Blackcoin, like Bitcoin, is a not like a Bank. There are no accounts. An address may be associated with an Unspent Transaction Output ( UTXO ). The address can only be spent with a private key.
Each UTXO "contains" a fixed amount of Blackcoin ( BLK; the currency) which is a commodity money traded on exchange since 2014.
Each client keeps a record of all transactions on the blockchain, a database - a collection of files. Roughly once a minute, with constant small variations, a new block is staked and added to the database.
Staking, also called Proof of Stake ( PoS ), is the the mechanism by which Blackcoin secures the blockchain. Unlike mining, or Proof of Work ( PoW ) in Bitcoin, staking is not extremely processor intensive. The competition, or race condition for PoW is the answer to an extremely dificult question with 10 minutes to find the answer, the answer to the PoS question is much easier to find - but it must be done quickly. The answer itself is a napsack problem, and you have to have UTXO in your napsack to answer the problem.
One stakes BLK by keeping the client unlocked for staking. Each wallet, which is a collection of addresses, wins in direct proportion to the total UTXO staking and the net stake weight of all the clients/wallets staking.
New BLK is generated in this way at a rate of 1% (annualized).
This 1% annual inflation is only awarded to wallets which are unlocked for staking - so the percentage of rewards to individuals vary depending upon netstakeweight.
Blackcoin inherets Bitcoin's opensource licence, which means it is completely and always free, as in speech - not as in beer.
Blackcoin is a decentralized project with no central store of BLK. There is no central authority which controls supply. There is no central authority which is responsible for development. There is no central authority - other than the consensus protocol developed by the Blackcoin Team and called Proof of Stake version 3 ( PoSv3 ).
Blackcoin is an anonymous, secure payment system capable of sending transactions in seconds, with certainty that the tranaction is immutable within minutes.
There are two ways to use Blackcoin:
- Create an account with a service which hosts Blackcoin wallets - this is a popular place to start.
- Run a client on your computer or headless device (like a Raspi).
The Blackcoin blockchain has no owners and cannot be shut down.
But, services like exchanges and web based wallets can be shut down, and concentrations of wealth creates a honeypot for hackers.
Stake rewards average a bit less than 1 stake per day ( +1.5BLK ) per 10k BLK.
So, if you have less than 10k BLK you should probably use a service like Coinomi or Abra. Or, keep your BLK on an exchange like Bittrex.
If you have more than 100k BLK you should stake it!
For staking, download either the original Blackcoin client (called "Blackcoin"), or a client more like Bitcoin (called "More").
If you have smart contract needs you can pair the original client with Blackhalo.