How is ELA mined?
ELA is merge mined with Bitcoin through Auxiliary Proof of Work (AuxPoW) and validated through Delegated Proof of Stake (DPoS).
Who can mine ELA through AuxPoW at this moment?
The mining software is open source so anyone can implement the merge mining techniques to simultaneously mine ELA with any of the SHA256 coins such as BTC, Bitcoin Cash, etc. Some of the miners who are mining ELA currently include F2pool, ViaBTC, Antpool, BTC.TOP, BTC.com, HuobiPool, OKPool, etc. Note that you can also mine ELA solo without going through any mining pools but the complexity of the process will be analogous to that of Bitcoin.
Is ELA pre-mined?
Yes, 33 million coins were pre-mined by the Elastos foundation.
Is ELA an inflationary system?
Yes. ELA has 33 million pre-mined coins +4% inflation through AuxPoW+DPoS(not compounded year to year): 4% x 33 million = +1.32million coins per year for ever.
Why 4% inflation?
To compensate for the loss of coins over time, loss of passphrases resulting in loss of wallets, funding for the Cyber Republic, incentives for miners, compensation for stakers, etc. Also, ELA is a utility coin and as such it’ll be used to power the entire Elastos ecosystem such as transaction fees on the blockchain network, gas fees for running smart contracts on sidechains such as ETH and NEO sidechains, etc.
Who gets the 4% of ELAs inflation?
From the 4% inflation, 35% goes to the miners (PoW), 35% to the DPoS supernodes and 30% to the Cyber Republic.
How much ELA is needed to regitser for a DPoS supernode?