MINING COLX COINS
COLX Coin utilises the revolutionary new ‘Proof-of-Stake’ system for ‘mining’ new coins. Or this process can also be referred to as ‘Minting’.
Exactly the same as the Banksters used to do; they used to pay us interest on our money that we had stored with them in our account. But then they got even more greedy and dropped the interest rates to almost zero; so they made all the money, and we got left with virtually nothing. In Japan they were even looking at charging customers interest on the money that they had stored on deposit in their accounts! How crazy is that?
So ‘Proof of Stake’ is a very similar system to that. You simply store you COLX Coins in your wallet and unlock it for ‘Staking’, while keeping it connected to the internet, so that your coins are recognised as being staked by the new ecosystem. New coins must wait for seven days first to ‘Mature’ before they start staking.
First of all, what is staking?
Staking coins in your wallet means that your wallet collects transactions and adds them to the blockchain; just like miners do. You’ll receive a reward each time that happens. Unlike bitcoin mining, it uses very little power, so you won’t even notice it running in the background on your system.
The COLX Coin is a Proof-of-Stake coin, so the more coins you own in your wallet, the more times it will be your turn to create a new block, and thus the more rewards you receive.
A few things you need to know before starting
- Your coins will only stake once they are at least 1 week old; in other words, when your coins have matured for a full seven days.
- After staking, the staked coins will be swapped for a higher amount (with the reward added to the originally staked amount). This then resets their maturity age to zero once again, so you’ll then need to wait for another week for those coins to mature and start staking again.
- Depending upon how many coins you have, you can ‘Split’ your coins into smaller blocks. That way, when you stake, you will lose maturity for a smaller proportion of your coins, and the rest will continue to stake, which will then give you better rewards.
Your wallet actually splits your coins for you automatically; i.e. you start with 1 x 100,000 coins staking once, then the next week will be 2 x 50,000 staking twice, then 4 x 25,000 staking 4 times. But, to speed things up, you can split them yourself using the tool provided inside your wallet.
- To decide how best to split your coins greatly depends upon how many coins you have in total. In the example above, you could split the initial 100,000 coins into 10 x 10,000 blocks. Then, when 10,000 get their reward and sit out for another week, you still have 90,000 staking, so another 9 chances of hitting the next reward.
A step-by-step guide for COLX Coin wallet transfers & staking
- The first step is to move the coins (from an exchange in most cases) to your own wallet, then you’ll probably want to split your coins to give you slightly better staking results. Next, you simply have to wait a week to let your coins ‘mature’, ready to start receiving your very first staking rewards.
- Choose your best computer to put your wallet on, because your wallet will only stake when it’s online. So, ideally, you need a computer which is running 24/7 and is always connected to the internet. COLX Coins pay you a fixed amount when you stake them, and your wallet needs to be online as much as possible to reap the maximum rewards.
- Create a new COLX Coin address inside your wallet to receive coins.
- Go to the top left menu option ‘File’ and select the second from bottom option; ‘Receiving Addresses’.
- A new window will pop-up and click on the bottom left button that says ‘+ New’.
- Another box will pop-up where you type in a ‘Label’, this is the reference name that you want the new address referred to as. For this example, call it something like; ‘First Deposit’.
- Then click on the ‘OK’ button below and it will generate a unique new COLX Coin address with the label name you specified.
- Next, ‘Right Click’ on that entry in the list and select ‘Copy Address’.
- You now have the address stored in your copy/paste buffer.
- Use this address to send to the person who is sending you coins or, if you are transferring coins to your wallet from an exchange, paste it into the box where it asks you for the address that you wish your coins to be sent to.
- Once the coins are sent they will appear, almost instantaneously, in your wallet. You then need to wait for and minute or two for them to be ‘confirmed’ by the network, and then they are fully transferred over to you and are safe and soundly stored inside your wallet.
If ever I need to close my wallet, will it affect this 1-week maturity period?
No, it will be fine. Your coins are already on the blockchain and the maturity confirmations equal the number of blocks added to the blockchain. That will just happen, even with your wallet closed. But obviously your wallet will not stake when it’s offline so it is advisable to keep it connected as much as possible.
And Happy Staking!