PSC Token
What is cryptocurrency?
Cryptocurrency is a medium of exchange protected by a blockchain-based ledger.
A medium of exchange is an item that is widely accepted and can be paid for any goods and services, while a ledger is a data storage system that records transactions. Blockchain technology allows users to conduct transactions on the ledger without having to rely on a trusted third party to maintain the ledger.
The first cryptocurrency was Bitcoin, created by Satoshi Nakamoto. Since the release of Bitcoin in 2009, thousands of cryptocurrencies have been made on many different blockchains.
What is PSC token
PSC is the cryptocurrency used for many things on the PolySmartChain network. Essentially, it is the only acceptable form of payment for transaction fees and is also used to get verified on the main network and produce blocks. PSC tokens are also used as the primary form of collateral in the DeFi lending market, the primary unit of account in the NFT market, and as payment for services rendered, physical goods sold, etc.
PSC allows developers to create decentralized applications (dapps) that share a pool of arithmetic power. This shared pool is limited, so PolySmartChain needs a mechanism to determine who can use it. Otherwise, a dapp may accidentally or maliciously consume all network resources, thus making the arithmetic pool inaccessible to other applications.
The PSC cryptocurrency supports the pricing mechanism of PolySmartChain arithmetic. When a user wants to complete a transaction, they must pay PSC to have their transaction recognized by the blockchain. These usage costs are known as gas fees, and the amount of gas fees depends on the amount of arithmetic needed to execute the transaction and the network-wide arithmetic demand at the time.
Thus, even if a malicious dapp submits in an infinite loop, the transaction will eventually exhaust the PSC and terminate, allowing the network to return to normal.
Minting PSC
Minting is the process of creating new PSC tokens on the PolySmartChain ledger. The underlying Ethereum protocol creates new PSC tokens, which are impossible for a single user to create.
When a miner creates a block on the PolySmartChain blockchain, a new PSC token is minted. As an incentive for miners, the PolySmartChain protocol sets a reward in each block that increases the balance of the address set by the block miner. Block rewards vary over time.
Burning PSC
In addition to creating PSC through block rewards, PSC can also be destroyed through a process known as "burning." When a PSC is burned out, it is permanently removed from circulation.
PSC burning occurs for every transaction on PolySmartChain. When a user pays a transaction fee, the base gas fee is destroyed according to the protocol. Depending on the network demand, some blocks burn PSC beyond the minted PSC.
PSC Denomination
Due to the small size of many transactions on PolySmartChain, PSC has a number of denomination units that represent smaller amounts. Among these units, Wei and Gwei are particularly important.
Wei is the smallest PSC unit and is therefore used as the basis for operations in many technical implementations.
Gwei (short for giga-wei), commonly used to describe the gas cost of PolySmartChain.
Wei
10-18
Technical Implementation
Gwei
10-9
Readable gas cost
Transfer PSC
Each transaction on PolySmartChain contains a value field that specifies the number of PSC transfers (in Wei) to be sent from the sender address to the receiver address.
When the recipient address is a smart contract, these transferred Ether coins can be used to pay for gas fees when the smart contract executes its code.
Query PSC
Users can query the PSC balance of any account by checking the Account Balance field, which displays the PSC holding denomination in wei.
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