It’s Valentines day, so we thought it would be appropriate to show some extra love for GRAFT ?
We wanted to lift up the covers a little bit on what we’ve been thinking about over the past few months as what the future holds for GRAFT’s technology. Please meet the beginnings of LYRA DPoS*- the Next Big Thing for GRAFT Platform, based on the most recent advances in the field.
Down cycles provide an opportunity to hunker down and build a great solution in preparation for the upturn and market expansion. The market WILL return and when it does, it will reward those who have the most advanced technology for the application, so we need to be ready for that!
The keyword is BUIDL!
Enjoy the read – we hope you will come away as inspired as we have been with it!
As usual, we welcome your feedback – please use github’s issue subsystem to comment. https://github.com/graft-project/LYRA
* DPoS stands for Delegated Proof of Stake
** GRFT isn’t going away – it will remain the voting and gas/reward currency in the new DPoS platform
In order for the network to gain the momentum as quickly as possible we need to create awareness and “pull” from both sides of the marketplace. What better way to reach the first potential users and influencers than a cool multicurrency cold wallet / payment card – something that they will initially use to make their cryptocurrency wallets safer and eventually use for payments.
With the campaign now and a first batch scheduled for late May / early June, we’re looking to create some good buzz in the marketplace shortly prior to, during, and shortly after RTA Mainnet launch (not to mention putting a useful product into people’s hands that reminds them of GRAFT).
Impact on RTA development timelines
ColdPay leverages the same development investment that we have to make for the mobile wallet and POS support, including web wallet and payment gateway, so from that standpoint we’re not incurring additional development overhead.
There’s a limited amount of specialized development both on the card and one the provisioning interface, but that work is confined to several part- time engineers who do not participate in core development.
So overall impact on the critical path core development is minimal.
Participating in ColdPay IndieGogo campaign
The campaign is now OPEN! There’s a first 100 card Early Bird Secret perk we’re making available to the community.
Often times as engineers we have a tendency to wait to release something until it’s complete and final. This however is not always practical, especially when it comes large complex projects like RTA Supernodes.
We have given it a lot of thought over the last few weeks and decided to break up the Supernode release into two phases. While we’re continuing the work on fine tuning RTA workflow and communication protocol in preparation for mainnet beta, we will first roll out what we’re calling an “RTA Miner” – an RTA Supernode that stakes, participates in RTA communication, and gets revenue from the stimulus transactions.
This release will allow us to:
Test the supernode concept on the scale of real network (there is a limited number of alpha supernodes)
Fine tune the economic model including stimulus distribution model
Draw attention to the project (enter masternode listings etc.)
RTA transaction will not be enabled in wallets and POS clients (only stimulus transactions will be enabled, but they do not require GUI clients)
No requirements to RTA TX performance (time, fault tolerance, etc.) or security (double-spending) as stimulus RTA Tx will be processed by GRAFT team only (Stimulus Tx is sent between GRAFT wallets)
There will be no security risk to supernode owners or to the entire network
We’re currently targeting a 5% avg. per month ROI in RTA mining income based on the stimulus program we had announced earlier. Stimulus incentives will carry into the RTA Mainnet launch (tentatively April 2019) until the network is fully ramped up. The calculation is based on 1,000 active Supernodes
We haven’t set an exact date for this release yet, but expect it to be within the next 3 weeks, pending release and testing of the supernode staking wallets security issue fix.
This is the first version of the exchange broker which aims to facilitate a scenario where the merchant or merchant service provider perform the accept, exchange and payout functions. (Future versions of the broker and other components will become further decentralized and separate those functions among other participants in the network)
The broker can run on the RTA Alpha testnet and comes with a nice demo application emulating a POS/terminal accepting testnet BTC and ETH for payment.
Community Manager: Welcome everybody for the first GRAFT developer AMA! We’ve been collecting questions across our various social media channels, which lead developers, Slava and Dan will be responding to. This channel will be reserved strictly for questions and answers. We will give the community a few moments to respond in the Discord #graft-lounge and Telegram, and determine if there are any follow-up questions we have time to address. I will be working to keep things moving so that we can get through as many questions as we can in the short amount of time that we have. Please note that if your question doesn’t get answered, it will remain in the pool for follow-on AMAs.
With that, let’s begin with our first question…
Question: Could you talk a little about the software development process that Graft uses? What development methodology does Graft use? Is it an industry-standard model (such as agile, incremental, or waterfall) or something custom designed? Perhaps you could walk us through how the process works, for example how a concept goes from initial idea to implementation to testing to competition?
Dan: We use an agile methodology with two-week sprints. The system is quite complex with many components that we have to time together into planned releases. We started with formal testing but are quickly migrating towards community supported rollouts. You can see how various pieces stitch together looking at our development roadmap.
Question: I currently scan various blockchain projects. I’ve noticed several unresponded pull requests that seem to be ignored. In understanding C++ for a number of years. They seem to be solutions for a drastic fix. I cannot involve myself in a blockchain that the dev doesn’t fix issues in a timely manner. How can i invest with any courage the dev and the project is community oriented if they do not listen to pull requests!
Is there any particular reason why PR are being ignored and is the super node RTA going to launch without any review from all pull requests?
Slava: We pay attention to all pull requests. Pull requests however are not “just push an approve” button activity – they have to be vetted, tested, incorporated into the release schedule, and timed for the appropriate network update (fork) – all these things take time and are gated by the development and release schedule.
Question: It is appreciated that the Graft Team have said many times that people who buy GRFT aren’t investors. But if GRFT is truly a ‘community’ coin then it would help if someone is available to give one consistent message from the Graft team to the people that form the community. There is often misinformation and confusion in the telegram and elsewhere because there isn’t someone from the core team that is managing communication with the community. Will you be hiring an individual or team to manage communication with the community?
Dan: We are sometimes constrained as to what we can share due to incomplete conceptual framework (we start out with broad brush strokes and then fill in the details as we move closer to implementation), private info from 3rd parties that we’re not at liberty to share (such is often the case with exchanges or other partners), or simply are working on something that may or may not pan out and we try to avoid situations where we overpromise and underdeliver. As engineers, we tend to communicate once something is done and no uncertainties remain – we’re learning however to communicate more, bear with us.
Question: In the current alpha implementation, the RTA SuperNode requires a hot wallet with full spend keys on the VPS running the SuperNode. This seems dangerous: if we imagine graft at $1, that means a T4 is holding a hot wallet worth a quarter of a million USD, which makes it a tempting target for hacks—someone who gains access to the VPS could steal the entire stake plus any transaction fees. Why did Graft decide to go with a hot wallet approach as opposed to the cold-stake approach (of submitting stakes as time-locked transactions on the blockchain) commonly used by other Masternode systems?
Slava: First, it’s important to take into account the specifics of the Cryptonote protocol – proof of balance in a CryptoNote wallet is not as easy as doing the same in “”regular”” non-private blockchains. Second, we are aware of this issue and already have it in the backlog, so it will be resolved in the future RTA release.
Question: The recently announced stimulus plan for supernodes was unveiled without any details at all as to how it will work. This has led the community taking wild guesses as to how it might work (e.g. with the unofficial calculator floating around) and what the payoffs might be. Proper planning for potential supernode operators requires the actual details.
When do you plan to formalize the stimulus payoff details so that people can start deciding whether or not they want to run supernodes?
Dan: The stimulus plan will take a bit of flushing out. We have defined the general direction and the targets for the incentives and will be filling in the details as we get to the roll out stage. The goal is to make the network perform at roughly 100k tx monthly volume.
Question: There has been quite some discussion recently on the GRAFT blockchain telegram channel about the upcoming Monero CNv2 fork and the impact it may have on the GRAFT blockchain. Some are convinced that the fork will lead to a substantial migration of ASIC/FPGA hashrate to GRAFT (being the most profitable CNv1) from XMR. This in turn could lead to centralization of the network, a potential drop in value (as the farms are less like to hold their GRAFT) and even outright attacks. It would be great to get more information from you on this topic, if you plan to fork to CNv2 or any of the CNv1 derivates in the coming months?
Slava: The GRAFT dev team is working on the patch. We will announce the date of the hard fork shortly.
Question: Where are we with Verifone and Ingenico exactly? What will be procedure for merchant to turn on GRAFT as currency on their POS machines, and will it require manual update?
Dan: Regarding Verifone software – it is done and ready for the rest of the network – of course there are iterations and updates happening on that as we go as all these things are interconnected. Using GRAFT on Verifone terminals only requires Engage-compatibility. Engage is their app platform – they are rolling it out to various models starting with the newest / most capable ones. To enable GRAFT, the merchant has to go to Verifone marketplace, add the app to their merchant account, configure the wallet and few other payment gateway options. As simple as that. Regarding Ingenico – we are waiting for the platform upgrade from their side and opening API’s – tentatively Q1 2019, so for now our primary goal is to get the Verifone terminal to work flawlessly.
Question: Could you briefly share the Graft Team marketing plan and road marks that you are following to implement the plan?
Dan: Here’s an example of what we’re thinking and driving towards. https://www.graft.network/merchant-service-provider/ . Please keep in mind however, that this is a decentralized, community project, so core team’s involvement in marketing and distribution is focused on working on core software and integrations.
Question: Many people have attempted to send coins from the mobile wallet to Cryptopia. The transaction fails because the mobile wallet does not support non-integrated payment ID’s. The users then contact Cryptopia about the lost coins and then Cryptopia asks for a payment ID. There are a few problems with this all too common scenario, but the biggest problem in my opinion is that the mobile wallet does not provide access to transaction ID’s. Will the mobile wallet soon be able to display transaction ID’s?
Slava: 1) Cryptopia is the only exchange that does not support integrated addresses. We’ve contacted their devs several times and asked to implement this support. They promised to do it but never provided any ETA. By the way, they do not support integrated address for Monero or other CryptoNote coins, not just GRAFT. Here is the latest response from Cryptopia devs: “We’ve escalated this issue and hope to have an ETA for you in the near future. We haven’t forgotten about it.”
2) In the next releases of the wallets we plan to add both detached payment id & full transaction history (including Tx ID).
Question: When will the results of the RTA alpha testing (bug reports/fixes/etc.) be made public? Or if they won’t be, when will you start accepting public bug reports for RTA supernodes?
Slava: As you may have noticed, we have started communicating the development status on a weekly basis providing lots of details to the community. The results of the testing feed back into the development with the end result of a public alpha and then beta state of the product.
Question: Do you plan to conduct any external security audit of the platform (RTA/Exchange brokers/etc.) before the final production release?
Slava: One-time security audits are largely ineffective (subpar, expensive, and short lived) as the code changes literally every day. The code is open to the community to examine and find bugs. We’re also looking into implementing a bug bounty program. (Note that both GRAFT co-founders are CISSP certification holders and have serious infosec background.)
Question: What is the long-term plan for continuing Graft’s management? Some other coins have defined organization structures that are designed to continue without the present Dev teams. Has the Graft team thought about how Graft will be managed on an ongoing basis once the project reaches maturity?
Dan: Good question. We recognize that there is a natural evolution in a decentralized project governance as the project matures. We are considering a DAO path potentially, taking notes from other leading projects, and looking to incorporate some of the innovative models (like quadratic voting) that provide equalized participation.
Question: Multiple sites out there already support payments with cryptocurrency. How’s GRAFT different?
Dan: The primary purpose of the GRAFT project is to build a DECENTRALIZED payment network – the fact that it can process crypto payments is one of the important by-products, not the be all and end all. The devil is in the details – centralized payment brokers go against the principles of decentralization and they don’t scale. GRAFT’s goal is a decentralized payment network with no borders, no single party controls, no (or marginalized) banks, agnostic to the currency you pay with.
Question: I’ve heard that early supernode holders will be incentivized to participate in the graft network and I applaud that. Doesn’t it make sense to incentivize merchants to encourage graft usage by offering a transaction fee holiday for some time period up front? You could still pay the network supernode participants out of the coins set aside for incentives (or not). I think that incentivizing the vendor will go MUCH further towards promoting crypto adoption.
Dan: Yes, we’re thinking about incentivizing other eco-system participants and have thought about waving the transaction fees for the merchants for period of time. It’s not clear whether it’s strong enough of an incentive for them to adopt a new payment network if they didn’t have an interest in it before. We are thinking that the focus with merchants should be on creating awareness in the industries that are notoriously hard to get merchant services in, as well as making it super easy for them to integrate GRAFT into their existing systems and processes.
Question: Service Brokers are going to be One of the most critical part of the Graft Ecosystem. Considering an example where Bitcoin payment is made by a buyer and Merchant’s payout choice is in Fiat USD. This is the most obvious use case I could think of. And the kind of liquidity needed for converting BTC to USD is going to be huge (to make settlement seemless). I fear individuals (SN owners) could provide this liquidity. Unless a major exchange could be a service broker I personally feel this will be difficult. Hard fact being we are facing difficulties in listing Graft on a bigger exchange, so what’s the plan on getting a high liquidity exchange?
Dan: You’re right – payout brokers are one of the keys to the functional network. We anticipate the liquidity to come from both smaller and larger brokers. The plan is that once the project gains recognition and adoption in the marketplace, the exchanges will open up as it’s a very lucrative market for them. At this time we have a number of smaller payout brokers who have registered their intent to provide these services to the network.
Question: One problem with almost every cryptocurrency is the boundless growth of the blockchain data. One of the numbers that got pulled from the reward post was 100k transactions per day. Graft transactions average about 12kB, so put those together and you get the blockchain growing by 1.2GB/day. It’ll hit nearly 100 gigs after 2 months, nearly 500 gigs after a year.Does Graft have any long-term plan to reduce that storage requirement at the node and/or supernode level?
Slava: This is common problem for all blockchains, not just a specific problem to GRAFT.
The current short-term solution is merging recent Monero code which introduced a new method of proofs for confidential transactions – Bulletproof – which is supposed to reduce the blockchain size by 80%.
Question: We appreciate your efforts to involve the community in the project, how would you like to improve this relationship over the next few months?
Dan: Thanks for this question. As a decentralized project, we have to really pull back on implementing roll-out and adoption plans for the network and rely on the community to take over and form their own geographic and industry clusters with their own promotion and business plans for the network. We will know that the network is thriving if there are initiatives, ideas, local governance, and business models that go well beyond what was envisioned by the founding team.
Question: How does GRAFT handle void transaction? Is that similar to void transaction of Credit cards?
Slava: Void transactions are typically handled by the point of sale, before it even comes to the settlement. If payment is processed, some payment processors allow voiding such transaction. On blockchain it is impossible to reverse (void) a transaction after it is added to the transaction pool (even before it’s added to the block), so RTA “void” should be replaced by refund (return) transaction.
Community Manager: Excellent. Well that concludes today’s AMA. I want to thank Dan and Slava for taking the time out to answer questions. We are happy to get through so many, and look forward to future sessions. Thank you all!
Have a burning question about the GRAFT Network? Marketing plan? Adoption? Community involvement? Technical questions? Submit your question(s) and get an answer! In a continued effort to increase engagement with our community and educate the market, the GRAFT Team will be hosting an AMA live on Telegram and Discord on October 18th, at 12pm EDT.
Questions will be categorized and collected through a Google form to make the best use of time and format.
* PLEASE SUBMIT ONE QUESTION AT A TIME. You will have the opportunity to post another question after submission. This allows us to keep the questions concise, organized and minimize duplication.
Earlier this week we published a form for project contributions in form of donations on the home page. We would like to take a moment to explain the rationale behind it and address the concerns raised by some members of the community.
We collected modest funds during the ICO, further affected by the falling market. While sufficient to carry out the main development track we’ve committed to, there are ancillary initiatives the community has expressed interest in or that have potential to increase awareness or improve adoption, that do not fit into our current budget.
Tier 1-2 exchange listings are expensive, and while they add to the liquidity of the token, they do not represent the “critical path” for the project and therefore are not allocated for in our current budget. We do however recognize there are different groups within the community for which liquidity is important. We also recognize that in order to speed adoption of the GRAFT ecosystem, it’s important to have as many gateways to the GRFT token as possible for increased visibility and to present opportunities for participants to engage where they feel most comfortable, i.e. their favorite exchange.
In addition to exchange listings, we have additional projects we can get involved in, like the ColdPay card. These projects require significant capital investment upfront.
To enable these new initiatives, we are opening up the project to voting and donations as a way for the community to indicate their appetite for us delivering on these initiatives and help fund these projects.
We have heard a few concerns so far from the community and would like to address those:
No specifics on the exchanges
Most exchanges we enter into negotiations with ask for a non-disclosure agreement. They do it so that the negotiated amounts are not widely known and to avoid getting inundated with inquiries from the community. We will disclose what we can, when we can. (This is of course not applicable to community vote listings)
No transparency on the donation wallet
The criteria for the payment system was that we could collect the shipping address data alongside the donation, and the promotion claim would be inextricably linked to the donation to prevent abuse. We can and will create a separate swipe wallet for the balance to be seen by the community.
Community doesn’t have enough visibility into the projects and use of funds
We heard you – we’re adding a way to vote for these initiatives. Vote here
As previously announced, we have released network node version 1.4.2 (“v10”) for a major network update. This update will correct the emission curve by reducing block rewards by 50% starting at block 176,000, which will be reached around September 17, 2018.
The new block reward formula will be as following:
reward = (M – A) * 2^-19 * 10^-10 / 2
Where M is the maximum total supply and A is the current supply.
This correction will not change the maximum supply of GRAFT that will be ever created, it will just stretch the emission curve such that it will take longer to mine the maximum supply. All GRAFT supporters should benefit from the corrected emission formula because it will stabilize the growth of the circulating supply.
In addition, GRAFT v10 will drop the mining difficulty algorithm adjustment made in the previous (v9) major network update (LWMA+tweak) and return to a standard LWMA difficulty calculation. The adjustment was originally added in an attempt to make the difficulty drop faster after a network attack, as it was believed that such network attacks were responsible for block delays and network stalls in the turbulent days between the first (v8) and second (v9) major network updates. As it turned out, however, those issues were caused by an unrelated bug inherited from Monero and have been long-since fixed on Graft’s network (the fix did not require a fork).
In retrospect, the v9 algorithm adjustment had the unintended side effect of inducing larger swings in mining difficulty because it made difficulty drop too quickly. Over time, opportunistic miners learned to exploit those difficulty swings by mining on the graft network with huge hashrates whenever difficulty dropped to win a handful of low-difficulty blocks, then leaving the network as soon as difficulty increased again. This would, in turn, result in long block times that would then trigger another difficulty drop, thus repeating the cycle. While such difficulty shifts are unavoidable, the v9 difficulty adjustment made the swings a little worse and are being removed in this fork to help make the mining difficulty more stable.
The major network update means that each GRAFT network node must be updated to the new software version before the specified block/date. Otherwise, any node that isn’t updated will be on the wrong version of the blockchain. The source code and the Linux and Windows binaries are currently available for download. The installation instructions are unchanged.
As another reminder, a major network update means that if you are running the GRAFT network node (graftnoded daemon), you must upgrade it to the current software release as soon as possible. If you do not install the updated node before block 176,000, it will be disconnected from the mainnet after block 176,000.
Note that the users of GRAFT mobile and desktop wallets will not be affected by the upcoming major network update and don’t need to do anything—as long as they are still connected to the default proxy supernodes (if you are connected to your own supernode, however, do not forget to upgrade the underlying network node to stay on the right network).
We’re very excited about this development as it completely validates the approach we’ve taken with the GRAFT blockchain!
Another important question one might ask is “Will GRAFT project be impacted by this development”?
We will be studying Square patent further and any action we might want to take, but we wanted to provide a brief summary of our initial thoughts on the subject:
Square’s provisional application was dated later than GRAFT published its first white paper (July 15, 2017), providing GRAFT an excellent basis for prior art argument should this ever come to a head.
There are enough substantial differences in GRAFT and Square’s approaches starting with Square’s emphasis on a private, closed system, while GRAFT’s being on an open, decentralized approach
Decentralized open source projects are extremely resistant to outdated IP prosecution practices as there’s not single central commercial entity to go after
Square is not known for predatory IP behavior, which could be the case if the patent was issued or sold to a patent troll. We believe that Square filed the patent to ensure their own “freedom to operate”.
Additionally, the fact that the patent was granted proves that there was little known prior art (GRAFT nonwithstanding) before July 2017 which is when GRAFT white paper was published and Square provisional application filed.
Finally, patent doesn’t equal product. Square and its competitors will be considering whether to develop these systems in-house or to use an existing public network like GRAFT.
All in all, we view this development as a very positive one both for the industry and for GRAFT.
With that said, we would like to ask for our community’s help in raising the visibility of the fact that GRAFT implementing the system that Square has attempted to patent – this is a very opportune time to do this building on the attention this patent has generated. Please help bring this up on the appropriate social media and discussion threads.