Blockchain
By Ayobami Abiola
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Mining Pools- A major Weakness in PoW
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Mitigation of this grave Challenge By Alts
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Solutions to Centralization of Mining Hash Rates
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A Suggestion to Bitcoin Devs
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Bitcoin mining pools are a great way to assure miners of earnings as opposed to being a lone-miner trying to find blocks first to gain rewards once in a blue moon.
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The disadvantages, however, affect the core foundation of what decentralization stands for. Few big mining pools can centralize the decisions of a blockchain network such as…
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“Once a group of selfish miners appears on the horizon, rational miners will preferentially join that mining group to obtain a share of their higher revenues.
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This reveals that it becomes possible for huge mining cartels or pools with the most mining power in the network to take over the transactions.
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Obviously, this is one major reason why Ethereum is considering a migration to the Proof of Work consensus algorithm.
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“We performed this critical move from POWX11 2 weeks into IOC mining period for a reason... remember our team started in 2014 all decisions are made with security in mind before…
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IOCoin made a migration fro Proof of Work consensus algorithm to Proof of Stake after two weeks of its launch because they have researched the major weakness in the former…
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Emin Gun Sirer who made the discovery in 2013 also went on to create Avalanche blockchain that operates Proof of Stake to incentivize it validators, and a mechanism to prevent…
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Digibyte in its own mining algorithm saw this grave revelation and mitigate the risks by running five mining algorithms that prevent miners with huge machines from gaining…
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According to different approaches to solving mining centralization, these solutions have been implemented by alternate cryptocurrencies:
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It is possible for Bitcoin developers to reach a consensus on how big a mining pool should be.
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