It is worth noting that significant changes will take place within the IMPL Ecosystem, as well as with the IMPL coin, during the upcoming month. All these changes are required to implement a hyper-deflationary model and allow users to significantly increase their benefits from owning IMPL coins. In this article, we have collected the most popular questions about the process of the IMPL coin swap and will provide you with detailed answers.
What is a coin swap, and why is it important?
First of all, the coin swap replaces an existing IMPL coin with a new one IMPLX. This will entail changes in the total amount of tokens, their nature, the method of issue, circulation, and much more. This procedure will affect all user’s coins and will occur according to the rules listed below.
The swap between the IMPL and IMPLX coins will start on November 1, 2021. On this date coin holders will be able to start a gradual migration to the new blockchain IMPLX. The procedure for the SWAP to a new blockchain will continue for two months and will end on December 31, 23.59.59 GMT.
Why does the Impleum Ecosystem perform the swap of the IMPL coin:
This is the only way to destroy the current emission method from the cons. In addition, such an approach allows limiting the overall number of coins, thus making the coins more attractive and safer for large holders;
In addition, exchanges can be sure that the holdings of their users won’t be diluted via the sudden emission of new coins, consequently making the IMPLX coin more attractive for listing;
Block Time Reduction
Block Time has been successfully reduced to 45 Seconds, thus providing a higher Transactions Per Second and a decrease in time for transaction validation. To put this into context, this reduction in Block Time equates to the creation of an additional 208,050 Blocks in a calendar year.
The activation of Cold-Staking provides holders of the IMPLX coin the ability to obtain through ‘Staking’ IMPLX coins that are held within an offline wallet. This provides additional security and has the potential to increase levels of decentralization through more security conscious holders participating in securing the network through staking.
Increase of OPRETURN Capacity
The size of a standard OP_RETURN (nulldata) output has been increased to 83 bytes, to match the size used on the Bitcoin network. This expands the potential utility for such transactions on the IMPLX Blockchain, as it will be simpler for nodes to get their transactions propagated when the additional space is required. For example, where it would previously only be possible to store a single transaction ID or block hash, it is now possible to store two. This is useful for attestation protocols or for tagging specific transactions with additional metadata or signatures.
Removal of Legacy Node Support:
The IMPLX Blockchain will initially only support interconnectivity between other instances of the Impleum Full Node. We will be removing support of any other staking nodes, such as the legacy Impleum Coin Node and Impleum QT Nodes. The removal of legacy node support removes the complexities associated with a heterogeneous environment, providing confidence in expected behavior with newly enabled features.
Segregated Witness Activation:
Segregated Witness (SegWit) will be activated on the IMPLX network by default. SegWit capability has been actively used on the Bitcoin network (among others) for an extended period and has proven itself to be a robust protocol improvement. Usage of SegWit provides several benefits to the IMPLX network.
A significant increase in the number of transactions that fit in each block, thus increasing transaction throughput of the IMPLX Blockchain.
Increased transaction security, as transaction IDs are no longer malleable.
A built-in upgrade path for future updates to the script language used in IMPLX transactions.
The ability to introduce new types of transaction signatures and scripts. i.e. Schnorr signatures and taproot.
We already have several optimizations and new features that we plan to integrate into the Proof-of-Stake to both improve security and increase the level of possible scale. A lot of our innovation can be accredited to our developments within both private and non-private blockchain solutions. Features developed within either environment are transferrable, within reason, thanks to our feature-based solution. Expect features such as; Private Data, Channels (sharding) to be introduced as well as improvements to transaction finality and nothing-at-stake complexities.
In addition, we are going to do the denomination at the time of the swap at a ratio of 8:1, thus removing some of the circulation coins. Here is an example: Let us imagine that the price of the IMPL coin is $0.008. After the denomination, the value of the coin will be $0.8. This will not affect the value of the assets in dollar terms. In other words, if you previously had 100,000 coins equal to the amount of $10, you will receive 12500 coins equal to the amount of $10;
Such an approach allows increasing the reputation and trust of the IMPLX coin among holders while attracting new users and expanding the community;
Block Reward Decrease
The block reward has been changed, so each created mainnet block provides a reward of 1 IMPLX, thereby reducing the annual inflation rate by 5 times.
What will happen if the price is not going to increase proportionally after the swap?
This means that the traders, who understand all the features of the token economy, will have the opportunity to buy new IMPLX coins a 8 times cheaper and increase their total share for further staking opportunities. Such coins will be immediately purchased, and the price will return to its natural value. We expect that the price of the IMPLX coin will adjust after the swap, as the number of IMPLX in circulation will decrease by 8 times, and the value of the remaining coins in circulation will increase proportionally. This is the key principle of the denomination.
The swap will take place automatically in Molly chat — an application built with the help of Impleum technologies by a very cool team of developers who have put their whole soul and knowledge into a product that has no analogues on the market. More information on the swap procedure will be available shortly.
Huge changes are coming! Only together we will make the new Impleum the number 1 platform on the market.