Stable peer to peer electronic cash system
Ergon (XRG) is a Bitcoin-like cryptocurrency with proportional block reward that aims to become the currency for the world.
Ergon (XRG) is a Bitcoin-like cryptocurrency with proportional block reward that aims to become the currency for the world.
Digital signatures provide strong control of ofownership.
Proportional reward ensures that all participants play by the same rules.
Send money in minutes.
Unlike banks, the network is always online.
Battle-tested technology.
Send money anywhere in the world.
pip install oregano yay -S oregano-wallet
Ergon is designed to be a stable p2p currency. It is achieved by making the block reward proportional to the cost of producing a block. Earning a single unit of the currency by mining takes a fixed amount of effort.
"The price of any commodity tends to gravitate toward the production cost."
Satoshi Nakamoto (2010)
Bitcoin is currently designed to act completely opposite to that - the cost of production is adjusted to the current price. Bitcoin Static and Ergon currency is an economic experiment to do it differently and create a stable currency with no central authority neither to check for double spending nor to ensure the currency stability.
Bitcoin Static is the name of the software and the network using a slightly modified Bitcoin Cash protocol, with a native currency called Ergon. The key difference is proportional block reward - each block contains a reward that is proportional to the energy that was required to mine it. It is a new blockchain, starting from a different genesis block, not a fork of already existing one. No pre-mine or developer fund was added.
Yes, it is as scarce as the energy that is used to produce it. Uness humanity develop a source of neverending free energy, the supply of Ergon is finite. Energy is the ultimate scarcity. If we indeed invented perpetuum mobile - a source of neverending energy today, you may quit your job tomorrow because in a year we will be living in a post-scarcity sci-fi society and all forms of money will be obsolete anyway. We would be able to create any matter out of it and explore the space for other resources. Also, sorry but it's not going to happen. Not only energy is a limited asset, but it is also strongly tied to all other prices, affecting them on every single stage of manufacturing and distribution. The price of Ergon, being dependent on the prices of electricity will be very resistant to prices inflation.
General consensus of modern economics is that a small inflation is beneficial to economy, it certainly is beneficial to those close to the source of freshly printed money and can spend them before it affects the prices. Some economists, especially from Austrian school, suggest that small deflation might be harmless and indicate development. Large deflation and large inflation is universally recognized as terrible. From the perspective of money user, the best of two worlds is to have neither. The best money of the world should be purely functional, boring and free of long term speculation. A perfect mean of exchange and store of value has to be a perfect unit of account. Ergon was created to be a fixed value unit.
By design, Bitcoin Static is an oscillator. During the early bootstraping phase, if Ergon is misspriced, the Bitcoin Static network will increase or decrease the production of the coin, but will always overshoot a little, resulting in decaying oscillations around an equilibrium point of both price and the hashrate (see whitepaper). This is an opportunity for short term speculation - any predictable market behavior can be exploited for profit. Buying at the bottom of an oscillation period and selling at the top will not only earn money but also help stabilize the system and establish a strong, fixed price, after the oscillations are extinguished. Over time it will get more resistant and oscillations will no longer appear. Those who wish to not participate in short term speculation and simply benefit from decentralized permissionless money early on, should convert their wealth to Ergon over an extended period of time, in random intervals.
At the moment every POW cryptocurrency is paying for its security with inflation. The security is ultimately, in the long run only as high as the demand for new coins. On this front Bitcoin Static is equivalent to other POW coins, but in Bitcoin Static, the adjustment happens with the number of coins per block not the price of all the coins circulating in the ecosystem. Changes can be more dynamic and have less impact on users life, making the gears of the currency less important and less invasive for a regular user. Because every Ergon unit has to be mined at its marginal price that stays the same, it doesn't have artifficially inflated supply. The security is orders of magnitude higher if you consider the value that is being secured.
Common concern about new cryptocurrencies is fair distribution. Ergon takes fair distribution to the extreme. Proportional reward makes sure that the early adopters are not privilaged neither with the number of coins nor the future coin value. If Satoshi Nakamoto created Bitcoin with proportional reward, a year of mining with such a small hashrate would be dwarfed by todays mining. All coins have to be earned or bought. No "founders reward" or "developers fund" is added to the currency. Ergon development is funded by voluntary donations from the community. Ergon is aiming to be the most fairly distributed currency in the world.
