AMA Questions, Infinity Nodes and beyond
What problems will SINOVATE solve?
Since the genesis of Bitcoin in 2008, the blockchain technology and the resulting cryptocurrencies bring many concepts. In 2020, the real use-cases solutions enrich more and more the crypto ecosystem. This young but interestingly defiant industry involves nowadays many companies, decentralized autonomous organizations (DAO), and others that must face the challenges of tomorrow. Nowadays, the blockchain ecosystem requires some critical features optimized to ensure the next adoption wave: the institutional investors and interest of governments.
SINOVATE, an innovative DAO-driven Blockchain technology.
One of the most innovative blockchain projects is SINOVATE, a 2018 fair launched open-source DAO. Supported by a thriving and continuously growing community who is the backbone of the SINOVATE e-governance, the project yields various developments made to the technology by its international team of experts. SINOVATE aims to become a blockchain market leader with regards to fully integrated and scalable blockchain products and services, offering a 100% customized ecosystem to gain mass adoption worldwide, from either businesses or standard users.
To achieve these objectives, SINOVATE is closely following all the regulatory changes to meet any new demands.
To remain relevant in the rapidly evolving blockchain industry, SINOVATE aims to solve several critical problems that the sector and other blockchain businesses and organizations face.
- Problem: Mining Centralization.
The Blockchain is conceptually a decentralized system where the so-called miners guarantee the block validation.
Many cryptocurrency projects claim that they are decentralized while the reality clearly shows the mining power is under the control of few organizations as known as the whales. These whales are often people with the financial ability to invest heavily to develop or to buy the latest ASIC solutions. The direct consequence is complete control of the mining power, and thus, they gather the most block rewards. A second issue is a few people have too much hashing power, which suppresses the ones relying on their CPU/GPU mining. Consequently, the risk of a 51% attack is significantly high in such a centralized project and smaller coin holders risk losing their investment.
Solution: SINOVATE Decentralized Mining Algorithm X25X.
SINOVATE relies on its leading-edge and in-house built X25X algorithm, a proof-of-work hashing algorithm developed for GPU-only mining. The difficulty of designing FPGA, ASIC, and Quantum-based solutions to mine SIN comes from the combination of 25 Hash algorithms, which implies too much occupation space into the chips. Moreover, by periodically increasing the chain size with further hashing stages, SINOVATE discourages chip designers who would have to invest too much in revising their mining chips.
Being ASIC, FPGA, and Quantum resistant, the brand new X25X algorithm excludes large mining farms from dominating and centralizing the SINOVATE Blockchain. By implementing a low power but sophisticated algorithm, SINOVATE ensures a genuinely decentralized blockchain project, allowing a secure, fair, and accessible environment for all people to mine SIN coins.
2.Problem: Coin Supply Inflation.
At present, there is no threat more significant than the inflation occurring in the blockchain economy. It will be the result of the numerous governmental emergency funding rounds and bail-out plans to combat the effects of the economic shutdown caused by COVID-19.
“By a continuing process of inflation, governments can confiscate, secretly and unobserved, an important part of the wealth of their citizens.” John Maynard Keynes.
Although somewhat acceptable during the current crisis, inflation is a well-known problem in economic theory, that many cryptocurrency projects were not able to tackle. The coin supply inflation of many projects results in an oversupply of new coins that do not balance with the demands where the value of the currency evaporates. The Masternode-based solutions are the most relevant in this case. Several Projects were prone dishonestly to the stacking for the Masternodes to control the coin supply. The developers built many Masternodes freely with early or pre-mined coins. After abusing the inflation model, the developers initiate their scam by dumping a significant share of their currencies and Masternodes. The severe cryptocurrency devaluation pushes the node owners to abandon the network. Unaware of the fact they had coins related to a dubious blockchain project ready to sell their coins on the open markets, these investors lost all their investment capital.
Solution: Proof of Burn Mechanism.
SINOVATE tackles the inflation problem by creating a reducing coin supply mechanism over time. The new custom-built protocol SINOVATE created is Proof-of-Burn. It removes/burns coins from the circulating supply permanently. How does this burning process work? SINOVATE Proof-of-Burn sends coins to a unique wallet address (un-spendable address) that is inaccessible for anyone. Hence, this simple approach removes the coins definitively from the circulating supply. SINOVATE applies the Proof-of-Burn to the following blockchain operations:
- Standard transaction fees.
- Asset creation fees.
- Data storage and transmission fees.
- Collateral to create Infinity Nodes.
3.Problem: Centralized Cloud.
A Cloud is a hub that stores and manages a vast amount of data (see the paradigm of Big Data) administered inside several computing servers in a single centralized network. Centralization means less IT management and fewer admins, but… it comes with several risks as the owner of the centralized storage provider has access to all the contents. The cloud service provider is the only trusted party for customers; if it fails, this impacts all the users and the related services. The following list presents some drawbacks of the approach:
- Centralized cloud storage means the servers are at a unique location to reduce costs and can be subject to single-point failures like power interruptions, hacking, physical invasions.
- File transfer speeds are low because the servers must transfer data far away from users.
- Centralized cloud storage servers have legal and administration costs and destroy employment.
- Centralized cloud storage is not privacy-proof because management has access and control over the data to monitor, censor, and even sell to third parties. In some countries, the laws force data anonymity, but this is not technologically guaranteed.
Solution: SINOVATE, the Decentralized Cloud 3.0.
SINOVATE’s groundbreaking Incorruptible Data Storage (I.D.S) offers decentralized cloud storage, supported by a blockchain of thousands of Infinity Nodes, with low cost and high-security features. This innovative network allows users to send, store, and verify encrypted data files, as well as the ability for future retrieval. There are many advantages compared to centralized cloud storage:
- SINOVATE Cloud 3.0 has no single point of failure from centralized solutions. Power interruptions cannot affect other nodes in the network.
- IDS is very resilient due to its design and decentralized structure. Succeeding in attacking a distributed network requires colossal and coordinated means, which are complicated to achieve with nowadays’ tools.
- It does not rely on one owner. Multiple nodes store the data randomly with 20 backups.
- Blockchain technology and encryption well protect the privacy and the anonymity of the data.
- Uptime of 12 months for a node assures the sustainability and stability of the network and the storage.
- By sharing unused disk space, it offers a node owner a passive income.
- It requires less computing power and bandwidth.
The data stored in SINOVATE’s decentralized cloud is fragmented into small data parts and stored across a global blockchain-based network of thousands of Infinity Nodes. Access is limited to the renter who owns both public and private keys.
4.Problem: A Global Lack of Privacy.
Data privacy is essential. The more data becomes digitized, the more information becomes online. Then, the privacy of people grows more of an issue by considering the Big Data paradigm. Following data and privacy breaches with regards to Facebook and other data-driven platforms, it is significant to protect user data in our increasingly digitized world. It also becomes a viable asset that should not be free. At the core of privacy-breaches in several cryptocurrency projects is the lack of decentralization. This threatens the immutability of the ledger, which is left prone to attacks as a single natural point of failure.
Solution: SINOVATE secures Big Data usages
SINOVATE has created a business model that integrates several technologies maintaining user privacy and user control. These two key features, vital for the protection of people’s freedom, were missing from current solutions. Significant data forecasts show tremendous growth potential in the Big Data usages:
- Cloud computing is projected to grow from $227.8 billion to $354.6 billion in 2023 or 55%.
- Cybersecurity is projected to grow from $184.19 billion to $248.26 billion in 2023 or 34%.
People using traditional cloud services pay for the cloud storage, but also need to invest in security, leaving them with two bills and the risks associated with centralization. SINOVATE offers a low-cost all-in-one solution by decentralizing the cloud storage, which is automatically protected by the Incorruptible Data Storage (I.D.S.) network of Infinity Nodes.
5.Problem: (Mobile) messaging security breaches and automated messaging attack campaigns.
Corporations and individuals have long been seeking solutions for privacy and data security to keep their company’s internal workings private. As such, the demand for private instant communication like Telegram and Whatsapp initially formed but does not yet offer the necessary protection.
Solution: SIN messenger private messaging.
SINOVATE’s SIN Messenger Direct messaging will allow corporations and individuals to rely on complete end-to-end user encryption without storing any of the data inside any servers during communications. The transactions only succeed when both parties are online. SIN Messenger Direct messaging also removes all man-in-the-middle (MITM) and automated messaging attacks as there is no central storage point for user data.
6.Problem: Centralized or non-existing Inheritance.
Inheritance is the practice of passing private property, titles, obligations, and rights, yet also debt, from a deceased to the rightful heir. In many cases, this is subject to regulations, often unique in every country. In western countries, the challenges to ensure the possessions and assets correctly transferred after death are well-regulated, yet complicated. Still, hiring a lawyer who writes a will or testament is costly and not entirely safe: the will can get lost or can get corrupted. In the unbanked world, there is no such thing as well-regulated inheritance laws, and Blockchain might prove to be the best way forward.
Example: Quadriga Fintech Solutions was both the owner and operator of Canada’s largest cryptocurrency exchange: QuadrigaCX. In 2019 the exchange ceased all operations and was declared bankrupt, leaving its 115,000 clients’ cryptocurrencies, worth up to C$250 million inaccessible, because the owner was the only person with access to the private keys of the off-line cold wallets. This example clearly illustrates the importance of coding blockchain inheritance features into the source code so that people’s funds are always correctly traceable. In this example, the exchange had no such technology available, and people lost all their investments.
Solution: Proof-of-Inheritance mechanism.
SINOVATE Decentralized Cloud and Proof-of-Inheritance will enable the transfer of legacy funds of users to their heirs safely without any risks involved. In the future, by expanding this technology, registering wills or inheritance wishes on SINOVATE Decentralized Cloud, will ensure that the data cannot get lost and cannot get altered. Furthermore, blockchain-based wills are more natural to modify throughout people’s lifetime.
SINOVATE Decentralized Cloud and Proof-of-Inheritance can help third world countries to implement inheritance policies, which will be the first stepping stone to more financial inclusion. Because these countries must start from scratch, Blockchain is the most cost-effective way to do it.
7.Problem: Data falsification.
In most countries, falsifying documents is a criminal offense that involves altering, changing, and modifying documents for unlawful purposes. In our paper-intensive work environment, such data can easily get corrupted. In a digital world, this becomes much harder, but it remains an unsolved problem of significant concerns.
SINOVATE’s Proof-of-Integrity, an innovative I.D.S feature, allows users to prove or control whether data is genuine. By using Proof-of-Integrity, individuals, corporations, and governments can be 100% convinced that the information they use or receive is authentic and in no means subject to falsification. How does it work? An example. When user A stores data on SINOVATE through a transaction, this data is broadcasted onto the network and stored on the chosen Infinity Nodes. When user B needs to verify whether the information is genuine, he relies on the immutability of the hash file from user A’s transaction.
How will SINOVATE be funded?
SINOVATE receives a Development Funds fee of 10%, which is generated from block rewards for future development and funding.
What is the current financial status on SINOVATE?
SINOVATE endeavors to provide transparency across business and development related activities at all times. We publish updates regarding our financial status every month. Financial articles.
Who are SINOVATE's closest competitors?
We do not consider ourselves to have competitors as such, as the foundation’s mission is to grow the space for all. We are happy to work with all projects, both by learning from the significant work others have undertaken and offering something back to other projects with our open-source code.
What is Tokenomics?
Tokenomics is the amalgamation of two words: “Token” and “Economics.”
Tokenomics is the standard quality type of a token and assists Community Members and investors to decide whether or not to help build its ecosystem. Decisions are based on the token’s underlying project. Use cases and plans are factors that impact a coin’s valuation and form part of its tokenomics. Tokenomics is a broad subject, which contains a variety of components.
A promising project must have a great team behind it.
The SINOVATE Team consists of expert, experienced, and reliable members of 36.
A reliable project must have transparency as well as funds, unobtainable via pre-mined coins or ICOs.
SINOVATE formerly SUQA has been around for 11 months, without a pre-mine or ICO.
The SINOVATE Team receives 10% from block rewards, which is used for further development and marketing of the project.
Branding & PR & Community
Without a bigger network and community, SINOVATE cannot exist.
⦁ SINOVATE’s population is growing daily and organically across all marketing and social media channels.
⦁ Discord server has over 6000 members, with a minimum of 1,000+ users regularly online.
⦁ Telegram channels have 8,500 members, our Russian Telegram channel alone has 2,355 members.
⦁ Twitter has 10000 followers
⦁ Facebook has 18000 followers
⦁ Regional channels also contain respectable member counts.
Business models are a critical factor for decentralized solutions. Being a transaction coin does not differentiate a project from others, so a reliable project must have a great business model.
For example, EOS investors need to stake and hold on to their tokens to receive the necessary resources to run Decentralized Apps.
Infinity Node owners need to have nodes set up for fewer emissions and for receiving incentives for supporting the network.
Our system is designed to reward both early and later investors, as the Blockchain grows and more users join, more fees are burnt through daily use.
Fees are kept low for individual use. However, as the network grows, rewards for all also increase. This is because coins are removed from the circulating supply through the burning of fees, as well as the locking up of Infinity Nodes. This, in turn, leads to a positive feedback loop that will aid SINOVATE’s growth and development while rewarding nodes holders, miners, investors, and daily users.
Infinity Node owners will also be rewarded by storing confidential data in the SINOVATE Blockchain.
Real World Use
One of the essential aspects of tokenomics is real-world uses.
⦁ SINOVATE will integrate a decentralized solution of DataSending and DataStorage of information for everyday use by enterprises as well as individuals.
⦁ Another prominent use case that SINOVATE will implement is the use of Inheritance within cryptocurrencies. Detailed information will be available during late 2019, via the Technical Evolution Whitepaper.
For a promising project to gain mass adoption, it must be legal globally.
The SINOVATE Legal Paper is due for release shortly after the publication of this article.
Layer 1 or Layer 2
As an example, Ethereum (ETH) is Layer 1, and ICOs that use the ETH Blockchain (ERC20 tokens) are Layer 2.
SINOVATE is a layer one cryptocurrency with its native Blockchain.
Utility vs. Security
Jeremy Epstein, the Never Stop Marketing legend CEO, explains, that utility coins can:
⦁ Give holders a right to use the network
⦁ Give holders a right to take advantage of the network by voting
⦁ Since there is an upper cap on the maximum token availability, the value of the coins may go up because of the supply-demand equation.
A crypto coin that does not pass the Howey Test is considered as a security token.
SINOVATE’s Infinity Nodes infrastructure, RSV E-Governance voting, and the use of SIN coins in Incorruptible Data Storage (IDS) make SINOVATE a utility coin.
Coin Flow Specifications
For coin flow, a cryptocurrency investor must look at the following:
⦁ Is the project targeting to build a continuous and stable ecosystem for the long-term?
⦁ How do the coins enter into the ecosystem and leave it?
⦁ How are investors incentivized for carrying the project forward?
Coin Flow in Layer 1
⦁ Participant Incentivization
Rewarding miners and Infinity Node owners for participation in the network via Proof-of-Work, Proof of Burn, and Proof of Service.
⦁ Platform development
According to Metcalfe’s law theory;
The more people in the network, the more value the network will have.
What is your long term Business Plan? What could other use cases be implemented in the future?
There are many examples of how the SINOVATE Blockchain could be used in industries across a broad spectrum of fields. Adopting the unique features of Blockchain combined with the ability to store, send, and retrieve documentation securely is a powerful addition to SINOVATE’s set of features.
It can be used in conjunction with legacy systems and processes to bring cutting edge technology to many businesses, sectors, and individual users.
Data and documentation are stored in a decentralized manner, across the SINOVATE Blockchain. This means that documents and data stored provide a source of truth, which is incorruptible:
⦁ SINOVATE Finance Solution
⦁ SINOVATE Medical use and privacy
⦁ SINOVATE Insurance
⦁ SINOVATE Education
⦁ Go Green, Go SINOVATE
What is the maximum supply of coins? Will this be infinite after the Hard Fork?
Due to the nature of SINOVATE blockchain and infinity Nodes, the maximum supply will always be less than 800 million in the next five years. After that, the circulating amount will continue to decrease from generations to come.
Does SINOVATE intend to become a full POS coin in the future?
As things stand, SINOVATE will be a hybrid PoW and PoS consensus cryptocurrency at the end of 2020.
Do SIN Nodes need to be connected to receive daily rewards?
Yes, this is mandatory. SIN Nodes, via a Virtual Private Server (VPS), must be connected to the network 24 hours a day. The SINOVATE wallet, however, does not require a 24/7 uptake. Should an Infinity Node holder, for example, be disconnected from the network for several hours, which causes them to miss 100 blocks, they will not be paid for the missed 100 block period.
How do IDS differ from IPFS?
The InterPlanetary File System (IPFS) network protocol facilitates the peer-to-peer transfer of distributed hypermedia, by permitting computers to connect to a singular storage point to access and store data — similar to the internet. However, unlike centralized databases, IPFS enables decentralization via a selected group of user-operators, who hold a proportion of the overarching data and create a permissionless environment for file sharing and storage.
Conversely, Incorruptible Data Storage (IDS) is a revolutionary Private Networking mechanism, which will permit encrypted as well as anonymous, decentralized data transfer and storage in a five-stage process. Preservation and resilience provided by the SINOVATE Blockchain will ensure enhanced security levels are maintained at all times. Data control use cases which will be provided by IDS include storing and transferring digital copies of Birth Certificates, Passports, and Medical Insurance details.
Why are IDS better than cloud storage? Will providers of confidential data receive additional SIN rewards?
Cloud storage involves concealing data on hardware in a remote physical location, accessible globally via the internet from any device. Files sent to a data server are maintained by cloud providers, as opposed to or in tandem with traditional hard drive storage. Users can store and share data with cloud storage systems encompassing hundreds of data servers all linked to a single location, with a master server obtaining overall control as a general rule.
Conversely, in IDS, the private networking of decentralized storage relies solely on the SINOVATE Blockchain, with only node owners receiving rewards as compensation for utilizing their hard drive resources to run an Infinity Node. Node owners will earn rewards both from the Infinity Nodes and from storing confidential data.
What is the plan for adoption in real-life SINOVATE?
Our team draws from a broad diversity of skills from many areas of business and across many different industries. This allows us to design and hone the experience of interacting with the SINOVATE Blockchain at many levels, from developers, business leaders, and operational standards, down to the end-user experience.
This allows us to develop software and user experiences from the perspective of all involved, ensuring that the end-user is the primary focus.
I have a question about two things. We assume a hypothetical situation. An investor disables or stops their Infinity Node due to improper service. In this case, is it sufficient to re-register an Infinity Node by sending the appropriate command from the wallet?
Node holders will need to set up an alternative VPS, change configuration (IP Address), and run a new VPS. Your node will be active within 30 minutes to an hour.
The second situation concerns the possibility of transferring an Infinity Node to another server. The IP address will change, but the Infinity Node key will remain the same. In this instance, will Infinity Nodes be accepted by the network?
As long as the user retains the burntx of the infinity node, they can transfer their node to a new VPS(IP) with a unique collateral tx id.