There is a lot of new language in mining! This is a list of all the terms used in Helium Strategies Part 1, with definitions.
Challengee – The hotspot receives the challenge and earns 5.02% of the HNT’s collectively mined during the challenge.
Challenger– A role of one hotspot plays in sending out a “challenge,” basically a math problem, to POC signal, or beacon, l to other hotspots in the area. Challengers earn .9% of the HNT mined during each PoC event.
Freedomfi – Freedomfi is Helium partner building a 5G network, that will transmit data in gigabytes, rather LoraWan’s low power network. Scheduled to launch 2022, a 5g hotspot can both replace the original hotspot coverage and provide a more powerful frequency.
Halving – Every four years, the number of HNT’s minted is cut in half, so that all hotspots earn 50% less. There was one event in August 2021, and the next one is in 2025.
Helium – Helium is a company founded in 2012 In 2019 it started a decentralized network of wifi hotspots designed ultimately to power IOT devices, a low power network transferring data for the “internet-of-things”. Instead of a corporation like Verizon supplying centralized hardware, individuals tap n into their own Wifi service to power devices, called Hotposts, which send signals used by the network. Individuals are awarded with HNT’s, a cryptocurrency, which is sent the Helium app, which also services as a wallet.
Helium antenna – The antenna plug into a hotspot responsible for communicating with other hotspots. The antenna, not the hotspot communicates, so if the antenna is in the window or outside, the hotspot can be inside. The role of the Hotspot is to solve math problems and other computations.
Helium hosting companies – A company will deliver a hotspot to an address and take a revenue share.
Hexagon: A six-sided shape Helium uses to map the earth, dividing the earth in a beehive-like pattern. Hotspots in a Hexagon share the earnings, so it is better to have 1 than 2, and 2 than 5. However, earnings are also affected by how many adjacent Hexagons have at least one hotspot. Not every hotspot in a Hexagon will earn the same amount, since those with more height and better antenna coverage may earn more. This is how Helium encourages people to move hotspots in Hexagons without coverage, and build the networks.
HNT – The cryptocurrency minted by Helium to reward participants in the network. It is currently trading and convertible to USD most easily with a Binance.US wallet. 2.5 million HNT’s are minted and distributed every month. This amount will be reduced by 50% in 2025, and subsequently every four years to limit supply. The market price is set by supply and demand.
HNT staking companies – People who don’t have 10k in HNT’s can still stake them using companies such as Helium Rising, Stake My HNT, and Argon: Helium Validates. In case they take smaller amounts of HNT’s, pool them, and put them into a validator. The user receives a percentage return, and principle back after the specified period of time. These staking companies are new, and this is not intended to be a recommendation for any company
Hotspot – A pre-configured computer in a 6’x’6’ box that plugs in the wall, and uses the wife network at that location to connect with the helium network via an antenna.
Internet of Things (IoT) device – Any device programmed to transmit data over the internet or other networks, such as environmental sensors, delivery vehicles, smart cities, food safety, home security, agriculture, and pet safety are a few large categories.
LoraWann network: A wide-area network (LPWAN) such as the one that Helium is building to allow connected devices on the “internet of things” to send data.
PoC – Proof of Coverage – Proof of coverage is an algorithm invented by Helium to authenticate hotspots and ensure they are active and in the right location. POC is generated when the antennas from each hotspot send and receive signals between other hotspots in the area. And form the basis for what each hotspot earns. PoC is a form of gamification, in which people buy and activate hotspots most likely to earn more.
Transmit Scale: A number found on the Helium app between, 0 to 1, that shows the density of hotspots in the Hexagon. If there is only one, the number will be 1 and green. If there is more than one, the scale will show .5 or less, and turn yellow. If the hotspots are closer than 300 yards, or the density is too high, it will be less and turn red. The lower the score, the lower the earning potential
The 300-yard rule: Helium creates an extra penalty if hotspots are too close, for example, if a neighbor places one next door.
Validators – Validators first went live in 2021 and are a form of staking, since they require the user to put up 10k HNT’s often for long periods of time. Technically, a validator is a cloud-based computer that runs the Helium code to process transactions and put them into the blockchain. Users who stake 10k HNt’s to become a validator split 6% of the 2.5 million monthly rewards. It’s a longer-term commitment.
Witness – Hotspots in the range of the challenger receive and solve the math problem, a process called “witnessing”. The Witnesses receive 20.08% of the tokens earned in the PoC event for solving the problem and the solution back to the blockchain.
5g/LoraWan hotspots – The new hotspots to run the new5g network. The wait list is closed, and these will become available in 2022, very new.