Author: Bob McElrath 2021-12-14 23:33:05
Published on: 2021-12-14T23:33:05+00:00
The author of a bitcoin-dev post has proposed a new form of mining pool, but Bob McElrath argues that it is not a "pool" in the traditional sense. A pool typically collects "weak blocks" to measure each miner's hashrate and subdivide profits based on difficulty targets. In contrast, this proposal relies solely on the blocks themselves to determine payouts, without any statistical measurement to divide payments. This approach does not reduce profit variance and increases block-space inefficiency since miners must pay each other within the window N. Furthermore, it reduces fee revenue due to all the extra block space used for miner payouts. Despite the proposal's ability to alleviate centralization pressures faced by pools, McElrath argues that it is an expensive and complicated solution with no significant advantages over traditional pools.
Updated on: 2023-06-15T03:33:39.792265+00:00