"Eric Budish, a Professor of Economics at the University of Chicago, recently published a working paper called “The Economic Limits of Bitcoin and the Blockchain,” in which he argues that the theoretical threat of a majority attack (a.k.a. 51% attack) in Bitcoin is much higher than we believe."
Links to the best articles, videos and podcasts about Crypto Mining.
"One problem that concerns many is the centralization of mining within the Bitcoin ecosystem. Fortunately, there are talented developers working to solve this problem and Matt Corallo, full-time Bitcoin developer at Chaincode Labs, is one of them. His BetterHash Mining Protocol is intended to significantly decrease the problems associated with mining pool centralization."
"The miners’ job is to secure the network. They do so by finding proof of work. Having 51% of the network hash power gives a single miner the ability to attack the network. That, however, is not the same as controlling the network."
"Bitcoin is not going into a “mining death spiral.”
"This first is part ‘TL;DR’; part commentary on recent events; and part in-depth explanation of terms, methodology and the concept of Bitcoin creation costs."
"But that’s not how bitcoin works, thanks to one of the many strokes of genius baked into its fundamental design: difficulty adjustment. The bottom-line explanation of difficulty adjustment is that every time a mining rig is shut down, the bitcoin protocol increases the incentive for other miners to stay online. It’s as if every time a Sears shut down, all the remaining stores became more profitable."
The whitepaper. "In this work, we study the prevalence of this new phenomenon. We identify and classify mining websites in 138M domains and present a new fingerprinting method which finds up to a factor of 5.7"
"In this article, I will try to simply explain the main differences between Proof of Work vs. Proof of Stake, and provide a definition of mining, or the process where new digital currencies are released through the network."
"In the wake of the recent and most (in)significant push to change Bitcoin’s Proof-of-Work, I thought it would be a good opportunity to score some more brownie points from the community by laying it to rest. I’m going to discuss the more broader topic of hardware specialization (“ASIC Resistance”), the technical and logical flaws in trying to resist specialized hardware, some history around this, and then I’ll touch on what I hope to be a short lived (and fishy) motion for a Proof-of-Work algorithm change that nobody wants besides two and a half people"
The article is worth reading for its history of Proof of Work part.
The article debunks some of the exaggerated claims about energy consumption and climate impact of the Bitcoin mining.
The lengthy and really deep analysis of the state of cryptocurrency mining. David Vorick dissects ASIC resistance, secret ASIC mining, mining farms and the economics of mining in contexts of hardware.
The article explains the value of the different utility players in distributed networks that maintain stability and perform crucial jobs in the crypto-economic model.