Note that the US Ohio government is about to use BCH-based SLP tokens.

Note that the US Ohio government is about to use BCH-based SLP tokens.

According to him, in the past six months, they have been working on a project for the local city of Dublin, Ohio, to provide three functions for the Dubliners: digital identity, electronic voting systems, and value markers.

Currently, Dublin's value tag has been implemented through the bitcoin cash SLP program. Josh Green said: "Before this, we did a lot of research and finally decided to use SLP. When our research started, SLP is still in its infancy. With the maturity of SLP in the past year, we believe it will Becoming a smart choice for Dublin's value tag. We also investigated other blockchain and token schemes, but decided to use the scalable BCH as a solution."

Dublin's tokens are designed to be a barter and reward system – motivating positive behavior. For example, citizens can earn “Dublin Points” by participating in volunteer activities as an appreciation for their good deeds. These points can be redeemed for discounted tickets for city-sponsored festivals (such as the Dublin Irish Festival), redemption for city brand stolen goods, or for priority entry to Nationwide Arena sports events, priority parking, or redemption of merchandise or rewards from suppliers. In addition, Dublin's value tag can also be used to digitize existing physical tags used in cities.

Josh Green mentioned the issue of transaction fees. He wrote in his post: "When we consider the use case of the Dublin value tag, we find that the low network cost of Bitcoin cash is an important part of the feasibility of the Dublin token. Tokens need to pay the miners. For most token schemes, including SLP, the fee must be paid in the currency of the underlying blockchain. For SLP tokens, users will not be able to transfer or redeem their Dublin tokens if they do not have a BCH. Users who first get BCH before redeeming Dublin tokens will reduce the user experience and violate the city's intention to reward their community. Therefore, if users register their digital identity with Dublin City, they will also receive a small amount of BCH. The amount is about $0.10 and can fund about 50 SLP transactions. Through this mechanism, users can exchange their tokens with suppliers or transfer them to family and friends without worrying about fees."

The Dublin token itself is not a currency and is not supported by any assets, and is intended to be a system similar to coupons or barter. The token will use the SLP baton system, so the city can issue additional tokens at any time. Josh Green explains: “We found that this mechanism best represents the intent behind the city's value tag – it is expected that the token will not be directly linked to the value of the currency. For example, a Dublin bottle can be purchased with a token in the Irish Festival. A dollar drink, but this does not mean that one token is equivalent to $2. The supplier can set the price of the beer to three tokens. The price of the soda is set to one token. The value of the whisky is set to four. To 6 tokens. Dublin's token performance is similar; but the supplier determines the value of the token. To reduce confusion, Dublin's tokens will remain integers and cannot be split (ie users cannot own half of Dublin tokens) ).

The name of the token has not yet been announced in Dublin, but the official token name and identifier will be integrated into Dublin's custom digital wallet and will be clearly identified in the city. As an SLP token, Dublin's tokens will be compatible with other SLP wallets, such as Bitcoin.com's Badger wallet, and do not require exclusive use of Dublin's apps.

Josh Green also mentioned that the system they designed is intended to be a low-risk proof of concept, not necessarily the final system, to prove the feasibility of blockchain technology in the government, so some parts of the system may be used. Redesigned or even abandoned. In addition, all components of the Dublin blockchain are designed to enhance existing systems rather than replace them – so the use of the Dublin blockchain is completely optional.

Why does the Dublin Token use the BCH network?

The reason for choosing to build on the BCH network is that Josh Green says there are several factors: ease of use, decentralization, low transaction costs, and a thriving developer community. In particular, low transaction fees are an important factor. For most PoW blockchains, broadcast transactions require at least some fees. Since Dublin will distribute a small amount of BCH and its tokens to users in order to promote their tokens, the cost is a very important consideration. By selecting the BCH network, a $1 BCH can send hundreds of SLP transactions.

What is the significance of this matter?

Although the role of the Dublin token is more like a coupon, not a currency, it is indeed a government application of cryptocurrency and blockchain technology. This also indirectly shows that the digital economy is a trend. If the Dublin token is successfully promoted, it will also arouse more city and government resonance, not only let more people know about cryptocurrency, but also create another new world for cryptocurrency.

Second, Dublin can choose BCH and choose SLP, which also proves the strength of BCH itself. Many advantages of BCH itself will attract more users and developers to choose it, and the application scenarios of BCH will gradually expand. This will promote the better development of BCH, and at the same time, it will encourage developers to better optimize their functions and provide more convenient services for more people. In this positive cycle, BCH is getting farther and farther.