Qubic is a Layer 1 useful-proof-of-work (UPoW) crypto platform founded by Sergey Ivancheglo. The name "Qubic" stands for "Quorum-Based Computation" (QBC). Qubic aims to achieve high-speed smart contract execution, incorporating True AI to enhance computational capabilities.^[1][2]

Overview

Qubic is an open-source crypto platform founded by Sergey Ivancheglo, with origins dating back to 2012, employing a quorum-based computation system (QBC) with 676 Computors for smart contract execution. The Mainnet went live in the second quarter of 2022. The platform utilizes a Useful Proof-of-Work (UPoW) system, repurposing mining capacities for AI training. It supports feeless transfers with commission-based smart contract execution.

Each epoch generates 1 trillion Qubic Units (QUs), primarily distributed among Computors, with inefficient ones having rewards partially burned. Qubic’s Arbitrator oversees AI training tasks. The platform uses direct "bare metal" code execution for fast Turing-complete smart contracts in C++, aiming for reliability, efficiency, and user-friendliness.^[1][2][3]

Products

Smart Contracts

Qubic's Smart Contracts aim to enhance efficiency and security through a rigorous approval process. Each contract undergoes a Quorum proposal vote and, if accepted, is launched via an IPO with 676 shares. This approach locks $QUBIC into the contract, which reduces its circulating supply. Shareholders receive passive income from contract fees, and the contract remains self-sustaining until the locked $QUBIC is depleted. Initial contracts have burned over 10.5 trillion $QUBIC.

Designed in C++, Qubic's smart contracts execute directly on bare metal, which aims to provide rapid execution times. These contracts use Qubic Units (QUs) as "energy," incorporating a deflationary model where QUs are burned during execution. Additionally, Qubic's integration with oracles allows for the inclusion of real-world data, supporting various decentralized applications.^[4][1][5]

The Quorum Protocol

Qubic's primary product is its consensus mechanism, which utilizes 676 Computors (validators) to oversee transactions, smart contracts, and Oracle interactions. The protocol aims for high accuracy by requiring more than two-thirds (451+) of Computors to agree on the outcome of transactions or smart contracts. The system seeks to achieve rapid block times, initially reaching 0.2 seconds and targeting further improvements with scheduled upgrades in 2024.

The consensus protocol employs a quorum-based computation (QBC) system, involving only the top-performing 676 Computors based on their AI mining output. These Computors are responsible for executing transactions on the Qubic ledger, known as the Spectrum. This setup aims to maintain a balance between operational efficiency and decentralization.^[1][5][6][7]

Oracle Machines

Oracle Machines aim to enhance Qubic Smart Contracts by supplying accurate external data, such as stock prices and sports scores. They provide smart contracts with reliable information, enabling them to interact with real-world events. Oracle Machines also support Aigarth in observing external conditions and conducting outsourced computations.^[1]

AI Aigarth

AI Aigarth is a proposed artificial intelligence system designed to operate on the Qubic network. It aims to develop an open-source AI by harnessing the computational power of Qubic-AI-miners to create and train artificial neural networks (ANNs).

Aigarth is intended to function by utilizing participant contributions of unused computational resources to address AI challenges. The system is planned to use evolutionary algorithms for solving problems and provides mechanisms for real-time tracking of progress. It incorporates the Helix logic gate, which is designed to enhance computational efficiency through its rotational logic. Aigarth is under development as of July 2024.^[1][8]

Useful Proof-of-Work (UPoW)

Useful Proof-of-Work (UPoW) in Qubic redefines traditional Proof-of-Work by incorporating AI training tasks. Rather than solving mathematical puzzles, Computors are tasked with AI computations, which contributes to machine learning advancements.

This approach aims to improve energy efficiency and the practical application of computational resources. By channeling processing power into AI training, UPoW seeks to support network security and decentralization while potentially reducing energy usage compared to standard PoW systems.^[1][5][9]

Spectrum

Spectrum is Qubic's decentralized ledger system, designed to offer a transparent and tamper-proof record of transactions for each epoch. It aims to log transaction details accurately, with entries becoming immutable once recorded. Spectrum can be accessed through the qubic.li Spectrum Info Tool (CLI) on any Computor, and its decentralized structure is intended to resist censorship and fraud.^[10]

Use Cases

Qubic's consensus mechanism and native token, QU, support several key applications:

• Decentralized Computing: Aims to leverage global computational resources for tasks such as simulations and AI model training, optimizing underutilized computing power.
• Smart Contracts: Seeks to provide fast and reliable execution of smart contracts, potentially enhancing efficiency in decentralized applications across finance and logistics.
• Micropayments: Offers a mechanism for feeless transactions using QU, which could facilitate small-scale transactions in areas like content monetization and IoT.
• AI Training: Employs Proof of Useful Work (PoUW) to direct computational resources towards meaningful AI model development and validation.
• Supply Chain Management: Aims to improve real-time tracking and automation of supply chains through smart contracts, potentially reducing errors and inefficiencies.^[11]

Tokenomics

QUBIC Token ($QUBIC)

QUBIC tokens, or Qubic Units (QUs), function as utility tokens within the Qubic blockchain network. They are used to quantify computational resources needed for various activities, such as executing smart contracts and accessing data from oracles.

QUs also aim to facilitate the operations on the platform. The network generates one trillion QUs weekly, distributing about 1.5 billion QUs each week to the most efficient Computors out of a group of 676. This distribution is planned to continue until the total supply reaches 1,000 trillion, projected to occur in approximately 19 years. To manage the token supply, a portion of QUs is burned with each transaction.^[18]

Epochs

In the Qubic network, each seven-day epoch generates 1 trillion Qubic Units (QUs). These units are primarily allocated to Computors based on their performance, with any remaining QUs going to the Arbitrator. The total supply of QUs is capped at 1,000 trillion. Around 2041, the rate of QUs being burned is expected to align with the emission rate, stabilizing the circulating supply. If the supply approaches 999 trillion, the quorum aims to implement a weekly burn of 1 trillion QUs to maintain a balance and ensure ongoing rewards.^[19]

Governance

Qubic's governance framework is designed to uphold decentralization by dividing authority between two entities: the Quorum and the Arbitrator. The Quorum, which comprises at least 451 Computors, is responsible for making significant network decisions, such as validating transactions and creating new blocks. The Arbitrator addresses disputes, sets parameters for the mining algorithm, and monitors Computor performance.

This structure aims to ensure a balanced and democratic system, preventing any single entity from controlling both the Quorum and the Arbitrator roles. By doing so, Qubic seeks to maintain fairness and decentralization within the network.^{[12][6][13][14][15][16][17]}