PIVX Interview Part 1
This week's interview is with PIVX team member Crypto S.I. He has been obsessed with crypto since 2012 and joined the PIVX team several months after its launch in 2016, where he is responsible for governance modelling.
Pivx started in 2016 under the name ‘Darknet’ and rebranded to PIVX on January 1st, 2017, making it one of the more established masternodes. What was it about masternodes that made you decide to start this project?
I wasn't present for the creation of the PIVX project, I joined some months later, however, I can chart my love of masternodes back to Dash where they were created. I was already bored with the Bitcoin scaling debate when Dash launched a proposal to increase their blocksize. Their proposal passed and consensus had been reached.
This all happened within a month and sparked my interest in the tech. After using my dash masternode for some time I became disillusioned with changes in the project's direction that had not been subject to vote. The changes moved Dash away from being a privacy coin and towards a more corporate-friendly structure with coin tracking which I was really not a fan of, although I appreciate these things have their place in the world, and it was around that time that I learned about PIVX, named darknet at the time.
It was not only the masternodes that attracted me to the Darknet. More importantly its steadfast desire to keep to its principles and build a privacy coin regardless of whether or not governments wanted that. On a technical level there was a small innovation called the See-Saw algorithm which regimented payouts based on the number of coins being staked against the number of masternodes, this small change meant that early adopters wouldn't just become masternode factories like in Dash. See-saw has since been removed/modified but masternodes are being used for far more than just budget allocation.
PIVX is one of few that actually burns transaction fees. Also, there is no max supply, making sure that blocks will be created in the future. This diverges from most cryptocurrencies that plan to only use transaction fees as payment for miners/stakers on the long term. What is the story behind this decision and what are the advantages and disadvantages of both short and long-term?
PIVX has been designed with sustainable and velocity related inflation at the heart of its economic model. Burning Transaction fees and Zpiv minting fees will mean that with large usage PIVX can actually become somewhat deflationary. Calculations suggest that the Inflation/Deflation tipping point is somewhere around 7 tps. This also places a very real emphasis on finding real use cases as usage will have an indirect connection to coin price by limiting and reducing coin supply.
One of PIVX's most compelling features is privacy. Currently, you say you are developing i2p support. Can you explain what that means? How is that comparable with secure transactions over TOR, VPN or an HTTPS certificate?
I2P integration will allow PIVX users to connect their wallet and send transactions via I2P. The entire network within a network-style privacy structure has its fans and detractors. For me this is mostly about giving more people access to the I2P and supporting that network as the more people who use it, the more difficult it becomes to de-anonymise the traffic going through it.
This is much like TOR, however, I2P has clear technical advantages over TOR and arguably is already tougher to break than TOR. I have rumours of some developers building a similar code module for PIVX within TOR, so hopefully, people will soon have the choice to use both. This is in line with PIVX core values of privacy first, until there is a better option, we should be supporting the best option available.
VPNs can easily be used if someone wants to, they have their own well-documented drawbacks. We are starting to work with open sourced decentralised VPN Sentinel security project, so we should wait to see what other options for IP privacy may be developed in the future.