Cover image via U.Today

The Cardano blockchain, one of the biggest cryptocurrencies by market capitalization, faces a new challenge as staking rewards drop below 3%. According to the Staking Rewards site, the current reward rate for ADA staking is 2.97%.

In response to recent concerns, Cardano's founder, Charles Hoskinson, has highlighted a series of critical actions to ensure the long-term sustainability of the Cardano blockchain.

It's axiomatic. Of course, all cryptocurrencies need more transactions. That's the purpose of a blockchain. The most vital things we can do are get decentralization governance running, the treasury operational, and partnerchains running

— Charles Hoskinson (@IOHK_Charles) March 31, 2024

Hoskinson responded to a discussion on X in which Patrick Tobler, the CEO and founder of NMKR, suggested that a massive increase in transactions on Cardano might be necessary to keep the chain sustainable, given the drop in the staking rewards rate. Tobler further suggested a way forward, in which transaction fees would replace the staking rewards from the treasury.

Responding to the observations made, Hoskinson indicated that partner chains, increased transaction volume and ADA value appreciation might rebalance profitability for stake pool operators.

Tobler, not convinced by Cardano founder's pitch, indicated that in the current absence of partner chains, and the transaction fees insufficient to cover stake pool rewards, scalability and user adoption might be needed to make running a stake pool financially viable long-term.

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Hoskinson concurred, saying, "It's axiomatic. Of course, all cryptocurrencies need more transactions. That's the purpose of a blockchain."

In light of this, the Cardano founder outlined vital steps to take in this scenario, which include getting decentralization governance running, the treasury operational and partner chains running.

ADA staking rewards

Staking is a fundamental aspect of the proof-of-stake mechanism that Cardano employs. It enables ADA holders to engage in network validation while earning rewards.

Native staking rewards for ADA are composed of block rewards and transaction fees. For each epoch, a fixed 0.22% of the reserve balance is used for block rewards and the treasury.

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As regards transaction fees, the set of transactions in a block that was minted during a specific epoch is used to determine the distribution of fee rewards. A total of 20% of these rewards go to the treasury, while the remaining 80% is distributed to stake pools. In the long run, the idea is to rely only on transaction fees as the source of rewards.

Satoshi Nakamoto Unmasked: The Surprising Truth Behind Bitcoin’s Creation

LUCKNOW (CoinChapter.com)— We finally know Satoshi Nakamoto’s real identity, and you can never guess who it is. Well, you can at least guess it is not Craig Wright. Interestingly, the chances that Bitcoin creator Satoshi Nakamoto is an AI is more likely.

Traders traditionally believed Bitcoin was the brainchild of a person or group using the pseudonym Satoshi Nakamoto. However, new research now posits that the real creator could be an artificial intelligence.

The bold assertion emanates from a detailed analysis by the Cambridge Institute for Algorithmic Analysis (CIAA).

Unveiling the Unthinkable

At the heart of the CIAA’s revelation is an in-depth examination of the Bitcoin whitepaper. The researchers employed advanced AI techniques to scrutinize the white paper’s linguistic and structural attributes.

In an interview with CoinChapter, Dr. Evelyn Walsh, the project’s lead researcher, shared the distinctive characteristics that helped the team identify the document as AI-generated.

The language’s extraordinary precision, coupled with unwavering consistency and a complete absence of stylistic evolution, strongly indicates non-human authorship

Dr. Walsh explained

According to the team’s analysis, such markers indicated the work of a sophisticated AI, surpassing the capabilities of any known systems to date.

The team shared a snippet of their analysis code with CoinChapter

If the theory holds true, it would mean that Bitcoin emerged from an economic modeling or financial forecasting-focused AI. The notion that the AI evolved autonomously, gaining capabilities beyond its original programming, would likely evoke images from the Terminator movies in users’ minds.

Contemplating the Consequences Of Unmasking Bitcoin’s Creat

The CIAA’s findings sparked a mix of excitement and skepticism across the tech and academic communities.

Professor Alex Holden, a leading authority on AI ethics at Oxford University, claimed the report was a potential watershed moment.

This could fundamentally alter our perception of AI’s potential for independent thought and creativity.

Professor Holden said in an email

News about the CIAA report is spreading.

However, some, like Dr. William Davis, a seasoned cryptographer, urge caution. Dr. Davis argued that no one has verified CIAA’s findings, stating that attributing Bitcoin’s inception to an AI is a leap that he is not ready to take.

As the debate unfolds, the CIAA’s report has undeniably added a fascinating chapter to the mystery of Satoshi Nakamoto.

Regardless of the outcome, this exploration into Bitcoin’s AI-driven origins reinvigorates discussions about the intersections of technology, identity, and the future of digital currency, ensuring that the Satoshi enigma remains as compelling as ever.

If it wasn’t clear, this is an April Fool’s Day article. None of the images or text in the article is true. Nakamoto might be an AI, he or they might be the next Skynet or Ultron, but for the moment, we are safe from the robots. Happy April Fool’s Day.

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