The development of the Bitcoin ecosystem is an inevitable result of historical development;
In the 2018 global economic crisis, Satoshi Nakamoto clearly defined Bitcoin's mission from the very beginning: to build a new monetary system in a completely different way to provide an alternative path for solving the economic crisis.
So far, it can be said that Bitcoin has succeeded halfway, but to achieve this goal, there is still a long way to go. Bitcoin needs a better ecosystem, stronger consensus, and needs to become popular to enable more people to use it, all of which require a combination with Bitcoin mining computing power, which is the foundation of everything;
Currently, the Bitcoin mining track is facing a series of problems:
1) High thresholds and risks:
The threshold for newcomers entering the mining market is very high, not only in terms of financial investment but also in deep understanding of the market and technology. Users have mentioned that mining is not friendly to newcomers, which may limit the expansion and participation of the mining industry.
2) Market volatility and uncertainty:
The price fluctuations of Bitcoin and other cryptocurrencies affect the profitability model of mining. Users generally express uncertainty about market conditions and concerns about future crashes, which directly impacts the economic returns of mining.
3) Competition and pool centralization:
Centralization of mining pools is a common problem in cryptocurrency mining. Intense competition and centralization of mining pools may harm the interests of small miners.
4) Interest generation issues:
Despite innovations such as re-staking, Bitcoin itself does not have a natural interest generation mechanism like some other cryptocurrencies. This has been pointed out by users as a core issue in the Bitcoin ecosystem, affecting the long-term yield expectations of holding and mining.
5) Emotional fluctuations:
The community's expectations and emotional fluctuations regarding the market vary greatly, from extreme optimism to expectations of a crash; such emotional fluctuations may affect the stability of the mining industry and investor confidence.
In summary, Bitcoin mining currently has both technical and market opportunities, but also faces issues of high thresholds, market volatility, intense competition, and interest generation mechanisms. These factors jointly determine the future direction of the mining track.
It seems that Prosper@prosperfi_xyz, which was recently publicly acquired and increased its token holdings by @animocabrands, is transitioning from a prediction market to the Bitcoin mining track and is addressing these issues.
We can look at how this action will be completed——
1️⃣ Prosper: May become the first #DePIN+ #RWA project in the Bitcoin ecosystem——
I think Prosper's direction of transformation is quite correct because other tracks in the Bitcoin ecosystem, whether it's re-staking or the L2 track competition, are already in full swing.
Therefore, turning to the Bitcoin mining track and borrowing strategies from MicroStrategy and mining strategies to complete Bitcoin mining RWA is a good choice:
Prosper aims to decentralize the protocol of community participation and ownership by bringing Bitcoin mining capacity on-chain.
The project seeks a unique opportunity in the growing context of Bitcoin, Bitcoin mining, and real-world asset (RWA) projects.
The project is positioned as 'web3 decentralized Bitcoin miner + MSTR', and PROS token holders can benefit from both the computing power owned by the Prosper Foundation and the BTC inventory in its treasury.
2️⃣ Problem to be solved: Enhance community participation and ownership in the Bitcoin ecosystem——
Although Bitcoin itself is decentralized, the mining process is often concentrated in the hands of a few large mining pools.
On one hand, the Prosper Token Foundation holds and operates mining machines through direct purchases or joint funding with mining partners; on the other hand, considering the probabilistic issues of Bitcoin mining, Prosper will collaborate with established mining pool providers to reduce production discrepancies and better monitor hardware performance. This way, Prosper can accumulate BTC at cost price and hold it long-term.
On the other hand, Prosperfi_xyz attempts to further decentralize the Bitcoin ecosystem by bringing mining capacity (hashrate) on-chain, enhancing community participation and ownership in the Bitcoin ecosystem, and creating a more decentralized mining ecology.
A key strategy of the project is to focus on Bitcoin mining through community governance. This means that holders (users holding $PROS tokens) can participate in decision-making through voting, including how to use mining profits, future development directions, etc. In this way, the Prosper Token Foundation always ensures that it has a corresponding number of mining machines and provides real-time Bitcoin computing power, while Prosper's native token PROS can be exchanged for corresponding Bitcoin computing power.
In simple terms:
1) The computing power will continuously produce Bitcoin, part of which will serve as governance rewards for PROS holders, while the rest will be deposited in the project's treasury;
2) The BTC inventory in the treasury will be decided by votes from PROS holders and will collaborate with other BTC ecosystems or DeFi project protocols to provide BTC TVL, allowing PROS holders to gain returns and airdrops from new projects;
3️⃣ Token $PROS economic model: 100% computing power token; holding it allows you to obtain Bitcoin computing power and rewards——
Prosper was listed on Binance in February 2021, and currently the secondary market FDV is less than $40mn, with a market cap of $12mn, making it a low market cap project;
By designing the economic model of the $PROS token, Prosperfi_xyz ensures its focus on Bitcoin mining strategy.
$PROS tokens are not only used for governance but also represent holders' ownership of actual mining capacity (hashrate), meaning the value of $PROS is directly or indirectly associated with the success of Bitcoin mining.
Clearly, this economic model reconstructs and upgrades the use cases and value of the token, while Prosper's partners will also lock their held PROS tokens for 1.5 years;
From the layout of these behaviors, it is favorable for future development;
In summary——
Prosper introduces Bitcoin mining into the DeFi field innovatively, providing users with new investment and participation methods, while enhancing the project's decentralization and transparency through community governance.
From the recent cooperation with @Stakestone and the announcements made;
The official announcement states that a series of new information may be released by the end of this year, including its mining pool partners, a brand new token economic model, and the linkage rate of token value to computing power, so interested friends can pay attention;
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