What is Flux (FLUX)?

Deep Dive

1. Web3 Cloud Infrastructure

Flux operates the largest decentralized computational network, with over 13,500 nodes (as of 2024) providing CPU cores, RAM, and storage globally. This “FluxCloud” hosts dApps, blockchain nodes (e.g., Kadena), and enterprise-grade solutions, prioritizing censorship resistance and user-owned data. Unlike centralized clouds, Flux’s distributed architecture reduces single-point failure risks and enables low-latency deployments.

2. Proof-of-Useful-Work (PoUW)

Flux’s consensus mechanism combines GPU mining with real-world utility. Miners and node operators split block rewards, but recent upgrades (July 2025 AMA) transitioned to PoUW v2, where nodes earn FLUX only by running applications or AI processes. This eliminates energy waste from traditional mining, aligning rewards with tangible network contributions.

3. Tokenomics & Governance

FLUX has a fixed max supply of 440 million (390 million circulating). Tokens are used to:
- Collateralize nodes (locking FLUX to run network tiers).
- Pay for services like decentralized hosting or GPU rentals via FluxEdge.
- Govern ecosystem changes through a decentralized autonomous organization (xDAO).
Block rewards halve every 2.5 years, with 0.5 FLUX/block funding developer grants since July 2025.

Conclusion

Flux reimagines cloud infrastructure as a decentralized, community-driven utility—combining Satoshi’s vision with modern Web3 demands. Its shift to application-focused rewards and resource efficiency positions it as a contender in decentralized AI and enterprise compute. Can Flux’s “people-powered cloud” outcompete legacy providers in scalability and cost while maintaining decentralization?