NXN vs Bitcoin
Last updated
Last updated
NXN utilizes energy-efficient built-in digital miners (eMiners) to replicate the rewards earned by Bitcoin ASIC Miners. The NXN token is all that is needed to create an eMiner.
NXN's design is unique as it gradually decreases the annual inflation each year and halves the annual reduction once a decade. This is meant to be less abrupt for miners, avoiding cutting their earnings in half while also coping with increasing energy prices and more competitive hash rates.
Inflation helps to encourage long term adoption by rewarding holders. However, inflation can also negatively impact token price by increasing sell pressure. This is true in both traditional and decentralized finance. Satoshi recognized the importance of sustainable inflation and therefore designed Bitcoin to be disinflationary (mitigating the risk of runaway inflation).
NXN aims to solve the problem of runaway inflation with deflation measures & disinflating overtime.
NXN utilizes many modern DeFi deflation features to further curb inflation, including:
Vested timelock mining contracts with early withdrawal fees;
Early & late “end mining” fees;
Utility token "NXN Energy" burns supply; and
1% burn sell tax.
