Bitcoin (BTC) possible algorithm change...
Co-owner of http://bitcoin.org & http://bitcointalk.org , Cobra, wrote an open letter to the Bitcoin community to change the proof-of-work algorithm.
Link to open letter:
https://medium.com/@CobraBitcoin/an-open-letter-to-the-bitcoin-community-to-change-the-proof-of-work-algorithm-12a6545c20d0
This idea is slowly developing last months and whoever follow Cobra could guess that proposal like this will come for sure.
I really understand Cobra's point and I also think this kind of change is necessary.
If one of most important things about Bitcoin is decentralization, than community and developers need to react to stop BITMAIN dominance. If one company control so much hushpower, Bitcoin potentially can be easy target. With money that they are making from Bitcoin mining and from selling their ASIC miners, their dominance will just grow. Bitcoin should be trustless and if BITMAIN dominance continue to grow than you need to trust BITMAIN and point of Bitcoin being trustless is lost.
This potential threat in my opinion is not from BITMAIN itself, because why would somebody destroy business that makes him 4 billion dollars per year. This threat could be from governments or some other organizations that could potentially force BITMAIN to hurt Bitcoin.
I don't have anything against and I truly respect BITMAIN and Jihan Wu because he had vision and faith in Bitcoin when not so many people supported Bitcoin. He has invested significant amount of money in Bitcoin mining and Bitcoin miners, he made ASICs and this dominance was not given to him, he earned it.
But this is not good for Bitcoin, makes Bitcoin vulnerable and developers and community should find solution to stop this. Changing algorithm is maybe first step in this fight and we will see how will thins develop. I really believe in Bitcoin and I am sure that Bitcoin community and developers together will find best solution to make Bitcoin stronger.
I would like to hear your opinions about this proposal...
I was so shocked by the size of bitmain that I forgot to mention how shocked I was of seeing the name of COBRA 💪💰✨
maybe BTC companies have come a bit to commercial as well ;)
Asic are useful tools for in POW. Asic basically force miners/ lock miners into using the chain. Gpu= miners switching the chain anytime. Asic= not many choices
But bitcoin can't handle a POW change now. If we do this then bitcoin credible/security would go down hill. But i do like cobra's plan. Here what i think should happen.
After LN is 70% mass adopted. The community now can hear/focus on other things such as POW change.
An Asic friendly POW that looks for useful numbers and a POS hybrid. With this in one year, it will be put into bitcoin mainet. It would kill two birds. One bitcoin POW is not completely wasteful and gives enough time for companies to make asics. POW would get 99.8% of the reward block. While POS would get 0.2% of the block reward. Aka the too proof are weighted differently. POS would be full nodes now earning bitcoins block rewards and the fees while earning from LN fees.
POW+POS gives the perfect mix of the two.
Make sense what you are talking. Point is to make Bitcoin stronger, not to start war against BITMAIN.
um...Should i clarity what i mean more? I meant that POW change can't be done now and i gave an modified version of cobra POW change plan.
I confused on
Ask me what so confusing and I'll clarify my statement. :)
I should wrote "have sense" 😁 sorry. I understand what is your idea and I like it👍
No problem :)
Rumor has it that #Samsung is going to making some moves in the world of mining Asics. I'm not surprised at all though! #crypto
Bitcoin is a remarkable achievement in the field of cryptography, and its ability to create something that can not be duplicated (faked) in the digital world is of great importance.
Yeah bitcoin will definetly become stronger.
Nice post👍🏻
nice news. bitmain have very bad trustpilot reviews.
It would be great to see any movement from the community to react on Centralized or Monopoly in Bitcoin. Thanks @cicbar for sharing.
i am more afraid of the exchanges than the mining companies because they own a lot of bitcoins and cryptocurrency.
Agree that this is dangerous and I hope more people will understand that only if you trade on DEX, you control private keys...
yes but is not good to keep all the eggs in the same basket either. but in the end, no risks no money!
I certainly agree with this. Some of these exchanges really scare me! Beware! It's best practice to NOT keep any of your assets in an exchange if you don't have to. Best idea is to take what you can out of the exchange and keep it in a Ledger Nano or something of the sort. #crypto
the whales are a treat for the small investors because they can manipulate the price. good post. 👍
Thanks 😁
Excellent post very good advice from you here I'm happy to read your content
Thanks :-)
As far as I can tell these are only thoughts and no definite plans, since no real solution was provided. Still nice to read that the devs are strongly aware of this problem and intend to solve it.
Thanks for sharing!