Jack Dorsey wants to decentralize Bitcoin mining with new investment

Twitter (now X) co-founder and Bitcoin (BTC) advocate Jack Dorsey is backing a brand new BTC mining pool to assist miners regain management of block rewards and transaction charges.

Dorsey has led a $6.2 million seed spherical for Mummolin, the guardian firm of the brand new decentralization Bitcoin mining pool known as Ocean, according to an announcement on Nov. 29.

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The seed funding will assist the launch of Ocean, which is designed to decentralize and reshape the method of Bitcoin mining. The mining pool particularly goals to supply extra mining course of transparency and allow miners to obtain block rewards straight from Bitcoin quite than from BTC mining swimming pools.

Ian Northon, co-founder and chief authorized officer at Mummolin, informed Cointelegraph that the raised cash shall be used for normal company functions. “Our cap desk is personal, however we’re proud to have a number of OG Bitcoiners and different Bitcoin thought leaders again the venture,” Northon mentioned, including:

“Our payout system TIDES is an abbreviation for Clear Index of Distinct Prolonged Shares, which we imagine is an improve and enchancment on PPLNS and vastly higher than FPPS, particularly over miner’s transaction payment income.”

Luke Dashjr, Mummolin co-founder and long-time Bitcoin Core developer, believes that the position of mining swimming pools should change for Bitcoin to exist as a very decentralized foreign money.

“Ocean is a brand new sort of pool that permits miners to be actually miners once more. We’re launching as essentially the most clear pool and in addition the one noncustodial pool the place miners are the recipients of latest block rewards straight from Bitcoin,” Dashjr acknowledged.

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Mummolin co-founder and president Mark Artymko burdened that conventional BTC mining swimming pools take unique custody of block rewards and transaction charges earlier than distributing them amongst miners. “This offers them the power to withhold fee from particular person miners, whether or not by their very own selection or by authorized requirement,” Artymko mentioned, including:

“OCEAN’s non-custodial payouts on to miners from the block reward take away this danger and the pool’s undue affect over miners.”

Dedicated Ocean supporter Dorsey is assured that the platform will resolve the issue of additional centralization of swimming pools and mining swimming pools that would plague Bitcoin. He famous:

“After I see a venture that’s good for Bitcoin broadly, and that’s additionally good for me and my corporations personally, it turns into a easy resolution for me and I’m glad to be part of it.”

The launch of Ocean was introduced on the Way forward for Bitcoin Mining Convention within the shadows of Barefoot Mining’s 150-year-old hydroelectric dam in rural South Carolina. Barefoot Mining, the primary consumer of Ocean, has totally repurposed the dam, changing extra power to Bitcoin mining at scale.

Ocean’s launch is 139 days earlier than Bitcoin’s fourth halving event, which is predicted on April 17, 2024. After the halving, the present 6.25 BTC mining reward per block will drop to three.125 BTC, considerably lowering incentives for Bitcoin miners.

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