New Bitcoin mining pool protocol proposed may increase BTC decentralization and increase miner security

posted 8 months ago
Prague-based startup Braiins, the company behind the world's sixth-largest Bitcoin mining pool ‘SlushPool’ released software aiming to patch security problems with some mining pools. Hooking up to a mining pool means combining efforts with other miners, and getting paid for the total computing power they contributed, which is said to increase individual miner profitability. Stratum, the industry standard used to connect miners to pools since 2012, has reportedly been improved in the new protocol Stratum V2.

Braiins co-founder Jan Capek stressed that miners gain security and efficiency in terms of bandwidth if they run the software. Stratum V2 is said to allow miners to connect to them in this new way, providing better privacy for them and building in protections from so-called hijacking attacks, where other entities temporarily steal their hashing power. Currently, EMCD mining pool is experimenting with the protocol.

Notably, the community can still provide feedback on the specifications, as the community needs to agree with the included changes before it becomes the industry standard. Also, the feature of ‘job negotiation’ if adopted, could return "voting" power over Bitcoin protocol upgrades, which mining pools currently have, back to individual miners. By doing so, it could help decentralize mining in one sense by redistributing power from pools to the miners they are composed of. To implement, this would first require a "template distribution interface" added to Bitcoin Core, the most popular Bitcoin full node software implementation.
Tags: blockchain, bitcoin, news