CoinGeek is launching the Bitcoin Cash tokenization contest together with nChain with the aim of shaping the next evolution of the Bitcoin Cash blockchain and turning it into a fundamental aspect of the global distributed economy.
Blockchain can be used to support broader transactions and not only payments in cryptocurrency. However, this is reliant on two key elements: tokenizing external assets and expanding the use of transaction scripts.
Tokenizing External Assets With nChain & CoinGeek
Tokenization will result in a broader range of transactions, as it allows real world assets to actually get representation within a blockchain transaction so that they can be used within the transaction.
Expanding the Use of the Transaction Scripts
Currently, the scripting language is not being used to its maximum potential. Expanding the range of operation codes will be beneficial, as it will help in handling of some tokenization aspects.
The major problems that the Bitcoin blockchain is facing today include poor scalability, which can affect the stability, difficulty in auditing, minimum transparency, no documentation or controls and token loss among many others.
With the above problems in mind, the participants of the contest will be required to come up with a system that will:
- An issuer solution that will allow entities to create tokens in a safe way, issue and redeem tokens from user’s wallets and finally allow the destruction of tokens securely at the end of its life cycle.
- A user solution that will allow users to view, trade or redeem their holdings
- An audit solution that allows validation of the status of all the tokens issued on the blockchain in as safe and independent way.
The solutions that the participants come up with must have supporting design documentation and a working code, which includes source code.
Once the participants complete the entry and registration process they will be provided with a list of designated assets from nChain’s patent portfolio where they will select the assets that they can use within their solution.
Evaluation of participants solutions will be based on whether they meet the stated objectives and how effective they make use of nChain’s designated intellectual property assets. The winners of the contest will get a £5 000 000 reward.