Question 1

What is XCH?

Accepted Answer

XCH is the native asset of the Chia mainnet. The network uses Proof of Space and Time to select participants that can create blocks, and farmers that meet the rules can receive block rewards and the transaction fees included in those blocks. Under this mechanism, farmers store plots on hard drives in advance; the more storage space allocated, the greater the chance of receiving a challenge and validating a block. The time component uses a verifiable delay function (VDF) to prove that real time has passed; together with Proof of Space, it forms Chia’s consensus, rather than competition based on computing power or staked tokens.

Question 2

How does Chia farming earn XCH?

Accepted Answer

To earn XCH through farming, participants first complete plotting, store plot files on accessible storage devices, and keep farming software running. The network issues a new challenge about every 9 seconds; if a plot provides a valid and winning proof, the farmer earns the right to create a new block. The reward is not immediately available in the winning block. If the winning block is a transaction block, the reward is paid in the next transaction block; otherwise, it is paid in the transaction block after that. This income consists of the block reward at that time and the fees generated by transactions in that block.

Question 3

Does more storage space always mean earning more XCH?

Accepted Answer

More allocated storage space increases the relative chance of earning XCH, but it does not guarantee that a block will be won during any particular period. Each plot is similar to one lottery chance, and the network repeatedly issues new challenges. Past wins do not accumulate toward the next challenge: even if the software displays an estimated time to win, it is only an estimate based on the share of space, and the actual time may be longer or shorter. Therefore, adding space changes long-term relative probability, not certainty of winning on any given attempt.

Question 4

What is the difference between solo farming and joining a pool?

Accepted Answer

With solo farming, you retain the reward associated with a winning block yourself, so income generally arrives less often but in larger individual amounts; joining a pool distributes members’ expected income under the pool’s rules as smaller, more frequent payments. Both approaches rely on plots participating in challenges; the main difference is income volatility and the distribution path. Official farming materials describe long-term results as approximately the same, while pools charge pool fees; a pool improves income predictability and does not give an individual plot any additional probability of winning in consensus.

Question 5

How is XCH issued?

Accepted Answer

XCH comes from two parts: the strategic reserve in the genesis block and subsequent block issuance. The first mainnet block paid 21 million XCH to addresses controlled by Chia Network Inc.; this portion is the strategic reserve and should not be confused with newly issued XCH that farmers gradually receive through subsequent block creation. Apart from the genesis block, each farmed block creates new XCH according to the reward schedule then in effect. The total reward for a winning block is split into two coins: 1/8 is the farmer coin and 7/8 is the pool coin; the latter is paid to the farmer or pool address according to the plot’s pool setting.

Question 6

Will XCH block rewards remain unchanged forever?

Accepted Answer

No, it does not remain unchanged indefinitely. Apart from the strategic reserve, Chia’s block reward starts at 2 XCH per block and halves approximately every three years after mainnet launch; in practice, the rule is triggered by block height rather than automatically at a particular calendar time. After four halvings, the long-term reward is 0.125 XCH per block: 2, 1, 0.5, 0.25, then fixed at 0.125 XCH. Halving changes the amount of XCH created by each new block, thereby reducing the rate of new issuance; it does not itself determine the holding or transfer of existing XCH.

Question 7

What is the relationship between mojo and XCH?

Accepted Answer

A mojo is the smallest unit of measurement for XCH: 1 XCH = 1,000,000,000,000 mojo (10^12 mojo). XCH is the larger unit that is easier for humans to read, while consensus code records amounts in mojo. Therefore, an XCH amount displayed as a decimal can correspond to an integer number of mojo; unit conversion does not change the asset amount or reward rules, only the precision with which an amount is represented.

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