The Raiinmaker Network Protocol

Abstract. A federated peer-to-peer network with consensus powered by signed user actions, forming a record composed of immutable identity and unique authenticated user generated data. The Raiinmaker Network Protocol was developed to enable AI systems to optimize privacy, security and performance through dynamic incentives and behavior based measures of reputation. This white paper proposes a new blockchain architecture and custom consensus mechanism, built to revolutionize the core components that drive the creation and distribution of value by participants across a network.The Decentralized Physical Infrastructure Networks (DePIN) Architecture is designed to enable the scalable deployment of decentralized AI Infrastructure and Web3 capabilities to a wide range of different applications, industries and use cases. To achieve a novel form of user driven consensus, the The Raiinmaker Network Protocol utilizes three discrete and interconnected blockchain layers; User Action Layer (UAL), Enterprise Application Layer (EAL), and Network Validation Layer (NVL), that scale and work together to deliver an unbroken string of trust that is finalized by hashing proof to the Bitcoin Network. The Raiinmaker Network Protocol allows the network to dynamically reward its most valued contributors based on objective measures of on-chain user actions and proof of Decentralized Digital Identity.

1. Introduction

At present, the majority of people and companies who use the legacy internet have not had exposure to cryptocurrency or blockchain technology, yet Web 3.0 concepts are gaining traction. Simultaneously, the current migration from Web 2.0 to Web 3.0 is a watershed moment of opportunity and Raiinmaker has built the system to facilitate a frictionless transition for enterprise and mass adoption. In this evolving digital landscape, the exponential growth of Artificial Intelligence (AI) is another critical factor to consider. As per McKinsey, AI has the potential to add $13 trillion to the global economy by 2030, illustrating a revolution in its own right[^1].

AI technologies are proving instrumental in processing and analyzing the vast amounts of data generated by web platforms and users. This ability to harness and make sense of data is invaluable in the age of Web 3.0, where data is the currency of choice. While Web 2.0 saw companies profiting from user data in a unilateral manner, AI, coupled with blockchain technology, could catalyze a more equitable distribution of value from data thus increasing the opportunity for value creation. For the last two decades, Web 2.0 platforms have built value based on models that are extractive to users and their data. According to McKinsey & Co. and the World Economic Forum, the data collaboration opportunity of connecting data across organizations will unlock $3 Trillion in Annual Value[^2].

AI’s rising value is further solidified when combined with cryptocurrency and blockchain technology. AI-driven automation can streamline transactions, improve security by tracking and recording who adds specific parameters to AI models with precise timing, allowing for dependable data trends, creating more efficient, reliable and profitable digital ecosystems.

As such, the accelerating value of AI, combined with the rise of cryptocurrency and the migration towards Web 3.0, positions the Raiinmaker Network at the forefront of this digital transformation. As all these technologies converge, the Raiinmaker Network is poised to lead the way in the equitable distribution of network data value, transforming the way we perceive and utilize the internet.

The Raiinmaker Network Protocol is an innovative solution that brings immense benefits to a wide range of digital systems, encompassing AI, both EVM and non-EVM blockchains, and various other technologies. Through the strategic utilization of dynamic incentives and independent reputation, this protocol fundamentally transforms the essential elements that fuel the generation and dissemination of value within a network.

2. Raiinmaker Network Architecture

The Coiin Network Protocol defines the creation and interaction of three blockchain layers to provide consensus and a spectrum of trust for verification of any data;

User Action Layer(s) (UAL)
Enterprise Application Layer(s) (EAL)
Network Validation Layer(s) (NVL)

The combined layers will be used to promote continued improvement in user reputation via gamified increases of identity and behavior information on a trustless network. The architecture provides a platform for independent creation of multi-platform interoperable AI/ML behavior applications.

User Action Layer (UAL)

The User Action Layer (UAL) uses a unique and novel blockchain architecture leveraging the mundane actions of normal users (including non-technical users) of any system to directly interact with a blockchain to verify all events on the network in a powerful UX model that requires no extra effort or understanding on their part.

The web or mobile application automatically generates and registers a cryptographic key pair for the user, with which every significant user action in an application is cryptographically signed and placed on the UAL blockchain. This signature improves application security with direct and powerful authentication and authorization, as well as allowing every user to act as a blockchain node via normal application actions (e.g. login, click, share, view, comments, or any other application action deemed important by the application for gauging and influencing behavior). When a user performs any tracked action, the signed message includes the latest global UAL block hash, as well as the latest NVL block hash (see below), enhancing decentralization of data verification for all actions on the entire network. This model makes possible the measurement of identity based verification data and enhanced incentivization to improve the verification of application users.

A UAL node is defined as a registered and verified human with a personal device such as desktop, laptop, or mobile device. Information about a human user’s identity can be improved for use in applications, with powerful privacy controls.

Enterprise Application Layer (EAL)

Enterprises, Applications, Networks, or Systems can leverage AI models to operate within private EAL nodes enabling advanced analytics and smart automation. This integration allows them full access to Web3 tools such as tokens, NFT’s, smart contracts, and a suite of enterprise integrations. AI models enhance these operations by providing predictive analytics, optimizing smart contract algorithms, personalizing user experiences, and facilitating secure, automated transactions. Through the power of AI, EAL nodes become more adaptive, efficient, and capable of handling complex decision-making processes, thus unlocking new levels of performance and innovation in the Web3 space.

Businesses can launch private blockchains within the EAL. These blockchains are advanced, scalable, and interoperable blockchains, capable of high transaction volume.

EAL deployments protect proprietary business processes by deploying smart contracts within Docker containers, allowing developers to code in any software language. All transactions are assembled into blocks with a configurable time window (the default creates a block every 5 seconds if there are new transactions). Blocks are periodically sent to the Network Validation Layer (NVL) (see below) for final verification and proof hashed to the Bitcoin Network. All EAL blocks will eventually be signed by every user action on the UAL blockchain.

With the Raiinmaker Network, verification of transactions is based on the decentralization of proof by checkpointing into other (public) blockchains. Utilizing a hybrid Blockchain architecture and developer friendly coding languages including Java, Python, javascript, and Go, the The Raiinmaker Network Protocol creates a frictionless integration between Web2 systems and Web3 infrastructure.

Network Validation Layer (NVL)

The Network Validation Layer is used to finalize all validation on the Raiinmaker network. Participants establish identity and economic information to compete for mining incentives.

NVL Proxy Validator (Non-custodial delegated Proof of Stake)

The NVL Proxy Validator will allow any network participant to contribute to the finalization of all transactions and user actions on the Raiinmaker Network. The NVL Proxy Validator will accept block signatures from any number of UAL and EAL blockchains. Every 30 minutes, the NVL Proxy Validator will create and sign a new block containing all block signatures received from all network layers and make the new blockhash available to all UAL, EAL, and NVL Independent Validators for future signing. This hash is what all users on the network sign with every action taken inside a business application.

The NVL Proxy Validator allows independent users to register for proxy signing of ongoing verification events for lightweight participation in the verification process without requiring installation of software by the registrant.

NVL Independent Validator

NVL Independent Validators are deployed and hosted by independent parties using mobile/desktop devices to further decentralize all network proofs, with no blockchain or technical expertise required.

Every NVL Independent Validator will periodically pull the latest block from the NVL Proxy chain, create a new cryptographically signed block, and send this block to the NVL Proxy Validator for inclusion in the next NVL block. This function allows the NVL Independent Validator node to act as an independent witness to all events and verifications on the Raiinmaker Network and for mining rewards.

NVL DePIN Validator

NVL DePIN Validators form a powerful Decentralized Physical Infrastructure Network (DePIN) with significant combined computational power available to host decentralized AI processes and infrastructure. The protocol has the capability to provision and scale access to Mobile and Desktop CPU and GPU processing via NVL DePIN Validators that also enable parallel training of AI/ML from a variety of devices.

Securing with Bitcoin: Public Verification

A Public Verification integration will provide bridges to one or more public or external blockchains (e.g. Bitcoin, Ethereum, etc.) allowing clients to capture proof of data quality and event timing. The system will provide a human readable report as well as API access to this data. The Public Verification is a scalable model that aggregates one or more blocks from the NVL and places the resulting hash into a transaction on each respective public blockchain. The existence of this hash can be used to prove that an event occurred or that data was in existence and in a specific state using independently verifiable public blockchain data.

3. Governance

The Raiinmaker network will employ a behavior and identity based decentralized governance system to control all algorithms for mining, all weightings on activities and data, any and all protocol changes deemed necessary in the future, and changes to the governance system itself.

The governance system will be made up of 3 distinct voting categories, controlled by groups of independent parties on the basis of on-chain network information. The system will be phased in as capabilities are added to the network allowing various applicable metrics to be collected from user actions.

Phase 1 - Founders and Builders

In the initial phase at launch, Builders, including the visionaries, developers, investors, and team members of the Raiinmaker project will have proportional votes in the governance system based on the score derived from their Raiinmaker Token burn activity.

This category may be expanded in the future by vote to include participants adding valuable new functionality or integrations to the network.

Phase 2 - Validators

The validators vote category comprises (1) a user’s network validation performance and (2) their economic performance. These two parts will make up 50 percent each of the total Validators category.

The Network Validation Performance portion is the proportion of a user’s normalized score of how efficiently and accurately a user’s validator designations (NVL blocks) are provided to the network as measured by the network mining algorithm.
The Economic Performance portion is the proportion of a user’s normalized economic actions as measured by the network mining algorithm.

4. Network Features

The Raiinmaker Network Protocol provides a comprehensive set of network features to power Web3 applications and modernize traditional systems. An enterprise or AI business can utilize any of the following features deployed directly into their own controlled business network environment.

Raiinmaker Network Protocol Features

Easy to use DePIN via mobile and desktop applications
Parallel training of AI models on multiple devices
Simple integration of existing Web 2.0 systems
Creation of complete Application Blockchains for enterprises with web 3 tool kits
Ease of development for traditional engineers and coders unfamiliar with blockchain languages and patterns
Programming language agnostic RESTful API
Protection of business data and business logic
Advanced user privacy and identity features
Allows business focused control of processes
No Blockchain or technical expertise required for Independent Node Operation and Signing
Non-Custodial Self Staking for selected cryptocurrencies (Native Coiin, BTC, ETH, NFT’s and other cryptocurrencies)
Currency agnostic blockchain (multi-currency support)
Interoperability including with other blockchains (public and private)
Interoperability with all AI systems
Interoperability with traditional digital networks

Network Actor Reputation

On the Raiinmaker Network, reputation is derived from a combination of an user’s identity and their behavior.

The user is incentivized to improve the level of identity proof to the network, and conduct positive behavior and reduce negative behavior as measured by the network mining algorithm.

I(w i ) x B(w b ) = Reputation

Identity

The Raiinmaker Network Protocol leverages advanced decentralized Identity features at its core to provide unmatched security and privacy features to businesses and their users. All network participants – from individual users on business systems to verification node runners – will have registered identities with cryptograph ic credentials.The Raiinmaker Network uses an advanced decentralized identity model to separate atomic factors of identity and allow the user to control exposure of individual identity factors to businesses. In this process the user provides various forms of identity proof (e.g. government issued documents, proof of on chain measurable behavior) to an independent identity provider which will validate the information and provide signed proof of attestation of every individual field from the documents (e.g. home address, first name, last name, full name, date of birth, etc.) and several derived identity factors (e.g. over 18, over 21, over 65, country of residence, etc.). These proof documents are available to the user to provide to any party independently proving that the trusted identity provider attests the validity of specific individual identity factors related to their identity. With this model, (1) the user has control over their identity, (2) businesses have verifiable proof of their users’ identities without over exposure, (3) a business has lower risk related to privacy and identity theft, and (4) privacy regulations can be honored with proof of compliance.

AI-Powered Action Tracking

Our platform employs cutting-edge AI algorithms to interpret and analyze the recorded actions on the distributed ledger tied to each user’s unique cryptographic keypair and behavioral data footprint. By harnessing the power of machine learning and predictive analytics, Raiinmaker provides real-time insights and a comprehensive overview of user behavior, patterns, and trends. This empowers users to gain valuable insights into their actions, habits, and preferences, fostering desired behavior awareness and informed decision-making.

Enhanced Security and Privacy

Raiinmaker prioritizes security and privacy by design. Users’ cryptographic keys ensure strong security in authentication and authorization, securing their identity and protecting systems from unauthorized access. With data stored on a distributed ledger, there’s no single point of failure, reducing the risk of data breaches. Additionally, Raiinmaker employs encryption techniques and privacy-preserving protocols to safeguard user data, providing peace of mind and control over personal information by storing them locally on the users devices only, with advanced backup and transfer capabilities to be provided in the future.

Personalized Experiences and Recommendations

By leveraging AI-powered analysis, Raiinmaker allows applications to deliver personalized experiences and recommendations based on a user’s recorded actions. Our algorithms identify patterns and correlations within the distributed ledger, enabling tailored suggestions, content, and services that align with a user’s preferences and goals. This personalized approach enhances user satisfaction and engagement.

Behavior Modification and Rewards

Raiinmaker goes a step further by incorporating behavior modification techniques. Our AI-powered analysis identifies and rewards desired behaviors, creating positive reinforcement loops that encourage users to adopt and sustain beneficial actions. With Raiinmaker your users unlock various rewards and incentives tied to the behaviors that matter most to your business.

Predictive Insights

Raiinmaker analyzes user actions in real time to generate predictive outcomes and strategies. Our system leverages behavioral patterns and historical data to provide valuable insights. With Raiinmaker , you can make data-driven decisions and optimize business strategies, staying ahead of the curve and adapting to changing user behaviors. Raiinmaker goes beyond traditional blockchain networks by incorporating built-in cues for users to understand which actions are incentivized and which are considered negative within the network. These cues enable users to make real-time decisions based on desired network behaviors. By providing clear indicators and incentives, Raiinmaker empowers users to align their actions with the goals and objectives of the network, fostering positive engagement and facilitating informed decision-making.

User Device Enhancement

Raiinmaker goes beyond traditional tracking systems. Integrating a simple interface to normally very complex cryptographic signing systems, we transform user devices into highly valuable network assets. The private key stored on each device acts as a unique identifier and authentication mechanism. This added value enhances user experiences, enabling personalized services, rewards, and incentives based on network behaviors. Raiinmaker helps you cultivate positive behaviors and build stronger engagement with users.

Behavior Driven Incentivization

All users compete on the basis of their own behavior within applications on the network in a transparent evaluation process.

The Raiinmaker protocol empowers a business or AI Model to define behaviors positive and negative toward advancement of their goals. Any business has the ability to define one or more scoring functions with adjustable weighting of action data within a smart contract. This represents a unique model to incentivize voluntary user action directly in line with business goals. All users compete on the basis of their own behavior within applications on the network in a transparent evaluation process.

AI Enhanced Smart Contracts

Raiinmaker AI-Integrated Smart Contracts operate on a hybrid platform within the Enterprise Application Layer (EAL), where all data and the underlying business logic are securely shielded from external exposure. This design offers robust architectural and structural security for business operations, ensuring a distinct separation between the proof of system state and event information. The integration of AI into these smart contracts enhances their capability for advanced, data-driven decision-making and predictive analysis while maintaining the utmost security.

The security and verification mechanisms employed by Raiinmaker capitalize on the combined strength and network effect of multiple external networks, including Ethereum and Bitcoin. This approach ensures that every user interaction, transaction, and execution of AI-enhanced smart contracts is securely underpinned by the extensive and reliable infrastructure of these well-established blockchain networks.

Raiinmaker leverages the power of smart contracts in order to automate and digitize the management of business logic. Raiinmaker smart contracts fit readily into traditional coding models, with RESTful API integration and development in any executable software language. Raiinmaker smart contracts are individually scalable using traditional devops best practices. Raiinmaker can support EVM (Ethereum) based smart contracts, but can also support smart contracts developed in any executable software language to allow far more advanced implementations and integrations with traditional systems.

Data Compliance

Raiinmaker Network leverages its advanced fintech suite to not only ensure regulatory compliance and maintain comprehensive data records but also introduces a robust mechanism for tracking identities and actions. This system meticulously records what data was added and when to specific models, enhancing accountability and transparency. By incorporating this capability, Raiinmaker Network offers selective transparency, allowing customers, regulators, or any third-party stakeholders to verify the integrity and origin of data inputs. This approach not only bolsters trust in the system’s operations but also empowers users with the ability to audit and understand the evolution of AI models, ensuring that compliance and data accuracy are maintained at all times.

Non Fungible Tokens (NFT)

NFTs on the Raiinmaker Network have diverse capabilities in order to adapt to unique business requirements with a wide array of functions and capabilities.

Scalable, Create millions or billions of Non Fungible Tokens with advanced capabilities.
Low cost, stable, and locked fees to create and transfer NFT.
Raiinmaker leverages multiple blockchains (BTC, ETH, BSC) to secure ownership and information related to an NFT.
Exportability - Allow export of any NFT to other networks and platforms (Ethereum, OpenSea, Rarible, Flow) with controlled cost.
Verify Identity of Owner (KYC/AML)
Control value transfers with powerful tracking capabilities.
Payments and Monetary Transfers
Collectibles - Produce consumer NFTs at scale (collectible, tradeable, merchandise) for your loyal customers with ability to track and reward based on metrics.

Scalable and Flexible

Raiinmaker Smart Contracts are deployed as independently scalable instances in a cloud friendly infrastructure. Raiinmaker Smart Contract Orchestration technology allows business process orchestration with smart contracts in a flexible and scalable way. Modeled after the same architectural pattern as the Internet itself, all input and output state is stored on-chain for full state tracking and management.

Interoperable

Raiinmaker is an interoperable blockchain network and was built to future proof the ability to to leverage any traditional software system or other blockchain platform. Our AI enhanced smart contracts can act as self-oracles, having the ability to gather necessary data from any source, including traditional systems or other blockchains.

Containerized Smart Contracts
Deploy smart contracts in any programming language
Implement a secure and high-performance blockchain solution using Docker containers.
Blockchain as a Service
A full-stack public/private hybrid blockchain on a cloud-based or on-premise model.
Affordable High Performance
Scalability
Every application operates as its own non-homogeneous private blockchain with selective public exposure capabilities when needed.
Interoperability
Protect sensitive business logic and remain GDPR/HIPAA capable, while allowing interoperability with other blockchains and traditional systems.

Checkpointing and Proof of Existence

Another element in the abstraction of proof is the further ability to hybridize by checkpointing into other (public) blockchains. This can be seen as a first level or simple interoperability between blockchains, public or private. Of particular potential value, is the ability to ascertain risk by measuring a public blockchain’s attributes. That is, if tied to a public blockchain which uses PoW such as Bitcoin, the system can estimate the amount of hashpower that has been applied since the checkpoint and even extrapolate that compute power to dollars spent. With this, a risk unit may be developed that shows how much compute power would be needed (and how much that would cost) to calculate the percentage likelihood of success in an attempt to counterfeit a given artifact or transaction of high value). In the same manner, tying a checkpoint to a public blockchain based on PoS, the system could measure the amount of assets that must be held (and likely sacrificed) in order to counterfeit the transaction in question.

Responsible and Sustainable

Raiinmaker leverages Bitcoin and Ethereum for their security in providing measurable proof for all transactions. Both Bitcoin and Ethereum have their own energy consumption issues, however, Raiinmaker leverages these power hungry blockchain networks in a very efficient manner. Instead of businesses individually sending all of their transactions directly to Bitcoin and/or Ethereum, Raiinmaker batches all blocks and places proof data on Bitcoin, Ethereum, and other networks throughout the day at a cadence based on current network volume and fees.

Using Raiinmaker, a business benefits from fast decentralization via the Raiinmaker Network with an extremely low energy footprint. Raiinmaker provides scaled access to Bitcoin and Ethereum and Binance Smart Chain for Enterprise use. Businesses wanting to leverage the security of BTC/ETH/BSC can now do so responsibly. Raiinmaker gives businesses a way to leverage Proof-of-Work blockchains in the most efficient way possible.

5. Use Cases & Case Studies

The Raiinmaker Blockchain Network is engineered to power the scalable integration of Web2 operating systems, data architecture, and security into Web3 distributed systems. Raiinmaker provides users with an open door to the power of Artificial Intelligence, allowing users to interact with generative art models, help train new AI models, and other AI features with a simple data annotation platform. Raiinmakers act as Independent Validator nodes providing computational power to AI systems and contributing to decentralized consensus on the Raiinmaker Network. Users earn Coiin for creating, training and sharing on social media.

Case Study : Raiinmaker App

The Raiinmaker Platform utilizes the The Raiinmaker Network Protocol to power its novel algorithm, Proof of Influence™ or P.O.I. - a proof for verifying, valuing and distributing digital, social and network rewards. By proving who took what actions where and when the value of a network can be properly maintained by rewarding incentivized behavior. The P.O.I. consensus mechanism tracks, quantifies, and verifies the value of social network influence, with proof hashed on the Raiinmaker Blockchain Network. P.O.I. defined datasets are hashed onto the Raiinmaker blockchain in an immutable, transparent manner and then secured on public blockchains including Bitcoin, Ethereum, Binance Smart Chain, among others. The union of the Raiinmaker Platform with the Raiinmaker blockchain is a revolutionary new consensus model that measures and democratically distributes the creation of digital and social network influence. Raiinmaker ‘s proprietary POI algorithm utilizes two distinct algorithmic scoring systems including (1) Influence score and (2) Quality score. The Influence Score averages valued network actions and takes into account passive and secondary engagements in the network. The Quality Score assigns influence quality based on performance metrics in relation to key comparative quantified factors and is structured to incentivize valued actions and disincentivize non-valued actions in the application, network or system. The combined protocol of the Influence Score and the Quality Score generates the P.O.I. and addresses legacy issues of data quality assurance and consistency regarding digital social and network influence. By algorithmically measuring digital social and network influence, Raiinmaker equitably distributes the creation of value to each network participant on the Raiinmaker Blockchain allowing them to compete to further Raiinmaker business goals and provide value to customers.

Social Reward System

The Raiinmaker proprietary reward system tracks, measures and distributes fractional rewards to users based on custom Web2 social and media data parameters. These key variables and metrics are tuned and adjusted based on the specific requirements of platforms and users. Raiinmaker expands on digital rewarding capabilities with a system that allows for Rewards to be distributed.

For NFT rewards, Raiinmaker provides the tools to provision non-fungible token rewards. Raiinmaker provides the data and proof automation to certify unique attributes, as well as term licensing on rewards at an individual or limited level, further enhancing the fan experience in reward curation. All Raiinmaker NFT rewards are minted via the Raiinmaker Blockchain with the ability to be controlled and moved to other networks that the Raiinmaker Network is interoperable with. The Raiinmaker Enterprise node is able to specify where they want their NFTs to be minted.

Enterprise defined datasets are hashed onto the blockchain in an immutable, transparent and secure manner that addresses legacy issues of data quality assurance. The algorithm defines the Social reward system utilizing two distinct scoring systems, the Performance Score and the Quality Score.

Decentralized Digital Identity

Provisioned by a proprietary decentralized digital identity platform, the Raiinmaker technical stack utilizes a system architected around user owned identities, allowing the aggregation of data in the form of validated proof to be accessible by campaigns and marketers in a legally compliant manner. This allows Dapps like Raiinmaker to query identity endpoints such as certifiable proof of network following, proof of past influencer campaign participation and KYC level identification to provide a rich, yet privacy-focused, definition of the individual influencer data profile.

Influence Score

For Raiinmaker, the influence score measures the return and impact of influencer actions, leveraging specific audited and verified metrics such as likes, comments, shares, views and other valued network actions. The score also aims to take into account passive and secondary engagements.

Quality Score

The quality score process assigns influence value based on individual Raiinmaker user’s performance metrics in relation to key comparative quantified factors (such as click-through rate, copy relevance and influencer demographic relevance to the campaign etc). The score also aims to incentivize valued actions and disincentivize non-valued actions by distributing a larger weighted reward for data driven, measurable, engagements relevant to the campaign’s defined goals. Influence that falls outside of the statistical threshold of standard deviation is proportionally reduced in the weighted average of the overall Influence score.

The Raiinmaker Platform utilizes the The Raiinmaker Network Protocol to 1) track, quantify, and verify the value of network influence in a cheap and scalable manner, 2) mint NFTs and tokens with ease and accessibility, and 3) validate identities and factors of each user. Each of the specific features of the Raiinmaker Blockchain allow Raiinmaker the ability to operate and validate influencer statistics, identities, and utilize the Web 3.0 features with ease and accessibility.

6. Coiin Token Economy

Total Supply: Algorithmic Token Supply Regulation Initial Supply: 100,000,000 Precision: (18 decimals) Networks:

Base Chain and Native Raiinmaker Network with direct transfer between
Uses BTC, ETH, BSC, MATIC for NVL Security transactions Standard: ERC20

Release Schedule: A mining period is completed and tokens mined every Full Moon.

Purpose and Utility

The Coiin token is the primary utility token within the The Raiinmaker Network Protocol, facilitating a wide range of actions and services for users and enterprises. It empowers Network mining and rewards, sending transactions, NFT minting and deployment, token creation and issuance, smart contract functionalities, governance participation, access to subscription-based services, API and SDK deployment and usage, Dapp functionality, and more. Coiin is exportable to external networks using the BEP20 standard of the BNB Chain, leveraging the secure ecosystem for wallets, transfer, and overall network support.

In summary, the Coiin token provides versatile utility within the The Raiinmaker Network Protocol, enabling a wide range of actions and services. Users can actively participate in various activities, earn rewards through self-custody staking and network participation, by acting as network validator and enterprises can benefit from a full suite of web3 tools that provides a seamless and versatile payment mechanism, empowering users to actively engage with the Coiin ecosystem.

Token Supply & Distribution

Algorithmic Mechanisms for Supply Token Equilibrium

Coiin mining defines an extensible set of activities and behaviors for which all users can compete for Coiin rewards.

Two factors affect the mining output each period, the change in network adoption (percent change in adoption score between the latest and prior period), and the change in economic behavior. Each factor will increase or decrease the current period’s mining output to ±25% the output of the last period.

**Adoption Component in Coiin Mining**

Factors taken into consideration for new tokens that Minted in each lunar cycle.

Economics (token related metrics)
Behavior metrics (UAL related actions)
NVL Validator metrics
Identity Metrics (Identity verification related)
Combined User Reputation Score.

Phase 1 Focus Areas: The mining process in Phase 1 involves categories such as Economics, Validators, Behavior, and Identity. Notably, Enterprise and Bonus categories are inactive in this phase.

Score Normalization: The delta or change in each category’s raw score from the last Coiin Token Mining Cycle is normalized to a range between 0 and 1 (0-100%), excluding enterprise and bonus categories for Phase 1. The average of these normalized values is then calculated, constrained to a maximum variation of ±25%.

**Economic Component in Coiin Mining**

Phase 1 Adjustments: The supply adjustment in this phase hinges on the token burn rate alone. The factor will range ±25%, with maximum increase (+25%) attained with a burn of 10% or more of the total supply, and the maximum decrease (-25%) attained with 0% of token supply burned.

Phase 2 Evolution: In the forthcoming Phase 2, the supply adjustment process will evolve to incorporate market capitalization and potentially other market metrics like trading volume and liquidity. This will be governed by a new formula proposed and approved through Raiinmaker Network Governance.

**Combining Results for Coiin Mining Yield**

The results from the Adoption and Supply components are added to determine the mining yield for each Lunar Cycle. This combined result is bound to a maximum range of ±50% over the previous Cycle’s mining yield.

**User Transactions and Security Protocols**

Users can transfer Coiin from their Coiin.ai account to personal BEP-20 compatible wallets, incurring a processing fee. This transaction adheres to strict security protocols, including time based limits on withdrawal.

Behavior Based Network Rewards

To compete for a pro rata portion of newly minted Coiin tokens upon release, participants may either (1) register a 3rd Party NVL validator (proxy or independent), (2) participate directly in the Raiinmaker Network consensus by signing blocks and securing the blockchain as a user of applications on the network, or (3) build applications on top of the Raiinmaker Blockchain and compete for network engagement.

The Raiinmaker Mining algorithm calculates a score for each 3rd Party Validator, Application, and Application User of the Raiinmaker Network via a series of measured and weighted variables tied to the value created on the Raiinmaker Network.

Additionally, Raiinmaker introduces a self-custody staking feature that allows users to earn rewards by claiming or staking their Coiin tokens and to a lesser reward multiplier other selected cryptocurrencies and NFTs such as BTC in their personal wallets. The self-custody staking mechanism incentivizes users to support the Raiinmaker ecosystem, earn additional value, and retain full control and ownership of their staked tokens.

As detailed below, the Raiinmaker Behavior based Mining Algorithm tracks the Raiinmaker Score which measures and calculates the actions of individual users and application activity, and 3rd party validators along with their network Identity, Behavior, Validator and Economic scores.

Block Rewards In addition to Lunar Rewards, the Raiinmaker Network also rewards users for measured activity during every block (every 30 minutes). The rewards are calculated based on competition of activity in 5 categories: the amount of Coiin burned in this period, the amount and length of time accounts have held Coiin, the percentage of Independent NVL blocks signed in the current period, the percentage of NVL blocks signed by proxy in the current period, and whether an account has any foreign tokens staked (in a claimed address) on the system. These categories are weighted as follows:

20% Period Burn
20% Coiin Months Held
30% Period Signed Block Percentage (only awarded if an account has posted an Independent NVL block signature in the past hour)
20% Proxy Percentage
10% Any Foreign Token Staked (yes or no)

In each category, a user competes for a portion of the block rewards pool, and rewards are proportional to the score of the measured behavior. The Period Signed Block Percentage Category is only awarded to accounts that have successfully signed an Independent NVL block in the past hour. There are currently 40 million Coiin committed to the Block Rewards over a 9 year period (250 Coiin per block). A portion of Lunar rewards may later be directed to replenish this pool to provide rewards indefinitely.

References

Jacques Bughin, Jeongmin Seong, James Manyika, Michael Chui, and Raoul Joshi September 4, 2018 | Discussion Paper https://www.mckinsey.com/featured-insights/artificial-intelligence/notes-from-the-ai-frontier-modeling-the-impact-of-ai-on-the-world-economy#/

Forrest, W., Sharma, R., Gu M., Caplan J., Liebow M., Smaje K., Van Kuiten S., (2021) Cloud’s Trillion Dollar Prize is Up for Grabs. Mckinsey Quarterly Cloud’s trillion-dollar prize is up for grabs | McKinsey