Bitcoin digital currency will soon have a competitor. Chia's name is planned to be launched in the second quarter of 2018. Chia's creator, Bram Cohen, admits that he is "one step closer to breaking the hegemony of Bitcoin.
The idea is to make Bitcoin and its network infrastructure better and environmentally friendly, "he said, as quoted Techcrunch, Monday, November 13, 2017.
Cohen claims that Chia was able to solve two major problems that existed in Bitcoin.
Environmental impacts and instability arising from some 'miners' Bitcoin due to wasteful electricity consumption.
Little information, the term miner is a username that performs a Bitcoin transaction. In the process, miners use computers to transact.
The higher the difficulty level of mining Bitcoin then the longer the use of the computer so that it consumes a large electrical power. In addition, it takes a special kind of computer that can complete the mining process faster than regular computers.
How does Chia work? Citing the Fossbytes site, is actually the same as Bitcoin. What distinguishes Cohen gives its user name is 'Farmer'. Farmers must prove that they have used resources with evidence of space and time (hard drive space) to create new blocks designed by Cohen. In return, Farmers receive rewards and transaction costs for all transactions they make. With every block printed, new blocks will be expensive to produce.
As soon as the new block is printed, farmers will switch to 'farmland' over the new block. With proof of storage in Chia, users can join 'farming' at no additional cost. In addition, the digital currency that Cohen claims to be green or environmentally friendly also discusses the extravagant nature of Bitcoin.
Chia is actually cheaper because of low electricity costs so as not to create heat due to excessive electronic waves.
"We built Blockchain (Chia infrastructure network) based on space and time evidence to make Cryptocurrency power efficient, more decentralized and more secure," said Cohen, with the company he founded, Chia Network.
