Decred is a progressive, self-funding, and open cryptocurrency. Within its blockchain, it has an integrated community-based governance system. It has a crossbred PoW/PoS (Proof-of-Work/ Proof-of-Stake) consensus system at its core. It has a role of balancing between PoS voters and PoW miners for the creation of a notion of consensus that is more robust. Decred resulted from the Proof-of-activity and MC2 theoretical proposals presented in 2013. One developer started working on it in April 2014, but after a short while, developers from btcsuite joined the project.
Below is the revelation of the system’s technical features, primary funding, and distribution. Also, the system’s wallets and mining, development and governance, and the collective contribution timeline.
Decred settled on a funding methodology that would enable the developers to shoulder the risk; not the project supporters. Therefore, the developers came together, pooled funds, and completed the project as opposed to first approaching interested parties for funds for software development. They chose this path since it was the ethical route to achieving their objective. In other projects, developers did not carry any risk since potential users had to pay even before a developer could write any code.
The developers of Company 0 funded the development of Decred from their own resources. The project development cost that Company 0 shouldered, which includes the pay for the developers, is roughly $250,000. There is a further $165,000 apportioned for developers’ individual purchases and unpaid work. Performing a premine during the launch was, in our view, the most unbiased process of covering the expenses for compensation. Through this system, every developer worked for his or her coins. All the coins that developers own will be bought at $0.49 for every coin or exchanged for work done at an equivalent rate.
Out of the total 21 million coins, 8 percent (1.68 million coins) will make up the premine. We divided the premine between the bring-up compensation and an “airdrop.” The number of participants received an equal number of coins. Therefore, since April 2014, the developers and Company 0 will have injected approximately $415,000 to the bring-up, and consequently get 4 percent (840,000 coins at a rate of $0.49/coin) of all the coins. The other 4 percent will be distributed equally among airdrop participants as a way to build the network and to devolve its distribution. Company 0’s coins will fund the continuing work on open-source developments, including btcsuite and Decred.
The airdrop giveaway enables us to achieve the following for the project: Make the Decred network even bigger, help in the devolution of coin distribution, place coins in the hands of interested parties who want to join the project. Since Decred is primarily concerned with technological advancement, the airdrop will bring in people who have contributed to the advancement of technology in different ways. We recommend people to sign up as soon as possible because the maximum number of participants in the airdrop will be 5000 people. Since these coins will be disbursed with no conditions, Decred will have zero expectations from you in exchange for the coins.
The airdrop sign-up is ongoing, though the airdrop registration will begin on Jan. 4, 2016. Selected participants will be notified via email. The email will have a link that will lead to the online registration form. The participant should enter a receiving address where the coins can be dropped. We will avail source code and binaries to enable you to make a wallet seed. After submitting the form, you will be set to receive your coins on the date of the launch.