side-effect of 100% proof-of-stake currency. So, let’s move to the most interesting part…

As u may know, Bitcoin et al. can be attacked by an entity that possesses 51% of hashing power. 2 main scenarios r possible:
1. Part of the miners leave the “legit” branch of the blockchain and start mining their own branch.
2. Someone buys/produces mining equipment and starts mining secret branch.

The 2nd scenario can’t be applied to Nxt, coz no NXTs exist outside the network. Let’s look closer at the 1st scenario.

Yesterday the average base target was ~700%. This means that only 1/7 of all stakeholders were generating blocks, we can’t say if the rest 6/7 were hit by bus or trying to fork Nxt blockchain. This is in the current Nxt implementation. BCNext is satisfied with the results shown during last 2 weeks and now is going to adjust the mining algo a little bit to make it transparent.

What does this transparency mean? It means that anyone can predict (with very high probability) who and when will generate next block(s). And this gives us superior advantages:
1. Transactions can be sent directly to the miner who will mine the next block (if he decides to reveal his location on the Internet), thus saving traffic and coming much closer to VISA/MasterCard processing volumes.
2. Blocks can be generated in advance and sent to most of the miners before they become valid (timestamp validation), thus greatly reducing rate of orphaned blocks.
3. Due to ability to predict timestamps of future blocks (rate of blocks) it becomes possible to set appropriate fees to assure quick confirmations for important transactions (without paying too much for inclusion into a block).

And the most important feature:
The network can detect which miners don’t take part in block generation and act accordingly.

The last point deserves to be described with more details.

Imagine someone is going to do a “51%” attack against Nxt and he owns 90% of all coins. The adversary must stop generating blocks for legit branch coz he won’t be able to compete against 100% mining power with his 90%. So he decides to “skip” his turn to generate a block. The rest 10% of the network detects this and penalizes the adversary by setting his mining power to 0 and distributing it among other miners. Now the network is back to 100% power coz everyone got 10-fold increase. The adversary can mine other branch in a secret place but it won’t be able to replace the legit branch. Of course, the 2nd branch will have 100% “hashing” power tied to it as well, coz the attacker will get his 90% bumped to 100% but this can be counteracted by some mechanisms of advanced consensus (still not revealed).

As a 100% PoS currency Nxt is protected against a government wealthy entity that could buy/produce a lot of ASICs, with the transparent mining it’s protected even against someone buying most of the coins.

So, what does make Nxt a really next-gen currency? Not those nice features like decentralized exchange, or decentralized DNS, or decentralized app store. The transparent mining algo does, and this is only the 1st part of BCNext’s plan…
This is a short description. Ask questions that will help to make the description more clear.

PS: Cunicula, BCNext is waiting for ur approval on this.

Edit: BCNext pointed out that I forgot to mention Selfish Mining. Sorry. Transparent mining solves the selfish mining issue completely. Dixi. The original post and discussion can be found here: https://bitcointalk.org/index.php?topic=364218.0

Part 2

Transparent mining 2, or What part of Legacy should be left behind


Below u’ll find the 2nd part of Transparent Mining essay, the 1st part is available here – https://bitcointalk.org/index.php?topic=364218.0. The essay is based on text written by BCNext, I paraphrase it in my own words to protect BCNext’s real identity against text style analysis (as was agreed).

Nxt mining simulates Bitcoin mining by pretending that each coin is a small mining rig. BCNext decided to go this way instead of introducing his own approach coz Bitcoin community is conservative and wouldn’t adopt a system with radical differences. Now, when Nxt got its own community, it’s time to get rid of the facade and reveal true properties of Transparent Mining. These properties r obvious to everyone who spent some time analyzing Transparent Mining, but still…

Nxt mining uses a deterministic lottery that grants right to mine next blocks. Time of a next block is determined by the time of the previous block and by the base target. The base target is a part of Bitcoin legacy that should be left behind, it doesn’t make sense to wait when next block is mined coz we already know who will do it. And we can mine blocks at a fixed rate, for example, every 60000 ms (exactly 1 min). When Internet becomes faster we will switch to a smaller gap between blocks (10 seconds, for example).

Mining reward is another obsolete part. True reward for supporting Nxt network comes from services that use Nxt. Someone owns a currency exchange and mine blocks to keep his business running. Another one owns a shop and mine blocks to keep his business running. The 3rd person owns a software company that develops programs for Nxt-based services and mine blocks to keep his business running. Selfish miners (those who mine only to earn fees) should be “removed” from the system, they r not interested in success of Nxt and only want to cash-out. If a clone appears such the people will likely jump to another ship, they add very little value to Nxt. All this doesn’t mean that we should get rid of fees completely, we still need them as a countermeasure against spamming.

NXTs as coins… NXTs r not coins, at least the creator of Nxt didn’t want them to be coins. They r tokens that grant privileges to support Nxt. Deflation is not much better than inflation, “real” coins should be created on top of Nxt and be issued in quantities that keep their value constant. BCNext understands that this is very arguable, the community should decide if it wants to follow the path showed by him or stick to Bitcoin legacy with unchangeable supply of coins in hope to become rich by doing nothing.

Trust noone – this is a very important principle. Nxt doesn’t rely on trust but solves the problem of trust in another way. It evolves to a system that doesn’t care about trust coz everything will be very clear. Transparency extended to absolute leads to inability to cheat thus removing necessity to think if someone should trust another one.

The list of these properties can be extended and BCNext wants the community to do it by itself… The original post and discussion of this 2nd. part can be found here: https://bitcointalk.org/index.php?topic=458036

Part 3

Transparent mining 3, or What way to choose


Below u’ll find the 3rd part of Transparent Mining essay, the 1st and 2nd parts r available here – https://bitcointalk.org/index.php?topic=364218.0 andhttps://bitcointalk.org/index.php?topic=458036.0. The essay is based on text written by BCNext, I paraphrase it in my own words to protect BCNext’s real identity against text style analysis (as was agreed).

Bitcoin was a genious invention but implementation became corrupted by people whose aim was to make money, not bitcoins but dollars. BCNext was working on a project that required special conditions for its existence, he hoped that Bitcoin would change the society and prepare ground for the project. Half a year ago it became crystal clear for him that Bitcoin, as an idea of trustless money, had failed. A fix was required and it came in the form of Transparent Mining. “Transparent” is the key word here, it changes focus from “trust no one” to “don’t let to cheat”, because any cheating becomes obvious very soon (as soon as allowed by network latency). Nxt is just a work-around, it was launched to win more time and to conduct an experiment that was supposed to show if the society is ready for the main project of BCNext. He thinks that society can’t be completely decentralized, and Nxt will let to measure level of decentralization after which a society can’t function as a whole. Bitcoin relies only on math, but math can’t solve problems arising because of illogical nature of the man. Mining in Nxt relies on cooperation of people and even forces it. Without cooperation Nxt becomes weak and can be easily attacked. It’s like a system in unstable equilibrium, if people stop to care about cooperation then Nxt will fail very fast.

Now, when you know why Nxt was created your should choose what way to follow. The easiest one is to repeat the history of Bitcoin in hope that something will change. The alternative is to implement Transparent Mining and try to handle people imperfection. The latter can’t be done with pure math and even if you manage to find some laws you can’t be sure that these laws won’t change in the future. BCNext went for good, he doesn’t feel himself responsible for the future of Nxt, he implemented an idea that was obvious but noone tried to do it (maybe because creation of a Bitcoin clone was much easier). One day he will come back with his main project under his real name. Don’t try to find real identity of BCNext, he intentionally copied style and ideas of different people, if you think you found him then you are likely wrong. BCNext has never existed, this sockpuppet was created only for Nxt and will never appear again.

The plan always was very simple – to show the way that very obvious but avoided for some reason. BCNext doesn’t pretend that he possesses sacral knowledge and knows what is awaiting in the end. You are left on your own. Good luck. The original post and discussion of this 3rd part can be found here: https://bitcointalk.org/index.php?topic=553205.0

Additional information

List by RickyJames:

[ANN] Nxt :: descendant of Bitcoin STARTED BY BCNext
SEP  28 2013  07:29:09 AM   https://bitcointalk.org/index.php?topic=303898.0

[Nxt] API of Nxt STARTED BY BCNext
OCT  17 2013  08:22:35 PM   https://bitcointalk.org/index.php?topic=313082.0

[Nxt] What advanced feature to add in the first place? STARTED BY BCNext
OCT  19 2013  12:45:02 PM   https://bitcointalk.org/index.php?topic=314008.0

[Nxt] Instant transactions with guaranteed confirmation STARTED BY BCNext
OCT  22 2013  11:27:41 AM   https://bitcointalk.org/index.php?topic=316104.0

[Nxt] Decentralized App Store STARTED BY BCNext
OCT  24 2013  10:32:15 PM   https://bitcointalk.org/index.php?topic=317607.0

[Nxt] Open Beta Test STARTED BY BCNext
OCT  29 2013  11:37:29 AM   https://bitcointalk.org/index.php?topic=320718.0

[Nxt] Gauging interest on Nxt banknotes STARTED BY BCNext
NOV  01 2013  05:34:08 PM   https://bitcointalk.org/index.php?topic=322935.0

Discuss: https://nxtforum.org

BCNext answers Nxt Community:

Q:  Why was the initial funding cancelled suddenly with few people?
A:  I wanted Nxt to be launched by the community, not by a single person.  Success of Nxt is supposed to be achieved by work of a LOT of PEOPLE.

Q:  How would you solve problem with scam accusations according to “unfair” distribution Nxt to 73 big stakeholders?
A:  This problem can not be solved.  Even if we had a million stakeholders the rest seven billion people would call this unfair.  A world with the money can not be perfect.

Q:  What are the most inportant 5 things the community should do, in order to properly support Nxt in the next 6 months?
A:  Review all my ideas, they might be flawed.  Avoid centralization.  Do not pay much attention to the price of 1 NXT measured in fiat money.  Remember that half-measures is a way to nowhere.  Do not trust strangers on the Internet, especially if their nickname is “BCNext”.

Source: https://bitcointalk.org/index.php?topic=345619.msg4383169#msg4383169

Why Nxt source code was released earlier than planned

The original release date for the full Nxt source code was planned to be the 3rd of April. But a month before this, core developer Jean-Luc took the Nxt community by surprise, posting these 3 lines of text in the official Nxt BCT forum thread:

Jean-Luc on March 01, 2014, 03:04:45 PM:

I have made the current source code repository public:
Master branch is still 0.7.6, develop is 0.8.3 plus latest unreleased changes.


What lead to this?

You got to understand how the main Nxt BCT forum thread works.
Eventually, no one does. All we know is, 2100 pages have been made, and it’s living a life of its own.

CfB on February 06, 2014, 12:09:54 PM:

(…) he [BCNext] is upset that community doesn’t wish to review and develop his ideas. Anon136 is the only one who does. (…) Start with Transparent mining, or What makes Nxt a 2nd generation currency and extend it or find flaws and fix them.

Jean-Luc on February 22, 2014, 12:18:24 PM:

What do the Nxt stakeholders think about releasing the current source code earlier than April 1st?

We discussed this with CfB some time ago, as a way to get more developers involved and make it easier for client developers, not having to rely on decompiled code to see the Nxt internals. The copycats are already decompiling the Nxt classes, so there aren’t any hidden secrets. I thought I would at least wait until I finish the 0.8.0 refactoring, but now that this is also released, it may be a good time to think about making the source open earlier, say March 1st?


BitcoinForumator on February 22, 2014, 12:25:20 PM:

Release the Kraken.

bitcoinpaul on February 22, 2014, 12:25:46 PM:

Well, what about BCNext’s 3rd plan – would an earlier release of the source code change anything?

MarvellousMutant on February 22, 2014, 01:08:51 PM:


The discussion went silent for some days – which, in the Nxt timeframe, is like a month.

Then CIYAM Open posted this:

CIYAM Open on February 24, 2014, 04:47:54 AM:

In regards to forging we actually have a dilemma. Current approach of PoS with “pools” will lead to exactly the same situation as Bitcoin (a few pools controlling the entire network).


This is okay from a performance perspective (you’d expect them to be running great hardware) but it is not okay from the perspective of decentralization. If governments decide to seize the servers of the pools then Nxt could literally disappear.

Nxters have been guessing, guessing, guessing and guessing, what BCNext plans for Nxt. Some have been shouting in frustration, others have laughed, calling Nxt more of a social experiment than a crypto. And CfB has repeatedly said, that BCNext is not some Santa. Community has to take responsibility of Nxt. But how to do that?

pandaisftw on February 24, 2014, 07:37:39 AM

There will be supernodes (service providers) that are basically be high-bandwidth pools people can lend their stake to. This won’t be a problem of centralization, because NXT is resistant even against 90% attacks. So unless 1 single pool gets that much forging power, we will be fine. These high-bandwidth pools can support 1000+ TPS easily.

CIYAM Open on February 24, 2014, 07:44:47 AM

So the problem is that if those pools are suddenly shut down (due to court order lets say) then the transaction confirmation rate is going to slow down *dramatically*.

Cfb on February 24, 2014, 08:22:56 AM:

I see no problem here. If a part of the stake becomes seized then the network will start forging with another part.

CIYAM Open on February 24, 2014, 08:25:41 AM

The question is “forging with what”?


If let’s say 100 powerful machines are shut down by an authority and the majority of stake holders are “rich old men” who aren’t that technically savvy then you are now running a network of maybe a few thousand desktop computers (or even less powerful devices) that are run by hobbyists and that is not going to do 1000+ TPS.

I am not saying the network would *die* but that it would be *seriously damaged* in terms of the TPS it could process and that in itself could cause *panic*.

CfB on February 24, 2014, 08:36:23 AM

1000 tps processing requires mid-level hosting hardware. Still see no problem.


CfB on February 24, 2014, 08:47:43 AM

After discussing this issue with CIYAM Open I got that we indeed have a problem here. If users will just lease their power and forget then one day Nxt network may die.

Sorry for my previous mistake, my English is not good enough to get some ideas clearly.

bitcoinpaul on February 27, 2014, 07:58:48 AM:

Is TF fully implemented?

CfB on February 27, 2014, 08:34:24 AM:

It’s not. And won’t be implemented by April, so u should do something if u don’t want to live with half-implemented TF.

2Kool4skewl on February 27, 2014, 08:36:26 AM:

I thought TF would be fully implemented by April.  What should we do to help?

CfB on February 27, 2014, 08:40:43 AM:

Start with the analysis of the code that we already have and do some improvements to forging. For example, try to get how 90% defence would work (if it works at all).

bitcoinpaul on February 27, 2014, 08:46:13 AM:

wtf. you talk like we do and try nothing here

CfB on February 27, 2014, 08:49:29 AM:

I see u do something but this is not enough. At least the outcome is miserable.

CIYAM Open on February 27, 2014, 08:49:45 AM:

Basically if we limit the effective forging *power* of any pool or individual to a maximum allowable percentage (regardless of actual NXT balance) then we will force people to split up their hoards into small chunks managed by separate pools.

CfB on February 27, 2014, 08:56:04 AM:

2nd part of the plan contains a hint. Read about transparency.

2Kool4skewl on February 27, 2014, 09:57:14 AM:

Maybe, BCNext is intentionally being vague, because he wants us to be independent and think for ourselves. Maybe, the “fatal flaw” is our reliance on him.

Damelon on February 27, 2014, 09:59:03 AM:

It wouldn’t surprise me in the least. For a “decentralised” project to depend on a central figure and even create some kind of “myth” around him is not needed.

Joefox on February 27, 2014, 12:31:30 AM:

Three months in and we have no Whitepaper, no documentation of algorithms, and no modelling or statistical analysis.


The greatest irony of the great decentralized Nxt Ecosystem is that its core is centralized in an opaque, anonymous identity who only communicates to the world through a Belarusan Java programmer on contract.


One day soon, Nxt will be called out for this. It is Nxt’s biggest flaw.


In the meantime, we build tools to help people offer NXT services. (…)

Anybody that wants to offer a NXT service, will have to run a node.


As NXT gets more and more features, it will attract more and more

businesses that utilize these features. (…)


I am designing a NXTcoin development kit that builds on top of NXT for our mining friends. They will need to run NXT in order to mine the NXTcoins. If we get just a single successful NXTcoin the network will have thousands of nodes.

bitcoinpaul on March 01, 2014, 08:05:37 AM:

CfB, is Nxt 90% attack-proof?

CfB on March 01, 2014, 08:19:37 AM

Current implementation not.

2Kool4Skewl on March 01, 2014, 08:28:41 AM:

Is BCNext planning on changing TF to make it ninety percent attack proof?

The quotes above are only fragments of the discussion. To get the whole picture, visit the thread.

CIYAM Open on February 24, 2014, 09:13:58 AM:

To paraphrase something that CfB said to me: “BCNext gave us a knife – it’s up to us not to accidentally cut ourselves”.


Anybody interested in understanding the motivations and rationale of BCNext, please become familiar with posts and threads:

Also don’t forget BCNext’s plan:

1: Transparent mining, or What makes Nxt a 2nd generation currency
2: Transparent mining 2, or What part of Legacy should be left behind

Part 3 is still to come…

Oh, btw:

jl777 on March 01, 2014, 08:41:24 AM:

Ciyam and CfB just figured out how to get it [ninety percent attack proof] implemented. It will be one of the first two NIP (NXT improvement Proposals).

bitcoinpaul on March 01, 2014, 09:16:19 AM:

Biggest news since hours.




NXT Myths #1

This is the first part of the NxtMyths SERIES
Written by Salsacz, released Jan. 16, 2014. (Nxt acc. 15003961341330858247)

Nxt is not a scam

  • Nxt was invented by anonymous programmer.
  • Nxt’s source code is being reviewed by known developers.
  • New code implementations will be approved by democratic voting.
Nxt was invented by BCNext, who is a programmer at the age of 35+, who lives in Europe.[1]
He is a veteran member of Bitcointalk forum, but he stays anonymous like Satoshi Nakamoto.[2]
He can still reveal his identity, as he promised.[3] BCNext prefers to work on creating the project alone. He paid a team of core developers to help him with the client and create some functionalities like decentralized exchanges.


One member of the core development team Come-from-Beyond was paid by BCNext to work on Nxt from October 2013 till April 2014.[4] Come-from-Beyond is a 34 years old programmer from Minsk in Belarus.[5]


On January 2014 joined Jean-Luc a core team as a non-paid programmer.[6] He has a Phd, probably comes from Switzerland (or France) and already celebrated his 30th birthday.[7] Jean-Luc’s duty is to work on the code. Jean owns nice amount of NXT, that’s why he is programming for free, for the benefit of his own investment. BCNext was only an inventor, others will continue on his legacy and rewrite his ideas into a better looking Java codes.


After the release of the source code started many developers with code corrections. A few Greek IT experts from Thessaloniki and Athens are being paid for reviewing the code by the original stakeholder Klee who is managing them.[8] Klee spent a huge part of his Nxt on donations, bounties and giveaways.[9] He doesn’t hide his real identity, so he is moderating Facebook group Ubiquitous Cryptocurrencies under his real name.[10] The names of his team were also revealed. There were only 8 original stakeholders who paid 1 Bitcoin during open IPO.[11] Each of them got 50 million NXT, Klee is one of them. In January 2014 only 4 of these 8 original stakeholders own more than 30 million NXT.[12]


There are at least seven developers who are working on the Nxt’s applications fulltime: Abuelau, ferment, nexern, NxtChg and Graviton with his assistant, who helps him with the biggest Nxt exchange. This list isn’t finite, there are many new Nxt developers, like Marcus03 or wesleyh with their fantastic apps. There are tenths of helpers, translators, authors of articles, but people who said that they “work” for Nxt fulltime or at least halftime are: Joefox, Opticalcarrier, Pinarello and Salsacz.


500 different people had already been discussing at the main Nxt thread in Bitcointalk.[13]Once there were 93 active nicks in last 3 days. In the middle of January they reached 20.000 posts at the page of 1000. The statistic from the end of 2013 shows the biggest spammers of the Bitcointalk topic: Come-from-Beyond (2005), laowai80 (460), klee (324), smaragda (304) and opticalcarrier (211). 15.000 people own Nxt account, this number rises by 200-400 every day.[14] 500 users own more than 100.000 NXT, 2.000 stakeholders own more than 1000 NXT.[15]


Nxt network of peers has got members from all over the world. Most people come from the United States, but there is also a big community in Germany, Hong Kong, Russia, United Kingdom, Japan and Netherlands. There is one user from Iceland, Jamaica, Panama, Ethiopia or Israel.[16] Some of the Nxt Wiki pages have already been translated into 11 languages.[17]


Nxt is still a small group of individuals who have no centralized place. Nxt is a decentralized currency, that’s why there are more Nxt forums, exchanges, sites, social media profiles and also marketing groups. There will never be any main leader. All decisions in Nxt will be based on democratic voting.


Questions for BCNext

January 2014:


Q:  Why was the initial funding cancelled suddenly with few people?
A:  I wanted Nxt to be launched by the community, not by a single person.  Success of Nxt is supposed to be achieved by work of a LOT of PEOPLE.
Q:  How would you solve problem with scam accusations according to “unfair” distribution Nxt to 73 big stakeholders?
A:  This problem can not be solved.  Even if we had a million stakeholders the rest seven billion people would call this unfair.  A world with the money can not be perfect.
Q:  What are the most important 5 things the community should do, in order to properly support Nxt in the next 6 months?
A:  Review all my ideas, they might be flawed.  Avoid centralization.  Do not pay much attention to the price of 1 NXT measured in fiat money.  Remember that half-measures is a way to nowhere.  Do not trust strangers on the Internet, especially if their nickname is “BCNext”.


November 2013:


Q: how many bitcoins are you going to contribute? (are you going to keep the coins you contributed yourself?  or you will take a creator cut (certain %)
A: I don’t know how much I will contribute.  This depends on the price of Bitcoin and some other factors.  These bitcoins, like the others, will be used to pay bounties for development.  No creator cut.
BCNext’s citations:
A lot of time was spent on talking, the outcome did not satisfied me.  That is why now I am working alone.  The things are implemented much faster this way.[18]


What others said about BCNext

 „I don’t think BCNext is interested in money. He spent more than he raised funds.“[19]
„With all my respect to BCNext, he is too paranoic about FBI/aliens/illuminati, they r not interested in kidnapping of yet-another-cryptocoin creator. I believe that was (unsuccessful) PR attempt. Fortunatelly, we don’t need him after the launch.“[20]


What is BCNext?
Next is next.
Salsa also thinks that „BC“ comes from the Proof of Stake article and referrs to „Beyond Cryptocurrency“.


What else do we know about BCNext?
He often uses special phrase „can not”. He is a genius who doesn’t care about money or glory.


BCNexts likes symbols:
Now we know about 3 symbolic numbers hidden in the world of Nxt:
–       3 January – the release of Nxt happened 5 years after the release of Bitcoin.
–       21 Bitcoins – The IPO was stopped in the time when were gathered 21 Bitcoins, i tis 1/1000.000 of the all existing Bitcoins from now on.
–       Anonymous BCNext – BCNext plays the same role as Satoshi Nakamoto. We don’t know who they are.


[1] This guess is based on assembler style in the code (Come-from-Beyond: „I noticed the same things, the code is written in back-to-90s style. The author definitely used to code in Assembler.http://www.reddit.com/r/nxtcoin/comments/1toz2d/warning_nxt_source_code_is_very_low_quality/ceafrr3) and the statistics of the posts of BCNext: https://bitcointalk.org/index.php?action=profile;u=152600;sa=statPanel.
[4]„I’m that guy who is developing the client, so I will publish updates until BCNext is back. If I disappear one of the 2 remaining guys will continue the work until Nxt is released as planned.“https://bitcointalk.org/index.php?topic=303898.msg3520138#msg3520138 „One of my employe is developing Nxt client.“ https://bitcointalk.org/index.php?topic=303898.msg3580883#msg3580883.
[5] https://bitcointalk.org/index.php?topic=113906.msg1230551#msg1230551. On the Chess site he also filled a Birthday, but since i tis January 1, it is probably fake due to the quick registration process http://www.chess.com/members/view/Come-from-Beyond.
[7] Some people say Jean-Luc uses french accent in his english, someone saw a new client in the peer list from the Switzerland, he used a CET in his signature. CET referrs to the timezone in the central Europe – from Spain to Slovakia. He also used a russian email, but they don’t use CET in Russia or Belarus.The information about Phd and age got author of this text by personal message from Jean-Luc.
[11] The list of original stakeholders is hardcoded to the sourcecode. More in the chapter 3 or: Salsacz, Where is Nxt from Original Stakeholders?, in: http://nxtcoin.blogspot.cz/2014/01/where-is-nxt-from-original-stakeholders.html.
[12] Ibidem.
[13] https://bitcointalk.org/index.php?topic=345619.msg4200359#msg4200359. The statistics from the next lines are based on this citation created by newcn.
[15] Originally based on the numbers from marcus03’s client https://bitcointalk.org/index.php?topic=414965.msg4508988#msg4508988.
[16] Bulgaria(1), Canada(2), China(2), Czech Republic(4), France(6), Germany(22), Hong Kong(20), Hungary(1), Iceland(1), Israel(1), Japan(12), Latvia(1), Lithuania(3), Luxembourg(1), Netherlands(7), Norway(3), Poland(1), Russia(21), Slovak Republic(1), Slovenia(1), Spain(2), Switzerland(2), Ukraine(5), United Kingdom(18), United States(177), http://peerexplorer.com/. Map:https://mapsengine.google.com/map/u/0/edit?mid=zDbwNrja6dlY.kwTCMrAWqtAQ