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About Qtum
Key Points
- Qtum is a proof-of-stake (PoS) smart contract open-source blockchain platform and value transfer protocol.
- Aims to combine the strengths of Bitcoin and Ethereum in one chain.
- Founded in 2016 by Patrick Dai, Neil Mahi, and Jordan Earls.
- Initial Coin Offering (ICO) in 2017 raised $15 million USD.
- Mainnet launched on September 13, 2017.
- Over 20 tokens created on the Qtum blockchain as of March 2021.
Founders and Team
- Patrick Dai: founder and chairman
About Qtum: A Pioneering Blockchain Project
Qtum (QTUM): A Comprehensive Overview
Qtum (pronounced “quantum”) is a pioneering proof-of-stake (PoS) smart contract open-source blockchain platform and value transfer protocol, seeking to synergize the strengths of Bitcoin and Ethereum in a single, unified chain. By leveraging Bitcoin’s UTXO transaction model, Qtum incorporates the added functionality of smart contract execution and decentralized applications (DApps), with recent expansions into the realm of decentralized finance (DeFi) applications. As of March 2021, the Qtum blockchain has given rise to over 20 tokens, further solidifying its position as a versatile and dynamic platform.
Delve into the intricacies of this innovative project by exploring our comprehensive analysis of Qtum.
The Qtum project was formally unveiled in March 2016, followed by a highly successful Initial Coin Offering (ICO) in March 2017, which garnered a substantial $15 million USD in funding for its founders. The Qtum main chain was officially launched on September 13, 2017. Initially, the Qtum coin was introduced as an ERC-20 token on the Ethereum blockchain, but with the deployment of the mainnet, it was seamlessly converted to a native blockchain, marking a significant milestone in the project’s development.
The Visionaries Behind Qtum: Meet the Founders
Patrick Dai, the visionary founder and chairman of the Qtum Foundation, boasts an impressive academic background, having studied computer science at Draper University. Although he began pursuing a PhD at the prestigious Chinese Academy of Sciences, he ultimately opted to forgo academia in favor of entrepreneurial pursuits. Dai’s professional journey commenced as a product manager at the e-commerce giant Alibaba, followed by stints on various blockchain projects, including Factom, VeChain, Bitse Group, and Meilink, before he embarked on his most notable venture, Qtum, in 2016.
Completing the triumvirate of co-founders are the CTO and blockchain architect, Neil Mahi, and lead developer, Jordan Earls.
Notably, several team members listed on Qtum’s official website lack active LinkedIn profiles or Github accounts. However, it is worth mentioning that Qtum boasts an impressive roster of high-profile backers, including Roger Ver of Bitcoin.com and Jeremy Gardner, a seasoned crypto investor turned skincare entrepreneur, who is also the co-founder of Augur and an EIR at Blockchain Capital.
Qtum’s Distinctive Edge: A Blend of Bitcoin’s Reliability and Ethereum’s Smart Contract Functionality
Qtum is a versatile blockchain platform that seeks to address four pivotal issues identified by its founders in the BTC and ETH blockchain ecosystems: interoperability limitations, governance shortcomings, the rigidity of existing frameworks, and the cost-prohibitive nature of proof-of-work mechanisms. Furthermore, Qtum aims to overcome the challenges of integrating smart contracts with real-world applications. To achieve this, the Qtum blockchain leverages two innovative technologies: the Account Abstraction Layer (AAL) and the Decentralized Governance Protocol (DGP), designed to provide a comprehensive solution to these pressing concerns.
The Account Abstraction Layer seamlessly integrates the UTXO (Unspent Transaction Output) account layer, inherited from Bitcoin, with the smart contract layer, drawing inspiration from Ethereum. This innovative fusion enables users to develop and host applications on virtual machines, including the Ethereum Virtual Machine (EVM) and the x86 virtual machine, while supporting the i686 instruction set. Furthermore, it accommodates a range of programming languages, such as C, C++, Rust, and Python, thereby facilitating the effortless adoption and compilation of existing applications for Qtum. Notably, Qtum’s vision extends beyond Turing-complete smart contracts, as it plans to incorporate common programming libraries in the form of smart contracts, thereby unlocking unprecedented possibilities.
The Decentralized Governance Protocol empowers smart contracts to dynamically adjust the network’s core parameters, including block size and gas fees, without necessitating a hard fork of the blockchain, thereby mitigating potential disruptions as the network evolves. Through a voting mechanism, miners (stakers), developers, and QTUM holders across the ecosystem participate in blockchain governance, enabling the blockchain to self-manage, upgrade, and iterate.
The Circulating Supply of Qtum (QTUM) Coins: A Closer Look
According to the Qtum whitepaper, the initial QTUM coin supply was capped at 100 million, all of which were minted simultaneously prior to the project’s launch. Of these, 51 million coins were offered to the public through an initial coin offering (ICO) in March 2017. Additionally, 8 million coins were allocated to early private investors, while 12 million were reserved for the project team, subject to a four-year lock-up period. The remaining coins are controlled by the Qtum Chain Foundation, a non-profit organization registered in Singapore, which will receive them in four installments by March 2021. These allocations include 20 million coins earmarked for business development initiatives and 9% dedicated to academic research and promotional activities.
The coin supply is not static, as new tokens can be mined through a block reward mechanism that undergoes halving every four years, starting from an initial block reward subsidy of 4.0 QTUM per block. This process will repeat seven times, ultimately culminating in zero block reward by the year 2045, at which point the maximum supply will be capped at 107,822,406 QTUM.
The Qtum Network’s Security Paradigm
Diverging from the technical approaches employed by Bitcoin and Ethereum, Qtum has opted for the MPoS (mutualized proof-of-stake) consensus mechanism to ensure network security, a modified iteration of Proof-of-Stake 3.0.
The protocol incorporates a staking mechanism, which incentivizes users to lock their coins, thereby facilitating and securing block validation. This process is fueled by a competitive dynamic, where coin holders, based on their network connectivity and random chance, vie for the opportunity to validate each block. Unlike early Proof of Stake (PoS) protocols, the block reward remains constant, uninfluenced by coin age in determining the likelihood of validation. Instead, rewards are proportionally distributed according to stake, with users receiving a greater reward as they stake more coins. Furthermore, the MPoS protocol is safeguarded against “junk contract” attacks by allocating 10% of the block reward to the block-producing miner and the nine preceding miners, while deferring the remaining 90% for 500 blocks in the future.
In stark contrast to the energy-intensive proof-of-work mechanism employed by Bitcoin, proof-of-stake algorithms offer a significantly more cost-effective and environmentally friendly alternative, while still providing a high degree of decentralization, a cornerstone of blockchain security.
Acquiring Qtum (QTUM): A Comprehensive Guide to Exchanges and Platforms
QTUM is a widely accessible and freely tradable token, listed on a multitude of prominent exchanges. A diverse range of trading pairs is available, including Bitcoin, altcoins, stablecoins, and fiat currencies.
Presently, the premier exchanges for trading Qtum are Binance, Huobi Global, OKEx, HBTC, and Hydax Exchange. For a comprehensive list, please refer to our dedicated crypto exchanges page.
Embarking on your cryptocurrency journey and eager to acquire Bitcoin (BTC) or explore other tokens? Discover the intricacies of the process here.
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