Mining Mechanism

The mining mechanism of the Utility network uses

the Proof Of Computation Integrity(POCI) consen- sus algorithm, which ties the mining reward to the computing power provided by the participants. In this process, the network-wide computing power is used by all participants to submit computing power to jointly confirm transactions and reach consen- sus. To ensure the fairness of the mining process, the Utility network uses an on-chain randomness decision mechanism to generate random numbers through a Verifiable Random Function (VRF) [17], which selects the miners among all participants without bias.

The miner needs to complete the block mining task based on the random number generated by VRF and his own computational power. The higher the computational power, the higher the probability that the miner will burst a block in the network will increase linearly. Once a block is successfully mined, the miner needs to submit a proof and broad- cast it to show that he/she has completed the block mining task. Other nodes in the network will verify this proof to ensure its validity.

UNC, the native tokens of the Utility network, can be obtained by mining. In the Utility network token issuance plan, 97% of the UNC will be dis- tributed to participants through mining. This min- ing mechanism incentivizes more participants to join the Utility network and provide computing re- sources, thus improving the security and stability of the network.

The mining mechanism of the Utility network relies on proof of computational power and on- chain randomness decisions that together ensure fairness and transparency in the mining process. Through this mechanism, UNC can be widely dis- tributed in the network, incentivizing more partici- pants to provide computing resources to the Utility network, thus promoting its security, stability and scalability.