One of the coins we have been paying a lot of attention to over the past month or so is Syscoin. Not just because of their development progress, but also the community involvement, and unfortunately also the legal battle. So how is Syscoin doing since its inception? Are they meeting expectations? Let’s take a look!
When Syscoin was created by the developers, they had several requirements in mind which had to met in a certain period of time. In order to do so, the team decided to leverage existing proven code as much as possible, instead of doing a complete development from scratch. Do keep in mind this is just for the basic Syscoin code, and not the features which have been developed, and are still under development, ever since.
But this approach also served a secondary purpose. As Syscoin set the bar very high for their developers, the team knew they had to expand the dev team in order to keep up with progress. So what better way than finding people who are familiar with the bitcoin codebase? Not only is this a lot easier for both parties, but it also saves a lot of time.
Another aspect of keeping Syscoin relevant comes in the form of network hashpower. Leveraging existing hashpower instead of competing with other coins for attention has proven to be a very successful strategy for SYS. As the team wanted to increase the net hashrate at a fast pace, and Scrypt ASICs were only just hitting the market, the choice was pretty straightforward.
Even though many altcoins have moved away from the Scrypt mining algorithms, the production and demand of Scrypt ASICs goes to show that Scrypt coins are here to stay. Granted, most people will use these ASICs to mine Litecoin directly, but they can be used to mine Syscoin all the same. Plus, combine a few ASICs and you have a decent net hashrate, which in turn reduces the risk of a 51% attack.
However, both miners and big mining pools had to be rewarded and incentivized to pay attention to the Syscoin network. As we have seen the potential of the SYS blockchain, and mining pools and bigger miners being the ones most likely to run a Syscoin node, extra incentive had to be provided.
It’s All About Making The Right Choices
I did mention the Syscoin source code has been leveraged from existing cryptocurrencies. Some of the coins involved are Litecoin, Namecoin, and Datacoin. By picking up bits from different coins, a lot less time has to be spent on keeping up-to-date with patches and fixes from the source coins.
One of the things most people forget these days is the fact SYS is merge-mineable. It is possible to mine Syscoin alongside any other Scrypt coin, with no extra costs or fees involved. In doing so, it becomes easier and somewhat fun for pool operators and miners to get involved with Syscoin.
Whereas some altcoins burn service fees when certain services are used, Syscoin regenerates these fees and adds them back to block rewards. Miners will encounter these regenerated fees in the form of an additional bonus on top of the regular block reward.
Overwhelming Success So Far
Considering Syscoin has only launched little over a month ago, the statistics are quite impressive so far. Did you know there is an average of 35 Gigahash/second of Scrypt mining hashpower on the SYS network, with daily peaks of 60GH/s?
As a result of this massive hashpower, the mining difficulty has been ramping up steadily, and surpassed the 1,000 difficulty mark a while ago. If things keep up the way they do right now, there will be over 100GH/s of Scrypt hashpower on the SYS network very soon.