Ravencoin is an open-source, decentralized protocol network ^[1]. Ravencoin's whitepaper was published in 2017, by businessmen Joel Weight, Bruce Fenton, and developer Tron Black. It was launched on January 3rd, 2018 without ICO, pre-mine, and master nodes.^[27]

Ravencoin aims to implement simple token issuance and management of tradable assets on a blockchain. Ravencoin is created as a fork of Bitcoin, and it employs the same technology, with some slight variations including block reward time, number of coins issued, asset creation, and messaging capabilities.

Overview

Kawpoww!!

Ravencoin uses Proof-of-Work [PoW] consensus mechanism, called KAWPOW. KAWPOW is a unique mining algorithm, specially made to serve the purpose of trading assets of Ravencoin. It could validate the transactions and distribute the new minting ravencoins.

Hashing Algorithms

Hashing is the process of scrambling raw information to the extent that it cannot reproduce it back to its original form. It takes a piece of information and passes it through a function that performs mathematical operations on the plaintext. This function is called the hash function, and the output is called the hash value/digest. ^[33]

X16R Algorithm

X16R has 16 hashing algorithms, which makes it hard to implement into ASIC[Application-Specific Integrated Circuit]. As ASICs create a higher hash rate than GPUs, they eventually always take up the majority of the network hashing rate. The X16R seeks to disrupt ASICs by always changing the ordering of the hashing algorithms. The order is changed depending on the hash of the previous block.

X16Rv2 Algorithm

In July 2019, a Ravencoin user posted an article that ASICs had entered into the Ravecoin mining arena. As a result of this article, the Ravencoin developers decided to conduct a hard fork in October 2019 for the release of a new mining algorithm - X16Rv2.

The X16Rv2 is the Ravencoin team’s solution to preventing ASICs on their network. This solves the problem as another hashing function was introduced into the network that, ASICs have not been programmed to mine upon preventing their activity on the Ravencoin network.
^[32]

SHA-256 Algorithm

Ravencoin is one of the [Secure Hash Algorithm]SHA-256 miner. SHA-256 uses 32-byte words. It is used for cryptographic security. Cryptographic hash algorithms produce irreversible and unique hashes. The larger the number of possible hashes, the smaller the chance that two values will create the same hash. This is much useful to step up the Ravencoin's game.

Ravencoin Network

The native coin token of Ravencoin is RVN. Ravencoin's KAWPOW replaced X16R and X16RV2 algorithms, which used 16 different hashing algorithms for each of the mining blocks, in 2020. KAWPOW is a derivative of ProgPOW, with parameters specifically for Ravencoin. KAWPOW is the 3rd mining algorithm, SHA-256, for Ravencoin and is the evolved version of X16R or X16RV2 mining algorithms.^[7] AMD's GPU[Graphics Processing Unit] is the most efficient mining GPU.

RVN's Informatics

What Type Is RVN?

Ravencoin is a decentralized open-source cryptocurrency* that aims to enable users to perform almost instantaneous transactions. Its name is inspired by the fictional world of Westeros from the Game of Thrones books, where crows are used as messengers carrying statements of truth.^[17]

In the fictional world of Westeros, ravens are used as messengers who carry statements of truth. Ravencoin is a use case specific blockchain designed to carry statements of truth about who owns what assets.^[23]

Tokenomics

Token Issuance

To attain a token and to create a new asset, the user must burn an amount of RVN coins to provide unique identifier to their tokens. RVN also provides its token creators to message anyone who holds their tokens.^[10] Ravencoin’s built-in messaging system is an innovative feature that enables users to communicate directly with one another. This ensures that all parties involved in a transaction can easily clarify details or resolve issues in real-time, increasing transparency and trust in the ecosystem.^[28]

RVN Halving

Ravencoin halving is a process where, once every 4 years or so, the mining rewards for the RVN token are halved. Halve the rewards that miners receive from mining a block on the network (confirming transactions and keeping the entire blockchain secure).^[11]

First ever halving event of RVN happened on January 11th, 2022. This halving process made Ravencoin to come around with a raise in its blockchain security. The next halving of RVN could possibly be on January 11th, 2026.

While halving happens approximately every 4 years, there is a tally for the two blockchain projects [RVN and BTC] are still very different, and thus, the numbers differ as well.

RVN's Use Cases And Backup

Ravencoin can be used to tokenize assets such as gold, stock, rewards, virtual items, digital art, and many more assets. In 2018, Medici Ventures completed a more than $3.5 million digital securities token transfer through the Ravencoin blockchain to buy equity in Chainstone Labs.

Ravencoin also allows users to create NFTs on the network through the platform, MangoFarm assets. It is Ravencoin’s special ability to enable the creation and transfer of tokens without the use of smart contracts that could tokenize assets ^[4].

Portfolio

RVN, nevertheless, has managed to establish itself as one of the fastest-growing ones in the market. It was created to mainly grant its users, a right to design and issue their unique tokens using the Ravencoin blockchain.

Over three years of the crypto’s existence, many enterprises have adopted the technology offered by Ravencoin and used it to make their digital assets. Yet, apart from its tokenization capacity, Ravencoin remains a currency which can be easily transferred and therefore utilized to pay for services and goods.^[5]

Business Users

Here are some of the business users:

Food and Beverages

• H-Town Donuts is the first donut shop in Houston to accept RVN.
• Estate 88 in Sydney is a coffee shop, as well as, a good fit for those who like crypto coins.
• Vinsent Wine is a marketplace, where it avails the users to discover and buy new wines using RVN.

Other Businesses

Crypto Merch

Crypto Posters is an online shop, that features all the crypto-themed merchandise.

Slimes

Smoo's Slimes has a special Limited Edition Ravencoin slime, which has 3 primary colors used in the Ravencoin logo.

Iozeta

Iozeta is a company which builds and sells ingenious crypto candy machines. Every time a payment is made, the machine will dispense a portion of candy.

Crypsino

The casino platform, Crypsino.io allows its users to gamble and play fair games using their RVN.

Kalimbera

Kalimbera is an online store which sells Kalimbas, also known as thumb pianos, which are small musical instruments consisting of a wooden board and metal tines, which accepts RVN.

Scots Rum

Scots Rum is a project, which was designed to raise funds to build a distillery using the Ravencoin blockchain. Here, the cost of one token is about 30 RVN.

Project 33

Project 33 is a partnership of artists, who create unique artworks, mainly handmade glass coins, which all have their own tokens issued on the Ravencoin blockchain. By buying one of the pieces, the customer becomes the owner of the token.

Supporters

RVN could be bought, sold and tradeed through the most popular exchanges, Binance, OKX, KuCoin, Huobi Global,.^[6]

They can be used for anything according to the holder’s needs, ranging from energy credits, land deeds, virtual goods, security, Airline miles, car ownership, etc.^[9]

The world of cryptos is literally undivine and crazy!! Paying the meal, clothing, stay, etc.. wooh! This cryptocalypse is spreading much faster and is gonna be much interesting.

Ravencoin Foundation and Community

Two years after launch, in 2020, the Ravencoin Foundation was created. This is intended to ensure the project becomes independent from Medici Ventures. The Ravencoin crypto is open source, which means that almost anyone can join with the ability to contribute to the developers’ code (another brilliant sign of decentralization).^[19]

The Hack

On November 5th, 2018, the ability to create users' own tokens, sub-tokens, and unique tokens was activated. 
Tags, restricted assets, and memo capabilities were activated on Feb 7th, 2020. 
On June 19, 2020, it was observed that extra RVN is minted outside the network besides the initial block reward of the Ravencoin, 5000 RVN.

There is a rule for Ravencoin's asset transaction, where the output RVN must be zero. But, there happened to be a code change that gave one message for asset creation with non-zero RVN. A different error for asset transfers with non-zero RVN was also introduced simultaneously. Because there wasn’t a case for asset re-issuance, it gradually allowed output with non-zero RVN. It appears this was introduced intentionally for the purpose of hijack.

There had been an asset that was created two days after this hijack, that can specifically link to the attacker by analyzing the blockchain and the addresses involved. The automated attack didn’t begin until May 9th, 2020, and appears to have been crafted to stay hidden.^[30]

The X16R or X16RV2 algorithms were replaced, because, there was a high risk, where the hackers have minted about $5.7M USD, i.e., 2628, 685, 694, 046, 811 RVN. Many of the ravenites have thought that its value would fall off sharply. But, immediate measures were taken to protect its network through KAWPOW.

In contrast to other cryptocurrencies, Ravencoin (RVN) may be mined by individuals with only a desktop or laptop due to its low mining complexity. Despite this, the price of Ravencoin (RVN) is was a downfall, because investors sold off their holdings.^[31]

Protocol's Response

The co-founder of Ravencoin, Tron Black confirmed that the vulnerability was caused due to the community code submission.

Tron Black's comment about the hack:^[29]

The vulnerability does not allow the stealing of RVN or assets that you own and control, but the minting did create RVN that should not exist

To recover from this mishap, Tron suggested Ravencoin community either shrink in the economic cost of the extra minted RVN or pre-pone the halving process, to not cause irreparable damage to the users and miners. He urged the users to keep trading even to a minimum until the fix to this vulnerability is implemented.