Understanding the PIVX project and how to get involved.
PIVX stands for Private Instant Verified Transaction. The network is called PIVX, and the currency is called PIV, although sometimes it’s also referred to as PIVX.
The project aims to create a sustainable and highly functional decentralised cryptocurrency for the world.
Where to buy PIVX in Australia
You can find the official PIVX mobile and desktop wallets here.
What are the unique features of PIVX?
PIVX is a hard fork of Dash, introducing a range of distinct features that might position it well for future success.
- Built-in anonymity. The system has a built-in mixing mechanism to cover up transactions and keep them anonymous.
- Quick confirmation. The network is designed to have transactions confirmed and spendable within seconds.
- Very low transaction fees. Transaction fees are equivalent to about a third of a cent ($0.003).
- Flexible block size. Eventually PIVX aims to have block size able to change automatically to give the network more flexibility.
But one of its most distinct features might be the community-focus and rewarding proof of stake (PoS) mining system.
The PIVX PoS system
Proof of stake is a much more efficient alternative to the bitcoin-style “proof of work” transactions.
The PIVX PoS system rewards its users for contributing to the network and processing transactions. The rewards given are balanced between “Stakers” and “Masternodes.”
- Stakers. Everyday PIVX users. Simply by holding PIV and running their wallets they contribute to the network and earn rewards for doing so.
- Masternodes. Super users who have locked in 10,000 PIV collateral for as long as they choose to run the node. These users contribute a significant amount, and also get voting rights on PIVX projects.
The rewards come from newly minted coins, and are randomly given to users based on their PIV ownership.
5 coins are minted every 60 seconds. 90% of the newly minted coins are divided between Stakers and Masternodes. A see-saw reward mechanism keeps the coins in balance between both groups. This keeps the system running more smoothly and helps prevents unsustainable clumping of wealth.
The remaining 10% is put into a development pool, and awarded to community members who carry out projects and work on developing the network. The projects in the works are voted on by the Masternodes.
How much am I rewarded as a Staker or Masternode?
The rewards are randomly distributed, but weighted by ownership. Generally, Masternodes should be getting a reward every 1-2 days, while Stakers can probably expect a reward every 30 days per $1,000 PIV held, depending on the length of time their wallets are running for.
What to consider when buying PIVX?
PIVX is focused on building a sustainable and highly functional global currency, with an exceptional range of built-in features.
Unlike many other projects, it builds an element of cooperation into the system. For example, Masternodes may eventually allow their nodes to act as escrow services, while being kept honest by their PIV collateral.
While there’s no set cap on the coin supply, transaction fees are destroyed rather than kept in the network which provides an element of natural deflation.
PIVX is already well into development, and the coin and its wallets are very user friendly despite the exceptional range of features. Although its limited acceptance currently makes it hard to say how much PIV “should” be worth, it might see exceptionally fast uptake and appreciate quickly.
On the other hand, that might have already happened. At the time of writing PIV is already a fairly pricey US$4.50. This gives some heft to its rewards, but it might need a lot more deflation from transactions to keep climbing.