Lynx Dynamics

Published: August 2024 | Last updated: November 2024

The Lynx blockchain is a permanent data storage platform. The Lynx coin is created and destroyed to pay for the permanent storage of computer files. The computer files or digital assets (the 'payload') can be anything from a simple password, PDF, JPG, audio files, movie files, or an encrypted compressed backup file. Lynx is designed to make stored files accessible long after the creator is gone.

Lynx is being designed to outlive us.

Gone are the days of lost precious family photos.

The Lynx blockchain shares cryptocurrency features with traditional blockchains like Bitcoin, such as the ability to send and receive coins and for individuals to mine (both the verification process of data storage and the creation process of new Lynx coins). The overwhelming usage of the Lynx blockchain involves permanently storing digital assets. Lynx is not competing with Bitcoin, has little concern for the fluctuating price of Lynx, and does not try to hide transactions that occur on its blockchain from outside review. It is the transparency of the Lynx blockchain that reinforces confidence in its use. When stored, a file can be independently accessed and verified by anyone without fees or permission.

In economics, a commodity is a basic good or raw material interchangeable with other goods of the same type. Commodities are usually inputs in the production of other goods or services. The primary characteristic of a commodity is its uniformity or standardization, meaning that a given quantity of the commodity is essentially identical regardless of its source. This makes commodities fungible and tradable in markets where the commodity's price is determined largely by supply and demand.

The Lynx coins are burned or destroyed when storing data. This makes the Lynx coins much like a commodity such as natural gas or crude oil. Yes, some entities buy and sell them, but the commodity has a use. In the case of crude oil, after processing and transportation, it can be used to ship goods, heat homes, and build products. Lynx coins are very much the same. They are created by miners and sold on open markets to, ultimately, the individual or company that is storing data on the Lynx blockchain. The coins are 'burned' (destroyed), like gasoline is burned in a shipping vessel, to complete the cycle of data storage. The coins are destroyed, meaning they aren't held by anyone anymore, are inaccessible, and can't be used again, much like gasoline.

Lynx coins have value. Several factors contribute to price discovery, including supply and demand dynamics, market participants' expectations, and the availability of information.

The Lynx blockchain uses a mining creation process called Proof of Stake. This is a highly efficient, low-energy usage process that creates Lynx coins. Anyone can mine for Lynx coins on even the most simple computer. Unlike Bitcoin and gasoline creation, creating Lynx does not negatively impact the environment by creating heat, using excessive electricity, or generating an abundant amount of e-waste (junk computers).