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Safecoin, why it's safe and what it means for us all

by David Irvine

This blog post explains Safecoin, a cryptocurrency generated and protected by the SAFE network. Unlike Bitcoin’s blockchain approach, Safecoin uses a fully decentralized system capable of millions of transactions per second with network atomic operations.

Safecoin Fundamentals

  • Finite supply of 2^32 (4.3 billion) coins
  • Each coin can be subdivided into 2^32 parts if needed
  • 10% crowd sale (429,496,729 coins)
  • Uses proof of resource instead of proof of work (waste-free)
  • Only stores last and current owner (not full transaction history)
  • Instant transfers, secure and anonymous between parties

    Earning Safecoin

  • Farming: Users provide unused resources to the network and receive safecoin as payment
  • Building: Application developers (Builders) are rewarded for providing tools to manage data

    Technical Approach

  • Solves Byzantine Generals problem differently than Bitcoin
  • No blockchain - uses unchained ledger approach
  • No transaction fees
  • Network atomic transactions ensure all copies update simultaneously

    Philosophy

    The author argues decentralized cash reduces large-scale corruption compared to centralized financial systems. Cites Skype and Kazaa as examples where users voluntarily provided resources without financial incentive. Network enables safe whistleblowing alongside digital currency.