Place/Date: - November 16th, 2020 at 6:40 am UTC · 6 min read
Contact: Taylor Kennedy, Investigative Journalist, Source: HEX
HEX.COM has announced its Big Pay Day event taking place on November 19th, headlining the strong finish to an exciting yearlong launch phase. On this date, early adopters of HEX will celebrate a windfall distribution of approximately 183 Billion HEX, worth more than $1.5 Billion at the time of writing, credited to active stakes (the term stake is crypto parlance, synonymous with time deposit). HEX is calling this one-time event The Big Pay Day (BPD), and the only eligibility requirement is a stake be active before BPD and end after it. To those with active stakes — The Staker Class — this HEX will appear like any other daily interest credited to their stakes, but substantially larger.
Sparking intrigue and showing strength in investor confidence, it is interesting to note already over $525 Million HEX are in active stakes; the average stake length is 5 years, the longest stakes are 15. This kind of verifiable onchain commitment seen in HEX is unprecedented in cryptocurrency, and may be attributed to a superior product fit for the market it addresses. The United States and China have over $7.2 Trillion in time deposits. This is a 50% larger market than the peer-to-peer currency market Bitcoin was designed to address, where printed cash totals about $5 Trillion. HEX is designed to address the problems of traditional time deposits and monetize the time value of money in a completely new, highly efficient way.
One of the major drawbacks of Bitcoin and Ethereum is the need to mine the currency. This is done by solving complex problems requiring powerful computation hardware and electricity, both of which cost substantial money. The miners then must sell their Bitcoin and Ethereum to recover these costs and realize profit. Instead of having mining costs and consequent selling pressures, HEX rewards its users by the simple act of staking for time periods of one’s own choosing.
This system is designed to richly reward The Staker Class, incentivizing net positive buying and staking activity versus selling.
Additionally, when HEX is staked those tokens are thus removed from the circulating supply — another key design feature to positively influence demand pressures on supply. For proof of concept, HEX is performing as designed with 100% uptime.
Competition is fierce for investor participation in today’s world. The consistent performance HEX is showing across all of 2020 has taken it from a concept to over $5 Billion in market cap in under a year. Attracting investors, HEX set a new standard by distinguishing itself from the Decentralized Finance, or DeFi, pack through having the advantage of being a completed product — not project — before going live. Not only does this place HEX in a league of its own, it also places HEX above 99.99% of other cryptocurrencies — all in project status.
HEX also speaks to investor confidence by making security paramount through a series of independent audits by 2 of the top contracting auditors in the world, Coinfabrik and Chainsecurity; in fact, HEX might be the first token to ever have two independent security audits performed to guarantee the code is not susceptible to any bugs or backdoors countless others in DeFi suffer from.
Richard Heart, HEX Inventor, 10/15/2020 Interview with @Hardforking:
“HEX was delayed almost a year to get security right, which is why it has 3 audits; 2 security audits, 1 economics audit. HEX has no admin keys. No off switch. No pause switch. It’s fully autonomous.”
“If HEX.COM goes offline, I die, the system continues to work fine. It is unstoppable: the code is on the blockchain. You run it. You mint your own rewards. That’s it.”
The Big Pay Day is HEX early adopters’ last chance to get staked and receive a share of the $1.5 Billion HEX distribution. Through this event, HEX will efficiently complete a process that took Bitcoin 10 years to accomplish: Bitcoin’s inflation model for coin distribution went from 0 coins to 18 million across 10 years and multiple halvenings to reach its low inflation phase; HEX will complete its entire high inflation distribution on The Big Pay Day. Immediately following this, HEX goes right into its low inflation phase with a maximum of 3.69%.
There is strong speculation HEX may perform even better after Big Pay Day. Using the Bitcoin example from above gives clues as to why. Imagine if Bitcoin paid its holders with more Bitcoin for committing to not sell for time periods of their choosing: a time deposit, or stake. Now imagine if committing to longer time periods paid even better; just like a bank time deposit does, except when others break their commitments — withdrawing early and paying penalties accordingly — those penalties pay the honest stakers who keep theirs (instead of paying the bank). How richly would this reward stakers? What would overall net buying and selling activity look like? HEX does all of this for The Staker Class, plus a bit more. This is what has investors’ attention, speculating on the game theory involved precisely in these dynamics.
Market leaders often share a similar path. The top 2 cryptocurrencies, Bitcoin and Ethereum, experienced some of the worst verbal abuse in their early days by the uneducated or ignorant. HEX has also received its share of unfounded concerns, albeit ironically and in the face of its complete transparency, viewable contracts, audits, and economic velocity. Par for the course, many recognize it is common for the late majority to either not recognize better technology, or being uninformed tend to fear the unknown. Performing as designed from day one with 100% uptime, HEX’s current $5 Billion market cap with over $525 Million HEX staked out to 15 years might be similar to looking back on Bitcoin at $1.
HEX was invented by well-known serial entrepreneur and early Bitcoin adopter, Mr. Richard Heart. With his businesses producing him over $60 million a year by 2003, Mr. Heart took an early retirement and traveled the world. Years later Bitcoin caught his attention when it was trading at around $1, and he soon began mining full Bitcoin blocks by himself. Placing a high value on accuracy and attention to detail, Mr. Heart became a subject matter expert on Bitcoin and identified ways it could be improved.
Today Mr. Heart is a well-versed proponent of Ethereum and stimulating thought leader champion across a panoply of subject matter. A polarizing figure, to be sure, Mr. Heart places a high value on accuracy and is considered a gifted visionary by many of his peers. Mr. Heart and his brainchild HEX have been widely discussed by both supporters and cynics. One thing is certain: HEX’s design, performance, and the cerebral investor confidence in Mr. Heart is benefitting The Staker Class in HEX with outsized returns and an inspiration for their future.