A Flood of DigitalNote

A Flood of DigitalNote

An interesting thing occurred earlier this week with DigitalNote where miners who would normally see a block reward of 150XDN suddenly being rewarded with 320,000XDN just like the first days of the coin.

The bug which kicked in at height 704,000 lead to a short-term bonanza for miners, with many jumping in from mining services such as Nice Hash which subsequently caused the block difficulty to spike into the billions.

Members of the DigitalNote development team sprang into action as soon as this became known and issued an urgent, mandatory update to the mining pools and end-users which fixed the bug a short 614 blocks later at height 704,614 and the block rewards returned to their normal levels.

How Did This Occur?

Below is an explanation from the DigitalNote team which outlines how the problem came to be.

The bug became apparent today and has been around ever since XDN’s conception. Essentially, the block reward was being bit-shifted and at block 704,000 when the height was divided by 11,000 (halving interval) the reward was shifted by 64 bits, bringing it to 320,000 XDN.

If left as is the remaining amount of XDN would be mined within 7.2 days. If there were more supply, then the supply would half again to 160,000 XDN, then 80,000XDN… just like in the beginning of the coin’s history.

This was the result of the specific method used by the original dev to formulate the block reward (bit-shifting) which overlooked future issues.

Daily Doubler Button! Click Me to Double Your Reward!
What Impact Does This Have on the Supply of DigitalNote?

The maximum supply from mining is 8,589,869,056 (the 6th perfect number), and at time of writing the supply of XDN was 7,125,976,102.

This means there are still 1,463,892,954 coins remaining to be mined. At 150 coins per block, this means it’ll take another 9,759,286 blocks before the total supply is reached.

Since the target of DigitalNote is 11,000 blocks per month (approximately) or 132,000 blocks per year, DigitalNote still has almost 74 years of mining before the maximum supply is reached.

To put what happened in perspective, had the bug not been fixed and the block rewards remained at 320,000 the maximum supply would be reached in about 4,500 blocks, or a little over 12 days.

What Does This Mean in the Long Run?

Only time will tell for sure. Ultimately about 10 years was shaved off the time to reach the maximum supply, so the impact isn’t as bad as it might first appear. The flood of DigitalNote into the marketplace will undoubtedly cause the price of DigitalNote to temporarily fall, but as these are bought up by the XDN faithful for long-term hodling, it is these people who are the ones who will (in our opinion) benefit the most from this bug.

Wrap Up

If you’ve not done so already you need to update your GUI and/or CLI wallet to ensure your transactions are on the correct fork. You can download them from the official DigitalNote repository here:

https://github.com/DigitalNoteXDN/digitalnotewallet/releases

https://github.com/DigitalNoteXDN/digitalnote/releases

 

Leave a Reply