Method

The method to our madness is as follows:

  • We use P2Pool Distributed Pool Software (open source – link) to reduce variance.
  • Merge mine namecoin, devcoin, i0coin and ixcoin
  • Bitcoin payouts are sent to miners automatically via the P2Pool software
  • Merge mined coins are sent to various exchanges and converted into Devcoins, which are sent back and added to the payout pool
  • Whenever a bitcoin block is found, hash area since the last block is calculated, and each btc address is assigned a proportion based on their contributed hash area.
  • The p2pool fee is used to calculate server throughput, and the total pool value is calculated as:

    Pool Payout = Fee income * Bonus % / 2 

    So with a 5% bonus payout and with a fee income of 0.1 btc, the pool payout would be

    0.1 * 5 / 2 = 0.25 bitcoins worth of dvc.

    A bonus payment is only triggered when the server registers a payment from p2pool to its default address, so the actual server fee will vary depending on how consistently it can get these triggers. The p2pool generation fee is 100% returned in the form of devcoins when the payment is triggered, on top of the bonus. This arrangement is expected to last at least until the new devcoin client has been tested and produces a mined block, and will come back periodically as the need arises, so be sure to take advantage of this bonus before it runs out!

  • Gross btc mining throughput is calculated monthly, from all sources, and 0.2% of the gross is sent to developers on the bitcoin and devcoin share lists managed by the Devcoin Project (links below)
  • Bitcoin Share List, for cryptocurrency related projects (link)
  • Devcoin Share List, for all other open source development (link)
  • Open Source Developers are welcome to apply to join the share lists by contacting Picaflor Azul on the bitcointalk forums (link)