scalability – Does spy mining negate the harm caused by big blocks on decentralization?

No, it temporarily attenuates the issue, but doesn’t resolve the problem. A spy miner gains less reward for an empty block than the large miner building on its own block. Currently, transaction fees make up about 11.7% of the block rewards (average over last week). As the subsidy decreases in the longer term, the transaction fees are expected to make up an even greater relative portion.
Larger blocks would exacerbate the issue as the spy miners would spend more time in the state of reduced revenue, which translates directly to reduced revenue for whomever didn’t find the previous block.

reward schedule – The End of Mining

I would like to add some other effects not mentioned yet. The income of newly mined bitcoin to miners will get less over time. The costs don’t outweigh the benefits, so miners drop out. This results in longer processing time per block. Then it would cause the difficulty to drop, making it less expensive to mine a block.

So there won’t by a mining stop, there will just be less miners mining against a lower difficulty. At the level where the benefits outweighs the costs. And since the amount of new coins mined is halve every 4 years, the changeover is not abrupt.

Partly this will be compensated by the transaction fee, but people will also be able to change to other crypto-currencies if those provide lower fees. This could effect in a price drop of BTC, which would make it less lucrative for miners to continue, again re-establishing the balance.

Miners don’t hold an absolute monopoly.

In real live economy: The consumption of milk is going down, so there are too many milk farmers. The price of the milk goes down. Some milk farmers won’t be able to feed their cows and will close doors. Some of them do things smarter / cheaper and will survive.

Galaxy Digital establishes proprietary Bitcoin mining unit

Galaxy Digital is expanding its cryptocurrency service to include Bitcoin mining.
The company plans to start mining BTC on a proprietary basis. It is also reported that it will focus specifically on providing financial services for cryptocurrency miners.
What are your thoughts on this major enterprise?

Mining crypto currency

Hello guys.
Is there any crypto currency mining legitand paying we a minimum investment amount of $1 or 5$ daily or weekly mining and paying.
Please help me

Is mining Polkadot tokens possible?

Is mining Polkadot tokens possible or just staking?

Polkadot tokens is one of the Top tokens in the list right now.

Is Bitcoin mining NP-Hard?

I can’t find this anywhere online. Is bitcoin mining NP-Hard?

If so, how would we be able to prove a reduction from a known NP-hard problem? I am a bit lost.

blockchain – Understanding Transactions, Mining, and the 10 minutes block solved

How do miners decide how many transactions they should have in a block in order to mine 1 bitcoin?

The amount of work miners do has no impact on the amount of Bitcoin they make. The block subsidy is a fixed amount, and transaction fees are determined from transactions. Mining 1 Bitcoin does not require some specific amount of work.

Miners determine how many transaction they should have by determining how much in transaction fees they stand to gain from including those transactions. This is typically done by ordering all known unconfirmed transactions by their fee rate. Then the miner just includes as many transactions that is allowed by the consensus rules, starting from the transaction with the highest transaction fees.

When miners compete to find the “nonce” that has the smallest possible hash number, would it be faster/easier to find the “nonce” if there are fewer transactions?

No. The number of transactions has no significant effect on the difficulty of a block or the amount of work required to mine a block. While including more transaction nominally requires computing more hashes, this is negligible in the grand scheme of things, especially since this calculation is only done once for a set of nonces and extraNonces.

Do all miners try to solve a solution where all the transactions should be the same in a single block and everyone’s trying to compete to finding the nonce and hash?

Everyone chooses their own set of transactions to include. Everyone is making their own block, just each block points to the same parent block.

Or is it random, and its just whoever finds a hash the quickest, saves those transactions and adds it to the blockchain?

It is entirely random. It’s however finds a block first and broadcasts it.

Also, I noticed looking at, there are blocks being mined less than 10 minutes back to back, I thought it needs to be 10 minutes to be mined?

The average time between blocks is 10 minutes, but that is an average, not a requirement. Blocks can be found in less than 10 minutes, or more than 10 minutes. The average block is ~10 minutes.

Does bitcoin mining pool hash randomly and separately

Most mining pools use the stratum protocol. Part of this protocol includes a field for part of the extraNonce, named extraNonce1. The extraNonce is just extra data that is put in the coinbase transaction and used as a nonce in addition to the block’s nonce. Each mining worker can then append their own extraNonce to extraNonce1. This second part is named extraNonce2

Typically what mining pools do is they issue work to each worker with a different extraNonce1. This allows the worker to use the entirety of the nonce field as well as their own space for extraNonce2. The submitted work can also be identified to belong to a particular worker by examining the extraNonce1.

I’m not sure how specific mining pool software determine what extraNonce1 to give out, but an obvious method would be to do so sequentially – each time work is issued, extraNonce1 is incremented so that each worker gets something different to work on.

mining pools – Higher Hashrate VS Incorrect Shares

I recently started mining eth on my 5700 bios flashed to XT, mining on Nanopool. Getting around 48MH/s but i saw a method by Red Panda Mining which can increase my MH/s by around 10 giving me 60MH/s but a high ratio of incorrect shares using a config edit on Phoenix Miner. Im wondering if this is worth the increase in hashrate but ultimately still leads me to incorrect shares. My incorrect share rate is 2:1 using this edit. Thoughts?