There is a lot of room for creating new cryptocurrencies capable of bringing something unique to the table. Bitcoin Store of Value, or BSOV, is one such token that holds a lot of potential. As a deflationary and community-oriented project built on Ethereum, it introduces some unique aspects.
An introduction To BSOV
Some cryptocurrency enthusiasts may groan at the thought of seeing another currency borrow the Bitcoin name. There are indeed many forks of Bitcoin, yet BSOV is an entirely different creature. Launched by anonymous developer Mundo, Bitcoin Store of Value has a proof-of-work token distribution system with a deflationary aspect via a token burn mechanism for all transfers through the BSOV smart contract. Despite supporting proof-of-work, miners cannot exert pressure to alter the working of the smart contract.
The term “Store of Value” does not pertain to creating a token with a fixed value. Instead, BSOV is designed to hold value over long periods. By gathering a loyal – and growing – community, Mundo eventually passed the project’s reins to the people who now support it. This situation is similar to Bitcoin and Satoshi Nakamoto, yet the technology powering this ecosystem is a bit different.
Rather than facilitating the chasing of quick profits, BSOV values long-term holding. The deflationary aspect of Bitcoin Store of Value ensures the circulating supply will reduce over time.
Furthermore, several early adopters and individuals agreed to voluntarily time-lock roughly 30% of the network supply for the coming four years through the SovCube Timelocking dApp.
Every participating address has a slow release schedule, allowing participants to claim a maximum of 1,000 BSOV per week. The strongest “supporter” of this time locking aspect set aside 500,000 BSOV, which will take 9.6 years to withdraw in full. So far, very few funds have been withdrawn from this address.
Shifting The Balance Of Power
Some people may wonder why people are so passionate about Bitcoin Store of Value ( BSOV ), considering how it is an ERC-20 token on the Ethereum blockchain. The deflationary aspect of BSOV has attracted a lot of attention. More people have become aware of how banks and governments continue to trigger inflation with real-world currencies. Especially during the COVID-19 pandemic, the situation has gotten out of hand.
As these fiat currencies are under centralized authorities’ control, there is no way to change the narrative whatsoever. Supply manipulation, misuse, and hyperinflation are all real problems that can and will occur if the situation is not kept in check.
To some, traditional cryptocurrencies like Dogecoin or Litecoin may provide an escape from the vicious circle of fiat currencies. While these assets provide investment and speculative opportunities, they are not appealing to everyone. Moreover, some of these currencies are still inflationary, such as Ethereum and Dogecoin, or offer incentives for new investors.
Bitcoin is a different creature, through its cycle of block reward halvings every four years. Reducing the inflow of new BTC creates a degree of scarcity. For many, it is a fundamental aspect that makes Bitcoin a viable store of value. As BSOV takes this aspect further than Bitcoin, using a similar halving schedule and adding a deflationary burning mechanism for every transaction emphasizes this aspect even further.
Conclusion
Bitcoin Store of Value is an intriguing project capable of taking Bitcoin’s scarcity aspect to a whole new level. It has a solid long-term outlook through a deflationary schedule and has the support of a strong community. With the original founder taking a step back but still keeping tabs on the project and managing spending from the donation wallet when community-driven demand ensues, it will be intriguing to see where the community takes this project over the coming months and years.
One aspect to take note of is the Change.org petition – dubbed “Abolish the Central Banks and Allow Cryptocurrencies to Flow Freely” – that wants to let cryptocurrencies flow freely. The BSOV token community aims to claim independence from the old financial system while raising awareness of hidden taxes enforced by central banks. Several dozen signatures have already been collected to make the community’s voice heard. Speaking of which, the BSOV team is also running a contest giveaway by having users write “Fight Inflation!” on a US Dollar bill and sharing the picture. Initiatives like these can go a long way to getting the message across.
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