Pettycoin

Pettycoin is an experimental open source software project to create a public, scalable off-bitcoin network for small bitcoin transactions,[1] in order to solve the problem "Bitcoin mining is expensive".[2] The project is notable in that it is led by Rusty Russell, a well known figure in the Linux community who took a sabbatical of six months[2] from his regular job at IBM[2] to work on the project.[3]

Characteristics

Rusty describes the network as "specially reduced and cut down, but can handle tiny, tiny transactions".[2]

Functionaries

Functionaries are nodes that 'gateway' bitcoins to and from the bitcoin network.[2]

Limited to small amounts

Reasons for this include that Rusty doesn't like real money,[2] and because the name implies tiny transactions.[2]

Simpler transactions

"Vastly simplified, probably oversimplified, but about as simple as you can get and still have a working system"

Horizon

After one month, participants can no longer use their transactions and coins will be returned to the bitcoin network. This is to help ensure that the network is a "transfer network" rather than one that is used to store value.[2]

Partial knowledge

On the regular bitcoin network, participants must maintain a complete knowledge of every block and every transaction. Pettycoin, by contrast, facilitates segregation of responsibility to disparate participants such that complete knowledge is not required.[2]

Fast block times

Faster block times — compared to bitcoin — facilitates faster individual transaction settlement.[2]

Status

Pettycoin isn't ready for real usage and it currently only runs on a test network.[1] Rusty described, in January 2015 hindsight, design mistakes made with the system:[2]

References

  1. ↑ 1.0 1.1 "Pettycoin". Retrieved January 2015.
  2. ↑ 2.0 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 2.10 2.11 Rusty Russell. "Pettycoin - Towards 1.0". linux.conf.au 2015, Auckland, New Zealand. Retrieved January 2015.
  3. ↑ "Pettycoin FAQ". Retrieved January 2015.

External links