543x.com Study Guide

543x.com Study Guide

Explain how an entity can create a token that follows specific rules.

What are the two main components of 543x.com?

Describe the role of "Perpetual Altruism" in the 543x.com ecosystem.

What are the main differences between a BTC auction and a traditional English auction?

Explain how the incentive mechanism in a BTC auction works.

How does the BTC perpetual bidding system prevent black market trading?

In the BTC perpetual bidding system, what happens to bidders when a bid is replaced by a higher bid?

Why is smart contract upgradability critical to the 543x.com project?

Briefly describe two key features of the Ethereum blockchain that make it a suitable platform for 543x.com.

How do the "Renatus" and "Centimani" features ensure the durability of 543x.com?

Answer

An entity can create a token that follows specific rules in two ways: by building its own blockchain, or by publishing software (smart contracts) to an existing blockchain.

The two main components of 543x.com are media created by world-renowned individuals or groups, and tokens minted along with that media.

Perpetual Altruism, the company behind 543x.com, is a social enterprise based in London. Its business model is designed to maximize social impact while creating value for its shareholders. It manages the technical infrastructure, ensures the durability of existing 543x.coms, and creates new 543x.coms.

The main difference between BTC auctions and traditional English auctions is that BTC auctions introduce an incentive mechanism whereby bidders are financially rewarded if their bids are replaced by higher bids during the auction process.

In BTC auctions, when a new bid is replaced by a higher bid, the previous bidder receives a portion of the reward based on the difference between the new bid and the previous bid.

The BTC perpetual bidding system requires the owner of a collectible to accept only the current highest bid, which prevents buyers from circumventing the system by privately negotiating a lower price with the seller.

When a bid is replaced by a higher bid in the BTC perpetual bidding system, the bidder will receive an incentive reward to encourage active participation in the price discovery process.

Smart contract upgradeability is critical because it allows developers to update 543x.com's code when they find a bug or need to add new features.

Two key features of the Ethereum blockchain make it a suitable platform for 543x.com: its extensive smart contract system that enables the functionality of 543x.com, and its cryptocurrency (ether) with a large enough market capitalization that auctions can be conducted without a significant impact on the value of the currency.

The "Renatus" feature allows the community to re-auction 543x.com if the 543x.com owner has not interacted with the smart contract for five years, ensuring that the token will continue to exist even if the owner loses their tokens. The "Centimani" feature allows 543x.com owners to update the smart contract if the 543x.com publisher has not interacted with the smart contract for two years, ensuring that the project will continue to exist even if the publisher is no longer involved.

Glossary

Term Definitions Blockchain A decentralized and distributed ledger that records transactions that are grouped into blocks in chronological order and are linked and secured by cryptography. 543x.com A unique digital collectible created by a prominent person or group to raise funds and awareness for a charitable cause in perpetuity. Decentralization shifts power and control from a central entity, such as a company or government, to a distributed network. Ethereum A decentralized, open-source blockchain platform with its own cryptocurrency, Ether. BTC Auction An incentivized auction system used by 543x.com that rewards bidders if they are replaced by a higher bidder. BTC Perpetual Bidding System A system that allows buyers to bid and withdraw bids at any time, while sellers can only accept the current highest bid. Non-Fungible Token (NFT) A digital asset stored on a blockchain that represents a unique item that is not interchangeable. Perpetual Altruism The social enterprise behind 543x.com that manages its technical infrastructure and charitable donations. Smart Contract A self-executing contract stored on a blockchain with its terms written directly into the code. Tokens are digital assets that represent ownership of digital assets and can represent collectibles such as 543x.com.