Version: 1.3
Date: September 2026
Website: https://www.dragonchain.cc
GitHub: https://github.com/dragonchain2026
Dragonchain is a decentralized peer-to-peer electronic cash system based on proof-of-work (PoW) consensus, built on Sugarchain's PoW and difficulty-adjustment parameters (5-second blocks, Yespower, SugarShield-N510), with the signature algorithm replaced by post-quantum secure Falcon-512 (drawing on Tidecoin's post-quantum security approach). Dragonchain achieves one of the fastest PoW transaction confirmations in the world with 5-second block times, employs the Falcon-512 post-quantum signature algorithm to resist future quantum computer attacks, and realizes "one-CPU-one-vote" decentralization through the Yespower CPU-friendly mining algorithm. Dragonchain has never conducted an ICO, premine, or private sale — it is a fully fair-launch, community-driven project.
Bitcoin [1], as the first successful decentralized digital currency, demonstrated the feasibility of electronic payment systems based on cryptographic proofs. However, as blockchain technology has evolved, Bitcoin faces two fundamental challenges:
Dragonchain addresses both challenges with a systematic solution: - 5-second block time, 120x faster than Bitcoin - Falcon-512 post-quantum signature algorithm, resistant to quantum computing attacks
Dragonchain strictly adheres to Satoshi Nakamoto's "one-CPU-one-vote" principle. Through the Yespower algorithm, mining power is distributed across a wide range of CPU devices, rather than concentrated in GPU farms or ASIC miners.
| Parameter | Value | Notes |
|---|---|---|
| Block Time | 5 seconds | Among the fastest PoW blockchains |
| Genesis Block Reward | 42.94967296 DRAGON | Genesis block only |
| Initial Period Reward | 3.32988658 DRAGON | First 6 months (blocks 1–3,153,599) |
| Standard Block Reward | 0.20807311 DRAGON | After 6 months, halving every 4 years |
| Halving Interval | 25,228,800 blocks (~4 years) | |
| Total Supply | 21,000,000 DRAGON | Equivalent to Bitcoin's total |
| Genesis Time | 2026-05-04 21:20:00 CST | Unix timestamp: 1777900800 |
| PoW Algorithm | Yespower 1.0.1 | CPU-friendly |
| Signature Algorithm | Falcon-512 | Lattice-based post-quantum cryptography |
| Address Format | Bech32 (dragon1...) | Native SegWit |
| Difficulty Adjustment | SugarShield-N510 | 510-block moving window (~42.5 min) |
| P2P Port | 29000 | |
| RPC Port | 28999 | |
| Premine/ICO/IEO | None | Fully fair launch |
Quantum computers pose a fundamental threat to traditional public-key cryptography. Shor's algorithm can solve both the integer factorization problem and the elliptic curve discrete logarithm problem (ECDLP) in polynomial time, meaning Bitcoin's ECDSA (secp256k1) signatures would be completely broken by a sufficiently powerful quantum computer.
In December 2020, a photonic quantum computer demonstrated "quantum supremacy" over classical supercomputers [3]. While current quantum computers lack the scale to break Bitcoin signatures, cryptocurrency design must think in decades — when quantum computers mature, unprotected blockchains will face catastrophic security failure.
Dragonchain employs Falcon-512 (Fast-Fourier Lattice-based Compact Signatures over NTRU) as its digital signature algorithm. Falcon is an implementation of the lattice-based signature framework introduced by Gentry, Peikert, and Vaikuntanathan in 2008, and was selected by NIST in 2022 as a post-quantum digital signature standard (FIPS 206) [4].
Core Principles:
Falcon's security is based on the Short Integer Solution (SIS) problem over NTRU lattices. The scheme works as follows:
Falcon-512 Characteristics:
| Property | Value | Notes |
|---|---|---|
| Signature Size | 690 bytes | Padded maximum signature length in the code (the NIST-standard Falcon-512 signature is 666 bytes); larger than RSA/ECDSA, but far smaller than SPHINCS+ and other post-quantum signatures |
| Public Key Size | 897 bytes | Compact, suitable for embedded devices |
| Classical Security | ~128 bits | NIST Security Level 1 (equivalent AES-128) |
| Signing Speed | Thousands/sec | On a common computer |
| Verification Speed | 5–10x faster than signing | |
| RAM Usage | <30 KB | Suitable for memory-constrained devices |
Quantum Resistance: Falcon is based on lattice cryptography. There is currently no known efficient solving algorithm in the general case — even with the help of quantum computers — because the underlying hard problem (SIS over NTRU lattices) has no known efficient quantum solution. This stands in stark contrast to traditional cryptography based on integer factorization or discrete logarithms.
Dragonchain fully integrates Falcon-512 into the transaction signing and verification flow:
PQCLEAN_FALCON512_CLEAN_crypto_sign_keypair() generates public/private key pairsPQCLEAN_FALCON512_CLEAN_crypto_sign_signature() signs transaction hashesPQCLEAN_FALCON512_CLEAN_crypto_sign_verify() validates signatures// Signature size: 690 bytes (src/key.h)
#define PQCLEAN_FALCON512_CLEAN_CRYPTO_BYTES_ 690
// Signature verification (src/pubkey.cpp)
int r = PQCLEAN_FALCON512_CLEAN_crypto_sign_verify(
vchSig.data(), vchSig.size(),
hash.begin(), 32,
pch + 1
);
Because Falcon-512's private key is 1281 bytes (far larger than Bitcoin secp256k1's 32 bytes), it cannot directly apply BIP32's HD derivation mechanism, which is based on 32-byte private keys; therefore it is incompatible with BIP32 hierarchical deterministic (HD) wallet derivation. Dragonchain considers this a reasonable trade-off: post-quantum security takes priority over HD convenience. For mobile wallets, Dragonchain adopts a non-HD approach: a single Falcon-512 private key is backed up and encrypted using a mnemonic, rather than deriving child keys along a derivation path.
Dragonchain uses Yespower 1.0.1 as its proof-of-work algorithm [5]. Yespower builds upon scrypt with the following properties:
This design tends to distribute mining power across a wide range of general-purpose computing devices, approaching the "one-CPU-one-vote" decentralization ideal.
PoW Verification Flow:
H(Nonce) = Hash(Hash(nVersion, hashPrevBlock, hashMerkleRoot, nTime, nBits, Nonce))
If H(Nonce) < PoW_Target:
Proof of Work is valid → Broadcast new block → Receive block reward
Minimum Difficulty (powLimit):
0x003fffffffffffffffffffffffffffffffffffffffffffffffffffffffffffff
The lower powLimit enables: 1. 5-second ultra-fast block production 2. Low-end CPUs to participate in mining
Dragonchain adopts the SugarShield-N510 difficulty adjustment algorithm (DAA), which originates from Sugarchain (based on Zcash's improvement of Digishield), using a 510-block (~42.5 minutes) moving average window.
Core Formula:
target_{h+1} = avg_N_targets × (1 + (t_N − t₀) / (4 × T × N) − 1/4)
Where T = 5 (target block time in seconds), N = 510 (window size)
Parameter Configuration:
| Parameter | Value | Notes |
|---|---|---|
| Target Block Time | 5 seconds | |
| Difficulty Period | 510 blocks (42.5 min) | |
| Max Adjust Down | 32% | Per period |
| Max Adjust Up | 16% | Per period |
| DAA Start Block | Block 511 | |
| DAA Stable Start | Block 512 |
Attack Resistance: - Future Time Limit (FTL) prevents timestamp attacks: blocks whose timestamp exceeds the local network adjusted time (nAdjustedTime) by 60 seconds are rejected - When the median peer time offset exceeds 70 seconds, the node ignores that peer's time data (zeroing the time offset) and logs a warning, not adopting that time source
Dragonchain follows Nakamoto consensus with the longest-chain rule: nodes always consider the chain with the most accumulated proof-of-work as the correct chain, and continue to extend it. When two nodes broadcast different versions of the next block simultaneously, nodes process the first received block but retain the other branch. When the next proof-of-work is found, the chain with the most accumulated work wins and becomes the longest branch; most nodes on the network will then switch to that branch. Because the 5-second block time is extremely short, block propagation delay and the orphan rate are higher than on 10-minute chains; the actual average block time is slightly above 5 seconds, and forks and reorganizations occur more easily under hash-rate fluctuations.
Dragonchain's total supply is strictly limited to 21,000,000 DRAGON, matching Bitcoin's economically significant total.
Block Reward Structure:
Phase 1 (Genesis, Block 0):
Reward = 42.94967296 DRAGON (= 2³² / 10⁸)
Phase 2 (Initial Period, Blocks 1–3,153,599, ~6 months):
Reward = 3.32988658 DRAGON/block
Total ≈ 10,500,000 DRAGON (about half the supply)
Phase 3 (Standard, Blocks 3,153,600 onward):
Reward = 0.20807311 DRAGON/block
Halving every 25,228,800 blocks (~4 years)
64 halving cycles → reward eventually reaches zero
Total Supply Calculation:
Total Supply = 42.94967296 + 10,500,000 + Σ(n=0→63) 25,228,800 × 0.20807311 / 2^n
≈ 42.94967296 + 10,500,000 + 10,498,870
≈ 21,000,000 DRAGON
Dragonchain employs a front-loaded issuance strategy: - First 6 months: Half of the total supply (10,500,000 DRAGON) is released, rapidly establishing circulation - After 6 months: Standard 4-year halving cycle, gradually releasing the remainder - ~256 years later (theoretical value assuming strict 5-second block times): All DRAGON will have been mined
Advantages of this design: 1. Early miners receive sufficient incentive to participate in network building 2. Rapidly established liquidity facilitates exchange listings and payment application integration 3. Long-term halving mechanism maintains sustained scarcity
The trade-off to weigh: front-loaded issuance gives early participants significantly higher rewards (3.33 DRAGON/block initially, dropping to roughly 0.208 DRAGON/block thereafter, a ~16x drop), so later miners face clearly reduced incentives, and this pattern carries some tension with a "fully fair launch" — it is a deliberate design trade-off, not a pure advantage.
| Parameter | Bitcoin | Dragonchain |
|---|---|---|
| Total Supply | 21,000,000 BTC | 21,000,000 DRAGON |
| Block Time | 10 minutes | 5 seconds |
| Initial Reward | 50 BTC | 3.33 DRAGON (42.95 in genesis block) |
| Halving Interval | 210,000 blocks (~4 years) | 25,228,800 blocks (~4 years) |
| Halving Count | 33 | 64 |
| Fully Mined | ~2140 CE | ~2282 CE |
| Smallest Unit | 1 satoshi (0.00000001) | 1 satoshi (0.00000001) |
Dragonchain uses Bech32 encoding (BIP173) for Native SegWit addresses by default, in the format:
dragon1q8e0znwfry08evlqxkawgpl2pfashr8ceg9wfw3
Address Decomposition:
- dragon: Human-Readable Part (HRP), identifies the Dragonchain network
- 1: Separator
- q: Witness version (v0)
- 8e0znwfry08evlqxkawgpl2pfashr8ce: Witness program (32 characters, Base32-encoded 20-byte program)
- g9wfw3: Checksum (6-character BCH code)
Legacy vs. Native SegWit:
| Feature | Legacy (Base58) | Bech32 (Native SegWit) |
|---|---|---|
| Example Address | S... | dragon1... |
| Case Sensitivity | Case-sensitive | Case-insensitive |
| QR Code Efficiency | Low | High |
| Error Detection | Moderate | Excellent (highly reliable detection) |
| Transaction Fees | Higher | Lower |
Legacy address prefixes: public key addresses begin with S, script hash addresses begin with s.
Dragonchain enables Segregated Witness (BIP141/BIP143/BIP147) from the genesis block, with all transactions defaulting to SegWit format. Compared to traditional transaction formats:
Every Dragonchain transaction is signed using the Falcon-512 algorithm. Signatures are 690 bytes and public keys are 897 bytes. While larger than Bitcoin's ECDSA (~71-byte signatures, 33-byte public keys), this trade-off provides long-term security against quantum computing attacks.
Dragonchain uses a fully distributed peer-to-peer network topology without super nodes. Every full node runs identical configuration and code, forming a self-organizing network through broadcast mechanisms.
Node Operation Flow: 1. New transactions are broadcast to all nodes 2. Each node collects new transactions into a block 3. Each node performs PoW computation and broadcasts valid proofs to the network 4. Nodes collect proofs of work and generate valid blocks 5. Nodes accept blocks only when PoW and all transactions are valid 6. Nodes express acceptance of a chain by creating the next block, using the hash of the accepted block as the previous hash
| Metric | Current | Daily Growth |
|---|---|---|
| Block Count | ~2,034,000+ | ~15,700 blocks/day |
| Blockchain Size | ~1.8 GB | ~14 MB/day |
| Annual Growth | — | ~5.1 GB/year |
Note: Falcon-512 signatures (690 bytes) plus public keys (897 bytes) make per-transaction key and signature sizes far larger than Bitcoin's ECDSA (~71-byte signature + 33-byte public key). The figures above are estimates under the current low transaction load; as transaction volume rises, storage and bandwidth requirements will grow significantly beyond this linear estimate.
Dragonchain's post-quantum security levels:
| Attack Scenario | ECDSA (Bitcoin) | Falcon-512 (Dragonchain) |
|---|---|---|
| Classical Computer Attack | Secure (128-bit) | Secure (~128-bit equivalent) |
| Shor's Algorithm (Quantum) | Completely Broken | Secure (no known efficient quantum solver for lattice problems) |
| Grover's Algorithm (Quantum) | N/A (Grover does not target signature algorithms; however PoW hash difficulty is affected by Grover, with security reduced to roughly the square root) | Signature security is unaffected; however its SHAKE hash component likewise experiences Grover square-root-level acceleration |
| Side-Channel Attacks | Implementation-dependent | Implementation-dependent; Falcon requires stronger side-channel protection than ECDSA due to floating-point FFT/sampling steps, and needs a constant-time implementation |
| Phase | Timeline | Goals |
|---|---|---|
| Phase 1 | 2026 Q2 | Mainnet launch, full node release, mining activation ✅ |
| Phase 2 | 2026 Q2 | Block explorer launch, official website deployment ✅ |
| Phase 3 | 2026 Q3-2027+ | Android mobile wallet (SPV), smart contracts, etc. |
Dragonchain builds on Sugarchain's PoW and difficulty-adjustment parameters, replacing the signature algorithm with post-quantum secure Falcon-512 (drawing on Tidecoin's post-quantum security approach), to build a next-generation decentralized electronic cash system that excels in both speed and security.
Through 5-second block times, Falcon-512 post-quantum signatures, Yespower CPU-friendly mining, and the SugarShield-N510 difficulty adjustment algorithm, Dragonchain achieves systematic innovation in transaction speed, quantum security, decentralization, and economic model sustainability.
As a fully community-driven, fair-launch project with no premine and no ICO, Dragonchain is committed to becoming a trusted decentralized payment infrastructure for users worldwide.
This project has no affiliation with Disney's Dragonchain (dragonchain.com, token DRGN); the similarity in name is purely coincidental.
[1] S. Nakamoto. Bitcoin: A Peer-to-Peer Electronic Cash System, 2008.
[2] P. W. Shor. Polynomial-Time Algorithms for Prime Factorization and Discrete Logarithms on a Quantum Computer. SIAM Journal on Computing, 1997.
[3] IEEE Spectrum. Photonic Quantum Computer Displays 'Supremacy' Over Supercomputers, Dec 2020.
[4] Falcon: Fast-Fourier Lattice-based Compact Signatures over NTRU. https://falcon-sign.info/falcon.pdf
[5] Yespower. https://www.openwall.com/yespower/
[6] Zenny Kim. Sugarchain: A PoW Blockchain with Fastest Transactions and Halving without Rounding Errors.
[7] EverettX. Tidecoin: A Post-Quantum Security Peer-to-Peer Crypto Cash, 2020.
Dragonchain is an open-source project released under the MIT License. Anyone is free to use, modify, and distribute this project's code.