Welcome to “This Week in Quai,” a new initiative by the development company of Quai Network, Dominant Strategies. This Week in Quai will provide weekly updates to the Quai Community by aggregating and explaining popular Quai quotes, technical terms, and social posts from the past week and offering a schedule for upcoming events.
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What is Quai?
Quai Network is a pre-launch cryptocurrency. Quai is the first blockchain protocol that is simultaneously decentralized, censorship resistant, and infinitely scalable. Quai, in contrast to traditional cryptocurrencies, functions as a network of many interoperable blockchains braided together. Due to a breakthrough discovery that occurred during research on Proof-of-Work, Quai Network utilizes a new consensus mechanism, Proof-of-Entropy-Minima (PoEM), which eliminates all consensus-based forks, and enables all Quai nodes to remain in “perpetual consensus.”
Quote of the Week
“Nobody knows how far you can go with a paper currency before it gets out of control, particularly if you are the world’s reserve currency.”
– Warren Buffett, May 6 2023
Warren Buffett is an American investor and philanthropist widely regarded as one of the most successful investors in the world. Offered in response to a question about the US Dollar losing its reserve status, Buffett’s quote highlights the inherent risks and uncertainties associated with traditional paper currencies, which are widely considered low-risk and certain.
Cryptocurrencies like Quai Network, as emerging competitors to traditional paper currencies, have the potential to enable the money system to exist as an immutable protocol controlled and maintained by its users rather than as a political tool of governments.
Technical Term of the Week
Economical Finality (or “Economically Final”): The state of a transaction on a blockchain where the cost required to modify or reverse the transaction is so high that it is no longer economically viable for an attacker to do so. Once a transaction achieves economic finality, it has an assurance that it is effectively irreversible.
Quai Network’s PoEM algorithm offers the fastest economic finality of any known consensus mechanism. Within Proof-of-Work consensus, work that exceeds the difficulty threshold is not counted in the system, and is effectively “thrown out.” Proof-of-Entropy-Minima, in contrast, correctly calculates and attributes all work done in the system to economic finality. By discarding relevant information about work done to the system, Proof-of-Work offers significantly slower economic consensus than Proof-of-Entropy-Minima, which directly applies all entropy removal (work) in the system to economic finality.
Proof-of-Stake, in contrast to both Proof-of-Work and Proof-of-Entropy-Minima, is unable to offer any guarantees of economic finality due to its lack of scarcity in attestations; reorganizing a Proof-of-Stake blockchain back to any point requires social consensus amongst a group of attacking validators, which can never be mathematically proven to be unprofitable or infeasible. If a sizable group of validators in a PoS blockchain agreed to reorganize the blockchain back to a certain point, they could do so, which means that the transaction’s finality is dependent on the social consensus of validators. In contrast, PoW and PoEM blockchains require a mathematical consensus that is based on an arbitrary “work” measurement or entropy removal, respectively, which makes it much more difficult for an attacker (or attacking group) to reorganize the blockchain and reverse transactions.
Top Posts of the Week
- Quai co-founder & Dominant Strategies CEO Alan Orwick appeared on the Lowenstein Crypto podcast on May 4, 2023:
- Photos from the Quai booth at the Consensus 2023 conference were shared:
- More photos from the Official Consensus Closing Party presented by Quai Network were posted on Twitter and Instagram:
- A recording of Quai University Call #6 was posted on YouTube:
- The core tradeoff of Quai, settlement time, was discussed on Twitter:
- Spiking fees on Bitcoin and Ethereum reinforce the need for a scalable alternative that remains decentralized and secure:
Quai Network Office Hours with Justin: May 16, 2023 @ 10am CST – Join Dominant Strategies team member Justin for a casual discussion/AMA on Quai Network’s technology.
Quai Network Community AMA: May 17, 2023 @ 11am CST – Join Quai co-founders Dr. K and Alan Orwick for a live Twitter Space reviewing development progress and the upcoming Iron Age Testnet.
Quai Network Office Hours with Max: May 18, 2023 @ 9am CST – Join Dominant Strategies team member Max for a casual discussion/AMA on Quai Network’s technology.
Join us to build a better blockchain.
Quai Network is an open-source Proof of Work blockchain network utilizing the capabilities of merged mining to increase throughput and security. Users of Quai Network will enjoy fast transaction times without compromising decentralization and security. Miners will have competitive mining opportunities across the many blockchains within the network.
Capable of thousands of transactions per second, the Quai Network is a Proof-of-Work solution to scalability that is soon to be ready for mainnet release.
Opinions, ideas, and statements shared in this update are delivered with numerous assumptions, risks, and uncertainties which are subject to change over time. There are multiple risk factors, including those related to blockchain, cryptographic systems, and technologies generally, as well Quai’s business, operations and results of operations, that could cause actual results or developments anticipated not to be realized or, even if substantially realized, to fail to achieve any or all of the benefits that could be expected therefrom. We reserve the right to unilaterally, completely, or partially change plans, expectations, and intentions stated herein at any time and for any reason, in our sole and absolute discretion, and we undertake no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future developments, or otherwise. ACCORDINGLY, WE RECOMMEND THAT YOU DO NOT RELY ON, AND DO NOT MAKE ANY FINANCIAL DECISION OR INVESTMENT BASED ON, THE STATEMENTS CONTAINED IN THIS UPDATE OR ANY OF OUR UPDATES/ARTICLES — INCLUDING BUT NOT LIMITED TO ANY SELLING OR TRADING OF QUAI TOKENS, ETHER, OR ANY OTHER CRYPTOGRAPHIC OR BLOCKCHAIN TOKEN, OR THE SECURITIES OF ANY COMPANY.
The views, opinions, and statements made in this update are those of an individual author and not those of any institution, University, or legal entity operating within the jurisdiction of The United States or beyond. There is no association between these views, opinions, and statements and any for-profit or non-profit entity, particularly with Universities, Foundations, and other Agencies located within the United States. Any perception of such an association is purely accidental, and will be rectified immediately if brought to our attention by the reader.