To achieve one thing: understand Bitcoin. By observing the design of this single, localized individual, Bitcoin, abstract the holistic equation of the Bitcoin paradigm to guide the crypto industry in realizing a variety of cryptos capable of forming Bitcoin-like distributed, closed-loop economies.
The key subject of the Bitcoin paradigm is: Individual, the problem is: Individual's distributed trust and security issue, the solution is: Individual autonomy and thus distributed emergence.
- Transaction function: f (compute) = TX (Input (Individual), Output (Individual)); realizing distributed computation between Individual businesses.
- Consensus function: f (consensus) = Consensus (hash, difficulty); solving the BFT fault tolerance problem.
- Consensus-aware quantization function: f (Bitcoin) = F (f (Compute), f (consensus)); by fusing the transaction function and the consensus function to distributively emerge an energy-conserving distributed business. This function can also be written as: f(Consensus Mechanism, External Energy Input, Energy Conversion Mechanism) = Value Output；
The above three functions analyze Bitcoin as follows:
- The individual object of Bitcoin is: Coin based on UTXO as the carrier.
- The transaction function of Bitcoin is: BTC transfer based on UTXO data structure.
- The consensus function of Bitcoin: quantifying hash calculation, and the emergence of distributed consensus calculation with nonce as the individual.
- Bitcoin's business conservation function: the power energy behind the hash computing power corresponds to the commercial value conversion of the currency BTC.
Bitcoin Paradigm's Closed-loop Distributed Emergent Business Design from Individual to Energy Conversion:
| Individual | Transaction function | Consensus function | Consensus-aware quantization function | Quantifiable Energy |
|---|---|---|---|---|
| Things expressed by the UTXO-like distributed data structure | Precise functional programming | BFT algorithm | External energy-aware algorithm | Energy input |
The reason why Bitcoin is successful and other Cryptos are not is: Only Bitcoin has completed the BTC Individual to Quantifiable Energy closed-loop energy-conserving distributed business model. And all design principles are nearly 100% compliant with the Individual Distributed Principle.
The Individual Distributed Design Principle means that we follow the law of individual autonomy and emergence of natural law. Take the design principles of Bitcoin and Ethereum as examples for comparative analysis.
| Comparison type/Whether to follow the Individual Distributed Design Principle | Bitcoin | Ethereum |
|---|---|---|
| Individual's carrier data structure | Yes: distributed UTXO | No: centralized state tree |
| Transaction calculation function | Yes: distributed stateless functional programming | No: centralized EVM calculation |
| BFT consensus algorithm | Yes: regardless of POW miner Agent or nonce individual test | No: centralized POS consensus voting calculation |
| Energy-conserving business model | Yes: distributed mapping of BTC to the energy behind the computing power | No: negligible power energy of centralized consistent voting BFT POS calculation of each validator node |
From the above comparison, it can be concluded that Bitcoin follows the Individual Distributed Design Principle in every logical design, while the design of Ethereum is an extremely crude and superficial platform. All the designs of Ethereum are only to serve the Turing-complete EVM, and these superficial designs are acceptable. The most unclosed loop is: negligible external energy input, resulting in the system becoming a closed entropy-increasing system without a business model. And this is the root cause of the failure of most Ethereum-like blockchain models.
Passively accepted the three major problems that Ethereum designed and improved for Bitcoin.
- 1, Solve the problem of Bitcoin's Turing-incomplete VM.
- 2, Green energy, POW to POS.
- 3, Sharding, expanding the computing power of the ledger, that is, increasing TPS.
And these three major problems have become the main narrative of the entire Blockchain public chain, iterating new improved products repeatedly in the following years, but the result is obvious, none of them surpasses Bitcoin's design pattern, because no public chain founder understands Bitcoin.
And of course I am one of those who don't understand Bitcoin. But it doesn't prevent me from living ignorantly, so there are a series of tossing next. Around August 2016, it took less than 7 days to change the POS consensus of the Python version of the Ethereum client to the POA consensus alliance chain for national-level needs. In September of the same year, because the performance of the Python version of Ethereum was low, I rewrote the algorithms such as Merkle tree and RLP of Ethereum in C++ syntax. At the same time, because the alliance chain has privacy needs, I stripped the ZKP RangeProof amount privacy algorithm from BlockStream's Elements (Bitcoin's sidechain) for amount privacy design. At this time, in less than 3 months, I went from a programmer who didn't understand blockchain technology at all to a blockchain technology expert in an instant.
But in my opinion now, blockchain is a curse word, blockchain refers to: a group of truly ignorant people who don't understand Bitcoin and are self-righteous.
In order to solve the problem of personal survival, I emerged in early 2017 and did 3 things that I think are still awesome.
- First, I established the ChainX community, received Gavin Wood to China, met Gavin WOOD and 3 founders of their team, their team also had only 3 people at that time, and they were also on the verge of survival problems, Gavin went everywhere Platform consultant and write Rust Paritytech client to support various small currency mining algorithms.
- Second, I went to Babbitt to make Bytom, using the UTXO account model of Chain.com, a subsidiary of Nasdaq, combined with the P2P of tendermint and added the founder's sci-fi AI dream mining algorithm. In fact, this is a patchwork of absurd project departures. But this is the project that I think is closest to the essence of Bitcoin at present, but we didn't have any abstract ability at that time, and we couldn't abstract how to achieve a better Bitcoin paradigm. This shows that: due to cognitive limitations, even if you are lucky, even if you step in the right direction, you will fail, and you will fail without finding the core reason for the failure.
- Third, through the ChainX community, I contacted the founder of Cosmos and received Jae Kwon, the founder of Cosmos. Then it took 3 days to combine the UTXO model of Chain.com with the tendermint POS consensus to make Chainmint, and then get their 2 BTC bonus from Jae Kwon. At this time, Jae Kwon wanted me to join their team as the core developer. At that time, they only had 2 core developers. I thought, the pressure of Korean sticks plus English, I decisively refused. But I don't regret it, because even if I went to Cosmos at that time, maybe I would be more ignorant than I am now.
In order to break through myself again, this year I am going to have two children. A child of career, a child of my life. It means that as long as you are sincere, you can achieve it, and in this year I realized my wish.
- The child of the career, ChainPool, because of the advocacy of BM of EOS, I think it is possible to make a POS Staking pool in the future, so we are going to make a Staking pool to challenge Bitmain, because the POW boss Bitmain was the most beautiful at that time, even more beautiful than Binance now , then we do Chainpool, that is to do Bitmain, this is okay. Then I plunged into Chainpool to make a POS mining pool for EOS, and then I studied EOS, dumbfounded, this BM SB is really using the Sharding problem of Ethereum's blockchain to do 1 million TPS, and he is still self-righteous A lot of Sharding code was written, and when I saw it at the time, this project was going to die, because the Sharding code logic was bullshit, and then BM said that there must be someone who is destined to start EOS, and I thought at the time: You EOS is going to be over Now, my Chainpool is going to be over too, so I'll find someone who is destined to help you start EOS, and I'll help you modify the EOS code by the way, delete the illogical sharding code of BM, and let the code run. And when we deleted the Sharding code of EOS, BM also deleted the Sharding code. And we completed this work in less than 2 months before and after. This public chain writing code is really profitable, BM said. Now that the code is written, let's start a chain. This is how we started the EOSC fork EOS chain with destined people. At that time, all the EOSC code on the chain was deleted by me in more than a month. BM's code was deleted, and this project allowed me to realize some development funds. The story of Chainpool, the Staking pool, has a closed loop, and it will no longer be Bitmain for POS.
- My own child, one day when I was writing code, a product partner next to me came over to show off the B-ultrasound photos of his baby who was 3 months pregnant. I thought at the time, this made me feel very good, I went back at night I also made one, and it really worked. In November of the same year, my daughter was born. At this time, I really felt the meaning of life, and the door of happiness began. Happiness is not being stupid.
The Beginning of the Obsession of Expanding BTC in 2019: ChainX is the first chain of Substrate, the leading chain of Substrate
After contacting VB, Jae Kwon, BM, and Gavin Wood, I found that Gavin Wood has the strongest coding ability, so I thought VB/Jae Kwon/BM were SB at the time, so I stopped paying attention to Ehereum, Cosmos, and EOS. And go with Gavin Wood to write the future of Polkadot. But we SB think: Polkadot is a project to solve the problem of interconnection of all chains. Therefore, ChainX is designed as a cross-chain hub of Polkadot or a Hub for Bitcoin cross-chain. This year, I did a few awesome SB things. First: Implemented the SPV light client of the Bitcoin rust version. Second: About 2 years before the launch of Polkadot/Kusama, the Substrate was separated from the earliest code, and the Bitcoin SPV light node fusion Substrate framework was implemented, making ChainX known as the first chain of Substrate. And Kusama is the second chain of Substrate. And Polikadot is the third chain of Substrate. ChainX is the leading chain of Substrate. Third: There are tens of thousands of cross-chain BTCs on ChainX, and there are hundreds of thousands of BTCs locked on ChainX. Fourth: ChainX supports the cross-chain of DOT's SDOT, which leads the CEO of Polkadot to take the 30% of DOT that their foundation has not sold to cross-chain to ChainX to mine PCX. I rejected it directly. This SB Polkadot Foundation still wants to grab retail investors' PCX. ChainX is a completely fair Bitcoin mining model, and does not allow the DOT tokens of the Polkadot official team to enter the network to prostitute PCX for free.
This year, we are still having fun playing ChainX, and we have a lot of fun. But at this time, I am very confused about the industry, because I realize that Gavin Wood is also a fool. The Polkadot he made is different from the concept of Wanlian Interconnection that we imagined before, and it is not just a matter of discrepancy, but a realization However, it seems that something is wrong with the currency circle. The perception at this time may be the correct response of the entire Crypto. Maybe there will be no surprises, and the Crypto industry may usher in a new cognitive revolution at this time, subverting the three major problems of the blockchain brought about by Ethereum earlier (Turing-complete VM, Sharding high TPS, green energy POS). But the accident happened at this time. The subsequent self-energy release in the closed dream of Defi has continued the narrative of this BlockChain to this day. Only now do we realize that the three major problems of Ethereum's blockchain are not problems, or false propositions, among which:
- The green energy POS problem does not conform to the energy-conserving business model.
- Sharding high TPS has brought about the rapid rise and fall of Layer2.
- The Turing-complete Defi, although it brings the experience of decentralized liquidity, can still only play meaningless stand-alone games.
And the unified fundamental problem that the Ethereum blockchain and its three problems are not valid is: the problem of dream fragmentation leads to the problem of unclosed energy-conserving business. And in order to realize this fundamental problem, I have thoroughly understood it from 2020 to the present.
This year is a critical year for the epidemic. Earlier this year, everyone was locked at home and had nothing to do. I let the development team go home. Everyone stayed at home for more than half a year. I didn't do any management or intervention. I pay them their salaries on time every month. When the lockdown was lifted and work could start, I asked them if they wanted to come and work together again, and everyone came. This year, I haven't done much solid product development myself. Stay in the reflection of living a good life.
In order to reflect on it, the first thing to do is the first major project in life: having a baby. At this time, I gave birth to a baby that I wanted and had the same birthday and time as me. I call him Xia Guanghua. But people never accept this title, thinking that I, this SB, is insulting him.
And this year, we incubated many Polkadot projects through the Polkaworld community. Because we are the founding partners of Polkaworld, we all invested in many Polkadot ecological projects in the earliest rounds. Of course, there are losses and gains, as always with investment. But because they all invested in one round, the income is not bad. Also in this year, my cousins who grew up with me when I was young passed away at the same time. I was shocked to realize that it is very important to live a good life. We must truly treat every day well. But all reflections and perceptions are spiraling. After a long time, if there is no external input, the internal perception function will be passivated. Suggestion: Changing cities more, communicating with people more, and changing various input and feedback will make life better.
In the development of the Polkadot ecosystem, I felt the disappointment of the lack of business from the time of EOS and ETH, and Polkadot is more obsessed with the Slot auction that I don't understand at all. I incubated and invested in a bunch of projects in Polkadot: such as Acala/Astar/Zenlink. Start to solve my lingering doubts. Why can't the Crypto circle serve the reality like the web2 circle of WeChat? Why can't crypto jump out of the vicious circle of speculation? I SB think that there are no real users influx in the currency circle. So I launched the ComingChat, a private chat communication software based on the double gear algorithm of elliptic curve. It not only supports elliptic curve chat, but also unifies the account system and chat system in Crypto. Similar to the design of QQ, a 1 to 12 digit digital identity. The fundamental difference from QQ is that QQ's account system is managed by a centralized server. And my ComingChat is an Individual's crypto account and communication account derived from an elliptic algorithm based on Individual. This ComingChat software communication level has reached Individual. And this product is quickly promoted to the outside world. Because of the concept of Crypto, it quickly attracted 10 million wool users. When this product was initially designed, it did not consider the P2P of message service forwarding, and the service of message forwarding was still in the center service. As a result, a lot of service fees are consumed every day. The problem that has to be faced at this time is: the problem of the commercial closed loop of this product. People have come, but the value circulation is not normal, which will become the problem we will solve next year.
People were attracted from ComingChat, and I realized that the Crypto web3 circle is different from the web2 circle. The web2 circle expands with people or information as the center. The web3 crypto circle expands with on-chain liquidity as the center. Based on my SB cognition at this time, I quickly entered and iterated OmniSwap. The inspiration for OmniSwap at that time came from my imagination of Polkadot's interconnection of all chains, so naturally I had to solve the liquidity of interconnection of all chains, and Bitcoin is the most awesome crypto that I have never understood , similar to Lao Tzu's Tao Te Ching. Then I named it OmniBTC instead of simply OmniSwap. Then our OmniSwap quickly attracted a large number of users to come in. The reason why users came in was because of the business needs of ETH Layer2 wool.
Because I have always had the idea of interconnection of all chains, the earliest expectation was for the interconnection of all chains of Polkadot. Later, I found that this guy Gavin didn't do this at all, but another version of Ethereum 2.0. At this time, by coincidence, a protocol called LayerZero came out, which is engaged in the Wanlian Interconnection Liquidity Protocol, so we were the first to implement a full-chain liquidity Swap based on the LayerZero protocol. But while realizing the full-chain Swap, we are no longer limited to only doing Swap, but whether we can support full-chain lending, and even abstract a bottom-level full-chain aggregated liquidity protocol, all Defi Dapps are based on this full-chain liquidity agreement to expand. And these are the products that we later integrated into OmniBTC, OmniLeding and Dolaprotocol. These products were originally only integrated in the ComingChat mobile APP. Later, I felt that the users of ComingChat only communicate and don't spend money. So I took out the products of OmniBTC and put them on the web page to interact with browser plug-ins.
Because when I was doing ComingChat and OmniBTC, I thought SUI was very good. Because ComingChat wants to realize the high concurrency problem of Moments, using SUI's Object account model can solve the concurrency problem of communication, social interaction and communication. And to do the full-chain liquidity problem of OmniBTC's Dola protocol, a high-TPS chain is needed to do central management, and SUI happens to solve these problems. So this year, we have done too many applications on the SUI chain, including ComingChat getting the title of SUI's first social networking, and submitting 18 github code repositories to Awesome-SUI.
This year, we flew to the Singapore Jump office for a week and had a good chat with the top people in Jump who have all obtained degrees from Harvard (philosophy, mathematics, computer science, etc.) about the dolaprotocol. At this time, I realized that these high-level computing powers are often quite SB. The reason why they are SB is: they are easily limited to the local optimal solution of a single thing. And can't jump out to see things from a global perspective. Great wisdom is like a fool, maybe it describes the opposite of this kind of person, looking at things from the whole, rather than using the brain's computing power to calculate the local. The current AI computing power is very strong, and people can no longer do calculations, and the global abstract ability has become a scarce resource. In fact, at this time, it has already been input to me that schools are not important, calculations are not important, what is really important is the ability to perceive (that is, the ability to abstract globally), and I no longer dwell on the question of which school my child goes to. Of course, these perceptions were not perceived at this time in 2023, but were obtained now. There is a repeated iteration period of other input and output in between. And this year, I should have flown to more places, which should be the places where SUI holds conferences, and fly back and forth with the SUI project team and ecological team to Ho Chi Minh City and Hong Kong.
Another surprise this year is the popularity of Bitcoin's inscription market. Because I went to experience inscriptioning, I asked a developer to make an inscriptioning tool for me, which created a lot of traffic and heat. I experienced the boom in this market.
At this time, I had an idea, BEVM strung together all the things I have done above, so I naturally thought about why BTC needs Layer2 more than ETH. How to design BEVM, and make a truly landed project as good as Bitcoin.
Iteration of BEVM 4 major narratives:
- First time: BTC Layer2, because BTC needs Layer2 more than ETH, so BEVM wants to make a BTC Layer2 narrative, and integrate all the applications and knowledge learned since 2016 into this system.
The first problem was discovered: Merlin and other projects directly fork the ETH EVM mode without the need for technical bottom-level support for Layer2 mode iteration.
- Second time: So we launched Taproot Consensus technology, focusing on solving the problem of Bitcoin decentralized custody through the combination of Bitcoin SPV state channel and Taproot.
It is found that the narrative of Layer2 is not valid, because BTClayer2 wants to use BTC, and BTC has been used well in centers, exchanges, mining pools and other places. This requirement is not valid.
- Third time: SuperBitcoin, Bitcoin consensus is more important than BTC, so what we want to use is not BTC, but Bitcoin consensus, so we make SuperBitcoin based on the narrative of sharing BTC consensus security.
It is found that even if SuperBitcoin is made, it does not solve the dream fragmentation problem of Ehereum and other VM systems, that is, it cannot perceive the external real world, and can only be limited to the problem of liquidity in dreams.
- Fourth time: BitAgere, on the basis of SuperBitcoin, focuses on the perception of mechanical consensus, and inputs the abstract ability on AI Agent into the BitAgere of BEVM on the chain. Thereby fusing Crypto and AI Agent together.
And this time, we found that the most important keyword of Bitcoin is: Individual's emergent design methodology. That is, the perception described at the beginning of the article, based on the summary at the top of the article, guides us to design better products for the mechanical world (Bit world) according to the Bitcoin paradigm function.
The mechanical world (Bit world) and the real world mirror each other, and we are now standing at the best of times. It is time to say goodbye to the three problem narratives of ETH's blockchain. It's time to shake hands with Satoshi Nakamoto. Satoshi Nakamoto confused the entire industry for 10 years with one sentence. That sentence from Satoshi Nakamoto is: If you don't understand, I don't have time to convince you.
I have worked for 10 years just to understand this sentence of Satoshi Nakamoto, and then understand Bitcoin well. At this time, I am full of energy and full of expectations for the future.
Friends, let's live a good life together, maybe we can also study metaphysics, philosophy, mathematics, physical science, and AI science together. Of course, in such a beautiful year of 2024, I have put in so much effort, and God will reward me. He rewarded me with what I think is the wisest third child. Why is he wise? Because he was born on the day and at the moment when Trump was elected president, a child who chooses this time point is already far better than his SB father. Of course, the insights I have gained this year are due to the destined people I was looking for in EOSC in 2017, which made me have to believe in metaphysics. All cause and effect have already been determined. This destined person made me no longer like I used to be. The sublimation of thought that takes more than a year to comprehend. Life is made up of two parts: fate + perception. The universe is made up of rule algorithms. We perceive the rules of the universe by fate, this is life.
At this time, I am no longer entangled in most emotions and emotions. (Except for the 3 children, because I always think that I owe them, maybe when they are 18 years old, I will no longer have this burden). I am amazed by the design of Bitcoin, maybe I have fully understood Bitcoin at this time. But I still can't prove that I understand. Then I can only practice to prove my SB. Grateful for the existence of my consciousness. Maybe the name of BEVM should be called: λ. Because λ is more suitable for BEVM's narrative. The latest design of BEVM will be based on the UTXO-like Individual model to do λ calculation to realize the emergent design philosophy of consensus and consensus perception algorithm. Individual model + λ calculus + consensus algorithm + consensus perception algorithm, the four are indispensable, and the lack of one will not be the optimal system.
Individual refers to a personal sovereign data structure like UTXO where (data + state) are together; λ is a kind of abstraction; Consensus algorithm refers to an algorithm that solves the BFT fault-tolerant consistency problem or the double-spending problem; Consensus perception algorithm refers to an algorithm that perceives external energy through consensus; Individual, λ calculus, consensus algorithm, and consensus perception algorithm are interoperable and evolve to emerge self-adaptive mechanical consensus.
Core: Individual.
Problem: Distributed trust and security of the Individual.
Solution: Individual autonomy, distributed emergence.
Bitcoin Paradigm:
- Transaction function: f(compute) = TX(Input(Individual), Output(Individual))
- Consensus function: f(consensus) = Consensus(hash, difficulty)
- Consensus-aware quantization function: f(Bitcoin) = F(f(Compute), f(consensus)) = f(Consensus Mechanism, External Energy Input, Energy Conversion Mechanism) = Value Output
Individual Distributed Design Principle: Follow the law of individual autonomy and emergence.
Reasons for Bitcoin's Success: Closed-loop, energy-conserving distributed business model + Individual distributed design principle.
Ethereum's shortcomings: Negligible external energy input, a closed system without a business model.
Bitcoin's Mechanical Consensus: Emergence from the disorderly entropy reduction of hash computing power.
Intelligence: Emergence of intelligence from non-intelligence.
BEVM (λ): Individual model + λ calculus + consensus algorithm + consensus-aware algorithm.