Connecting Proof of Work and Privacy: Psy Protocol's Testnet Pushes the Boundaries of Blockchain

Bitget-RWA2025/11/07 12:56

By:Bitget-RWA

- Psy Protocol integrated four major mining pools into its testnet to validate infrastructure ahead of mainnet launch, leveraging real-world hashrate for network operations and ZKP aggregations. - The protocol combines PoW with ZKP aggregation to achieve over 1 million TPS, aiming to address scalability challenges in Web3 and AI-driven ecosystems while maintaining decentralized security. - Participation from F2Pool and other industry leaders signals institutional confidence, with the testnet phase focusing

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On November 7, Psy Protocol, a next-generation Proof-of-Work (PoW) smart contract platform, revealed that it has brought four prominent mining pools and hashrate ecosystems—F2Pool, GrandCroix, DePIN X Capital, and Codestream—onto its public testnet, as reported by

Lookonchain

. This partnership represents a significant milestone in testing the protocol’s infrastructure before the mainnet goes live. The participating pools are actively engaging in network operations, transaction verification, and zero-knowledge proof (ZKP) aggregation using actual hashrate. The goal of this initiative is to thoroughly evaluate the platform’s performance, security, and scalability, ensuring it achieves its technical objectives, according to

Bitcoin World

Connecting Proof of Work and Privacy: Psy Protocol's Testnet Pushes the Boundaries of Blockchain image 0

Psy Protocol’s system is structured to separate transaction execution from verification by assigning proof generation to users’ local devices, while miners are responsible for recursive ZKP aggregation, as stated by Lookonchain. Internal testing has already shown that the protocol can handle over one million transactions per second (TPS), positioning it as a strong contender for powering large-scale Web3 projects and AI agent networks, according to Lookonchain’s analysis. The testnet is dedicated to enhancing these features, with a strong focus on network reliability, zero-knowledge proof mechanisms, and security measures, as highlighted by

Bitcoin

World.

The participation of F2Pool, the leading mining pool for

Dogecoin

and

Litecoin

, demonstrates the sector’s trust in Psy Protocol. Together with GrandCroix, DePIN X Capital, and Codestream, these pools contribute a wide range of expertise in mining, investment strategy, and technical innovation, as noted by Bitcoin World. This diverse collaboration provides robust validation from operational, technical, and strategic angles, helping to resolve potential challenges before the mainnet launch.

Psy Protocol stands out for its hybrid model that combines PoW with ZKP aggregation, tackling issues of scalability and privacy while preserving the security of a decentralized system, according to Bitcoin World. By empowering developers to create high-throughput applications, Psy Protocol seeks to overcome traditional blockchain constraints and meet the needs of new AI-powered ecosystems, as reported by Lookonchain.

Experts in the industry point out that this testnet phase could establish new benchmarks for blockchain technology. The collaboration not only substantiates the protocol’s technical assertions but also marks a move toward more institutional-level testing within the crypto industry, as stated by Bitcoin World. If Psy Protocol’s architecture proves successful, it could transform how blockchain networks manage transaction loads, potentially speeding up the adoption of decentralized solutions in finance, AI, and other sectors, according to Lookonchain.

As the testnet advances, the project’s roadmap continues to prioritize optimizing performance and addressing unique scenarios. Although an official mainnet launch date has not yet been disclosed, the involvement of leading mining pools indicates that the timeline is likely tied to the completion of comprehensive testing, as per Bitcoin World.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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1. Technology stocks fell sharply as investor interest shifted toward energy and selected defensive assets. From October 10 to 16, the Nasdaq 100 declined 5.49% and the S&P 500 fell 1.95%, while the Dow gained 0.67% and WTI crude rose 10.41%. BTC, ETH, and SOL declined 1.27%, 2.65%, and 4.44%, respectively. This week's technology earnings will be an important test of whether revenue growth, margins, and cash flow can justify current valuations. Better-than-expected results could help stabilize markets in the near term. 2. Crypto continues to see pockets of strong activity, but a broad-based altcoin season has yet to materialize. CoinMarketCap's (CMC) Altcoin Season Index stood at 54 as of the October 18 UTC daily observation, below the altcoin-season threshold of 75, while BTC dominance rose to 60.08%. Our proxy leverage ratio fluctuated between 4.00 and 4.07 during the week, showing no sustained increase and suggesting limited appetite for additional leverage. Meanwhile, as major exchanges expand access to traditional financial assets, the recent sell-off in AI-related equities could attract short-term speculative capital away from crypto. Such capital rotation could make it more difficult for a new altcoin season to take hold. 3. Papertrade's loss-to-mine model has generated significant interest across the crypto community. The protocol combines high-leverage derivatives trading with zero slippage and a mechanism that rewards trading losses with PAPER tokens. Across the eight complete UTC days from October 10 to 17, cumulative reported revenue reached approximately $56.08 million, including $51.90 million distributed to token holders. With growing participation from key opinion leaders (KOLs), Papertrade has reportedly ranked among the top three platforms by profitability in the broader market recently. Assets to watch: BTC, ETH, SOL, ARB, OP, SKHYNIX, SKHY, META, TSLA, LRCX, and SPCX. Key research priorities this week: Cash flow performance in technology earnings; the relative discount and holding costs of the two SK Hynix contracts; and U.S. initial jobless claims and PMI data. Weekly market data cover the period through October 16, while research information was verified through October 18. Observation periods are specified separately for each chart.

Bitget•2026/10/19 06:51