bitcoin-dev

hashcash-newhash

hashcash-newhash

Original Postby Ariel Lorenzo-Luaces

Posted on: May 24, 2020 23:51 UTC

On May 24, 2020, Karl via bitcoin-dev initiated a discussion with ZmnSCPxj regarding the digest algorithm used in hashcash.

Karl suggested that migrating to new hashing algorithms would significantly increase decentralization and hence security. However, ZmnSCPxj argued that changing the hash algorithm to prevent development of ASICs and ensure commodity generic computation devices like GPUs are the only practical target is not a practical solution. Developing new hash algorithms is costly and requires coordinated hardforks over the entire network at an alarmingly high rate. ZmnSCPxj believes that non-ASIC-resistance is a non-issue. Miner earnings are determined by the cost of power supply, regardless of whether the most efficient available computing substrate for the hashcash algorithm is CPU, GPU, or ASIC. Geographic locations with significant costs of electrical power will still not be practical places to start a mine, regardless of the type of mining hardware used. Thus, improving the efficiency of energy transfer to increase the areas where cheap energy is available is the real solution to solve the issue of miner centralization.Karl suggested that an appropriate rate could possibly be calculated from the difficulty to gradually move the block reward from the previous hash to the next hash such that both are accepted with different rewards. He also proposed developing the frequency of introduction of new hashes such that once present-day ASICs are effectively obsolete anyway due to competition, new ones do not have time to develop. Karl wants to hear thoughts and concerns on this matter.