A Simplified Introduction to Qubic

Understanding Qubic does not have to be difficult and technical. Here is a simplified introduction to Qubic for everyone.

What is Qubic?

Qubic is a fast blockchain network designed to solve two big problems: expensive/slow transactions and the high computing costs of advanced AI. Instead of wasting energy like some blockchains, it uses computer power for useful tasks like training AI models through its Useful Proof of Work (UPoW) system. Its consensus mechanism is known as Quorum, made up of 451 computors. It runs directly on hardware for better security and speed. Qubic’s AI framework is Aigarth, which it is using the network to build powerful, decentralized AI not controlled by a single company. Its digital currency (QUBIC coin) rewards participants, and its economic model carefully controls coin supply for long-term stability. It has been verified by Certik as the fastest blockchain ever tested by it, reaching a peak of 15.5 million transactions per second (TPS).

Who is behind Qubic?

Qubic was launched in 2022 by Sergey Ivancheglo, mostly known as Come-From-Beyond or simply CFB. While it was launched in 2022, it was conceived earlier than that. In 2012, CFB mentioned Qubic to the public on Bitcointalk for the first time. He would then go on to found NXT in 2013 and co-found IOTA in 2016 before launching Qubic in 2022.

What Problems Does Qubic Solve?

Blockchain inefficiency: Traditional blockchains (like Bitcoin or Ethereum) are slow, expensive, and waste energy on useless computations.
Centralized AI: Big companies control AI development because training powerful AI requires massive computers that only they can afford.
Scalability issues: Most blockchains can’t handle high-speed transactions needed for real-world applications (e.g., payments or gaming).
Unfair rewards: In proof-of-stake systems, rich participants get richer, making the network less decentralized.

Key Features of Qubic

Quorum consensus: 676 special nodes (“Computors”) vote on transactions; 451 must agree to finalize them in under a second.

Feeless transactions: Users pay $0 fees for transfers or smart contracts.

Useful Proof of Work (UPoW): Miners solve real AI tasks (like training AI, Custom mining) instead of wasting energy.

Bare-metal deployment: Runs directly on hardware (no operating system), making it faster and more secure.

Deflationary economics: Regular coin “burns” reduce supply over time to keep the coin valuable.

Open-Source: Qubic is open-source. The code is available on GitHub.

How Is Qubic Different?

AI + blockchain merger: It uses miners’ computing power for AI training (via “Aigarth”), not pointless puzzles.

No mining waste: UPoW ensures energy powers useful tasks (e.g., advancing AGI, custom mining), not just securing the network.

Fairer participation: Anyone with a regular computer (CPU) can mine, not just those with expensive hardware.

Dynamic rewards: The “Supply Watcher” adjusts coin burns weekly to prevent inflation, unlike fixed Bitcoin halvings.

What Is Useful Proof of Work (UPoW)?

Mining should go beyond just solving mathematical puzzles; it should solve real problems and provide real-world value. That is the core of Useful Proof Of Work (UPoW).

Meaningful mining: Miners work on real AI jobs (like training neural nets for Aigarth).

Energy efficiency: Computations help build AI, not just secure the blockchain.

Use excess power: Excess power is utilised, with no wastage. For example, custom mining (like Monero mining) puts idle power to work. In the future, excess power could be rented out to big companies.

Who Are Computors?

Computors are network validators. They are 676 specialized nodes that confirm transactions and run smart contracts. They have a big role to play in the Qubic ecosystem. They vote on proposals. If they agree, proposals go through; if they disagree, it fails. Anyone can become a computor but it takes a lot of performance to get there.

How does Quorum (Qubic Consensus) work?.

There are 676 Computors that validate transactions and run smart contracts each week. At least 451+ must agree to approve any action (like payments or contract results) for instant finality. These computors also vote for Proposals sent by the community.

Performance-based ranking: Top 676 Computors (by useful work done) qualify weekly; slow performers get replaced automatically.

No single controller: Decisions require majority agreement, preventing centralization.

Qubic Proposals and how they work

Proposals in Qubic are suggestions sent by any members of the community for voting. These suggestions could be requests for new features, funding, new projects, an appointment, or anything at all that concerns Qubic. Since no single person controls Qubic, once proposals are sent, they are voted on by the Computors.

Anyone can propose anything.
Needs 451+ Computor votes to pass.
Majority (226+ votes) is required for approval.
Tied votes trigger re-votes.
Proposals are documented on unchangeable URLs.

Initial Public Offering (IPO)

Initial Public Offering (IPO) is nothing new. It happens when companies are getting listed on the stock exchange. It works the same way in Qubic. New projects launching smart contracts on Qubic can offer shares of the project to Qubic holders in an IPO. Some of the IPO on Qubic pay dividends to holders.

Project fundraising: Developers sell shares of new projects (like apps) to the community.
Dutch auctions: Shares start at high prices and drop until buyers bid, ensuring fair market value.
Tradable assets: Bought shares can be resold on Qubic’s decentralized exchange.
Dividend: Some IPO pay dividends, a good way to earn passive income.
Supply reduction: IPO proceeds burn QUBIC coins, increasing scarcity.

Separation of Power

Qubic is a decentralised network. That means no single entity can control it. To ensure this, there has to be a governance structure that is based on true separation of power.

Two independent systems:
- Quorum (451+ Computors): Validates transactions/votes.
- Arbitrator: Monitors performance, replaces faulty Computors.
No overlap: The same entity can’t control both, preventing corruption.
Revenue split: Computors earn rewards; Arbitrator gets ~1% leftover funds.

Arbitrator

The arbitrator is an entity in the Qubic ecosystem that is responsible for resolving disputes.

Network referee: Replaces underperforming Computors weekly.
Sets mining rules: Adjusts how AI tasks are processed.
List Computors: Publishes lists of Computors every epoch
Monitor Computors: Has the power to replace underperforming Computors
Limited power: Can’t control votes, funds, or smart contracts.
Override option: 451+ Computors can vote to replace the Arbitrator.

Dispute Resolution

When there is a dispute in Qubic, there is a resolution mechanism to ensure that the network does not suffer because of it. It is a step-by-step approach.

Community first: Disagreements are discussed openly among users.
Arbitrator as judge: Unresolved issues go to the Arbitrator for binding decisions.
No appeals: Rulings are final to maintain network efficiency.

Tokenomics (QUBIC Coins)

The Qubic Tokenomics is mostly misunderstood by people. In Qubic, QUBIC is the only unit of the coin; there is no subunit. Unlike Bitcoin, where there is a subunit called Satoshi, there is no such thing in Qubic. For example, while Bitcoin is made up of 2.1 quadrillion Satoshis, Qubic is made up of 200 trillion QUBIC, which makes it far more scarce than Bitcoin when you look closely.

Weekly distribution:
- 1 trillion new coins created weekly.
- Top Computors earn rewards; leftovers go to Arbitrator.
Fixed supply: Max 200 trillion coins (reduced from 1,000 trillion).
Zero fees: Transfers cost nothing; contract “fees” are burns, not payments.
Deflationary: Burns and reduced emissions increase coin scarcity over time.

What is Aigarth?

Aigarth is Qubic’s framework for Artificial General Intelligence (AGI) development, designed as a decentralized, evolution-driven alternative to traditional GPU-centric AI. The goal is to create a self-improving AGI capable of general problem-solving, creativity, and adaptability. Its core innovations include:

Intelligent Tissue

A self-modifying neural network structure inspired by biological modularity.
Neurons evolve via natural selection: successful configurations survive; failed ones are discarded.
Enables emergent problem-solving without explicit programming.

Ternary Computing

Replaces binary (0/1) with three states: TRUE, FALSE, and UNKNOWN.
The UNKNOWN state handles uncertainty, noise, or incomplete data, improving robustness.
Reduces energy consumption by up to 70% compared to binary systems.

Evolutionary Dynamics

Networks evolve through mutations, crossovers, and adaptive selection thresholds.
Cryptographically seeded randomness ensures reproducibility.
Self-modification allows networks to optimize topology and weights autonomously.

Decentralized & CPU-Centric

Runs on distributed CPU cores (not GPUs), enabling broader participation.
Avoids reliance on high-cost hardware, democratizing AI development.