Decoupling Cryptocurrency Minting from Blockchain Consensus
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Solution Overview
Problem
Current blockchain-based cryptographically generated data systems face challenges such as high energy demands, limited accessibility for new users, and volatility due to their consensus mechanisms, particularly in Proof of Work systems, and incentivize hoarding, leading to deflationary pressures.
Innovation Solution
Decoupling the minting mechanism of cryptotokens from the consensus mechanism by linking them to biological datasets, where contributors receive tokens based on the quality and value of their contributions, such as genetic sequences, to provide a more equitable and stable distribution.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If Proof of Work consensus mechanism is used to generate cryptographically generated data, then security and decentralization are improved, but energy consumption increases significantly and accessibility for new users deteriorates
Solution Approach 1:
The patent extracts the minting function from the consensus mechanism by introducing a separate biological data verification process. Instead of relying solely on computational work for token generation, the system uses biological data (DNA sequences) as a separate verification layer that is independent of the Proof of Work consensus process, thereby reducing energy consumption while maintaining security
Solution Approach 2:
The patent introduces biological data (DNA sequences) as an intermediary between the consensus mechanism and token minting. This intermediary layer provides an alternative verification method that does not require intensive computational work, thus reducing energy consumption while still ensuring the integrity and security of the cryptographically generated data
2Reliability
If Proof of Work mining hardware requirements are imposed, then network security is improved, but ease of operation for new users deteriorates
Solution Approach 1:
The patent removes the requirement for specialized mining hardware by extracting the token generation function from the consensus mechanism. Users can now participate in the network and receive cryptographically generated data without needing powerful mining hardware, as the biological data verification process replaces the computational mining requirement
Solution Approach 2:
The system uses biological data (which users naturally possess or can obtain) instead of requiring them to acquire and operate specialized mining hardware. This self-service approach allows users to participate in the network using readily available biological information, significantly improving ease of operation and accessibility
3Reliability
If fixed cap on token supply is implemented, then scarcity and value are improved, but volatility increases and deflationary pressures worsen
Solution Approach 1:
The patent implements a dynamic token supply mechanism where the amount of cryptographically generated data minted is adjusted based on the quality and quantity of biological data contributed. Instead of a fixed cap, the system continuously adapts the token supply to match the ongoing contribution of biological data, thereby reducing volatility and deflationary pressures while maintaining value stability
4Reliability
If minting mechanism is integrated with consensus mechanism, then security is improved, but energy consumption and computational requirements worsen
Solution Approach 1:
The patent segments the security verification process into two independent parts: the consensus mechanism validation and the biological data verification. By separating these functions, the system can maintain security through consensus while using the lower-energy biological data verification for token minting, thereby reducing overall computational energy demand
Data Source
AI summary
A method for minting cryptographically generated data includes sending a biological dataset to a certifier, where the certifier is trusted by nodes of a blockchain network. A unique identifier of each of one or more contributors is sent to the certifier, wherein each contributor is a user that contributed to the provision of the biological dataset. A corresponding claim certificate is received, each claim certificate associating the identifier of the corresponding contributor with an anonymous credential of that contributor and a dataset identifier for uniquely identifying the biological dataset, each claim certificate signed by the certifier. One or more contribution messages are communicated to a mint directly or indirectly.