Bitcoin Mobile (BTCv2) Whitepaper

A Low-Consumption, Mobile-First Cryptocurrency with the Proof of Use (PoU) Consensus Mechanism

Abstract

Bitcoin Mobile (BTCv2) introduces a revolutionary blockchain protocol designed to solve Bitcoin's most pressing challenges: excessive energy consumption, security vulnerabilities, slow transaction speeds, centralized mining, and barriers to mass adoption. By leveraging Proof of Use (PoU)—a mobile-optimised consensus mechanism—BTCv2 enables energy-efficient mining via smartphones, Visa-level transaction speeds, and military-grade security through the .encrypto protocol.

Built on a private/permissioned blockchain, BTCv2 is pegged 1:1 to Bitcoin's value while operating independently, democratizing access to cryptocurrency for billions of mobile users worldwide.

1. Introduction

Bitcoin's reliance on Proof of Work (PoW) has led to unsustainable energy consumption, centralization via ASIC mining, and slow transaction throughput. BTCv2 reimagines blockchain technology for the mobile era by:

  • Replacing PoW with Proof of Use (PoU), rewarding users for everyday smartphone activity.
  • Eliminating energy demands through Low-Consumption mining.
  • Achieving Visa-like speeds via smart(er) block technology and 12-digit payment addresses.
  • Securing transactions with .encrypto, a mobile-first encryption protocol.
  • Enabling seamless adoption through an integrated exchange and cross-chain compatibility.

2. Solving Bitcoin's Core Challenges

Problem 1: Energy Consumption

Solution:

Proof of Use (PoU):

Consensus mechanisms form the backbone of blockchain technology, ensuring secure and decentralized operations. The primary goal is to enable diverse participants to collaborate effectively, maintaining a trustworthy and resilient network. BTCv2 introduces Proof of Use (PoU), a novel incentive model designed to reward individual data owners, addressing the gap in existing personal data monetization frameworks that often exclude rightful data owners from benefiting. Unlike traditional Proof of Stake (PoS), which can lead to asset retention, PoU encourages active usage by promoting spending over accumulation, fostering greater engagement and utility within the network.

  • Rewards users for routine smartphone activities (e.g., app usage, charging).
  • Operates at zero energy cost by utilizing idle device cycles.

Private/Permissioned Blockchain:

  • Restricts mining to mobile devices, excluding ASIC/GPU/CPU hardware.
  • Replaces energy-intensive PoW with a mobile-optimized protocol aptly named PoU.

How does Proof of Use differ from other consensus mechanisms:

Proof of Use (PoU) differs from other consensus mechanisms like Proof of Work (PoW) and Proof of Stake (PoS) in its focus on incentivizing active participation and usage within the blockchain network, rather than computational effort or asset retention.

  • The purpose of PoU is to reward users for utilising the network, such as spending tokens or engaging with services, whereas PoW rewards miners for solving complex mathematical problems and PoS rewards validators based on the amount of cryptocurrency.
  • Unlike PoS, which can encourage hoarding of assets to maximize rewards, PoU promotes spending and interaction to enhance network activity and utility.
  • PoU avoids the high energy consumption seen in PoW systems, aligning more closely with the efficiency goals of PoS.
  • By prioritizing usage over resource-intensive processes or asset accumulation, PoU fosters a more dynamic and user-centric blockchain ecosystem.

Reduces global energy waste while maintaining decentralization.

Problem 2: Security

Solution:

.encrypto Protocol:

  • Adapts mobile payment security standards (e.g., transport ticketing, smart cities).
  • Uses Diffie-Hellman key exchange and one-time keys to encrypt transactions.

Process:

  • Alice generates a shared secret key and encrypts her transaction.
  • Bob decrypts the message using the same key, verified via checksum.

Immutable Ledger:

A private blockchain secured by cryptographic permissions, resistant to 51% attacks.

Problem 3: Transaction Speed

Solution:

Smart(er) Block Technology (.vimoose):

  • "Deletable blocks" allow nodes to validate transactions by referencing only the latest block.
  • Reduces data load by 99%, enabling 1 million transactions per second.

12-Digit Payment Addresses:

Mimics Visa card numbers for instant, recognizable transactions.

Problem 4: Mining Centralization

Solution:

Mobile-Only Mining:

  • BTCv2 tokens are mined exclusively via smartphones using PoU.
  • Pegged 1:1 to Bitcoin's value, ensuring price stability.

Low-Consumption Hash Rate:

Mining occurs passively in the background without draining battery life.

Problem 5: Adoption Barriers

Solution:

Integrated Exchange & dApp Suite:

  • Swap BTCv2 for fiat or cryptocurrencies at Visa-like speeds.
  • Access a curated suite of mobile-first dApps for trading, staking, and news.

Cross-Chain Compatibility:

Seamlessly interact with Bitcoin, Ethereum, and other blockchains.

Technical Architecture

Proof of Use (PoU) Protocol

Mechanism:

  • Validates transactions based on user activity metrics (e.g., screen time, app usage).
  • Adjusts rewards dynamically to incentivize participation.

Energy Efficiency:

Consumes 0.01% of Bitcoin's energy per transaction.

.encrypto Security Framework

Layered Encryption:

  • On-device encryption before broadcast.
  • One-time keys per transaction to prevent replay attacks.

Smart(er) Blockchain (.vimoose)

Block Structure:

  • Each block contains a hash of the previous block and compressed transaction data.
  • Nodes prune outdated blocks, reducing storage requirements.

Network Consensus

Hybrid Model:

  • Combines PoU for mining with Byzantine Fault Tolerance (BFT) for validation.
  • Ensures finality within 2 seconds for most transactions.

A: Documentation Overview

User Documentation

Getting Started:

Installation Guide | Creating a Wallet | Securing Your Wallet

B: Advanced Features:

Mobile Mining | Converting BTCv2 to USDAI | Cross-Chain Transactions

View User Documentation

Technical Documentation

Protocol Specifications:

Proof of Use (PoU) | Smart(er) Blocks | .encrypto

Network Architecture:

Node Types | Transaction Validation | Block Structure

View Technical Documentation

C: Roadmap & Adoption Strategy

Phase 1 (2024):

Launch BTCv2 mainnet with integrated mobile wallet and exchange.

Phase 2 (2025):

  • Partner with Visa/Mastercard for fiat gateways.
  • Expand smart(er) block adoption to IoT networks.

Phase 3 (2026):

Achieve carbon-negative status via renewable energy partnerships.

Final Statement:

Bitcoin Mobile (BTCv2) represents the evolution of cryptocurrency, merging Bitcoin's value proposition with mobile-first innovation. By solving energy waste, security flaws, and scalability issues, BTCv2 empowers users to mine, transact, and adopt cryptocurrency effortlessly. Join the future of decentralized finance—powered by your smartphone.

Learn More & Join the Network:

© 2024 Bitcoin Mobile Foundation

Decentralized. Secure. Built for Everyone.