🪙Token Strategy：$BIT
Protocol token based on Bit Native Theory issued by DMT and NAT
A bit is the smallest unit of data storage in computing, represented by a 0 or 1, with one bit being either state. In the context of Digital Matter Theory (DMT) and Bit Native Economics, the bit serves as the most fundamental element.
Within block elements, fields are denoted in terms of bit size, with the BITS field being a unique element named directly after the bit itself.
Hash Value: A unique identifier for a block, also indexing the previous block (parent block), with a size of 32 Bits
Nonce: Used to facilitate the mining mechanism, acting as a separator between blocks, with a size of 4 Bits
Version Number: 4 Bits
Timestamp: 4 Bits
Difficulty Coefficient: 4 Bits
Root Node of Merkle Tree: Links the Merkle tree, with a size of 32 Bits
Bits Field
The Bits field stores the hexadecimal value of the difficulty target
It indicates that the hash of the current block header must be less than or equal to the target hash value (target_hash), which means that the target hash is calculated based on the Bits
Bits define the difficulty level required for the entire network's computational power to produce a block approximately every 10 minutes.
While the result of the SHA256 hashing on the block header is 256 bits, the Bits field itself comprises only 32 bitsThe relationship between the Bits field and the target hash value:
Taking block height 277316 as an example:
The Bits value is 0x1903a30c, which is in a coefficient/exponent format.
The first two hexadecimal digits represent the exponent: 0x19.
The next six digits are the coefficient: 0x03a30c.
The calculation formula is: targetHash = coefficient * 256^(exponent - 3); with hexadecimal numbers prefixed with 0x.
Therefore, the target_hash is calculated as 03a30c * 256^(0x19 - 3).
According to the difficulty calculation formula, the target hash value is fixed. A smaller Bits value indicates a higher difficulty level, requiring greater computational power for mining.
The Bits field in blockchain terminology represents a hexadecimal number that stores the difficulty target. In the context of Bitcoin's network, the Bits value dictates the difficulty level required for the network's computational power to generate a block approximately every 10 minutes. A smaller Bits value indicates higher difficulty, necessitating greater computational power and reflecting the cost of Proof of Work (PoW). The PoW difficulty in the Bitcoin network adjusts every 2016 blocks, roughly every two weeks.
As more blocks are added, the bits value tends to decrease, leading to a decrease in every 2016 blocks, which in turn increases the computational cost. Consequently, as the bits value diminishes, the value of each bit increases, signifying a higher cost and effort required for block production.
$BIT is issued based on non-arbitrary token standard, derived from the Bits field in the block elements table. The inflation rate of $BIT decreases annually.
$BIT Mint:
Last updated