The Freedom Coin (TFC) is a cryptocurrency project that seeks to iron out some of the existing difficulties behind securing and incentivizing master nodes. Master nodes are servers that carry a full copy of the blockchain, updated in real-time, and serve as important points of reference within the decentralized blockchain market.
At the moment, few coins offer a proper incentive system for token holders operating as master nodes. DASH, the first coin to implement master nodes voting, is currently struggling with its incentive system. As the number of master nodes increases, DASH holders are inclined to demote their master nodes as the costs of running one significantly outweigh the rewards. TFC restructures this reward system, making holding TFC enough of a reward to keep the master node system active and vibrant.
“The Freedom Coin addresses the need for sustainable long term returns to the crypto community through a decentralized TFC Product, providing returns to the TFC crypto community over the long term,” the developers stated in their white paper. “The structure of the solution provides a governed approach through a unique voting system protecting the interests of the TFC crypto community and the sustainability of The Freedom Coin.”
How Does It Work?
Establishing a master node on the TFC blockchain requires an initial investment of 5,000 TFC. These coins are currently available to purchase as part of the pre-mine, available on the site and cost 1BTC currently. The price will rise in subsequent rounds.
The benefits of operating a master node are designed to be attractive long term to TFC holders. Master node operators get all the regular benefits of the coin, such as the ability to send cryptocurrency anonymously via the TFC network and access to TFC merchants, in addition to access to a TFC exchange.
Network support fees are paid to TFC master nodes in Bitcoin for their work on the TFC network. This is on top of proof-of-stake rewards generated by all TFC holders.
In exchange, master nodes are expected to maintain the integrity of the blockchain and participate in blockchain governance by voting. In each of TFC’s rewards projection scenarios, 100 total master nodes are assumed.
How Does the Voting System Work?
Master node operators are expected to vote on developer decisions affecting the code when they are given advance notice. A deadline will be set for each vote, supervised by the chief technical officer. The vote is confirmed or denied based on a simple majority. The quorum for the vote is 5 percent of the total number of master node holders.
While this sounds like centralization, TFC’s developers insist that a robust governance structure is necessary for any coin to succeed.
“Top advocates insist that cryptocurrency has no ‘governance,’ and no need for it. But this exposes a fundamental misunderstanding of what governance is,” the developers wrote. “Governance is not equivalent to state government. Governance is simply how choices are made. Every group, every project, and even every person practices governance of some form or another. Cryptocurrencies are not an inanimate objects. They are, at their core, a software project. Yes, it is much more than this; it is also a monetary system and a social experiment.”
Why Is a Robust Reward System Necessary?
Because master nodes do much of the processing and encryption for a network, it pays to keep them happy, active, and doing their jobs well, TFC said.
“Master nodes process transactions on a network, the data passing through this network is encrypted, however there is still room for master nodes to act maliciously,” the developers wrote. “Master node operators with skin in the game, (the bond) have an incentive to play by the rules.”
Who Is the Team Behind Freedom Coin?
TFC’s CEO and founder is Douglas Bothma of South Africa. Prior to founding TFC in March 2018, Bothma served as the CEO of CrytoSure Technologies and the CEO of Custom Apps SA. He also spent more than seven years with Innovation Group Solutions.
TFC’s chief technology officer is Liaan Roodt, who shares Bothma’s experience at both CryptoSure and Custom Apps SA.
What’s the Market Look Like?
TFC is in the midst of its presale, and so is not yet listed on Coin Market Cap. TFC has a maximum supply of 25 million.
The presale will end May 31. Prices are set at 1 BTC per master node, with shared master nodes divided into 20 units and their price divided accordingly. Following the presale, the price for both full and shared master nodes will be incrementally increased.
TFC anticipates a listing on the CryptoBridge exchange by July 1.
What Is on the Road Map?
TFC expects to make its first master node payment in late June. Monthly updates will follow, punctuated by the July 1 CryptoBridge listing. The current roadmap stretches through late October.
TFC is designed at its heart to be a sustainable system for generating wealth in a crowded cryptocurrency field.
“In short the TFC customer believes they are in the process of acquiring long term income and wealth,” the developers wrote. “In this process they expect real-time performance tracking, milestone feedback on the implementation of initiatives, performance reports and rewards paid to them on a continuous basis. Further with their risk outlook and entrepreneurial characteristic they expect access to new opportunities as they arise.”
What’s the Latest News?
TFC has been listed on the Investing.com initial coin offering calendar, and it has been recognized as an innovative way to reward master node holders on several industry blogs and news aggregators.
The countdown to TFC’s flagship listing on CryptoBridge has been noted and disseminated via several news outlets.
There are wallets available to download from the official website for Windows, Linux and Mac along with setup guides for each.