Re-Architect Blockchain: V SYSTEMS review
By Lorenzo - 2019-10-07
VSYS is aiming to create a database blockchain infrastructure while delivering decentralized cloud database technologies and supporting the operation of countless blockchains in the most optimal, scalable and durable way.
The VSYS coin uses a new consensus algorithm called the SPoS which aims to incentivize users to participate in the ecosystem while helping the network.
* There is no minimum amount of VSYS needed to lease/stake, however, the reward you would get has to be higher than the fee of 0.1 VSYS, otherwise, you won’t get any rewards.
V SYSTEMS is led by Chief Architect Sunny King, the inventor of the PoS consensus algorithm. Sunny king said that ‘Blockchain is easy, we just need to use it like a database’ and that’s exactly what he is trying to achieve with V SYSTEMS.
The VSYS platform is almost immune to 51% attacks and the network is able to support the development of a wide variety of applications including finance. The V SYSTEMS platform uses an evolution of the original PoS algorithm called SPoS. The new algorithm uses a supernode hardware construction which enables any transaction to be completed within 1 second.
V SYSTEMS launched its mainnet in November 2018 and it’s planning to support enterprise-level decentralized applications in 2019 as well as releasing a decentralized general-purpose database in 2020.
It is aiming to create a future economy built on top of blockchains by creating an infrastructure able to scale in the future. An infrastructure that is stable and incentivizes users to participate in the network while getting rewarded thanks to the Supernode Proof of Stake.
VSYS will be a part of the upcoming web 3.0 economy by removing the barriers restricting development and providing all the necessary tools and technology for developers.
VSYS Hot & Cold Wallets
The VSYS Team has created two different wallets providing the most robust security available to hold your VSYS. New users will need to create an account on the V SYSTEMS website in order to use the web wallet.
Once the user is registered and logged in, he can easily use the VSYS web wallet to send or receive VSYS coins.
Additionally, VSYS provides a mobile wallet that was co-developed by the community and it’s available on the app store and google play. This wallet is pretty similar to the web wallet, it’s important to note that both wallets allow users to lease their VSYS in order to earn rewards.
The VSYS platform has its own explorer where anyone can check the latest blocks, transactions or addresses.
Euclid - Smart Contracts
Although not fully launched, Euclid, the smart-contract platform will allow users to deploy smart contracts and issue their own tokens easily. The Euclid platform will be able to handle huge amounts of data in the most optimal way. The VSYS team is working on creating a turing-complete and data-oriented smart-contract programming language in the near future.
VSYS currently allows users to create and issue their own token on the VSYS web wallet. The process is really easy and holds a fixed fee of 100 VSYS. The platform provides a tutorial on how to do it here.
The main mission of VSYS is to become a blockchain database. There are some fundamental differences between a traditional database and a blockchain-based one. Obviously, traditional databases are centralized, controlled by a central authority, this also means the database itself is private, no one knows what’s going on inside it.
A blockchain-based database can be decentralized and public where digital privacy is achieved through public-key cryptography.
According to VSYS whitepaper, the next generation of database platforms using the blockchain technology will have far better features than the first generation of database like Bitcoin:
- Object data modeling
- Blockchain truncation / archival support
- Multiple consensus algorithms support
- Instant blockchain creation for application developers
- Cloud support for application developers
The VSYS team is composed of a group of talented developers as well as an ecosystem team but most importantly, Sunny King, the legendary inventor of the Proof of Stake consensus algorithm and creator of Peercoin and Primecoin.
Vitalik Buterin, the inventor of Ethereum said that Sunny King is perhaps the most skilled blockchain developer. Even without such a skilled developer, the rest of VSYS team is certainly capable of handling the development with more than 50 years of development experience.
Planned for 2019:
- VSYS Coins listed on exchanges
- Release of the Smart Contract
- Support enterprise-level decentralized applications
- Decentralized mobile internet launch
Planned for 2020:
- Upgrade the Smart Contract
- Release Cloud service platform
- Release a decentralized general-purpose database
- Upgrade the enterprise-level DAPP support
More exchanges can be found here
Supernode Proof of Stake
VSYS uses an innovative algorithm called SPoS, created by the inventor of the original PoS, Sunny King. This new consensus algorithm incentivizes supernode minters to continuously upgrade and optimize their hardware to improve their performance. The supernode minters will be rewarded by using the VSYS coins that are leased by the holders, the interests are repaid to holders.
The equal minting approach solves the centralized threat that Bitcoin faces, where a group of big miners can work together to bring down the network.
The SPoS algorithm is also trying to solve other issues like the random process of block generation in coins like Bitcoin. The average block time might be ‘X’, however, users might need to wait much longer for the next block as it is random. This is what drove Sunny King to create a constant block interval minting design.
This is achieved through something called ‘minting slots’, these slots have to be acquired first in order to obtain the minting right. The SPoS defined 60 minting slots that are specifically tied to a second within the minute. To obtain the minting right, a user would need to own the exact minting slot at the exact second.
How to Stake VSYS
Users can easily ‘lease’ their coins to Supernodes in order to stake VSYS and earn rewards. Only certain Supernodes offer rewards and the more VSYS the supernode is staking, the higher the reward for users who lease their coins.
Users can earn between 1% and 22% rewards. Using the VSYS rate calculator, users can easily check all the Supernodes as well as rewards and the interest cycle which usually varies between daily and weekly but also monthly.
There is no real minimum amount of VSYS required to lease, however, users need to make sure the amount of VSYS they are getting back as a reward is higher than the fee of 0.1 VSYS.
As an example, if a user wants to lease his VSYS coins to a Supernode that has a 20% annual interest reward and a daily interest cycle, he would need to lease at least 183 VSYS coins to earn just a bit more than the fee of 0.1 VSYS. If a user still wants to lease a smaller amount than 183 VSYS, he can do so by choosing a Supernode that sends rewards weekly or monthly. In the weekly version, the user would get rewards staking a minimum of 27 VSYS coins.
There is no risk when leasing your VSYS coins because you are always in possession of the private keys. The Supernode could have problems and you could miss your rewards, however, you will always keep your initial amount of VSYS leased.
Staking on Exchange
Kucoin has recently announced they will be supporting soft-staking for VSYS and the exchange is currently offering 21% annual returns for staking VSYS.
In order to start soft-staking on Kucoin, users would need to sign up, complete the KYC on Kucoin and simply deposit or buy VSYS and hold them into the main or trading account. The rewards are sent daily.