Alliance and CITU Charter

(A simplified version covering only on-chain voting, mining mechanisms, and a brief description of the Judges’ role)

Article 1. Fundamental Voting Principles (formerly Article 3)

1.1. Voting with CITU Coins

  1. Each participant votes with their CITU coins.
  2. Both free (unstaked) and staked coins are taken into account.
  3. The total (free + staked) determines the participant’s overall “voting weight.”

1.2. Vote Distribution Mechanics

  1. A participant can allocate their coins “FOR” or “AGAINST” any number of candidates or proposals.
  2. A specific candidate’s or proposal’s final rating = (total of all “FOR”) – (total of all “AGAINST”).

Article 2. Candidate Ratings (formerly Article 4)

  1. Each participant can cast a “FOR” or “AGAINST” vote for each candidate.
  2. Candidate Rating = (sum of “FOR”) – (sum of “AGAINST”).
  3. The Top 5 candidates (by highest rating) become “Directors” for a 4-year term.
  4. There is no limit to the number of re-elections.

(Note: Mentions of other governing bodies are removed for simplicity.)

Article 3. Directors’ Voting (formerly Article 5)

  1. Directors vote in proportion to their ratings.
  2. A director’s vote weight = (that director’s rating) ÷ (sum of all directors’ ratings).

Example: If a director’s rating = 200 and the total rating of all directors = 1000, the director’s vote weight = 200 / 1000 = 20%.

Article 4. Direct Voting (formerly Article 6)

  1. Any participant may directly vote with CITU coins “FOR” or “AGAINST” a decision.
  2. Final figure (decision rating) = (sum of all “FOR” from direct votes) – (sum of all “AGAINST” from direct votes).
  3. The total rating of the Top 5 Directors is taken as 100%. If the final decision rating (YES – NO) reaches at least 52% of that total, the decision is considered approved.

Example: Assume the Top 5 Directors together have a total rating of 1000 (100%). If participants cast +520 “FOR” (which is 52% of 1000), the decision is accepted.

Article 5. System Dynamics (formerly Article 7)

  1. All votes are recalculated with each new block, except for the last 10 blocks (to avoid rapid fluctuations or double-counting).
  2. A vote becomes active only after 10 blocks have passed since it was cast.
  3. If the decision later falls below 52% support, it immediately loses effect.
  4. Recalculation is automatic with each block confirmation or transaction.

Article 6. Mining Mechanism (formerly Article 10)

The system uses a hybrid consensus Proof-of-Work (PoW) + Proof-of-Stake (PoS) for security.

6.1. Block Reward Formula

blocksSinceStart = currentBlockNumber – 326840
year = blocksSinceStart / (432 × 360)
difficultyV2 = max(difficulty – 22, 0)

Result = (3 + (coefficient / 4) + (difficultyV2 / 4)) × (1.005)^year
Reward = Result × Multiplier

Article 7. Participant Points (formerly Article 11)

In order to gain the right to create a block, a participant accumulates Points, consisting of:

  1. Complexity Points: difficulty × 15
  2. Random Value: a deterministic random number (0–170), derived from the block hash
  3. Staking Points:
    • 1st point: 1.1 coins
    • 2nd point: 2.1 coins
    • 3rd point: 4.1 coins
    • Maximum: 30 points
  4. Transaction Points:
    • 1st point: 0.11 coins
    • 2nd point: 0.21 coins
    • 3rd point: 0.41 coins
    • Cannot exceed the total Staking Points

Total Points = Complexity + Random Value + Staking + Transaction Points

The participant with the highest points creates the next block and receives the reward (see Article 6).

Article 8. Judges’ Council (Optional)

(If the system includes Judges, their voting functions as follows.)

  1. Judges vote by “1 Judge = 1 vote.”
  2. To veto (reject) a decision, 4 or more “AGAINST” votes are required.
  3. If a decision already has 52% “FOR” (relative to the Top 5 Directors’ rating or direct votes), but the Judges’ Council has at least 4 “AGAINST,” the decision is blocked (vetoed).
  4. Judges’ “FOR” votes increase confidence in a decision, but if “AGAINST” ≥ 4, the decision is annulled.
  5. Judges do not affect the directors’ rating; their veto is an additional safeguard against undesirable outcomes.

This CITU Charter (simplified version) defines the core on-chain voting and hybrid mining mechanisms.

  1. This CITU Charter (simplified version) defines the core on-chain voting and hybrid mining mechanisms.
  2. The CITU coin provides weighted voting and a hybrid (PoW + PoS) consensus.
  3. The 52% threshold (of the Top 5 Directors’ rating) safeguards the system from manipulation while preserving its democratic nature.
  4. If a Judges’ Council exists, their veto adds extra protection against harmful decisions.

Hence, CITU provides a transparent and secure decentralized governance and mining model, taking into account the interests of all network participants.