BlockDAG is a Layer 1 cryptocurrency project that utilizes a Proof-of-Work (PoW) consensus mechanism. It integrates a traditional blockchain structure with a Directed Acyclic Graph (DAG) architecture, a model inspired by projects such as Bitcoin and Kaspa, with the stated goal of achieving high transaction speeds and scalability while maintaining decentralization and security. ^[3]

Overview

BlockDAG is a decentralized network designed to address the blockchain trilemma of balancing security, scalability, and decentralization. The project's core innovation lies in its hybrid technological approach, which combines the security of a Proof-of-Work blockchain with the parallel processing capabilities of a Directed Acyclic Graph (DAG). This structure is intended to eliminate the issue of orphan blocks, which are valid blocks that are not incorporated into the main chain in traditional PoW systems, thereby improving network efficiency and throughput. The project aims to support a high volume of transactions, with an initial capacity of over 2,000 transactions per second (TPS) at launch and a target of exceeding 10,000 TPS within its first year. ^[3]

The architecture supports both the Unspent Transaction Output (UTXO) model, which allows for scalable and private simple payments, and an account-based model compatible with the Ethereum Virtual Machine (EVM). This dual approach allows BlockDAG to facilitate fast payments via its UTXO layer while supporting complex smart contracts and decentralized applications (dApps) on its EVM-compatible layer. A UTXO-EVM bridge is provided to allow its native currency, BDAG, to be transferred between the two domains. ^[4]

The project positions itself as a comprehensive ecosystem for developers and users. Its compatibility with the EVM allows developers to migrate existing Ethereum-based dApps and use familiar tools like MetaMask and Truffle. To further lower the barrier to entry for development, BlockDAG plans to offer low-code and no-code tools, enabling individuals with limited programming experience to build applications on its network. A significant focus of the ecosystem is making cryptocurrency mining accessible to a wider audience through a range of hardware and software solutions, including a mobile application that allows users to mine its native coin, BDAG, from their smartphones. ^[1]

The development and launch strategy for BlockDAG has been characterized by an accelerated timeline. The project's roadmap indicated a mainnet launch planned within six months of its presale phase, a pace that it contrasts with the multi-year development cycles of other major blockchain initiatives. This approach is supported by a series of public keynote presentations and a live testnet environment designed to facilitate development and testing ahead of the full launch. The project has also emphasized transparency and security, engaging third-party firms for security audits of its platform and smart contracts. ^[2]

History

The development of BlockDAG culminated in a public presale phase for its native BDAG coin. During this period, the project reported significant fundraising, claiming to have raised over $415 million. The presale was structured in batches, with the price of the BDAG coin increasing with each subsequent batch. The project supported a wide range of cryptocurrencies for participation in the presale, including BTC, ETH, USDT, BNB, and Solana, among others, and integrated with popular crypto wallets like MetaMask and Trust Wallet. ^[1]

A key milestone in the project's pre-launch phase was the deployment of its testnet, named "Testnet Awakening." This environment provided developers with essential tools to begin building and experimenting on the network. The testnet included a Block Explorer for viewing transactions and network activity, a faucet for obtaining testnet BDAG coins, an Integrated Development Environment (IDE), and a "Contracts Wizard" to simplify smart contract creation. This early access to development tools was part of the project's strategy to foster a robust developer community before the mainnet went live. ^[1]

The project's marketing and communication strategy included several keynote presentations intended to outline its vision, technology, and roadmap to a global audience. These events were used to announce new developments, partnerships, and future plans. The project also outlined a "6-Week Launch Plan" to build momentum toward its mainnet release, emphasizing an accelerated path to market. As of September 2025, the project reported having over 312,000 token holders and a community of over 325,000 members across more than 130 countries. ^[2]

Technology

BlockDAG's technological foundation is a hybrid architecture that merges a conventional blockchain with a Directed Acyclic Graph (DAG). This structure is designed to overcome the limitations of purely linear blockchains, where blocks are added one at a time, creating a bottleneck that limits transaction throughput.

Architecture

In the BlockDAG system, transactions are confirmed within a DAG structure, which allows for multiple blocks to be processed and confirmed simultaneously. This parallel processing capability is the primary mechanism through which the network aims to achieve high scalability and transaction speeds. Unlike traditional PoW blockchains where miners compete to add the next single block to the chain, the BlockDAG protocol allows for the concurrent creation of blocks, all of which can be incorporated into the ledger. This design is intended to prevent the creation of orphan blocks, ensuring that all valid work contributed by miners is recognized and rewarded, thereby improving network efficiency. The ordering of blocks within the DAG is managed by the Phantom GhostDAG protocol, which establishes a universally accepted linear order over time, ensuring consistency and security. ^[4]

Consensus Mechanism

The network is secured by a Proof-of-Work (PoW) consensus mechanism. This model requires miners to solve complex computational puzzles to validate transactions and create new blocks, a process that provides robust security against malicious attacks. By building upon a PoW foundation, BlockDAG aims to inherit the proven security and decentralization characteristics of established cryptocurrencies like Bitcoin. The consensus protocol is broken into several layers to establish a stable and secure total order of blocks. These layers include a PoW verification engine, the SPECTRE protocol for establishing a partial order on blocks, and the PHANTOM protocol (an implementation of GhostDAG) which extends the partial order into a final, total order. This layered approach allows the network to validate transactions quickly while maintaining the integrity and immutability of the ledger. ^[4]

Features

BlockDAG incorporates several features aimed at enhancing usability for both developers and end-users.

• EVM Compatibility: The platform is fully compatible with the Ethereum Virtual Machine (EVM). This enables developers to deploy smart contracts written in Solidity and use established Ethereum development tools without modification. It also facilitates the migration of existing dApps from the Ethereum ecosystem to BlockDAG.
• UTXO-EVM Bridge: A core feature is the mechanism that allows the native BDAG coin to be transferred between the UTXO and EVM domains at a 1:1 ratio. To move coins from the EVM side to the UTXO side, a user initiates a "burn" of the coins on the EVM side. Once the burn is confirmed, an equivalent number of coins is unlocked on the UTXO side and assigned to the user. This process ensures assets are not duplicated while allowing for interoperability between the two models.
• Low-Code/No-Code Platform: To encourage broader adoption and innovation, the project is developing a platform that allows users to create and deploy applications with minimal to no programming knowledge. This is achieved through "Drag & Drop" tools and pre-built templates.
• WASM Compatibility: The project's roadmap includes support for WebAssembly (WASM), planned for implementation at launch or shortly thereafter. This would allow developers to write smart contracts in a variety of common programming languages, such as C++, Rust, and Go, further expanding its developer accessibility.
• Fee Structure: For EVM transactions, the fee structure is similar to Ethereum's gas model. For UTXO transactions, fees function like an auction, where users attach higher fees for higher priority. The project's whitepaper states an initial per-transaction fee of approximately $0.01, with 50% awarded to the miner and the remainder split between the network and the dApp that originated the transaction.

These features are designed to create a versatile and developer-friendly environment. ^{[4] [3]}

Tokenomics

The native cryptocurrency of the BlockDAG network is the BDAG coin. It serves as the primary medium for transaction fees, miner rewards, and participation in the network's ecosystem.

• Total Supply: The maximum total supply of BDAG is capped at 150 billion coins.
• Distribution Model: The allocation of the total supply is structured to support the network's growth and decentralization. The distribution is as follows:
  • Miners: 75 billion BDAG (50% of total supply) are reserved for mining rewards to incentivize network security. The issuance of these rewards follows a continuous, geometrically reducing schedule.
  • Presale: 50 billion BDAG (33.3% of total supply) were allocated for the public presale. These tokens are subject to a vesting schedule, with 40% released at launch and the remaining 60% vesting at a rate of 20% per month.
  • Community & Ecosystem: 19 billion BDAG (12.7% of total supply) are allocated for grants, partnerships, and other initiatives to foster ecosystem growth.
  • Liquidity: 4.5 billion BDAG (3.0% of total supply) are set aside to provide liquidity on exchanges upon launch.
  • Team: 1.5 billion BDAG (1.0% of total supply) are allocated to the core team. These tokens are locked for two years to align the team's interests with the long-term success of the project.

This distribution model accounts for 100% of the total supply, with a clear allocation for network security, community growth, and long-term development. ^{[5] [4] [3]}

Ecosystem

BlockDAG's ecosystem is composed of a range of hardware and software products designed for mining, financial transactions, and application development.

Mining Solutions

A central component of the ecosystem is its focus on making mining accessible. The project offers both dedicated hardware rigs and software applications.

• BlockDAG X1 Miner App: A mobile application available in beta for iOS and Android devices. It allows users to mine up to 20 BDAG coins per day from their smartphones without significant battery or data consumption. The project reported over 3 million users for the X1 app.
• BlockDAG TG TAP Miner: An application integrated with the Telegram messaging platform, providing another avenue for mobile-based mining.
• BlockDAG X10: A compact, low-power mining rig designed for home use. It is capable of mining up to 250 BDAG per day.
• BlockDAG X30: A more powerful miner with a higher hash rate, capable of mining up to 2,500 BDAG per day.
• BlockDAG X100: The project's highest-tier mining rig, designed for maximum efficiency and capable of mining up to 25,000 BDAG per day.

As of September 2025, the project claimed to have sold over 19,000 of its X-series hardware miners. ^[1]

Financial Products

The project plans to introduce financial products to bridge the gap between its digital currency and traditional finance. The primary product announced is the BlockDAG Payment Card, a crypto payment card that will allow users to spend their BDAG and other cryptocurrencies at merchants worldwide. ^[1]

Developer and Community Hub

To support its developer ecosystem, BlockDAG has established a hub with tools and programs. The "Testnet Awakening" provides a live environment with a Block Explorer, faucet, and development tools. The project also runs several community-focused initiatives to encourage participation and growth, including:

• Hackathons
• A grants program to fund promising projects
• An ambassador program
• A referral program offering bonuses for new users

These programs are intended to build a self-sustaining community of developers and users on the network. ^[1]

Team

BlockDAG has presented a publicly identified team with professional backgrounds in technology, finance, and management. Key members include:

• Antony Turner (CEO / Founder): Background in fintech and blockchain entrepreneurship.
• Jeremy Harkness (Chief Technology Officer): Specializes in blockchain, artificial intelligence, and data systems.
• Dr. Prof. Youssef Khaoulaj (Chief Security Officer): An expert in cybersecurity and smart contract auditing.
• Steven Clarke (Senior Advisor): Experience in blockchain, digital transformation, and innovation management.
• Dr. Maurice Herlihy (Blockchain Advisor): Holds a Ph.D. in Computer Science from the Massachusetts Institute of Technology (M.I.T.).
• Marius Bock (Lead Project Manager): Over 25 years of experience in blockchain and enterprise software.
• Nicolaas David van den Bergh (CMO): Over 20 years of experience in media and digital industries, with an MBA from Oxford Brookes University.
• Marcus Xavier (Head of Learning): An instructional designer focused on educational content.
• Robert Radek (Product Manager): Background in blockchain technology and fintech.
• Joshua Sack (Mining & Miners): A specialist in Proof-of-Work technology and IT security.
• Liza van den Berg (HR and Operations): Experience in IT recruitment and start-up operations.
• Allen Joseph (Developer Relations): Focuses on fostering developer communities.

The public identification of the team is part of the project's effort to build trust and transparency. ^[1]

Partnerships and Security

BlockDAG has announced several strategic partnerships and undertaken security measures to enhance its credibility and market presence.

Partnerships and Listings

BlockDAG has engaged in several strategic partnerships to enhance its global brand visibility and drive mainstream adoption of cryptocurrency. A key collaboration is a multi-year partnership with the BWT Alpine Formula 1® Team. This alliance goes beyond simple sponsorship, featuring physical branding on the F1 team's car, on-track activations, and fan simulators. The partnership was strategically launched in Singapore, coinciding with the Token2049 conference and the Singapore Grand Prix, to maximize exposure to institutional investors, developers, and a global audience of over 1.5 billion F1 viewers. ^{[6] [7]} Additionally, UFC Champion Alex Pereira was noted as having joined the project's promotional efforts. In preparation for its market launch, BlockDAG stated that its BDAG coin is confirmed for listing on several centralized exchanges, including MEXC, LBank, XT.com, Coinstore, and BitMart. The project also claims that listings on over 15 additional Tier 1 and U.S.-based exchanges are planned. ^[1]

Security Audits

To ensure the security of its platform and smart contracts, BlockDAG has undergone audits from both internal and external teams. The project employs advanced cryptographic techniques, including public/private key encryption and SHA-256 hashing, to secure transactions and data. Its PoW consensus mechanism provides resistance to Sybil and 51% attacks. The project completed a comprehensive internal audit and subsequently engaged two third-party cybersecurity firms for independent verification:

• Halborn: A blockchain security firm that completed a full audit of the project.
• Certik: Another prominent security firm that also conducted and completed an audit.

In addition to these formal audits, BlockDAG has implemented a community-driven bug bounty program to incentivize independent security researchers to identify and report potential vulnerabilities in its code. ^{[1] [2]}