Will JAX coins mining and minting become stable over time

1. Will mining and minting of JAX become stable over time? jax.network

2. JAX coins are stablecoins that are not pegged to an underlying reserve of assets like the conventional stablecoins such as USDT and BUSD. The intrinsic value of JAX is intended to be stable over time due to a unique mining mechanism that ensures a balance between its supply and demand. jax.network

3. The JAX reward function is a control mechanism that ascertains that coins are issued proportionally, depending on the various contributions in the overall computing power of each miner to the network. jax.network

4. This reward system is only applicable during the mining process, which happens on the shard chains. However, it is not executed on the beacon chain since JAX coins are only mined on the shard chains. JAXNET (JXN) coins are mined on the beacon chain and follow a different block reward mechanism. jax.network

5. The mining process JAX coins are mined differently from JXN coins. JAX coins are mined on the shard chains, and the process of minting is governed by a reward function that ensures balance and stability. jax.network

6. The mining process JAX owes its stability to the JAX coin reward function, which is tasked with rewarding the miners of JAX in a fair and balanced manner, depending on the overall amount of hash power they commit to the Jax.Network blockchain. jax.network

7. The mining process In the process of merged mining, a miner is rewarded with either a JAX block creation reward or a BTC + JXN block creation reward with the Bitcoin network. However, the miners must commit to burning some Bitcoins and JXN coins for JAX coins to be issued. jax.network

8. The mining process JAX coins are mined differently from JXN coins. JAX coins are mined on the shard chains, and the process of minting is governed by a reward function that ensures balance and stability. jax.network

9. Why the value of JAX is stable At the lower bond, Jax.Network introduces a K-coefficient, voted by miners, to guarantee that the cost of mining remains the same over time, despite efficiency gains in the rig industry. At the upper bond, by burning the BTC + JXN rewards, it ensures that no JAX are printed unless there is a demand for it. x§ jax.network

10. Why the value of JAX is stable Whenever JXN coins and BTC destruction happens, it creates a progressive increase in the opportunity cost for minting new transactional JAX coins. Maintaining this mechanism allows Jax.Network to protect JAX coins from potential inflation. jax.network

11. Why the value of JAX is stable JAX coins are assured of retaining their stable and transactional value between these two bonds, enabling them to be excellent cryptocurrencies for global payments. The Jax.Network K-coefficient protects JAX from devaluation that positively impacts its transactional utility. jax.network

12. Conclusion Jax.Network has two native digital coins that serve different functions within the network. JAX coins have a stable value that makes them suitable for online transactions. The minting and mining procedure of JAX coins will eventually stabilize as the overall adoption increases, thanks to the JAX reward function on the shard chains. Meanwhile, JXN coins internalize the opportunity cost of mining and ensure that miners always make a profit by merge-mining the protocol: either in JAX or JXN. jax.network

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