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LKSCOIN uses the Blockchains with x11 algorithm and Ethereum
LKSCOIN uses the Blockchains with x11 algorithm and Ethereum

LKSCOIN uses the Blockchains with x11 algorithm and Ethereum

By - 28 Mar 2020

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With the aim of creating a technologically optimized token designed for both social networking platforms and as a trading tool as well as a central element of any type of decentralized dApp, LKSCOIN has chosen and combined two chains: the LKSCOIN Blockchain X11 – clone of Dash and the Blockchain of Ethereum.

Blockchain: an opportunity in the social media and digital content world

Immutable ledger, smart contracts, cryptocurrencies, when blockchain is mentioned, it introduces a series of opportunities aimed at the evolution of the entire sector of reference, including social media and digital content.

In fact, compared to traditional digital content distribution channels, where creators lose control and rights over their content, blockchain technology would allow the main distribution functions to be integrated into the protocol. Such as, for example:

  • Accepting payments and rewarding the content creator;
  • Authorizing licensed content on behalf of the creator;
  • Providing access to content;
  • Rewarding the content market and referrals (or affiliates) for content promotion.

In essence, blockchain technology acts as an intermediary protocol, decentralizing the exchange of digital content or file sharing and creating value within the direct relationship between content creators/owners and buyers.

A key enabler of this new distribution model is the ability to tokenize digital content over blockchain networks.

In fact, just like the issuance of cryptocurrencies and the trading of different types of cryptocurrencies on an exchange, the social media of digital content that integrates LKSCOIN would allow users to trade content as if they were trading cryptocurrencies.

The dual nature of LKSCOIN: the benefits of Dash and Ethereum

Consistent with the project’s mission, the LKS Foundation team chose and combined the two blockchains of Dash and Ethereum to develop the LKSCOIN crypto for social media content.

In particular, the choice of DASH is predicated on its ability to handle a large number of transactions and, thanks to the Proof of Stake or PoS system, social network users have the opportunity to create a Masternode that participates in the protection of the network in exchange for a reward determined by the LKSCOIN monetary policy and commissions on LKSCOIN transactions.

The current limit of the blockchain derived by DASH in terms of adoption and ease of use, however, has prompted the LKS Foundation to issue LKSCOIN also on the Ethereum blockchain, as ERC20 tokens.

In this way, the ERC20 token version of LKSCOIN can be used by Ethereum’s large user base and integrated into products and services that include smart contracts, dApps (decentralized applications) and DEXs (decentralized exchanges).

Despite the dual nature of the token, monetary policy and the related token offering will be controlled and kept consistent through a pegging mechanism.

Basically, the ERC20 LKSCOIN tokens will be pegged 1:1 with the original LKSCOIN based on DASH, thus monetary policy will remain exactly the same. All operations will be managed by the PEG Smart-Contract.

Copyright and crypto: the Non-fungible token (NFT)

Precisely to safeguard the right of ownership and therefore the copyright of digital content, LKSCOIN leverages the potential of blockchain also by introducing another type of token: the Non-fungible token (NFT) or ERC721 token.

Due to their intrinsic characteristics, NFTs can be created to represent an original and unique work of art in order to be protected against unauthorized distribution and fraud.

The partnership with Eidoo introduces the possibility to create NFT tokens, meaning that it is possible to create a copyright market and many other initiatives.

Each of these initiatives will be based and inextricably linked to the LKSCOIN that will remain at the heart of the entire process. This is an unprecedented opportunity for LKSCOIN owners.

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