Author: Eric Martindale 2021-03-15 02:02:42
Published on: 2021-03-15T02:02:42+00:00
Bitcoin's security is derived from the energy consumption of mining, so any attempts to decrease the cost of attacking Bitcoin receives a hard NACK. A proposal was made to curtail the current cost of mining in kWh per block by turning mining into a lottery with only authorized pay-to addresses able to mine valid blocks. The proposer suggests that this could be overseen by a consortium but could be something Bitcoin can handle themselves. Reduce the overall expenditure would be an objective decrease in resilience and may reduce the efficiency at converting energy into hash power which is the driving factor in profitability for miners. The mining market will tend to expend resources equivalent to miner reward, and it has been proven that nothing is cheaper than proof of work. However, some argue that energy expenditure has negative externalities, and others argue that the negative externalities will go away soon because of the move to renewables.
Updated on: 2023-06-14T19:11:50.501868+00:00