What is Ravencoin?
The Ravencoin (RVN) blockchain is an open-source protocol offering a slew of innovative and interesting features geared for business customers. Its native token is the RVN coin, sometimes referred to as the RVN token.
Ravencoin developers joined the market to address issues encountered by today’s token issuance systems. To stay in compliance, security tokens must adhere to tight requirements. As a result, businesses must verify that the technology they deploy meets all of the existing rules for legally acceptable token offers. To ensure Ravencoin users meet these commitments, developers set out to establish a new kind of blockchain that was particularly intended to manage these activities. The developers concentrated their attention on nine major areas of concern in order to make their efforts a reality.
A brief history of Ravencoin
Ravencoin is a cryptocurrency and peer-to-peer (P2P) network that was established by Bruce Fenton and Tron Black on 3 January 2018 through a fork of Bitcoin’s code. It was founded with the goal of making it easier to transfer unique assets to one another.
With Bitcoin (BTC), it is possible to send assets/information via an actual Bitcoin transfer, but present Bitcoin nodes aren’t aware that assets are encoded in the message. Additionally, this also implies that genuine BTC must be transferred for every asset transaction, but there may be circumstances when the receiving party is uninformed of the asset, making it vulnerable to being lost if the receiving party unintentionally moves their BTC to another wallet.
Ethereum, on the other hand, allows assets but is unable to distinguish amongst assets with the same unique name. Ravencoin’s goal is to build a completely asset-aware Bitcoin-like system.
In a similar manner to Bitcoin, Ravencoin launched without a pre-mine, initial coin offering (ICO), or founder reward. In circumstances when splits or upgrades are required, the Ravencoin network employs the BIP9 consensus rules for governance.
On 11 January 2022, Ravencoin’s halving reduced the block reward from 5,000 RVN to 2,500 RVN. It has a total supply of 21 billion (in contrast to Bitcoin’s 21 million).
How Ravencoin works
Ravencoin is a coin-based platform on Bitcoin’s unspent transaction output (UTXO) concept. It is not practical to modify the Bitcoin source to add these functionalities. However, Ravencoin is a platform developed from a code fork, producing freshly minted RVN, and incorporating assets, prizes, one-of-a-kind assets, messaging, and voting. The codebase is intended to enable users and developers to run a secure, decentralised, and tamper-resistant network.
The Ravencoin project may also be used as a foundation and jumping-off point for projects, second-layer solutions, experiments, and business concepts. These may benefit from either the Bitcoin-based codebase with modifications or the native new functionality introduced to the Ravencoin blockchain.
What is Ravencoin used for?
Like any other token issuance platform, smart contracts enable issuers to pre-program compliance procedures directly into a token’s protocol. Token holders must meet these prerequisites before taking any action. Importantly, the issuer establishes these rules, enforced by the distributed code. Notably, by designating their token re-issuable, issuers may build code that evolves over time. This is a powerful tool since, in many cases, businesses may desire to eliminate certain restrictions once a particular time period has passed. This mechanism will often remove “accredited investors only” after a pre-programmed time period. As a result, multi-round investing schemes may run seamlessly.
Tokens based on the Ravencoin protocol can be used to ease the issuance and transfer of unique assets, which may be used for anything the investor desires — for example, land titles, automobile ownership, energy credits, stocks, partnership interests, virtual products, and airline miles. RVN, the native token, may be used to make payments or receive incentives.
