Jack Dorsey needs to decentralize Bitcoin mining with new funding

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 mother or father firm of the brand new decentralization Bitcoin mining pool known as Ocean, according to an announcement on Nov. 29.

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 offer extra mining course of transparency and allow miners to obtain block rewards straight from Bitcoin reasonably than from BTC mining swimming pools.

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

“Ocean is a brand new kind of pool that permits miners to be really 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 recent block rewards straight from Bitcoin,” Dashjr acknowledged.

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

“OCEAN’s non-custodial payouts on to miners from the block reward take away this threat 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 might plague Bitcoin. He famous:

“After I see a challenge that’s good for Bitcoin broadly, and that is additionally good for me and my firms personally, it turns into a easy resolution for me and I am blissful 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 shopper of Ocean, has totally repurposed the dam, changing extra power to Bitcoin mining at scale.

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

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