Cannacoin™: A Peer-to-Peer Electronic Currency System for the Cannabis Industry

What is Cannacoin™

Friends, imagine if you wanted to buy or sell some special goods, such as cannabis products, but due to legal and regulatory restrictions, banks and traditional financial institutions are unwilling to provide you with services. You can only transact in cash, which is not only inconvenient but also poses security risks. Cannacoin™ (abbreviated as CCN) is a project that acts as a "digital wallet" and "payment system" tailor-made for this special industry.

It is a blockchain-based electronic cash system called "Smoke by Cannacoin™." Its main goal is to solve the financial challenges faced by the cannabis industry, such as lack of transparency in transactions, inconvenience and risks associated with cash dependency, etc. Simply put, it aims to use blockchain technology to enable buyers and sellers of cannabis products to transact securely, transparently, and efficiently, just like using regular digital currency.

This project is developed based on the Scrypt algorithm of Blackcoin 13.2, meaning it draws on some mature technical foundations. As of December 2025, its mainnet has already launched and is running.

Project Vision and Value Proposition

The vision of Cannacoin™ is to fundamentally change the business model of the cannabis industry, allowing everyone from growers to consumers to transact within a more inclusive and decentralized financial system. It aims to integrate the cannabis economy into a decentralized and transparent financial paradigm.

The core problem it seeks to solve is: the cannabis industry faces a complex regulatory environment globally, making it difficult to connect with traditional financial systems, resulting in a heavy reliance on cash transactions, which are inefficient and unsafe. This cash dependency not only increases the risk of theft but also hinders digital innovation.

Cannacoin™'s value proposition is to provide a novel peer-to-peer (P2P, meaning users transact directly without banks or other third-party institutions) electronic cash solution, leveraging blockchain technology to fill these gaps. It is committed to building a transparent and empowering digital economic environment, enabling the cannabis industry to break free from the constraints of traditional finance.

Compared to similar projects, Cannacoin™'s uniqueness lies in its customization for the cannabis industry, combining hybrid Proof-of-Stake (PoS) and Proof-of-Work (PoW) mechanisms to address industry-specific challenges such as financial inclusion, supply chain transparency, and regulatory compliance.

Technical Features

Technically, Cannacoin™ adopts a hybrid consensus mechanism, which is like combining two different "accounting methods":

• Proof-of-Work (PoW): This is the mechanism used by early cryptocurrencies like Bitcoin, where miners compete for the right to record transactions by solving complex computational puzzles and receive rewards. Cannacoin™'s PoW phase uses the Scrypt algorithm, which is the foundational algorithm of Blackcoin 13.2. In this phase, miners receive a reward of 50 coins for each successfully mined block.
• Proof-of-Stake (PoS): This is a more energy-efficient mechanism, where users who hold and lock (stake) tokens can participate in transaction validation and receive rewards based on the amount of tokens they hold. In Cannacoin™'s PoS phase, stakers receive 21 coins for each successfully validated block, with 5% of PoS rewards allocated to community projects.

The project is designed with a transition period, and after reaching block 2,102,400, it will primarily shift to the PoS mechanism. Its goal is to generate a new block every 1 minute, and transactions require 12 confirmations to be finalized, which helps improve transaction reliability. PoW mining difficulty adjusts every 120 minutes.

To ensure network security, theoretically, an attacker would need to control more than 50% of the staked tokens to launch an attack.

Additionally, the whitepaper mentions some features that may be implemented in the future, but as of March 2025, these features remain theoretical:

• Cannabis-backed Loans: Envisioning that farmers could use cannabis as collateral to obtain loans based on Smoke tokens through a decentralized network.
• Seed-to-Sale Tracking System: Using non-fungible tokens (NFTs, unique digital assets that can represent ownership of specific items) to enhance supply chain transparency and track the entire lifecycle of cannabis products.
• NFT Integration: Integrating NFT technology into the project, potentially for representing ownership, certification, or special rights.

Tokenomics

The token symbol for Cannacoin™ is CCN.

• Total Supply: Cannacoin™ has a fixed total supply of 420,000,069 coins.
• Premine: At launch, the project premined 5% of the tokens, i.e., 21,000,003 coins. These premined tokens have a clear allocation plan: 40% for project development, 30% for marketing, and another 30% for community building.
• Issuance Mechanism:
  • During the PoW phase, 105,120,000 coins were distributed through mining.
  • During the PoS phase, an estimated 293,880,066 coins will be distributed through staking over approximately 26.58 years.
• Inflation/Burn: The project does not have a "halving" mechanism like Bitcoin, and controls inflation moderately through the transition to PoS to encourage long-term participation.
• Token Utility: CCN tokens are primarily designed as an electronic cash system for the cannabis industry, facilitating transactions.
• Transaction Fees: The network supports optional transaction fees, which can incentivize participants to maintain the network.

Team, Governance, and Funding

According to the whitepaper, the "Smoke by Cannacoin™" whitepaper was written by "deusopus" via Grok 3. On CoinMarketCap, Brent Kohler (aka deusopus) is listed as the leader of the early Cannacoin project. This may indicate some continuity or rebranding relationship with the earlier Cannacoin project.

In terms of governance, the project allocates 5% of PoS rewards to community projects, indicating that the community plays a role in project development. Additionally, the project adopts an open-source development model, encouraging global community members to collaborate via GitHub and jointly advance the project.

In terms of funding, the project supports development, marketing, and community building through premined tokens.

Roadmap

The Cannacoin™ roadmap can be divided into achieved milestones and future plans:

• Historical Milestone:
  • As of December 2025, Cannacoin™'s mainnet has launched and is running.
• Future Plans:
  • The whitepaper proposes theoretical frameworks such as cannabis-backed loans, seed-to-sale tracking systems, and NFT integration to address industry-specific issues. However, as of March 2025, these features have not yet been implemented.
  • The project is committed to continuous development to meet the needs of the global cannabis market, which is expected to reach $73.6 billion by 2027.

Common Risk Reminders

Any blockchain project comes with risks, and Cannacoin™ is no exception. Here are some common risks to be aware of:

• Technical and Security Risks: Although the project uses a hybrid PoW/PoS mechanism to enhance security, any PoS system theoretically faces the risk of a "51% attack," meaning if an attacker controls more than 50% of the staked tokens, they could impact the network.
• Economic Risks: Some core features proposed in the Cannacoin™ whitepaper, such as cannabis-backed loans, seed-to-sale tracking, and NFT integration, have not been implemented as of March 2025. This means the project's full value proposition has not yet been fully realized, and its future development and token value may be affected by the implementation of these features. For example, cannabis-backed loans face practical obstacles such as perishability and changing legal environments.
• Compliance and Operational Risks: The cannabis industry faces a highly fragmented and constantly changing regulatory environment globally, especially with federal bans still in place in many regions. This regulatory uncertainty is a core issue Cannacoin™ seeks to address, but it also constitutes a major external risk for the project, potentially affecting its adoption and application. Additionally, note that some dates in the whitepaper (such as March 2025 and December 2025) indicate that this is a very recent or even forward-looking document, and the degree of realization of its content requires ongoing attention.

Verification Checklist

If you want to learn more about the Cannacoin™ project, you can refer to the following official resources:

• Official Website: https://cannacoin.org
• GitHub Repository: https://github.com/cannacoin-official/cannacoin-smoke
• Block Explorer: Links are usually available on the official website for checking transaction and block information.
• P2P Port: 23414
• RPC Port: 23413
• Main Node: cannacoin.duckdns.org

Project Summary

Cannacoin™ (CCN) is a blockchain project focused on solving the financial pain points of the cannabis industry. Through its "Smoke by Cannacoin™" system, it aims to provide a decentralized and transparent electronic cash solution for this highly regulated industry. The project adopts a hybrid PoW and PoS consensus mechanism and sets a fixed total token supply and premine allocation plan. Although its whitepaper outlines ambitious visions including cannabis-backed loans and NFT tracking, it is important to note that as of March 2025, these advanced features remain theoretical and have not yet been implemented. The project's success will largely depend on its ability to effectively launch in a complex regulatory environment and deliver on its promised technical features.

It is worth mentioning that there are several similarly named projects in the cryptocurrency space. This introduction is mainly based on the whitepaper information of "Smoke by Cannacoin™." As with any emerging technology, blockchain projects come with various risks, including technical, economic, and compliance risks. Therefore, before making any decisions, be sure to conduct your own thorough research (DYOR), and remember this is not investment advice.