NetLeaders builds, maintains and manages the distributed network used by DasCoin. “Cycles” are the basic building blocks of this network. Cycles are representative units of digital processing and storage capacity and their associated maintenance costs. With an ample supply of Cycles, new nodes can be deployed on the network, making it larger, faster and stronger. To provide the network with what it requires to expand, NetLeaders licenses its network provisioning platform to individuals and businesses. As an incentive for providing Cycles to the network, each licensee is rewarded with an amount of DasCoin calibrated to the level of the licensee’s contribution. This system allows DasCoins to be distributed into circulation in an equitable and logical manner – those who have made the most impact on the network are the ones who are most rewarded with DasCoins.
Another very important factor in determining the impact your license will have on the network is the current level of Frequency. As the size, speed and strength of the network increases, the Frequency increases, and correspondingly, each additional Cycle has less and less impact (in relation to the total scale of the network). As the network grows, its Frequency gradually increases due to the accumulation of previous contributions of Cycles. Effectively, a rise in the network’s Frequency means that more Cycles are required before a DasCoin is rewarded. This in turn leads to a rise in the value of each existing DasCoin.
Cycles are issued to licensees in generations (lasting 2-3 months). The current generation of Cycles begin operations at 100% efficiency. However, the efficiency of Cycles gradually decreases over time due to the impact of Moore’s Law and related technology dynamics. The Efficiency of the current generation of Cycles is measured against the potential efficiency of the next generation of Cycles. Whenever the Efficiency of the current generation of Cycles drops to 50%, an Upgrade occurs which immediately doubles the number of Cycles available to the network. This is why the number of “Upgrades” stated on your software license is so important – the more upgrades you are eligible for, the more times your Cycles have the opportunity to double in number.