RSK is an evolution of QixCoin, a turing-complete cryptocurrency created back in 2013 by the same development team. RSK provides an improved payment experience with near instant confirmations. It achieves currently 300 tps and confirms most payments in less than twenty seconds. And yet, is still based on the same security guarantees Bitcoin has, supporting SHA-256D merged mining.
RSK works as a Bitcoin Sidechain. When Bitcoins are transferred into the RSK blockchain, they become “SmartBitcoins” (SBTC). SmartBitcoins are equivalent to Bitcoins living in the RSK blockchain, and they can be transferred back to Bitcoins at any time at no additional cost (except for standard RSK transaction fees). SBTC is the base currency used on the RSK sidechain to pay miners for transaction and contract processing. There is
no currency issuance: all SBTC are created from Bitcoins coming from the Bitcoin blockchain.
Acronyms: “RSK” refers to the Rootstock (the platform), related terms are “RSK protocol” (the specification) and “RSK reference node” (the reference implementation), the native RSK currency is the “SmartBitcoin,” and “SBTC” is the symbol of the SmartBitcoin currency, “BTC” refers to the Bitcoin currency and “Bitcoin” refers to the Bitcoin protocol.
Why RSK is Important for the Bitcoin Ecosystem
RSK governance’s primary goal is to align the main stakeholders of Bitcoin by creating rewards that are fully aligned with their current activities.
This philosophy is directly reflected in its core architecture where Bitcoin miners provide the hashing power required for the proof-of-work block validations, industry leaders (Exchanges, Wallets and Payment Processors) integrate the Federation that creates validation checkpoints and sign the redeem transactions of the two-way peg.
On top of that, RSK decides on improvements for its platform based on a voting system where Miners, Industry Leaders, Bitcoin / RSK holders and core developers make the final decision.
RSK as a Low-Cost BTC Payment Network
If Bitcoin block size is not increased via a hard-fork, when the next Bitcoin reward halves, Bitcoin transaction fees may become prohibitively high for certain applications.
As RSK blocks can hold many more transactions than Bitcoin blocks, RSK will naturally offer lower fees. See next section for an analysis of future scenarios regarding transaction fees.
The future of Bitcoin and its transaction fees is unclear: currently, contentious proposals on changes in the maximum block size will have a high impact on future transaction fees. In the following table, we attempt to predict future scenarios and compare RSK and Bitcoin under reasonable assumptions on growth and forks.
RSK platform is, at its core, the combination of:
● A Turing-complete resource-accounted deterministic virtual machine (for smart contracts)
● A two-way pegged Bitcoin sidechain (for BTC denominated trade)
● A dynamic hybrid merge-mining/federated consensus protocol (for consensus security), and a low-latency network (for fast payments).
How to buy RSK Smart Bitcoin (RBTC) in 2020?
If you want to buy cryptocurrencies like Bitcoin (BTC), RSK Smart Bitcoin (RBTC) or any other altcoins, you have two options: if you don’t mind KYC (Know Your Customer) policy, you can create an account with CoinBase. Because of KYC policy, the site will ask for various papers like ID, proof of address and so on. If you want to go anonymous, you can create an account with Binance or KuCoin. On those last two sites you won’t need any proof of identity as long as you don’t exchange large amount of cryptocurrencies. Just click on one of the above link and follow some simple steps to open your own crypto account.