Community calls are an excellent way for you to discover our most recent news and happenings. We were happy to catch up with GoMining CEO, Mark Zalan, to discuss the latest updates for July and to answer your questions.

July has been quite eventful for GoMining, although not primarily in terms of PR news releases. A lot of work has been ongoing behind the scenes, and we’d like to take a moment to discuss these developments. We’ve focused on making internal changes to enhance the ease, simplicity, and straightforwardness of using our ecosystem. We’re eager to hear feedback on whether these improvements have achieved their goal and always encourage our community to share their thoughts with us. We’re committed to continually seeking and collecting user feedback to further refine our ecosystem, making it more user-friendly, accessible, and convenient for everyone.

TON Collaboration

One of our top priorities in July was to complete the development of the TON native mining token, and I’m pleased to announce that it’s now live. GoMining is fully integrated into the TON ecosystem. To support this, we burned 20,000,000 tokens from our ERC batch on Ethereum, and now, we’re thrilled to accept payments across our entire mining ecosystem — including digital miners, upgrades, electricity, and maintenance — using the TON native mining token.

This integration is part of the collaboration we began with the TON team back in April, and it’s progressing smoothly. GoMining has quickly become one of the leading native tokens within the TON ecosystem, and we’re delighted to see the strong uptake.

As always, we’re committed to enhancing the usability of our ecosystem, and we welcome your suggestions on which blockchain ecosystem we should integrate with next. Expanding our usability remains a key part of our ongoing efforts.

Manual Withdrawals

We’ve also introduced a significant usability enhancement in July: manual withdrawals for BTC rewards. Previously, withdrawals were only available through an automated process, but now users have the option to manually withdraw their rewards. While the automated withdrawal limit remains in place and continues to be the preferred choice for most users, those who wish to withdraw a specific amount can now do so manually. This feature was successfully rolled out in July, further improving the flexibility and user control within our ecosystem.

Uniting Our Marketplaces

We’ve also made significant improvements to the digital miner markets within our app and website. Previously, the primary market for minting digital miners and the secondary resale market were kept separate for specific reasons. However, after receiving feedback and re-evaluating the user experience, we decided that merging the two markets made more sense. This consolidation, along with several UI/UX enhancements, has streamlined the process, making it easier and more intuitive for users looking to purchase digital miners. We hope this change has been beneficial, and we welcome your feedback on how we can continue to improve.

GOMINING Gets Listed on HTX

Additionally, we’re excited to announce that we were listed on HTX in July. As one of the oldest crypto exchanges in the world, this listing was in the works for several months, and we’re thrilled to have made it happen. We are grateful to the HTX team for their smooth collaboration throughout this process. This listing marks a significant milestone in our efforts to expand trading and liquidity options for all mining token holders and our ecosystem as a whole. We’re very pleased with this achievement and look forward to further enhancing our ecosystem.

BingX Listing and Community Milestones

Just last week, we were excited to announce another listing, this time on BingX, as part of our ongoing efforts to build up liquidity. On top of this, we’ve celebrated a few key community milestones. Our Telegram channel has been growing rapidly, and we’ve recently reached a 50,000 follower milestone on our X (formerly Twitter) account. We’re very happy to see our community expanding and are proud to share that we now have 70,000 individual miner owners — a significant step as we approach the 100,000 mark. This achievement is especially meaningful considering it’s been just over two and a half years since the first Greedy Machine collection was launched. It’s a testament to the incredible work of our team and the strength of our growing community.

In addition to these milestones, we’ve surpassed 2 million registered users within our system, with over 4.5 million terahashes purchased and 200,000 upgrades completed. We’re extremely pleased with the traction we’re seeing and hope you’re enjoying the new features and improvements we’ve rolled out.

As always, we encourage you to share your feedback and ideas. We’re continuously seeking new suggestions to incorporate into our development roadmap to keep enhancing our ecosystem.

Updated Roadmap and Infrastructure Expansion

Regarding our roadmap, we typically operate on 3 to 6-month update cycles, and we just completed a development roadmap update in July. This latest update includes several new items and outlines our future goals. A major focus is on expanding our infrastructure, particularly by adding new data centers. Specifically, we’re targeting the Middle East and North Africa region, where our survey and build teams have been working diligently to establish additional sites.

As I’ve often emphasized, with the rapid growth of our community and ecosystem, it’s crucial that our backend infrastructure keeps pace. We need to ensure that all the terahashes and upgrades purchased are backed by real hardware and hashpower. This ongoing effort is reflected in our development roadmap, which details the extensive work required to support this growth.

We encourage you to review the roadmap if you’re interested in the future of our project. As part of our commitment to transparency, we aim to keep you informed about what we’re working on and where we’re headed. These internal changes are a key part of our strategy to ensure that our infrastructure can sustain the continued expansion of our ecosystem.

Community Challenges and Bounty Program

We’ve launched several community engagement initiatives in July that we’re excited to share. First, we’ve entered our fourth burn-and-mint epoch, and alongside this, we announced a bounty program that offers significant rewards. Each week, 10,000 GoMining tokens are up for grabs, with over 1 million tokens available throughout the entire epoch, which lasts approximately 3 to 4 months.

This bounty program is tied to weekly activities organized by our social media team, with challenges and assignments posted across our social media platforms. If you’re interested in earning meaningful amounts of tokens, we encourage you to participate. Every Tuesday, as we cycle through the burn-and-mint process, new challenges will be introduced, providing fresh opportunities to engage and earn rewards.

Be sure to stay tuned to our social media channels — Telegram, Discord, and X (formerly Twitter) — for the latest updates and announcements. We hope you find these activities fun and rewarding, and we’re looking forward to your participation!

Mascot Competition

Additionally, we’ve decided it’s time to create a mascot for our project — an idea that’s been floating around for a while. To make this process more engaging, we’re actively seeking input from our community on what our mascot should be. We want to hear your ideas on who or what best represents our mining project.

To get involved, keep an eye on our social media platforms, especially on our X (formerly Twitter) account, where we’ll be sharing updates and information. The process will include a series of fun activities, from brainstorming and narrowing down options to voting on the final design. We encourage everyone to participate, as this will be a collaborative and enjoyable exercise that will result in a mascot we can all be proud of.

So, please stay tuned to our social media channels and join in on the fun as we work together to create a mascot that embodies the spirit of our project!

Energy Efficiency Updates

Lastly, on the topic of mining technology, we’re pleased to announce the return of the 28 W/TH miners. This option had been temporarily on hold as we assessed the post-halving disruptions, but after careful consideration and numerous community requests, we’ve decided to bring it back. The 28 W/TH miners offer a valuable trade-off between energy costs and efficiency, and we’re excited to make this capability accessible once again.

These miners are now available, giving you the option to optimize your digital mining operations with improved energy efficiency. With that, I believe we’ve covered all the key updates we wanted to share. Thank you for your continued support, and as always, we welcome your feedback and engagement as we move forward.

Have Your Say

Now, let’s turn to our audience for any questions you might have. As a reminder, five lucky participants will be selected to receive $20 in GoMining tokens for their questions!

Question: I’ve noticed a lot of spam messages popping up on Discord. Is there any way you could open up applications for community moderators?

That’s a great question! Spam is a challenge not only on Discord but across many social media platforms. Each platform has its quirks, but spam is a common issue everywhere. We’d be thrilled to have a conversation about bringing you on board as a moderator, and we’re always open to community members who are interested in helping us keep our spaces safe and welcoming. Let’s connect and see how we can work together!

Just to let you know, we have an active bounty system, as Mark mentioned during the call. You can apply to this program and earn rewards. The bounty program will run for the duration of the current epoch, so it’s a great opportunity to get involved and be rewarded for your contributions. Applying is straightforward, so feel free to participate and take advantage of this opportunity to earn rewards!

If anyone has questions about the ecosystem, our operations, or even the recent market fluctuations, feel free to ask about any topic of interest.

Thank you all for joining us today and for being an integral part of our project and ecosystem. We hold these updates on a monthly basis, so our next session will be at the end of August or early September. We’ll confirm the date closer to the time. For those of you on vacation, enjoy your break!

Again, thank you for your continued support and for being part of this journey with us. We appreciate having you along for the ride. Goodbye, and take care!

About GoMining

GoMining is a Liquid Bitcoin Hashrate protocol. Gomining allows users to own Bitcoin hashrate digitally as an NFT asset on the Ethereum/BNB/TON chains without the necessity to own or maintain their physical mining infrastructure.

Welcome to our latest AMA session, held on July 12th, 2024. Hosted by Ruth from HTX Live and joined by GoMining CEO Mark Zalan. This week, the GOMINING token became available on the HTX network. This marks a significant milestone in increasing the availability and liquidity of the GOMINING token. On top of that, the listing on HTX underlines GoMining’s commitment to increasing and improving utility accessibility. Demand for GOMINING tokens is driven by the growth in TH purchases, while the deflationary design of the company’s tokenomics ensures a decreasing supply over time.

Today, we’ll hear from Mark and learn how GoMining is revolutionizing mining and opening it up to new users. If you’re new to bitcoin mining and want to develop your understanding and explore new avenues of wealth creation, this AMA will prove very valuable.

So, let’s get started!

Ruth: Could you give us a brief introduction of yourself, your past crypto experience, and also information about the mining project?

Mark: Of course! Firstly, thank you very much for hosting us. We’re very happy to be here and we’re very pleased to be listed on HTX. It’s great to talk to you about it and also thank you to the audience for joining us for this discussion.

My name is Mark Zalan and I’m leading the GoMining team. I’ve been at the intersection of finance and technology for the past 25 years, leading IT for commercial banks and collaborating with FinTechs. Although I was late to join the crypto world, starting in 2021, I now realize it’s better late than never.

GoMining, established in 2017, has a long-standing presence in the bitcoin ecosystem. We began as a pure mining service provider, and about three years in, with the business thriving, we contemplated how we could further contribute to the bitcoin mining community and promote Bitcoin adoption. One of the significant challenges we identified was the high entry barriers to mining. To participate, you pretty much only had two avenues open to you.

One option was to mine Bitcoin directly, and the other was to invest in mining infrastructure to accumulate Bitcoin. Initially, mining offered a higher return on investment, but this avenue has become largely inaccessible to most retail investors. Profitable bitcoin mining requires significant capital to build data centers, purchasing mining hardware, and hiring personnel to manage and maintain the infrastructure.

In 2020, the GoMining team set out to address this issue. Four years later, we have developed a successful project that democratizes access to the superior economics of bitcoin mining for everyday retail investors. We will go deeper into this during our conversation, but that’s a brief overview of our journey and how we arrived at our current success.

Ruth: Thanks for the introduction, and, of course, we’re going to talk about everything to do with mining.

Question 1: What are the key advantages of GoMining? What makes GoMining such a unique project?

GoMining is designed to simplify access to the economics of bitcoin mining, particularly for retail investors. We achieve this by offering bitcoin hashpower in small, manageable chunks through NFTs. These NFTs represent a portion of the mining power and are available on the Ethereum Blockchain, BNB Smart Chain, and recently on TON.

With a starting investment as low as $25, anyone can visit our website, purchase an NFT, and begin earning Bitcoin rewards. This approach removes the complexity and high capital requirements traditionally associated with bitcoin mining, such as building data centers, purchasing expensive hardware, and managing infrastructure.

We’ve managed to remove all of these complexities through our innovation called the Liquid Bitcoin Hashrate. This ties physical mining power to digital assets in the form of NFTs. LBH allows users to quickly and easily buy, upgrade, or sell their mining power. For example, if you purchase 100 terahashes of hashpower today, you can upgrade to 150 terahashes in just a few minutes through our website. The rewards associated with the upgraded hashpower will start accruing the very next day.

In contrast to traditional mining, which involves ordering hardware, installing it, and managing physical equipment, our system is entirely streamlined and user-friendly. The entire process is now completely transparent, thanks to our integration of NFTs and digital assets. We have made bitcoin mining accessible, efficient, and cost-effective by incorporating our infrastructure costs into the GoMining product. As a large player in the mining space, we benefit from significant economies of scale, which we pass on to our users. Our low costs for electricity and maintenance are built into the product, allowing users to access the superior economics of bitcoin mining without the need for significant capital investment.

Additionally, our ecosystem is built around the utility of GOMINING tokens, which power the entire operation. These tokens are deflationary and can be used to pay for mining-related costs, with users receiving discounts of 10% to 20% when using them for this purpose. The tokens can also be staked for rewards, offering a flexible and profitable way for users to participate in the mining process. Our goal is to provide a seamless, scalable, and user-friendly experience that leverages our cost advantages to make bitcoin mining accessible to all.

The utility of GOMINING tokens is a cornerstone of our ecosystem. Recently listed on HTX, these tokens power the entire operation. Designed to be deflationary, a limited number of GOMINING tokens are in circulation. They can be used to pay for the electricity and maintenance fees associated with mining. Users who opt to pay with GOMINING tokens receive a discount of 10% to 20%.

For instance, if you own a digital miner represented by an NFT and it generates daily rewards, there are fees for electricity consumption and maintenance, which cover the work of our technicians. By using GOMINING tokens to pay these fees, you benefit from the available discounts, making the mining process more cost-effective.

Additionally, GOMINING tokens can be staked, providing another way for users to generate income. The staking rewards vary based on the duration of the staking period, which can range from one month to four years. The longer the staking period, the higher the rewards, offering users a flexible and profitable way to engage with the ecosystem.

Ruth: I think the audience already has some basic information about how the entire GoMining project operates, including aspects like the data accessibility and token utility that Mark just mentioned.

For more detailed information about the GoMining project, you can visit the company’s official X (formerly Twitter) handle, @GoMining_token. Additionally, you can stay updated with the latest announcements and learn more about the project through their Telegram page at @gmt_token_talk.

Question 2: Can you explain the concept of Liquid Bitcoin Hashrate and give us a brief introduction?

The concept of Liquid Bitcoin Hashrate is crucial to our approach. It involves tying actual physical mining power to a digital representation via an NFT. This real-world asset tokenization process allows us to offer hashrate produced by physical miners as NFTs, which retail users can purchase and hold in their wallets through our storefront.

The blockchain ensures transparency, providing verification and validation of ownership and rewards. The rewards due to the NFT owner, based on the hashrate represented by the NFT, are delivered daily. The Liquid Bitcoin Hashrate bridges the physical infrastructure and the digital NFT, making the entire process easily transferable and manageable. This layer effectively “obscures” the complexity of the physical miners, offering a seamless experience for users through the digital NFT miners that represent the hashrate.

Ruth: Have you participated in any previous events, particularly offline ones? I’ve noticed many mining projects showcasing their equipment at such events, allowing attendees to get a firsthand look. Has GoMining ever participated in similar events?

In the past, we’ve been a bit hesitant to invest heavily in marketing efforts, especially at conferences. However, we are now actively changing that approach. Moving forward, you’ll find us at all major trade shows, including Token2049 and other industry events. Initially rooted in bitcoin mining, our business was not very “public-facing,” which posed challenges as we transitioned to a B2C model to address consumer needs. Over the past six months, we’ve intensified our efforts in this regard, with plans to further expand our outreach. Engaging in conversations like this one is part of our strategy to increase awareness and transparency about our project as it develops.

Ruth: We’re really looking forward to hearing more updates from GoMining!

Question 3: Why did you choose to implement your technology through NFTs? What blockchains are these NFTs being minted on?

Mark: NFTs are specifically designed to address the exact issue we want to address. They simplify the tokenization of real-world assets by creating a digital representation that is highly flexible and portable. With NFTs, you can easily tokenize assets of varying sizes, making them accessible and manageable. For example, in our case, we facilitate upgrades and adjustments effortlessly. You can upgrade the horsepower of a digital miner by increasing its terahash output, as well as enhancing its energy efficiency. These adjustments significantly boost mining rewards.

In contrast, implementing such changes in the physical world requires substantial technical expertise and is not straightforward. However, because we leverage NFTs, we can quickly and easily modify these parameters to optimize performance and efficiency, aligning with our strategic approach.

Another aspect of our discussion revolved around leveraging the artistic potential of NFTs. We recognized the artistic aspect of NFTs as an opportunity to enhance their appeal visually. For example, in our first collection launched a year and a half ago, called “The Greedy Machines,” each NFT not only boasts unique visual characteristics but also incorporates special features that enhance mining capacity. These include multipliers that consistently boost the mining rewards generated.

Overall, NFTs serve as the foundation of our approach, offering digital assets that are both visually appealing and functionally robust for our community members. Currently, we issue NFTs on three blockchain platforms: Ethereum, Binance Smart Chain (BSC), and most recently, the TON (Telegram Open Network) Blockchain. These are the same blockchains where the GOMINING native token is issued. Our native tokens are essential for purchasing, maintaining, upgrading, and managing the digital miners represented by these NFTs, ensuring a seamless ecosystem for our users.

Ruth: Yes, you mentioned the appeal of NFTs. There was a period, perhaps one or two years ago, known as the “NFT summer,” where many people bought NFTs from the market without fully understanding their utility beyond being avatars or art pieces. Now, it’s clear that many projects are integrating NFTs into token utilities and digital assets. Thank you, Mark, for sharing all this information.

We have 8,000 people joining us and we really appreciate the support and for everyone listening! So, let’s move on to the next question.

Question 4: What other security measures do you use to keep your product safe for your users?

Mark: We could spend hours talking about this topic, addressing how we ensure the security of our bitcoin mining operations. However, there’s a delicate balance between providing enough detail for those interested and respecting our security protocols, as advised by our security team. Over the past seven years, security has been paramount in our management of bitcoin mining. It underpins everything we do, and the complexity of attempts to breach our systems is mind-boggling.

While I can’t give out specific security details for obvious reasons, I can assure you that security is at the core of our operations. Our bitcoin infrastructure is designed to be highly resistant and, while nothing can be guaranteed 100%, we employ very strict monitoring. Our dedicated security team oversees every action and transaction within our system around the clock. Given the substantial volume of Bitcoin and digital assets flowing through our platform daily, diligence is key. We operate with a well-funded and highly skilled security team, ensuring the safety of the digital assets we provide to our community members.

Ruth: For example, in our discussions with various projects, security is always a significant topic. Every project must prioritize security to ensure everything remains secure. No one wants to encounter any issues, so thank you for elaborating on that.

Question 5: You’ve covered mining economics and the utility of GOMINING. Could you please provide more details about your roadmap and recent updates?

Mark: Our latest product update, Version 2, was released about a year ago, introducing the current ecosystem with staking functions and discounts on electricity and maintenance payments for token holders. Since its launch last August, we’ve been seeing double-digit growth month over month for the past 12 months. This continuous growth has allowed us to focus heavily on expanding our infrastructure to accommodate new community members purchasing hashpower and existing users upgrading their capacities.

Supporting this rapid expansion involves significant backend work in our data centers and with our technicians to ensure sufficient availability of hashpower. It’s a challenging yet positive situation to manage when your infrastructure needs to keep pace with such tremendous growth.

Another key focus area is our community-driven approach. While we haven’t highlighted it much, governance through our GOMINING tokens is integral. Staking not only provides staking yield but also grants token holders a voice in project governance. This participatory model aligns with our commitment to listening to community feedback and incorporating it into our project direction.

We introduced the governance mechanism a year ago with Version 2, allowing token holders to influence decisions through voting on a weekly basis. The more tokens staked, the greater the influence in governance decisions. Moving forward, our focus for the next 12 months revolves around continuing to gather and act on community feedback, strengthening our governance framework, and scaling our infrastructure to sustain the remarkable growth of our community.

Ruth: Thank you for the detailed information. It’s now crystal clear that your project is strongly community-driven, prioritizing ongoing feedback and infrastructure development to effectively manage growth and adaptability. I think we’ve covered everything we intended to discuss today, so I appreciate your time and insights. Thank you for joining us.

Mark: Thank you all for joining the conversation. We hope you gained a good understanding of our project’s mission to democratize access to the economics of bitcoin mining. The positive growth numbers we’re seeing and the community feedback indicate we’re on the right track. If this interests you, please reach out to us at gmt.io and our social media channels. We have a dedicated support team ready to answer any questions you may have.

We also invite everyone to explore our community and take advantage of our free 14-day trial, which allows you to experience our solution firsthand and understand how mining rewards are generated. There’s no payment required during this trial period.

We’d love for you to join our project and become part of our ecosystem. Lastly, a big thank you to Ruth and HTX for hosting us today!

Don’t forget to follow GoMining on X (formerly Twitter) @GoMining_token for the latest updates. Stay informed about our news and upcoming events. Feel free to join our Telegram group for more information at @gmt_token_talk and we look forward to connecting with you again soon!

About GoMining

GoMining is a Liquid Bitcoin Hashrate protocol. Gomining allows users to own Bitcoin hashrate digitally as an NFT asset on the Ethereum/BNB/TON chains without the necessity to own or maintain their physical mining infrastructure.

Welcome to our latest AMA session! Hosted by Dorian Vincileoni, Business Development Lead at KuCoin and joined by GoMining CEO Mark Zalan. Today, we’ll be diving a bit into mining, especially tokenized and digitized mining. For those of you who don’t have a deep understanding about these things, this is a great opportunity to explore and understand how traditional mining operations are evolving with the integration of digital technologies and blockchain.

Let’s get started with our introductions.

Mark: I’m Mark Zalan, and I’ve spent most of my career in banking IT and financial technologies, managing large infrastructures for commercial banks. As the Chief Information Officer for a multi-billion dollar banking institution, it took me a while to grasp the importance of Bitcoin. Once I realized it was here to stay, I switched careers in 2021.

The GoMining project began in 2017, and around the time of the 2020 lockdowns, I saw mining as a fantastic way to engage with Bitcoin’s future. Recognizing Bitcoin’s long-term value, I understood that participating in its ecosystem could be done in two ways, either by buying and holding Bitcoin, or investing in mining.

Traditionally, mining offered higher returns but required significant expertise and capital, making it inaccessible to retail investors. Only a few hundred people globally, those running data centers, could participate. For anyone not wanting to manage a data center full-time, it was nearly impossible to get involved.

In late 2021, we aimed to unlock this opportunity for those without the know-how or capital, leading to the creation of GoMining digital miners. This was around the same time that other cloud-mining solutions emerged.

QUESTION 1

What are the trends you can see right now as a miner and how has the halving affected the landscape for your business in particular?

Mark: Just like every company and team out there, we developed a thesis and built our business and future investments around it. For the past 7–8 years, we’ve remained firm in our belief that the Bitcoin ecosystem will continue to grow exponentially. Bitcoin has consistently overperformed, surpassing even the most optimistic predictions. Who could have foreseen ETFs from BlackRock and Fidelity attracting hundreds of billions in institutional investments? Yet, here we are.

Our thesis is that Bitcoin and its ecosystem will continue to grow in value and utility. This is due in part to the coin’s inherent structure and partly because other financial instruments are becoming less reliable. We’ve come a long way from buying pizza with thousands of bitcoins to where we are today, and we believe this growth will persist.

Every four years, we see a temporary dip in profitability post-halving as some miners unplug their equipment, and the difficulty rate adjusts. Historically, this recovers in about 12 to 18 months, and the coin continues to appreciate. This current halving cycle seems to be following a similar pattern, albeit with its unique challenges. When a business’ revenue is halved, it becomes challenging, but it’s a known factor we’ve been preparing for since 2021–2022.

We’ve been strategic, upgrading equipment, and ensuring maximum efficiency to brace for this period. This kind of planning is fundamental for any business. For those ready to step in, there are always opportunities to acquire infrastructure and capacity from those exiting the market. Despite the challenges, the hashrate has remained relatively stable, showing resilience on the market.

Dorian: So is this something that all strategic players prepare for?

Mark: We expected this halving to be more disruptive, with more miners disconnecting and greater opportunities for us to step in and pick up the slack at lower costs. Surprisingly, the decline hasn’t been as dramatic as anticipated. While we expected more difficulties for smaller players and increased consolidation, it seems most have been well-prepared. The price of Bitcoin has remained relatively stable, with minor fluctuations that are insignificant compared to previous cycles.

While some say a 10–20% decline is significant, it’s all relative. Compared to earlier cycles, where declines were much steeper, the current situation is manageable and so a small decline to $62K is not really a big deal.

Dorian: Let’s turn to the specifics of GoMining.

QUESTION 2

How is GoMining different from cloud mining in the past?

Back in 2021, there was a trend towards cloud mining, and while we saw its potential, we also recognized many problems with its setup. Many providers lacked transparency and honesty, and some even operated Ponzi schemes. Even the legitimate ones often left users unable to verify the actual hashrate produced by their equipment.

Despite this, we liked the idea of democratizing access to mining economics and spent considerable time addressing these challenges. Our first product version, released in 2021, was the GOMINING token. This token represented the hashrate at our data centers and offered full transparency through a smart contract on the blockchain. Users could verify our mining activity and see their rewards, making it an easy trust-and-verify exercise.

QUESTION 3

What makes GoMining’s economic model unique?

We evolved our product based on user feedback and released our second version, the Digital Miner represented by NFTs, in August of last year. This new version aimed to improve economics and user experience. The core idea was to link a virtual asset to a real-world asset — in this case, Bitcoin hashrate — while retaining the convenience of digital assets.

QUESTION 4

Can you explain what you mean by “Liquid Bitcoin Hashrate,” how it works, and what inspired the idea behind hashrate tokenization?

Liquid Bitcoin Hashrate allows users to own a portion of the overall computing power without being tied to specific hardware. We wanted the digital miner to mirror real-world mining equipment, including attributes like energy efficiency. As new equipment becomes available, we offer digital miners that represent these advances. Users can easily upgrade their miners through our website, gaining the benefits without visiting a physical data center. We wanted something transferable and easy to store in a digital wallet, just like other digital assets. By using NFT miners, we could add unique features and artistic value. For example, our first collection, called “Greedy Machines,” includes unique attributes that enhance hashrates and provides additional benefits, making them highly sought after.

Liquid hashrate works by making small slices of hashrate available to retail investors, addressing the problem of accessibility. That’s why we built our digital miners the way we did, tying them to actual hardware equipment through LBH (Liquid Bitcoin Hashrate). We utilize blockchain transparency, and on the backend, our equipment is directly linked to specific digital miners, ensuring a direct connection between the hashrate produced by the equipment and the digital miner.

Our protocol is designed to function solely with our equipment, but after running it for about a year and ironing out pain points, we’re ready to expand. We’re now in discussions with industry peers to allow any service provider to make their equipment’s hashrate available via our digital miners. This makes our protocol agnostic, scalable, and flexible, enabling hashrate availability from any service provider to retail investors globally.

We just started these conversations a couple of weeks ago, and it will take time for the industry to adapt. There’s a significant mental shift required from service providers, who will need to think differently about making their hashrate available. This isn’t about simply renting out equipment; it’s about integrating digital miners with our marketplace and branding, while ensuring trust and ongoing due diligence.

Establishing these relationships and operational procedures won’t be easy, but we believe it’s a significant contribution to the ecosystem. It will create value for both retail investors, who can add hashrate to their digital miners, and service providers, who will gain access to a new channel.

It will be interesting to see how many people get involved and how much it will grow.

QUESTION 5

Why did you choose to implement this through NFTs?

NFTs offer the convenience and utility we sought, allowing users to store and transfer their mining power easily. Special collections and unique features enhance the value and appeal of our digital miners, offering benefits that go beyond traditional mining setups.

QUESTION 6

What blockchain are these NFTs minted on?

They are available on Ethereum and the BEP-20 blockchain.

QUESTION 7

I’d like to go into the specifics of the mining tokens mentioned on your website, particularly regarding the deflationary ecosystem and its economic implications. Could you explain a bit about this and how it works?

Let me backtrack a bit to discuss the blockchain options available for the NFT miners, which we recently expanded by introducing the TON blockchain last week. Currently, there’s a special promotion tied to this integration, making miners available and accepting payments within this TON-related collection. Initially, we focused on two blockchains, but now there are three.

Regarding our tokenomics, it took us some time to refine our approach. Initially, with version one of our product, the incentive structure wasn’t aligned with our long-term goals. We observed trading behaviors that didn’t support the ecosystem’s sustainability. With version two, we aimed to incentivize long-term participation and ownership of our token. One key strategy was to introduce deflationary mechanisms.

Firstly, our model includes a flow of tokens to cover operational expenses like electricity and maintenance, which are paid using various tokens including GOMINING tokens at a 10% discount, TON tokens, and USDT. This expense flow is cycled back into the ecosystem, where tokens are burned and minted, creating constant deflationary pressure. Initially starting with an 80% burn-to-mint ratio a year ago, we’ve progressed to 86–87%, actively reducing the token supply as planned.

Secondly, our staking program incentivizes long-term commitment by offering increasing rewards based on stake duration, reaching up to 50% for a two-year stake. Beyond staking rewards, participants gain governance voting rights, allowing them to influence project decisions such as reward multipliers for specific miner collections on a weekly basis.

This governance participation aligns stakeholders’ economic interests with project development and operational decisions, promoting a sustainable ecosystem. It would be better if I had a presentation to show you how this all works, but the essence of our deflationary economic model revolves around reducing token supply while maintaining demand through rewards and operational discounts available exclusively through our ecosystem.

CTA: If you’re interested in exploring further, you can find more details here.

Our project is built on long-term commitments, similar to our approach in constructing data centers and managing them. Building long-term value is fundamental to our strategy, distinct from the short-term volatility seen in meme coins. We are committed to integrating within the broader Bitcoin ecosystem, emphasizing sustainable value creation for all stakeholders involved in our ecosystem.

QUESTION 8

Do you have a practical example of how GoMining delivers value to its users? Can you tell us how GoMining creates real value within its ecosystem?

We offer a free 14-day trial for anyone interested. To experience firsthand how GoMining adds value, simply log in, set up an account, and start using a free digital miner. Choose the hashrate you want for your digital miner and you’ll be able to observe its performance and how easy it is to use. The next day, you’ll receive rewards in your virtual wallet associated with the hashrate, allowing you to see the return on investment (ROI) you could achieve if you decide to invest. This trial provides a tangible way to understand our platform.

Considering all discounts utilized, you can expect an annual ROI of around 40–45%. This figure depends on two key factors: the current price of Bitcoin and the network’s current difficulty level, both of which significantly influence profitability. As Bitcoin’s price rises, so does the ROI from mining rewards, reflecting the value created in the ecosystem.

For those interested in long-term participation in the mining ecosystem, there are two pathways: first, you can continue with the digital miner after the trial, spending just 10–15 minutes to set up and start earning rewards immediately. Alternatively, you can participate by purchasing mining tokens from one of the exchanges listed on our website. Stake these tokens through our platform or app for a duration that suits you to begin earning staking rewards and participating in governance votes. These two approaches allow you to engage in the governance ecosystem while earning additional income, offering flexibility and opportunity for everyone.

QUESTION 9

Let’s now focus on the community aspect of GoMining, which you highlighted as very important. Could you give us some more information on the importance of community involvement for GoMining? Other than governance, what other initiatives does GoMining provide to promote a strong and active community?

Community involvement is extremely important to us at GoMining. The way the project exists is very much based on community feedback so participation is incredibly important. Unlike other businesses that focus on various sectors like retail or B2B, we are exclusively focused on retail. As a result, community input and participation are fundamental to every aspect of our operations. When we transitioned from version one to version two of our product, a significant 75 to 80% of the changes and improvements were driven by community feedback. This highlights how integral the community is to our decision-making and development processes. Governance is the direct result of the feedback we continually receive from our community.

QUESTION 10

How do you collect feedback?

We engage with our community through various channels like Discord, Telegram, and regular surveys. We have tens of thousands of participants. We hold regular AMAs and utilize all available tools to interact with our users across platforms, including X, Reddit, Telegram, and feedback features within our app. We also run raffles incentivized by mining tokens for feature suggestions, and our governance functions are heavily informed by community input.

On a weekly basis, governance votes are largely influenced by feature suggestions received through these channels. While we have our own development roadmap, at least 25% of the features in our backlog come directly from community contributions. Suggestions like automatic investment of mining rewards and automatic upgrades originated from our user base and were integrated into our product.

Our community’s involvement is vital. It guides our development and ensures we build products that people want to use. Over the years, I’ve learned that creating successful products requires listening to and incorporating user feedback. Our commitment to this approach has been a significant factor in our success, especially since the launch of version two of our project. We’ve seen double-digit growth every month, and much of this success is due to our focus on gathering and implementing community feedback.

Dorian: As we near the end of this AMA, I hope everyone has enjoyed it and gained a better understanding of GoMining. If you’re interested in learning more, please visit gmt.io.

Now, we’ll open the floor to questions from the audience.

Audience Question: Are you planning to make a collaboration like a KuCoin wallet or a KuCoin-inspired miner collection?

Definitely! If KuCoin is interested in such a collaboration, we are more than happy to explore it. We’ve been partnering with various communities over the past six months. For example, our recent collaboration with the TON blockchain has been very successful. We have a long-term perspective and understand that building trust and encouraging people to join our community takes time. If there’s interest in opportunities like this, we encourage people to join our community by signing up to our social media channels. Collaborations and special collections are something we’re excited about, and we’re always open to new ideas.

Audience Question: I think many mining competitors are looking at you and will start following your lead as they see your success. Do you think you’re ready to deal with that competition? What do you think GoMining has that competitors will never have?

Competition is actually great, and we’re ready for it.

Let me break it down: Liquid Bitcoin Hashrate (LBH) was designed specifically to make it easy for our industry peers to join us and take advantage of the infrastructure we’ve built. If there’s interest — and we do expect there to be — we’re open to partnerships. They won’t need to reinvent the wheel.

Competition drives innovation and improvement. Think of famous rivalries like Pepsi and Coca-Cola, or Ford and Ferrari. These competitors push each other to be better. We love what we do and thrive on the challenges and improvements that come from competition.

As for what sets GoMining apart, it’s our focus on community, transparency, and long-term growth. We believe there are huge opportunities in the Bitcoin ecosystem, both now and in the future. We’re committed to continuous growth and value creation, and we see a bright future ahead with plenty of room for everyone to succeed.

Dorian: We’ll be preparing documents with the most relevant questions and answers from today’s AMA, and they will be available online soon.

We welcome further questions and interactions on any of our communication channels. Thank you to everyone who joined us today. I encourage you to check out GMT.io for more information. Until next time!

About KuCoin

KuCoin aims at providing users digital asset transaction and exchange services which are even more safe and convenient, integrating premium assets worldwide.

About GoMining

GoMining is a Liquid Bitcoin Hashrate protocol. Gomining allows users to own Bitcoin hashrate digitally as an NFT asset on the Ethereum/BNB/TON chains without the necessity to own or maintain their physical mining infrastructure.

An AMA (Ask Me Anything) session is a great opportunity for us to let you know what’s going on in the company, our progress, and our plans for the future. This is also a chance for you to ask any burning questions, or simply to get a few things off your chest. We were joined by GoMining CEO Mark Zalan for another informative talk. A lot has happened since our last AMA session, so let’s quickly get up to speed with Mark before we jump into our questions.

We’ve spent a lot of time adjusting our tokens for listing and tickers on various exchanges, and I’m happy to report that all exchanges are now listing GOMINING tokens. We’ve also wrapped up several campaigns that have brought in a lot of new users to GoMining, including the Zealy campaign and our Bitcoin Pizza Day event, which featured a special miner collection that sold out within 24 hours. GoMining also hit an important milestone by selling 4 million TH attached to miners, and we’re working hard to build our infrastructure to keep up with the strong demand for our virtual mining capacity. Double-digit growth has been sustained month-over-month, and we’re overjoyed to see the project maintaining its increasing traction, providing substantial value to our user community and the ecosystem.

Bitscale Capital made a large $3 million investment, which went into the NFT miners and tokens, with an additional $12 million going into the ecosystem. Another exciting update is the launch of our NFT game and pooling function, called Miner Wars, which was voted on by our community. We also concluded up a partnership with Trust Wallet and an airdrop, bringing a significant number of new users into the ecosystem. Overall, the Bitcoin and GoMining ecosystem is growing, and the outlook is very promising.

Let’s now turn to our questions.

Question 1

Do you think GoMining will need to increase energy efficiency to below 20 W/TH by the next halving?

Mark: This is a broad topic with several points to address. First off, our NFTs are designed to mimic real-world mining circumstances, including energy efficiency, which parallels the efficiency of the hardware miners in our data centers. These data centers provide the hash power that backs our NFT miners and mining rewards distributed daily. We aim to keep the digital process as close to the real-world process as possible. Therefore, we’ll only update the capabilities of our digital miners when new mining equipment with better energy efficiency becomes available.

Predicting the bear market for 2026–2028 is challenging due to the cyclical and volatile nature of the Bitcoin ecosystem. We believe in the long-term growth and value appreciation of Bitcoin, and our strategy focuses on continuing to invest in our ecosystem to grow the project, optimize performance, and provide value to our community. Cycles and volatility will, of course, take place, but we remain committed to long-term investments and improvements.

Question 2

Is there any plan to reduce electricity costs?

Mark: We already have some of the lowest electricity costs in the world at 5 cents per kilowatt. We aim to pass these savings on to our user community, with minimal margins going toward energy infrastructure expenses. We offer opportunities to optimize costs further, such as discounts for paying with GOMINING tokens and participating in our NFT game.

While it’s challenging to lower costs beyond our current rates, we continually look for ways to optimize with new data centers and infrastructure installations. Increasing efficiency remains our best strategy for reducing costs.

Question 3

Can we expect NFT miners to be profitable five years from now?

Mark: Predicting if our NFT miners will be profitable five years from now is tough because it depends on things like electricity prices, how efficient the mining equipment is, and the price of Bitcoin. Even though we can’t say for sure what will happen, we believe Bitcoin will grow in value over the long term, and mining will stay profitable. Our plan is to stay focused and invest in newer, more energy-efficient equipment as it becomes available, so we can keep generating mining rewards for our community.

Question 4

Will GoMining increase the max terahash to combat the reduction of rewards following the recent halving?

Mark: Although we have set a limit of 5,000 TH, users can add more miners if needed, effectively expanding horizontally. This approach helps keep things profitable and lets users run their mining pools as efficiently as possible. Once you reach 20 TH, it’s simply a matter of adding more miners to increase your hash power.

Question 5

What is GoMining’s plan to improve understanding and knowledge about GoMining?

Mark: We put a lot of effort into creating educational content, including YouTube videos and social media posts. It would be great if everyone already knew about our project, but we’re always open to suggestions and constantly looking for ways to help users better understand what we do.

Question 6

Do you plan on launching an app? Is there a referral scheme available?

Mark: Yes, we have an app available on the App Store, which I actually use daily. We also have a live referral function that allows users to generate and share referral links, earning a 5% discount on royalties for purchases made through their referrals. Paying in GOMINING tokens helps grow our system.

Question 7

What are the security measures for your product? How do you secure your product for users?

Mark: We have robust security measures, including advanced technical systems and our employees pass thorough training on security protocols. Protecting your information is a top priority for us, and we continuously invest in reliable solutions to keep our users safe.

Question 8

What type of NFTs can I use to mine with GoMining?

Mark: You can use our miners, which are NFTs representing digital miners backed by hash power from equipment in our data centers. These NFTs are available for purchase on our website.

Question 9

What do we investors get for launching our own mining pools?

Mark: Launching your own mining pool can boost your mining revenue and ROI if you do it right. It does require technical expertise, but it offers the potential for more rewards and allows you to provide additional value-added services to the community, such as speeding up transactions.

Question 10

What is the service fee for?

Mark: The service fee covers the costs of running the data centers and compensating investors. You can find more information about this on our website.

Wrapping Up

We have a dedicated support staff available across various social media channels in multiple languages. If you need personal support or explanations on how our product works, feel free to reach out. Thank you for your trust and support in our ecosystem.

GoMining is announcing an updated Pool Mining mode, which will be implemented in the coming months. The team has worked on changing the NFT game throughout the first quarter of 2024.

And so we are ready to present you with the basic principles, conditions, and innovations that will make Pool Mining more interesting and interactive for users.

The basic principle of the game.

To participate in the NFT game, the user must purchase our digital miner, join an existing pool or create their own.

As before, all rounds in the game will be tied to the beginning and end of finding a real bitcoin block. This is from 120 to 150 rounds per day.

Before the start of each round, the following values will be calculated for each player:

• The sum of the terahashes of all NFTs belonging to them;
• NFT farm level.

Each player will have their own personal score, which will accumulate automatically each round depending on the user’s hashrate.

The calculation will be carried out as follows: the amount of TH/s is multiplied by a special correction coefficient, which will be the same for all users. This is used to balance the increase in points at a distance. The correction coefficient is 1.8.

That is, if a player, for example, has a hashrate of a mining farm equal to 112 TH/s, then every minute, even without entering the game, the player will receive 201.6 points automatically (112 x 1.8).

Personal scores will now become a dynamic unit that players can influence. We’ll tell you how below.

Winners.

The winners will be calculated as follows.

Step one: The score will be counted at the end of the round.

1. First, the formula determines the sum of all clicks for the player:

personal score = (TH x coeff. x round time in seconds).

Round time is the time of the round in seconds. TH is the number of TH the user has, while coeff. is the special correction coefficient mentioned earlier.

2. All of the personal scores of the mining pool players are summed up, thus determining the mining pool score for each clan.

Step two: Determining the winners.

With the introduction of new game mechanics, both the winning pool and a separate winning miner with its owner will be determined in each round.

The scheme for determining the winners is as follows:

1. The system takes the hash of a closed real BTC block and converts it from a hexadecimal value to a decimal value.

2. In parallel, the system will count the total score and distribute all mining pools at intervals. The position of each pool on the interval table is calculated randomly each round.

total score = ∑ personal score

Personal interval consists of a starting and ending value:

personal interval start = previous personal score end

personal interval end = previous personal score + user’s personal score

Where previous personal score end is the value of the personal score end for the previous player in order. The intervals for individual players within each pool are also randomly distributed.

3. The system finds the remainder of the hash division in the decimal system by the total score.

4. It is determined by what interval the value of the remainder of the division turned out to be, and thus the winning pool and the winning player are revealed.

To make it more clear, let’s look at an example.

Let’s say the decimal value of the BTC block is 270516535066034331572171579187041234861424580702815328, and the total score is 175000.

Looking for the remainder of the division:

270516535066034331572171579187041234861424580702815328 / 175000 = 144064

Since the total score was 175000, the range will be from 1 to 175000. Immediately after the calculation, the system will reveal which pool and which individual player of this pool fell under the interval with a value of 144064.

Rewards.

Instead of daily payments, mining rewards will be paid once a week on Tuesdays. We are introducing these game payments into the same system as veTokenomics.

BTC will be distributed among the clans that took the blocks. The owners of the miners who won the rounds will receive rewards in our native token.

Where will these GOMINING come from?

As you know, the tokens minted during the Burn & Mint cycles are distributed into 4 parts, one of which is called GoMining Rewards. GOMINING, which are now being used for multipliers in Pool Mining, will be spent on payments to individual users.

Round multipliers will operate according to the old scheme with a high chance of large values occurring (32x, 64x, 128x, etc). Each round will have its own specific weight, depending on the multiplier.

Leaderboards.

For user convenience, pool leaderboards will be adapted to cycles, and personal leaderboards will also be introduced. Participants will be able to monitor the expected amount of winnings in real time both within the pool and individually.

Additional game mechanics.

As many of you remember, players could previously influence the outcome of a round through manual clicks. At the beginning of the year, we canceled this system. Now we have come up with something much more interesting and interactive.

To add unpredictability to the game itself, as well as to enable users to use various strategies, we will introduce:

Spells. Users will be able to buy special features that will increase their personal score for a while, help freeze this value from rivals, or vice versa, they will be able to protect the pool from attacks by other participants. Spells can be purchased in a special marketplace for GOMINING. The tokens collected will go into the prize fund.

Mini-games. These are additional activities that, in addition to spells, will also change the balance of power.

The GoMining community will have the final say concerning mini-game conditions. Stay tuned, we will keep you informed about the results.

Blockchain technology and cryptocurrencies are almost inherently associated with anonymity. When sending or receiving funds, participants’ personal data is not recorded, only the addresses of their wallets and the amount transferred. But even this information can be hidden thanks to certain anonymous blockchain protocols such as XRM. Nevertheless, fraudulent technologies are developing no less rapidly, creating ever newer threats to the crypto community.

In this piece we will look at what crypto dust is, how it affects the functioning of your wallet, and also discuss what risks it may create for your digital assets.

What is Dust?

Dust in the cryptocurrency world is a tiny fraction of coins or tokens, which typically possess a monetary value that is lower than the amount of the transaction fee.

Let’s take Bitcoin as an example. The smallest unit of currency is 1 satoshi (0.00000001 BTC), while the minimum number of coins that can be sent in a transaction is 547 Satoshi, i.e. 0.00000547 BTC, meaning the several hundred satoshi up to this limit are considered dust.

Dust can accumulate after transactions where errors were made in rounding or calculating the transaction fee. This minute amount is not exchangeable, but some exchanges allow you to convert it into your own token for further use and withdrawal of the asset.

Most digital asset holders simply ignore dust and don’t pay attention to the decreases or increases of this tiny amount in their accounts. At the same time, an excess of dust on an individual’s wallet may lead to an increase in the cost of future outgoing transactions or even signal the threat of the risk of your wallet being compromised.

How is the Transaction Fee Calculated?

In order to get a better understanding of just how the abundance of dust on a wallet can affect the cost of your future outgoing transactions, let’s take a look at how the transaction fee is formed on the BTC network.

The cost of sending a transaction on the Bitcoin network directly depends on two factors: the size of the transaction in bytes and the current network fee, while the amount that you transfer, in practice, does not affect the transaction fee that you will have to pay.

The balance of any BTC wallet is the amount of unspent receipts (inputs) that are already recorded in blocks. When sending funds to another wallet (output), the transaction size required to write to a new block is formed depending on the number of inputs involved when compiling the required amount. Accordingly, the more numerous and smaller the receipts, the more information will be required to record a new transaction.

In turn, the network’s fee is determined by the total number of transaction requests at a given moment. As you know, miners receive a reward for mining a new block and a network fee for carrying out transactions included in this block. Transactions with a large set reward are carried out faster, since they are of greater interest and benefit to miners who support the functioning of the network.

In general terms, the following formula best describes how the transfer fee is formed:

transaction data * network fee = transaction fee

What is a Dusting Attack?

A dusting attack is the most negative scenario that the accumulation of dust on your wallet can lead to. At its essence, it represents the malicious spread of dust to a large number of addresses and, consequently, the “dusting” of wallets of potential victims by hackers.

Next, the attackers monitor the further circulation of these funds and all transactions to link the addresses to one another, identify patterns, and ultimately pinpoint companies or individuals who own “dusty” wallets.

Scammers can use the information they receive in various ways like blackmail or to create targeted phishing attacks in order to steal the victim’s assets.

How Exactly Does De-Anonymization Occur During a Dusting Attack?

In layman’s terms, de-anonymization via a dusting attack typically follows the pattern mentioned below:

1. Dust is sent to the crypto wallets of potential victims;
2. Wallet owners “mix” the dust with their fixed assets;
3. These “dusty” funds are then used for transactions;
4. If such a transfer is processed by a centralized platform that isn’t connected to the blockchain it takes the confidential data of the sender into storage, which attackers begin to hunt for.

How to Find Out If You’ve Fallen Victim to a Dusting Attack?

You should check your wallet balance and transaction history more often. If you notice that a small number of coins or tokens have appeared on your account, which cannot be spent or withdrawn, you may have been the victim of a “dusting” campaign.

Holders of coins with a monitoring tag such as Stellar (XLM) and XRP can easily understand if their data is being stolen, because along with the “dust,” the tag will contain an ad with a link to a third-party resource.

How Does GoMining Help Fight Against Crypto Dust?

It goes without saying that we’re not talking about the threat of a dusting attack for users withdrawing funds from the GoMining platform. However, for the convenience of users, they can manage the minimum amount of deposits in order to ensure the maximum efficiency of their external wallet.

This can be done via daily mining rewards and performance pool payouts that initially go to the user’s virtual BTC wallet on the platform. Furthermore, GoMining customers can freely withdraw their assets to any storage that supports the Bitcoin protocol.

To prevent the dusting of their external wallets and subsequent spike in the cost of outgoing transactions in the future, GoMining users can independently set a withdrawal threshold to ensure the receipt of assets in a quantity sufficient to work with.

You can manage the minimum withdrawal threshold via the app menu, using the “Reward settings” button. And you can also learn more about the types of BTC wallets available, as well as how to choose the right format based on your needs in our previous publication.

The development of the cryptocurrency market has always been accompanied by a search for ways to secure assets from scammers who are constantly on the lookout to improve their methods. Today, there are many solutions for storing Bitcoin as well as other cryptocurrencies that meet the needs of different industry players. In this piece we will analyze what wallets are, the difference between the types available, and take a look at which are better depending upon the needs at hand.

Types of Bitcoin Wallets

To start off, crypto wallets are most often characterized by three main parameters:

• The need for a constant internet connection;
• Custody;
• The format and the platform on which the wallet operates.

In terms of internet access, bitcoin wallets are divided into “hot” and “cold” ones, that is, the former work online, while the latter store currency on an offline physical medium that does not require a permanent network connection.

The next criterion, custody, is responsible for the storage location of a user’s assets. The debate here is between custodial vs. non-custodial wallets, with exchanges most often acting as the custodian in the industry. Accordingly, if the wallet is custodial, then the financial agent is responsible for the safety of the funds. If it is non-custodial, then only the owner has access to its keys.

The last criterion characterizes a specific bitcoin or crypto wallet solution, where each individual variety already has the properties that we discussed above. The following storage formats are those most often encountered:

• hardware (physical storage device);
• desktop (PC application);
• mobile (smartphone app);
• web wallets (browser extensions or websites);
• paper (physical banknotes, bonds).

At the same time, different wallets can possess several of the same properties. For instance, cold wallets (hardware, paper) can only be non-custodial, because exchanges cannot monitor funds stored on a physical medium. For the sake of convenience, let’s take a look at the three most common types of crypto wallets.

Software wallets are a general concept for hot non-custodial wallets that work either via a browser (web wallets) or are installed on a computer (desktop) or smartphone (mobile). The most well-known examples of multi-currency software wallets are Trust Wallet and MetaMask.

Hardware or cold wallets are physical devices for storing a user’s private keys, which are usually managed through a computer connection. Hardware solutions are thought of as being the most reliable way to store Bitcoin and other digital assets. There are many manufacturers of cold devices on the market, with one of the most striking examples being Ledger.

The most common platforms for creating a custodial wallet are crypto exchanges. In exchange for the opportunity to manage their assets as simply and inexpensively as possible (for instance, to make free off-chain exchanges), users give up access to private keys, and the assets themselves are stored by the provider, that is, the exchange. The most obvious vulnerability in this option is the possibility of a massive loss of funds in the event of hacking or compromise of the provider’s storage.

How to Choose a Crypto Wallet?

You need to make a decision about choosing a wallet based on your needs. For example, paper or hardware wallets are best suited for those interested in long-term asset storage. They are not all that convenient for conducting transactions, but the chances of them being hacked or funds being stolen are close to zero. At the same time, it is important to remember that in the event of the loss of a physical medium, it will be impossible to restore access to your assets.

If you intend to actively trade, then the best choice would be custodial software wallets. By connecting to a crypto exchange, the holder of digital assets will be able to stay abreast of everything and have access to a wide range of tools.

The choice of a wallet simply depends on which platform is more convenient for the cryptocurrency holder to work on — mobile, desktop, or browser.

Blockchain Addresses & Types

Another important wallet parameter (primarily software ones) is which identifier is used for transactions and the storage of digital assets on the blockchain. This string of characters is called a blockchain address.

In the case of Bitcoin addresses, there are four main formats:

• Legacy (P2PKH);
• Script (P2SH);
• SegWit (P2WPKH);
• Taproot (P2TR).

The key difference between them lies in the technologies that are used when receiving or sending assets. Addresses also have different characters at the beginning called prefixes. Legacy addresses start with the number 1, Script with the number 3, SegWit with the combination “bc1q,” and Taproot with the combination “bc1p.”

The very first address standard was Legacy, proposed by Satoshi Nakamoto. All currently available wallets and applications that work with BTC support both incoming and outgoing transfers from these addresses. The main drawback to Legacy addresses are high commissions.

To some extent, this disadvantage was offset by the Script address proposed in January 2012, with the transfer fee reduced by shifting them to the recipient.

Four years later, developers Peter Velle and Greg Maxwell proposed a new address standard known as SegWit that later became the most popular around. The commission was reduced even further due to the reduction of the block size in the BTC network by removing the signature from it.

The last type of address introduced (so far) is Taproot — its activation was completed in November 2021. Addresses of this particular standard offer their owners the lowest fees and cheaper payments on the Lightning Network. Yet, Taproot is still not supported by many wallets.

How are Transactions and Fees Generated on the Bitcoin Blockchain?

There are several steps to describe the process of conducting a transaction on the BTC network:

1. Scanning of the recipient’s address and entering the amount to be sent;
2. Sending funds;
3. Digital signature by the wallet;
4. The transaction is sent for verification by network nodes;
5. The transaction is sent to the mempool (waiting to be included in the next block);
6. Miners include the transaction in the next block;
7. Hashing;
8. The block is added to the network;
9. Another node check and addition to the block;
10. Transfer of funds to the recipient’s wallet.

As we discussed earlier, a commission is imposed on each bitcoin transaction. Its value depends on the transaction size, measured in virtual bytes. How many Satoshi (the smallest unit of account in bitcoins) must be paid for 1 byte of a transaction (Sat/vB) is determined when calculating the commission.

Simultaneously, the market conditions under which the transfer is made play an important role. For instance, when the demand for BTC increases and its price rises, the network becomes overloaded, meaning the commission for each transaction will be higher.

It is important to understand that the sender pays a commission not for the amount of funds transferred, but for the amount of information posted on the blockchain. As a rule, crypto wallets set a commission by default, but a user can increase it independently — this increases the chance that the transaction will be processed faster.

Using Bitcoin Wallets With GoMining

GoMining customers can receive mining reward payments to any wallet that supports Bitcoin. You can specify your external address for withdrawals by selecting a BTC wallet in the “Wallets” section.

For users’ convenience, daily rewards are first credited to a virtual wallet on the platform, from where they are automatically transferred to an external wallet address. GoMining customers can additionally set the withdrawal threshold themselves to save their external wallet from receiving crypto dust, or a small amount of Satoshi insufficient enough to pay the commission for their further withdrawal.

You can also manage these settings via the app menu, using the “Reward settings” button.

How Halving Works and Why It’s Needed

The word halving comes from the English verb to halve, that is, to divide in half. Here it refers to a regular procedure for cutting in half the reward received by miners for mining a new block. Blocks are units of information in the blockchain that contain data about transactions made on the network. The generation of new blocks is necessary for the blockchain network to function properly as well as for the stable circulation of the asset itself.

The mining of blocks is a complex and time-consuming computational process requiring the use of high-performance equipment and high energy consumption. This is what is known as mining. Each successfully mined block brings a reward to the miner, with the amount of the remuneration fixed by the rules of the network.

Reducing the amount of this reward is called halving. It occurs after the mining of every 210,000 blocks, thereby lowering the influx of new coins into the market. In terms of Bitcoin, its total issue is limited to 21 million coins, with over 19.5 million having already been mined as of today.

Today, the remuneration amount for each block extracted is 6.25 BTC, while this figure will drop to 3.125 BTC in April 2024.

Halving bitcoin, or reducing rewards for mining a new block, ensures an increase in the market value of Bitcoin, as against the backdrop of steadily growing demand it reduces the number of new coins entering the market. This mechanism is beneficial not only to existing asset holders, but also to the miners themselves, because it is designed to increase the amount of their remuneration in monetary terms, attracting more and more new capacities, which ultimately has a positive effect on the functioning of the network.

Historical data confirms the effectiveness of this logic. The graph of the ratio of the cost of Bitcoin and the remuneration of miners clearly demonstrates that increases in the cost of Bitcoin have always led to an increase in mining profitability, despite the volume of rewards for mining a block having already decreased three times (in 2012, 2016, and 2020).

Effect of Halving on Bitcoin Price

Based on previous charts regarding price changes in the globe’s main cryptocurrency, analysts often use the concept of cycles. For instance, if we use the intervals between the previous halvings as a cycle, we can clearly distinguish three comparable intervals. The 1st cycle is from November 2012 to July 2016, the 2nd is from July 2016 to May 2020, and the third is from May 2020 to April of this year, when the next reduction in remuneration is set to occur.

Each time, the halving that occurred gave rise to a new Bitcoin rally, ending with an update of the historical maximum of the asset price approximately 12–18 months after the decrease in the volume of the block reward.

After a phase of intense growth, the market faced a significant correction every time, peaking in 2015, 2018, and at the end of 2022. With a new halving on the horizon and, consequently, the end of the current cycle, Bitcoin has each time begun to gradually win back the positions left, while starting to move to the next absolute maximum.

A similar trend emerged at the end of the current, third cycle. Since the beginning of 2023, the bitcoin price chart has headed for the $30,000 mark, and in December it broke the $40,000 mark for the first time in a year and a half.

How Halving Will Affect Miner Income

Reducing the amount of rewards for miners always presents a certain challenge, having an impact on the internal economy of market participants.

Despite the expected further increase in the value of Bitcoin, repeated in each of the previous cycles, being intended to compensate for the effect of changes, many analysts predict an increased role for large players controlling significant amounts of computing power.

The graph of the complexity of the Bitcoin network shows that competition on the market reached an absolute maximum in 2023 and continues to grow. This creates additional difficulties for new entrants to enter the market, leaving the days of mining “at home” far behind.

Experts do not exclude that after the April bitcoin halving, some capacities may no longer be in play, as they will turn out to be unprofitable under these new circumstances. At the same time, the largest players with high volumes of capacity and access to the most inexpensive energy resources have every chance of taking up this vacant market share.

With these conditions in mind, the GoMining team plans to strengthen its strategic position. According to the roadmap for 2024, the total hashrate of the project will be increased to 10,000,000 TH/s by Q3 2024, with it reaching 25,000,000 TH/s a year later.

The cost of electricity is another important factor for ensuring the sustainability of mining infrastructure during market changes. Thanks to the successful choice of data center locations, the owners of GoMining digital miners have access to mining using the most affordable electrical resources on the global market, where a kilowatt of energy costs $0.05 per kWh. For comparison, according to Statista, the average cost of electricity in 2023 in Britain was $0.44 kWh, $0.17 kWh in the United States, and $0.08 kWh in China and the United Arab Emirates.

How to Prepare Miners to Effectively Work Post-Halving

In anticipation of the upcoming halving, the GoMining team is making every effort to provide users with the opportunity to mine BTC simply and efficiently.

At the beginning of 2024, the company’s customer pool includes over 20,000 digital miner holders, with the number of NFTs sold approaching 52,000 items. The upcoming changes will not affect the principles of the platform and the ability of users to receive daily rewards for Solo mining or competing for rewards as a pool participant.

You can start mining Bitcoin via GoMining with a minimum capacity of 1 TH/s — this is the lowest input threshold on the market, while mining revenues will begin to flow the next day. Compared to buying an expensive miner that requires time and specialized knowledge to install and connect, GoMining offers a much simpler, faster, and easily implemented solution.

Choose your NFT to start mining Bitcoin in just a few clicks

The power of any digital miner on offer by GoMining can be increased to the value you need, ranging up to 5,000 TH/s (this is an entire shelf of equipment reserved just for you!), all in just a few clicks. All maintenance and placement responsibility is assumed by the company, with clients only needing to manage their mining strategy, the receipt of rewards independently or as a pool participant.

When evaluating the effectiveness of an improvement, users can always take advantage of a convenient ROI calculator, which, based on historical data, calculates the expected payback period for investments. You can pay for the upgrade in USDT, GOMINING token, or in the fiat currency of your region.

As can be seen from our analysis of the causes and effects of the upcoming Bitcoin halving, low power consumption is key to maintaining mining efficiency. The energy efficiency of each NFT miner can be improved to match leading devices on the market by choosing any indicator you need. At the same time, if you would need to sell old devices and replace them with more modern gear, the improvements of digital miners take effect immediately at the time of purchase.

For comparison, all of the basic miners from GoMining have an energy efficiency of 35 W/TH, and the maximum available is 20 W/TH. At present, only some of the latest devices that have entered the market recently can compete with this indicator.

In addition to the possibility of upgrading the miner itself, GoMining customers can receive an additional 10% discount on electricity if they choose to pay using the GOMINING token. In this case, the cost of a kWh of electricity will be even lower than the $0.05 kWh mentioned above, giving an additional advantage over other market participants.

Give BTC mining a spin with GoMining starting at $26.99

The GoMining team is constantly working to ensure that our products remain not only the most convenient and affordable on the market, but also the most effective. Follow our news and updates via GoMining’s official social media accounts and send your questions to our 24-hour support service.

Stay tuned for updates

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GoMining is launching the first of ten planned sets of GoMiners heroes. These characters are part of the PFP (Profile Picture) series. Users will be able to use them as avatars both inside and outside the GoMining platform.

How will the GoMiners work? Under what conditions will users be able to receive them? What superpowers will these heroes provide, and what variety of characters awaits us?

We’ll tell you about everything in this article.

GoMiners: Avatars That Will Get You Noticed

A month has passed since the appearance of the GoMiners page in your personal account. During this time, users of the ecosystem have shown unprecedented interest both in the heroes and in the very concept behind them. This is quite understandable.

GoMining put a lot of effort into the appearance of the characters, working with the best 3D designers around. Their look had to match the style of the project, while simultaneously providing users with the opportunity to show off their individuality. A lot of items, worked out to the smallest detail, allowed us to create truly special characters. Their entire appearance, from clothes to built-in gadgets, fully corresponds to the legend of GoMiners.

In addition to the artistic component, the privileges that these avatars provide access to are of particular value.

The user whose wallet contains the claimed hero will automatically receive:

1. Access to the pre-sale of functional collections;

2. Lifetime 5% discount on NFT from the primary market, as well as on all upgrades;

3. Welcome pack with NFT merch from GoMining;

4. Access to the private club GoMiners with insider information about the project, a personal manager, and offline events for other GoMiners avatar owners.

It is worth noting that users will not be able to buy heroes directly on the GoMining platform. Access keys for GoMiners will be issued for achievements within the ecosystem or for winning sweepstakes or competitions.

However, nothing prevents the holder of avatars from selling them on other sites and setting absolutely any price for them. Given the benefits that the avatars provide to their owners, their cost on third-party sites may exceed the price of functional NFTs from GoMining many times over.

How to Claim a GoMiners Avatar?

In order to receive access to claim a hero from the GoMiners Collection, you need to obtain an access key.

One key gives you the right to select and claim one avatar from those available.

There are several ways to do so:

1.Achievements

As soon as users reach mining farm level 10 (5,000 TH/s), the GoMining system will automatically assign them an access key for the collection. They can see it on the GoMiners page in their personal account.

Users can apply it immediately after receiving or they can wait for another series to be released. Access keys have no expiration date and can be used at any time.

2. Activity

Every week, the GoMining team will raffle off access keys. The competition will start and end at 3 p.m. UTC on Tuesdays, thereby linking to the Burn & Mint cycles of the project. There will be both recurring and one-time competitions.

The first raffle took place on January 17th, 2024, a week before the release of the GoMiners collection. As a result, five users received the very first access keys.

In total, 15 keys will be raffled off monthly among GoMining product holders.

How Do I Use the Access Key?

1. When winning a contest or completing an achievement, the user will automatically receive a key;

2. To use it, the user must go to the Collection section on the GoMiners page, select any available hero and click claim;

3. In the opened shopping cart, the user needs to press next;

4. After that, the user must select the wallet where the avatar will be stored and tap claim again;

5. Done. The avatar from the GoMiners collection will belong to the user indefinitely until they decide to sell it.

GoMiners: Superpowers

The GoMiners Collection will consist of 10 series of 100 heroes each. Avatars from each series will have different superpowers.

The very first series, Humans, has a superpower called Automated Service, meaning that the owner of such an avatar will never have to log into the game again to click on the Service button and save a discount. Their hero will do it. At the same time, the holder will never lose the discount and will always possess the maximum amount — 3%.

We will talk about the superpowers of every mini-collection of GoMiners before they are released.

Given that one holder can have several heroes at once, avatars from different series can significantly increase their owner’s mining profits.

GoMiners: A Broad Spectrum of Characters

The release of the first GoMiners series will be on January 23, 2024. It consists of cybernized people of the future and is called Humans.

The second type, Cryptiles, will be available in the first quarter of 2024.

The third type, Sentinels, will be released in the second quarter of 2024.

By the end of 2024, only 1,000 avatars will be released, each of which will be simply unforgettable!

Follow our news to stay abreast of all the latest information about the world’s first avatars to increase bitcoin mining rewards.

The year 2023 is coming to an end. During this time, we managed to implement the plans outlined in the roadmap, scale up several times and improve the operating principle behind our native token.

Reaching Milestones

🟣 We released 8 NFT series, including the special Khabib NFT Collection, 4 collections dedicated to cardinal directions, 2 themed holiday collections, and The Party Box Collection. This is more than 30,000 unique digital miners, whose owners mine BTC every day;

🟣 By the end of the year, the power of the NFT sold (hashrate) had reached 2,100,000 TH/s;

🟣 The number of our NFT holders has exceeded 10,000 unique users;

🟣 The GOMINING token has been listed on 4 new exchanges.

Mining for Everyone

🟣 We have connected more than 10 providers with payment coverage in over 170 countries, with the product featuring more than 550 different payment methods;

🟣 We have improved our apps in the AppStore and on Google Play and enabled in-app one-button payment in Apple Pay and Google Pay;

🟣 Binance Pay and Coinbase Pay have been connected. Users can pay for our product using their personal account on these popular exchanges;

🟣 We have enabled 6 authorization methods in a user’s personal account, making access to products even more convenient, understandable, and simple;

🟣 In 2023, we introduced the upgrade feature for our digital miners, so today we provide the opportunity for the most convenient mining around. With our NFTs, users do not need to sell outdated equipment. At the same time, they can, at the touch of a single button, improve the characteristics of the equipment behind their digital miners to the most modern parameters;

🟣 Our app appeared on two additional stores, the Xiaomi App Mall and Huawei AppGallery;

🟣 We have expanded the list of available languages on our website and in our personal account to 21.

veTokenomics

🟣 We have developed and implemented our new tokenomics consisting of a discount model, Mint & Burn, and veTokenomics and launched a voting procedure;

🟣 The LBH (Liquid Bitcoin Hashrate) narrative was introduced. In less than 5 months, users have locked almost 100 million tokens on the veGOMINING smart contract (over 22% of the total supply), and more than 9 million tokens have been paid out in rewards. This is an excellent indicator of a working model;

🟣 Since the introduction of our tokenomics, the price of the token has begun to grow organically, with its market capitalization now having exceeded $100 million;

🟣 Starting from January 1st, 2024, we will disable the function of receiving payments for owning NFT in GOMINING tokens. This change is necessary in order to increase the organic demand for the token and motivate users to purchase on CEX (centralized) and DEX (decentralized) exchanges, which should also have a positive effect on the price of the token.

Plans for 2024

For 2024, the GoMining team has set forth an ambitious project development plan. You can get to know it in the Roadmap on our website.

Milestones

📌 Taking into account market trends, project growth and the speed of sales scalability, we expect a multifold increase in the number of NFT holders over the next year. The volume of capacity sold will exceed 10,000,000 TH/s. GoMining plans to build new data centers in 2024 and is considering including other service providers in our protocol to ensure the operation and provision of such a hashrate;

📌 The exponential growth in the number of our NFT holders has shown that we need a new look at the collections being released, as well as their number.

Our plans concerning this include:

◼️ In January 2024: Increasing all NFT collections dedicated to the cardinal directions to 10,000 digital miners each. Other functional collections will remain unchanged. The exception will be the ultra limited-edition Party Box Collection. It will continue to be updated with the NFT mini-series we release for global holidays.

◼️ In the first half of 2024, we will introduce a new format of digital miners. We are sure that you will definitely like the improved approach! NFT owners will be able to independently choose a network for minting their miners, including plans to add the BRC-20 network. Follow our social networks so as not to miss out on the details;

📌 Next year, the company plans to expand the quantity of top exchanges where the GOMINING token is listed;

📌 The company also plans integration with other blockchains and their technical support within our ecosystem;

📌 An important point for 2024 is the introduction of a collateral mechanism on our protocol. By themselves, NFTs are an excellent collateral tool. The hashrate has its own price and oracle (what determines the value of an asset). We want the owners of our NFTs to be able to deposit them, receive stablecoins for them, all while continuing to mine. This will add value to the project and make it a fully fledged DeFi endeavor;

📌 We also plan to hold one small round and attract several well-known funds (for the sale of a portion of the tokens allocated to the team). This will give the project additional trust and support in terms of positioning and future integrations.

Community & Gamification

📌 The key driver behind the project is the community. Especially for users, we are releasing a unique collection of avatars made up of 10 species. Access to the heroes will be free, and the achievements of users will be taken into account. Based on the underlying concept and the bonuses that owning a hero gives, we expect this collection to become one of the most desirable among users of our ecosystem;

📌 We took into account the wishes of NFT holders mining BTC in Pool Mining mode. Manual clicks will be abolished beginning on January 1st, 2024. This change is being made to create a fair game for mining pools of all sizes. Winning now relies on luck only, just like in real-world mining. In 2024, we plan to modernize the game and add various mechanics; the Roadmap will be published a little later.

Decentralization & Transparency

In terms of transparency and decentralization, the company plans to move in several directions:

📌 Creating your own mining pool

What advantages will this step bring:

◼️ Higher profitability: When you mine in your own pool, you don’t have to share your rewards with other miners. This means that we can keep all of the bitcoins and share more of them with you.

◼️ Greater control: When you run your own pool, you have more control over the mining process. We can set your own fees, choose which blocks to mine, and even decide how to distribute rewards to your miners.

◼️ Increased privacy: If you connect to a large, public pool, your mining activity is public record. This can be a privacy concern for some miners. When you run your own pool, you can keep your mining activity private.

◼️ Potential for experimentation and boosting mining rewards: Running your own pool can be a great way to easily apply new mining strategies and techniques synced with our new in-house designed firmware.

📌 Moving functionality on-chain

Along with creating our own mining pool there is a lot of work to be done regarding shifting to on-chain mining:

◼️ On-chain rewards: Syncing your liquid hashrate with the recipient wallet for BTC mining rewards increases the privacy and scalability of the system.

◼️ DeFi integrations: In order to integrate with the biggest DeFi projects and increase the global presence of GoMining crypto-related platforms must comply with particular standards.

GoMining will continue to scale and improve its products in 2024 to allow us to achieve our main goal, that is, to make mining accessible and understandable to absolutely everyone.

Become a part of our ecosystem and choose the best way in the world to mine Bitcoin!