bitcoin-dev

hashcash-newhash

hashcash-newhash

Posted on: May 24, 2020 19:50 UTC

The conversation discusses the need for decentralization and security of the hashing algorithm in Bitcoin.

There is concern about the recent concentration of hashrate by two entities, which could compromise the entire blockchain through a 51% attack. The solution proposed is changing the algorithm before it becomes publicly broken. The discussion revolves around two options, repeated hard forks or making repeated change a part of the protocol. Access to hardware that can do mining is also discussed as an equally large factor as the cost of power. The availability of hardware would matter much more if the price of bitcoin were to increase. The conversation acknowledges that expertise is easy to copy, but takes measurable months to do. Finally, the need for a physical world infrastructure to support virtual software tools is acknowledged, and the discussion turns back to the motivation for changing the proof of work algorithm in Bitcoin, which is to increase the security of the blockchain through decentralization.