Total Proof of Work Coins Generated by PPC

PPCoin (PPC) generates two types of blocks: Proof of Work (PoW) and Proof of Stake (PoS).  If you want to know how many coins there will be in total, the answer is generally that there is no hard cap due to the nature of the PoS coins being generated indefinitely.

But there is a cap to the PoW coins, and that information is very important for people trying to determine future mining value as well as the actual valuation of the coin.

I have been unable to find any reliable resources that explain how many PoW coins are generated, so I have made my own approximations.

Here’s what I believe to be accurate:

  • The reward for PoW blocks are supposed to halve every 4 years
  • The current block reward is about 412 PPC
  • Block target time is about 10 minutes (6 blocks each hour)
  • There are currently about 19 million PPC

I do not know if the generation rate will halve the same way Bitcoin does, or if it has a more gradual adjustment built in. For the sake of estimation, I’ll assume the rate changes about once a year. I will also assume that the generation rate is consistent for each year (which it certainly won’t be).

Thus, we can calculate that approximately 21,654,720 PPC will be generated in the next year:

21,654,720 PPC = 412 PPC * 6 blocks/hr * 24 hrs/day * 365 days/yr

To estimate the PPC block reward for each block in the following year (n) I use the following equation:

Block reward for Year n = 412 * (0.5)n/4

Thus, if we’re starting in Year 0, next year the block reward is 346.449, then 291.328, 244.977, 206.000, and so on.

Adding all of these up over the next 100 years gives us a little over 136 million PPC. I am also estimating that all coins created thus far are PoW coins, and though that is not true, a fairly insignificant amount of PoS coins have been generated. Note that 100 years from now there will be less than 1 PPC generated over the course of an entire year.

There are additionally Proof of Stake (PoS) coins that will be minted, but this number is far harder to estimate. I have read that you must have coins in the same wallet for 30 days before they are even eligible for PoS which means that the PoS generation would be dependent on how many coins are being held for longer than 30 days.

TL;DR – Based on my calculations, I estimate that there will be 136 million PPCoin generated by Proof of Work.

Please let me know if you have found out anything different than what I have posted above and I will make appropriate edits.