Chia Network Cryptocurrency (XCH) - This is the native token of the Chia Network, used for all smart transactions. The project declares its mission as improving the global financial and payment systems.
The Chia Network blockchain is written in the Chialisp programming language and works on the classic consensus algorithm described in 2008 by Satoshi Nakamoto, but instead of the energy-consuming Proof-of-Work mechanism, another one is introduced - Proofs-of-Space-and-Time (proof of space) and time). Hard drives are used to mine this cryptocurrency, and mobile phones, laptops and other devices equipped with a hard drive are quite suitable.
Chialisp is a new Chia on chain programming language that is powerful, easy to audit, and secure. This will make cryptocurrency easier to use than cash or credit. Chialisp is a superior framework for developing smart on-chain transactions that will unlock the security, transparency, and ease of use that cryptocurrencies promise.
Features of Chia Network
As already mentioned, Chia uses a new “proof of space and time” or Proof-of-Space-Time approach. The authors of Chia outlined its essence in two articles for the International Association for Cryptographic Research.
Any transfer of Chia between network participants is a cryptographic function, as in Bitcoin, but its result should not be calculated, but found in ready-made tables. If one of the network participants found the desired result in their tables, the Chia translation is considered “proven”. Next, the transfers are added in blocks to the blockchain, and the participants who find them receive a certain amount of ChiaCoin as a reward.
This process is called Chia pharming, similar to Bitcoin mining. But instead of powerful computing resources, it requires free space on hard drives or SSDs to store tables of ready-made values. The more of these tables a network participant has, the higher the chances that they will contain “proof” of the next transfer.
First, the drives need to be filled with such tables, and this is a computational process called plotting (seeding). But Chia plotting is not as difficult as mining other cryptocurrencies because it does not calculate a specific value, but rather generates many random values. A regular processor is enough for this.
Moreover, ChiaCoin algorithms are specifically designed so that increasing computing power does not provide an advantage in pharming. This is part of the "proof of time" mechanism used in Chia.
Drives consume little energy: SSDs - up to 6 watts, hard drives - up to 12 watts. Processors can consume several hundred watts during table generation. But Chia plotting lasts only a few days or weeks, and then, during farming, the computer only needs to look for the required values in the tables. This is a very easy task that even weak processors can perform.
How to use the Chia calculator
Mining Calculator 2022 has a very simple interface. It does not require any special skills and is quite simple to use. To do this you need to do the following:
It is worth choosing the number of plots, rafts or sections. To do this, you should use a toggle switch adapted for this. It is worth specifying a number in the range 1-10000. You should also indicate the dimension that will be used: tibibyte (TiB), gibibyte (GiB), pibibyte (PiB), etc.
- You will also need to select a method for obtaining the result. This can be an in-depth or a simple way.
- Next, you can evaluate profitability per hour, day or month.
- Based on this information, you can make a decision about the current use of Chia mining.
How does space and time proof work?
While in PoW the user must prove the work he has done, in PoS - the bet he has made, PoT in conjunction with Proof-of-Space implies proof of the availability of free space on the hard drive. Overall network security is enhanced by consistency between proof of space and proof of time.
Features of the algorithms:
- Proof of Space. Using special software, users “seed” space with sets of cryptographically encrypted numbers. This process is called plotting, and individual areas of space are called rafts. When the network issues a task that must be completed to create the next block, farmers scan their plots and look for a hash suitable for solving it. Depending on the percentage that the user's space occupies compared to the total network space, the probability of winning is determined.
- Proof of Time. It takes some time to transfer data from one block to another. Verifiable latency minimizes power wastage and also eliminates the benefit of running multiple parallel devices in parallel.
Compared to other cryptographic coins, Chia Coin operates on a more decentralized and therefore more secure blockchain. Smart transactions on the network are programmed in a fundamentally new language, Chialisp, which also facilitates auditing.
Where is the best place to buy cryptocurrency? TOP 5 exchanges
For a safe and convenient purchase of cryptocurrencies with a minimum commission, we have prepared a rating of the most reliable and popular cryptocurrency exchanges that support deposits and withdrawals of funds in rubles, hryvnias, dollars and euros .
The reliability of the site is primarily determined by the trading volume and the number of users. By all key metrics, the largest cryptocurrency exchange in the world is Binance. Binance is also the most popular crypto exchange in Russia and the CIS, since it has the largest cash turnover and supports transfers in rubles from Visa/MasterCard and payment systems QIWI, Advcash, Payeer .
Especially for beginners, we have prepared a detailed guide: How to buy Bitcoin on a crypto exchange for rubles?
Rating of cryptocurrency exchanges:
| # | Exchange: | Website: | Grade: |
| 1 | Binance (Editor's Choice) | https://binance.com | 9.7 |
| 2 | Bybit | https://bybit.com | 7.5 |
| 3 | OKEx | https://okex.com | 7.1 |
| 4 | Exmo | https://exmo.me | 6.9 |
| 5 | Huobi | https://huobi.com | 6.5 |
The criteria by which the rating is given in our rating of crypto exchanges:
- Reliability of operation
- stable access to all functions of the platform, including uninterrupted trading, deposits and withdrawals of funds, as well as the period of operation on the market and daily trading volume. - Commissions – the amount of commission for trading operations within the platform and withdrawal of assets.
- Reviews and support – we analyze user reviews and the quality of technical support.
- Interface convenience – we evaluate the functionality and intuitiveness of the interface, possible errors and failures when working with the exchange.
- Features of the platform are the presence of additional features - futures, options, staking, etc.
- The final score is the average number of points for all indicators, determines the place in the ranking.
Technical features of Chia Network
Chia is built on an elliptic curve called BLS12-381, first designed for ZCash, which is computationally optimal and allows zk-SNARK protocol types. The same curve is planned for use in ETH 2.0.
The blockchain uses a proprietary consensus algorithm called Proof of Space and Time. Block time is 45-49 seconds, network throughput is 20 TPS. Chia has a Turing-complete virtual machine for creating smart contracts. Programming quite complex scripts is possible in the Chialisp programming language.
While Bitcoin mining consumes more electricity than Argentina, Chia uses a completely different approach - hard drive mining. Hard disks:
- Cannot be accelerated by consuming electricity.
- More common, i.e. less specific and cheaper than video cards.
- Hard drive technology is slowly progressing and it is still impossible to imagine that someone could take a monopoly position with the help of a technological breakthrough, as is the case with ASIC mining.
Indeed, ASIC is centralization in the hands of rich Pinocchios, not at all what Satoshi Nakamoto dreamed of. Those who realized this fatal flaw of Bitcoin immediately began to create ASIC-resistant cryptocurrencies. For example, Litecoin replaced SHA256 with Scrypt, which, with increasing complexity, increased memory requirements, while ASICs have limited memory by design and are expensive. Other ideas for using limited resources for Proof of Work have also emerged, including using disk space. Cryptocurrencies like Filecoin or Storj use it meaningfully - allowing users to store other users' files in a cloud-like manner. Unlike the latter, in Chia disk space is “mediocrely” used for storing hashes.
To reduce the volatility of the Chia coin, a strategic reserve created as a result of pre-farming will be used. The developers set the following goals as their goals: creating an ideal blockchain for deploying applications, creating the first publicly traded cryptocurrency close to an ETF, stimulating adoption in corporations and among end users. Already now, due to the demand for Chia (XCH), prices for hard drives have increased significantly in some places.
After pre-farming, Chia will offer a reward of 64 XCH every 10 minutes. For twelve years after launch, there will be a halving every three years, then the reward will remain at the same level indefinitely (4 XCH every 10 minutes). This is done to ensure that the price of Chia Coin is subject to inflation as little as possible.
Hard drive shortage and rising prices
Just two weeks after the launch of Chia Network, there was a shortage of high-capacity drives on the market, which led to an increase in their prices by $100–$300. The greatest demand is observed in China.
So, back in April, local residents began buying hard drives with a capacity of 4–18 TB, as well as solid-state drives. A shortage of storage devices was also observed in Hong Kong and Vietnam, as well as in the United States. Taiwanese electronics manufacturer Phison Electronics predicts that due to the popularity of Chia, SSD prices could rise by 10% this year. Hard drive maker Seagate Technology said the company has seen a surge in orders and employees are now having to work longer hours than usual.
Jiahe Jinwei, one of the largest manufacturers of SSDs and HDDs, announced that it has sold out of all available stocks and is going to limit the sale of drives. Jiahe Jinwei also plans to launch special devices for Chia mining, but with a shorter warranty. If other manufacturers follow its example, we may see the emergence of a new market - specialized HDDs and SSDs for mining.
At the same time, Gene Hoffman, president of Chia Network, admitted that.
There is also a positive side to the storage shortage. By the beginning of June, shares of their manufacturers, for example, Seagate and Western Digital, grew by 25% and 16%, respectively.
Chia Network History and Team
Chia Network - This is green money. The founder of the project, Bram Cohen, knew from the very beginning that he wanted to reduce the energy dependence of blockchains with the help of a “green” solution. The idea of pharming seemed like the best metaphor for filling up unused disk space and monitoring it for escapes. This forced the team to search for grains that had the properties they wanted to implement in the new network. The team needed a name that was short and effective. Everyone was amused that this was also a grain associated with a bizarre meme. Thus the Chia network was born.
The project has gained popularity only now, but was announced back in 2022. A green-paper explaining the environmental friendliness of the Chia cryptocurrency mining process was published in July 2022.
In addition to founder Brem Cohen, the team includes executive leadership from former eMusic.com and Vindicia founder and CEO, Gene Hoffman, and former Overstock.com interim CEO, Mitch Edwards. The Chia blockchain has an active open source developer community with large contributions to the codebase. Many people contribute to the Chia blockchain in areas such as research, peer review, development, testing, documentation and translation.
Proof of Space and Time - two-step authentication of blocks. In reality, it should be like this: the three “most significant stories” found by full nodes will be transferred to “farmers” and not to miners. This way, the “best proof of space” is found, after which PoST servers begin validation and publish the verified block to the network. So large or individual miners with large capacities will lose their advantages, as is happening now with BTC. And the era of real, effective decentralization will come.
Project development
In May, the president and chief operating officer of Chia Network Inc. Gene Hoffman announced plans to conduct an IPO (initial public offering) on the stock exchange before the end of this year.
Chia Network has raised $61 million from a group of investors that included Richmond Global Ventures and Andreessen Horowitz. During the investment round, the project was valued at $500 million. Company leaders note that they plan to create a trading and payment system that will be used by government agencies, banks and financial institutions.
In July, Chia Coin cryptocurrency developer Bram Cohen announced plans to launch a decentralized exchange and automated market maker. According to Cohen, other DeFi products will be developed in the Chia ecosystem in the future.
Chia cryptocurrency mining
Chia mining is carried out using hard drives. The minimum amount of disk space that must be provided to a miner to mine Chia is 100 GB. The threshold for entering Chia Coin mining is quite low; you do not need to create and maintain nodes.
To start mining, you need to create a “raft” - a 109 GB section of your hard drive. The more rafts, the higher the farming productivity. Rafts store tables with hashes. Before forming a block, the blockchain requests a network search for the required hash and gives a reward to the one who has this hash - a simple number suitable in complexity and the amount of space occupied.
To start mining, you need to do the following:
- Install Chia Blockchain, run the file ChiaSetup-XXXexe.
- Here, create a wallet.
- In the “Graphs” tab, click “add a plot”. You will be presented with a menu. You can choose the number of rafts, the size, and the temporary and final directory in which each of your rafts will be stored (.PLOT file).
- Additionally, you can edit advanced settings including maximum RAM and CPU thread usage. If you have free RAM, do not hesitate to allocate more than the default for mining needs. This will subsequently affect his speed.
- If you're not sure how much RAM you have, simply hold ctrl + shift + esc to open the task manager. Here click on the Performance tab and check. You'll see how many GB of RAM are currently in use and can calculate how much is still available.
- It is recommended to leave the default 128 GB for mining. Once you have optimized the settings for your specific PC and its capabilities, click “Create Plot”. Ready!
Minimum PC requirements to mine Chia:
- Quad-core 1.5 GHz processor.
- 2 GB RAM.
- Python 3.7 or higher.
Ideally, you need two hard drives: one fast and spacious for temporary storage, and another, larger capacity, for storing mined areas.
Finally, the mining progress will be displayed in graphs. For one mined block the user will receive 64 Chia. Like BTC, a new task appears every 10 minutes.
When deciding to mine the Chia cryptocurrency, you need to remember about the constant increase in complexity and increasing hardware requirements. Experienced miners note that Chia is one of the most popular cryptocurrency projects in recent times. The daily increase in power averages 7%, so miners are better off taking equipment with a reserve if they are committed to long-term operation.
Chia is not as 'green' as it claims
After the launch of the main network and mining of Chia, the shortcomings of the project were revealed. One of them is the possible increase in electronic waste.
According to the Chinese company Fast Technology, the shelf life of a standard 512 GB SSD when used for continuous mining of HSN will be only 40 days. During this time, the SSD will “pass” 256 TB of information through itself. A 1 TB hard drive will last about 80 days, and a 2 TB hard drive will last about 160 days. Under normal conditions, these same devices would last about 10 years.
The reason drives have such a short life is that they are designed for a certain number of write cycles. But the problem is that after exceeding a certain amount of data recording, the manufacturer’s warranty does not apply to the drives. Fast Technology reported that HDD and SSD manufacturers have begun to change their warranty terms to reflect that the drives can be used for Chia mining.
Bram Cohen claims that the information that Chia “kills” hard drives is untrue and is FUD - deliberately denigrating information. However, Cohen cautioned users against using small SSDs for Chia mining.
Well, the first miners have been mining HSN for more than a month. If it's ruining hard drives, we'll know soon enough. In the meantime, German cloud service provider Hetzner has banned HSN mining on its servers, fearing that it could lead to premature failures of their drives.
Chia Network (XCH) cryptocurrency rate
At the time of writing, the Chia Network cryptocurrency is ranked 2568 in the CoinMarketCap ranking. The market capitalization is $361 million and the daily trading volume is $50 million.
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Chia Blockchain software for pharming also includes functionality for managing wallets (Wallets or Wallets tab). In this section, transactions are created and you can see the address for receiving payments. The total balance and the one that is already available for spending are displayed here, as well as the history of receiving winnings from farming.
Wallet for storing purchased Chia Coin (XCH)
All of the listed exchanges provide the opportunity to store Chia Coin in your accounts for free and for an unlimited amount of time. This is convenient if you plan to use XCH for trading in the near future, but for long-term storage as an investment, it is wiser to use a wallet installed on your own device and not having access to private keys.
Such a wallet is currently the official Chia Blockchain wallet, which is also intended for farming this coin. The wallet address looks like this: xch158s89qxul6gzhr9x3hrr0rnfqf2y0ynfulw80q7pp5fgvfhvtjvqdeelkj. Look at your address in your wallet and transfer funds from the crypto exchange to it.
What data does the calculator provide?
Using calculations, you can obtain the necessary information about the prospects of using this method of income, which is achieved by the selected equipment.
At the same time, the Chia cryptocurrency and its mining calculator is able to provide the following data:
- taking into account one or several sections, a general network space will be demonstrated;
- the waiting time after which the result will be received;
- calculation of income for 60 minutes, day, month;
- exchange rate at the time of calculations;
- approximate cost of equipment.
The Chia mining profitability calculator will help you understand whether it makes sense to start farming coins
When deciding to mine Chia cryptocurrency, you need to remember about the constant increase in complexity and increasing hardware requirements. Run Chia's calculator and see how many hard drives you need to buy to make a decent income. Experienced miners note that Chia is one of the most popular cryptocurrency projects in recent times. The daily increase in power averages 7%.
What does it mean? Miners will have to constantly strive to increase the capacity of hard drives. It is not yet possible to assess the value and demand of Chia. Cryptocurrency is only gaining momentum. Miners are actively mining the coin in hopes of making big profits in the future. The question is how much the cost of collecting a farm will pay off. The Chia Coin calculator will help you calculate the approximate profitability, but no one knows how the network parameters and the coin exchange rate will change in the future.
Now you know what the Chia income calculator is and how to use this service.
