Updating the "Bitcoin vs Peercoin" slide video

On the discussion thread relating to a change in ticker from PPC to XPC, I referred to this video, and said the text could be updated:

The video’s present script in text format can be found here:

I have worked on the text, and produce the below draft. Sentinel’s “What is Peercoin?” article was very useful in compiling this.

I have found some video slide software, and hope to have a “rough cut” ready by the weekend

Comments welcome


  1. Bitcoin’s Problem

  2. The Bitcoin network relies on “Proof of Work” mining to secure its network and confirm transactions.

  3. Users who mine are rewarded with Bitcoins, providing them with an incentive to secure the network.

  4. But proof-of-work mining creates increasing demand for powerful computer hardware and electricity to solve computations that rise in complexity.

  5. This rising computing power has shut ordinary users out of mining and centralised control in ‘mining farms’.

  6. Proof-of work mining has turned Bitcoin from a decentralized network where anyone can participate, into a network that has centralized control.

  7. The energy consumed to maintain the Bitcoins network has grown to huge proportions; in 2018, it was equal to the energy consumption of Denmark.

  8. And the cost of this energy means the cost of Bitcoin transactions must rise to pay the miners.

  9. Miners must either:

  • Increase their fees to cover mining gear and electricity costs, or

  • Stop mining altogether.

  1. If miners: (1) increase their transaction fees, the network loses its competitiveness as a currency.

  2. But if miners: (2) stop mining, the Bitcoin network will become insecure and be vulnerable to a 51% attack.

  3. A 51% attack is where a single person or entity gains control of 51% of the mining power, allowing them to reverse transactions, block confirmations, double spend, and perform other attacks.

  4. Bitcoin is caught between a rock and hard place; mining costs must increase perpetually to prevent the risk of a 51% attack.

  5. This forever increased need for mining cannot be sustained indefinitely.

  6. For these reasons, Bitcoin will eventually come to an end.

  7. Peercoin’s Solution

  • Peercoin reconciles the need for blockchain security with low energy consumption

  • Like Bitcoin, Peercoin uses Proof-of-Work mining to distribute coins.

  • But unlike bitcoin, Peercoin uses “Proof-of-Stake” to secure the blockchain.

  • Proof-of-Stake does not rely on mining. It enables people to secure the blockchain by “minting” existing Peercoins - at a low cost

  1. Users instruct their Peercoin client to mint using the Peercoins they already hold. This secures the blockchain.

  2. All Proof-of-Stake security needs is enough power to run the client … a standard home computer.

  3. No mining gear. No high electricity costs.

  4. Since anyone with Peercoins can mint, Proof-of-Stake allows widespread participation in securing the blockchain.

  5. Peercoin therefore avoids centralization.

  6. Minting increases the Peercoin supply by 1% a year, providing mild inflation.

  7. These new Peercoins are received by minters as an incentive to mint.

  8. Peercoin does not discard the transaction fee altogether - a nominal fee (0.01 PPC/kb) exists. This prevents unnecessary transaction volume.

  9. But the fee does not go to miners. Instead, the fee is destroyed.

  10. This lessens the Peercoin supply and offsets the inflation caused by minting.

  11. This brings stability to the supply of Peercoin without imposing hard limits.

  12. Peercoin does not neglect Proof-of-Work mining entirely; it was used to decentralise early distribution of Peercoins, thereby avoiding the need for organised public offerings.

  13. But Proof-of-Work becomes less significant for the creation of Peercoin as time goes on. It is not used for blockchain security.

  14. Proof-of-stake security means that Peercoin minters themselves maintain the blockchain, aligning their interests with the security of the blockchain.

  15. As opposed to Proof-of-Work where miners and coin holders are distinct groups, and therefore represent separate interests.

  16. Peercoin has been carefully designed with the long-term in mind.

  17. A blockchain designed to be decentralised, energy efficient and stable.

  18. To be most secure blockchain at the lowest cost.


Maybe include a current total inflation number?
It’s around 3.4% currently. https://www.peercoinexplorer.net/inflation/

Great work!

Wonder if we should back off on the statements 7 through 17.
While BTC and its clones do consume plenty of energy for mining, I see some arguments that its power usage has been dramatically exaggerated:
It’s still valid make the case, but perhaps in a more subdued and general way, staying away from stating specific factoids which are possibly more alarmist than factual. BTC would of course benefit from reduced power requirements, PPC’s POS could be the answer.
Perhaps more pressing for BTC, is the need to corral the power of the miners who have combined to advance their fee oriented agenda. Miners have created a bitcoin civil war, multiple forks, flooded the mempool with unnecessary & insignificant transactions, mined empty blocks, all the while filling the internet & media with their FUD. Admittedly this could be a state-sponsored attack on BTC, with the miners used as tools to undermine BTC. It’s hard to be sure of anything these days. Still, BTC could get out from under all of this with a change in their mining network. Nice to think of PPC/XPC performing that function.
Hope this helps,


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Moar grist for the mill, or just plain FUD?

  • dunno

The reference to Denmark is something I added, but I can remove it if its unconfirmed or in dispute.

The other statements were from the original video - they can be reined in or reworded. What do others think?

Thanks Willy, but I’d rather leave the current inflation figure out, as it will change over time. I think the video should have as long a “shelf life” as possible.

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Just a general comment on this idea of updating the slide video

The idea was prompted by the XPC ticker thread, in which it was suggested that a new ticker, if adopted, should wait until version 0.7

In my view, an updated slide video need not go “live” until about the same time. Later in 2018

In this way, it can incorporate references to cold minting, etc. which are not presently part of the client. And it provides plenty of time to ensure accuracy. But I want to crack on with preparation now, while the idea is still fresh.

Rough cut, I’m not sure the link will work.
Before trying the link, remove the space between kizoa.com/ & Movie-
It will need to be pasted direct into a browser:

https://www.kizoa.com/ Movie-Video-Slideshow-Maker/d163634680k7454851o1l1/peercoin

Are you planning to use the CI colors?
They green and grey are quite distinctive.

I was planning to use white for text, green for background, just to stay consistent with Peercoin’s colour scheme.

Can’t seem find the link right now… If you need them it’s:

Grey: #333333
Green: #3cb054
White: #f6f6f6

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