0L Network v7 Upgrades
The 0L Network is a Layer 1 blockchain protocol originally forked from Diem (formerly know as Libra). Diem was created by Meta (FaceBook) and was also forked by chains like Aptos and Sui. This December the network upgraded to v7 with revolutionary new technology and tokenomics
New Validator Technology
Proof of Fee The 0L Network uses a revolutionary algorithm called Proof of Fee(PoF), a unique auction based system to determine the validator selection. In this system, validators are required to submit bids as part of a competitive auction process. The number of available “seats” for validators is dynamic, and these seats are allocated based on the bid amounts. The bids are evaluated in descending order, and the highest qualified bidders are granted validator status until all the seats are filled. A critical aspect of this mechanism is that all participating validators, regardless of their individual bid amounts, will eventually pay the same fee — equal to the lowest accepted bid in the auction.
Through the auction system, PoF radically lowers the cost of consensus and provides greater opportunity for participation. This in turn, limits the possibility that a small group will control the validation process, which ensures more network security, more decentralization and more value to token holders and network participants. PoF coins have superior ergonomics. If there is no inflation how are validators paid? The community spirit that built 0L the early validator set self fund the future payments of validatorsEvery actor has a very simple instruction; no staking, no delegation, no yield games, no slashing. Holding the coin is the dominant strategy. Musical Chairs While PoF allows for greater participation, musical chairs provides greater security and prevents malicious actors from joining the chain. As stated in the previous section, validators bid each epoch to enter the set. If all the validators perform well, the PoF algorithm determines if additional validator seats should be opened to increase the validator set size. If a specific validator fails to meet consensus, they will be removed in the next epoch and jailed. Additionally, the number of seats available will be reduced by the number of failed validators. Once a validator is jailed they can only be unjailed by an existing validator in the set. To prevent anyone from gaining control with multiple validators, the validators need to get a vouch from two other existing validators who are not related to them by ancestry in the blockchain - meaning they were not onboard by themselves or a friend. Vouching comes with a fee, which is burned (or removed from supply entirely), signifying a tangible commitment and adding a layer of economic deterrence against frivolous and inauthentic vouching. Validators that perform well will be able to compete in the next round of bidding to continue in the set. Performing validators will earn vouches from other validators, vouches are given by validators to other validators who are performing well. To ensure each validator is active and performing, vouches expire every 90 epochs. This prevents creating inequality based on stake size, age of node, etc. Every validator is competing equally creating a truly decentralized validator network. New Tokenomics
WIth v7 the 0L token rebased from a current supply of 2,880,000,000 tokens to a total supply of 100,000,000,000 tokens. This rebasing was needed to create the Validator Infra Pledge, existing validators self funded the future payments of validators with 80% of their current tokens. Regulator token holders, slow wallets and community wallets did not lose any value with the rebase.
Inflation has stopped! Not a single new 0L token will ever be minted.
0L Network has multiple wallet types with unique features:
Community Wallets are self funded by the network to fund key activities including full time workers, developers and even charitable organizations Slow Wallets are required of anyone receiving payments from a Community Wallet., SLow wallets have daily limits on withdrawals which can be utilized for scheduled payments and limit market influence by large holders suddenly selling
Regular Wallets have no limit on transactions and can help participate in the network through the Carpe Wallet App.
Aptos Compatibility With v7 0L Network is compatible with the Aptos Chain, also a fork of Diem. With these upgrades developers can bring their Dapps to a reliable chain with the most cost effective consensus.
The recent upgrades to 0L Network will attract a lot of attention from developers, end users and token holders. This new technology will help onboard the next billion users to blockchain and may make 0L Network the most loved token.