XECeCash (XEC) Price

What is eCash?

eCash (XEC) is a high-capacity Layer-1 digital cash network, developed by Bitcoin ABC. It was created on Nov 15th, 2020, and has since distinguished itself from its predecessors and other Bitcoin clients by integrating the breakthrough Avalanche consensus with its core proof-of-work (PoW) layer, extending its fundamental capabilities. The development roadmap is set with three main goals:

1. Scaling transaction throughput from around 100 tps to more than 5.000.000 tps
2. Improving the payment experience with a near-instant transaction finality time
3. Extending the protocol and establishing fork-free upgrades

Who Created eCash (XEC) ？

eCash (XEC) was founded by Amaury Séchet, who was the lead developer of the Bitcoin ABC node software team, and the founder of Bitcoin Cash (BCH). Despite splitting away from BCH, the eCash team continues developments as outlined in the initial scaling roadmap in 2017. Generally speaking, Bitcoin ABC engineers are specialized in database scaling, which reflects in the unique technological development of the eCash blockchain as a high-capacity Layer 1 and the project’s mission to optimize Bitcoin-technology to planetary scale.

When was eCash launched?

The eCash network was created as a minority fork of BCH in November 2020 and was given the interim name Bitcoin Cash ABC (BCHA). It launched formally with the official eCash (XEC) brand in July 2021. As a continuous fork of BTC and BCH however, its transaction history goes back to 2009, when the first block was created on BTC by Satoshi Nakamoto.

How does eCash work?

The eCash (XEC) network is a Bitcoin-implementation with an additional Avalanche layer, making it a hybrid consensus protocol. It differentiates itself from other hybrid PoW/PoS solutions whereas its stake proofs are only used as a Sybil resistance mechanism, not for transaction validation. Instead of using centralized masternodes, any ordinary node with at least 100 million XEC staked can participate in the Avalanche quorum. Avalanche is a breakthrough protocol that can come to consensus within 2 seconds in a decentralized fashion as opposed to Nakamoto PoW’s characteristic 10-minute block times. The dual consensus nature of the network mitigates the weaknesses and amplifies the strengths of each consensus technology.

This rapid consensus technology enables real-time coordination between nodes to finalize transactions near-instantly and allows for governance decisions in a granular, fork-free fashion. The network retains the trustless nature of Bitcoin’s PoW consensus while gaining more flexibility, security, and speed through the Avalanche protocol. All events are still triggered by the core PoW consensus, with Avalanche being an optional layer that can only restrict unwanted activities, such as double-spend transactions or 51% attack scenarios. The optionality of Avalanche means that any node can be synced to and interact with eCash by looking at PoW only, without the need to interact with the Avalanche layer.

Another advantage of eCash’s Avalanche integration is its permissionless subnet capability. Subnets with arbitrary protocol changes can be created for additional functionality while staying pegged to the main chain. The development team plans to create an Ethereum Virtual Machine (EVM) subnet to be interoperable with the decentralized finance (DeFi) sector as well as a Zero-Knowledge (ZK) subnet for optional privacy.

The network also provides a token protocol that allows for a simple and cost-efficient handling of fungible tokens and NFTs. These tokens can be created and traded directly within the Cashtab reference wallet. With ultra-low fees (less than $0.001) eCash’s token protocol is particularly useful for microtransactions and frequent airdrops to yield-bearing tokens. Its unique capability to handle gas-less transactions makes it suitable for stablecoin payments and other use cases where transaction fees can be paid in the token itself, rather than in XEC.

Tokenomics

What is XEC coin used for?

XEC is the native cryptocurrency of the eCash network, designed for fast and low-cost digital payments. It is used for everyday transactions, staking to secure the network and earn rewards, powering smart contracts and token use cases, enabling protocol governance through staked Avalanche nodes, and funding ongoing development.

Token Distribution

XEC has a total supply of 21 trillion. eCash was launched in July 2021, following its rebranding from Bitcoin Cash ABC. The transition involved a conversion process from BCHA to XEC tokens at a ratio of 1:1,000,000. Users holding 1 BCH before the eCash fork, would therefore hold an equivalent of 1,000,000 XEC on eCash instead. This is a purely cosmetic change, the total supply was not increased.

As Bitcoin implementation, eCash follows the same halving schedule where block rewards decrease every four years, ensuring scarcity over time. A portion of each block reward funds development through the Infrastructure Funding Policy (IFP), while staking rewards incentivize network security. This funding model and other miner policies can be dynamically adjusted or removed via protocol-governance, balancing sustainability, decentralization, and long-term growth with no baked-in rules or pre-allocated funds.