In the ever-evolving world of digital currencies, the stages following the complete mining of coins are pivotal for the sustainability and security of the network. Recently, Kaspa, a cryptocurrency known for its innovative approach with the GHOSTDAG protocol, has addressed what happens to its ecosystem once all $KAS has been mined. Here’s an informative look into this transition:

The Transition Period

As highlighted by @DesheShai in a recent video shared by @KaspaCurrency, the Kaspa network will undergo significant changes as mining rewards diminish due to all coins being mined out:

• Fees Don’t Need Congestion: Unlike many blockchains where high transaction fees are often required during network congestion, Kaspa’s design does not necessitate congestion to ensure fee collection.
• Security Beyond Fees: While transaction fees will play a role, the security of the blockchain won’t solely depend on these fees, reducing the pressure on transaction economics.
• Shift to Transaction Fees: Miners will shift their focus from earning mining rewards to collecting transaction fees, which will become the primary income for securing the network.

Mining Post-Mining

Once mining rewards cease, the Kaspa network aims to maintain:

• An incentivized ecosystem where miners find it profitable to secure the network through transaction fees.
• A stable incentive mechanism that could potentially reduce costs for users and increase network participation.

Community Reaction

The post from @KaspaCurrency has stirred a mixture of interest, optimism, and curiosity among the Kaspa community:

“I’m excited to see how Kaspa handles this transition smoothly. Their approach seems well-thought-out.” – @EnthusiasticUser on X

“Does this mean transaction fees will skyrocket or remain low? #Concerned” – @ConcernedUser on X

“It’s refreshing to see a project planning for the long term. Kaspa seems to be ahead of the curve.” – @FutureThinker on X

Many comments lauded Kaspa’s foresight in designing an ecosystem that evolves beyond the traditional blockchain’s end-of-rewards scenario. The discussion also highlighted a cautious optimism about how these changes might affect transaction costs and miner participation:

Looking Ahead

As Kaspa navigates this crucial transition, the focus remains on maintaining network security, user engagement, and scalability:

• Scalability: With the shift, Kaspa hopes to demonstrate excellent scaling without compromising the user experience.
• Community Consensus: Efforts to involve the community in decision-making processes that affect the network’s future are being ramped up.
• Economic Incentives: Ensuring miners remain profitable through other means than block rewards is key to sustaining the network’s health.