This Week in Mining: January 27th

The BCH infrastructure fund saga continues this week and more. Here’s your weekly mining update:

  1. As we reported last week, a group of Bitcoin Cash (BCH) miners announced their intention to launch a mandatory developer fund that distributes 12.5% of BCH coinbase rewards to devs. You can read our in-depth writeup here.

    This week, we saw an opposition mining group declare and then retract plans to launch a competing BCH pool for like-minded miners who are against the mandatory donation.

    The retraction of their statement follows a notice put out by Bitcoin.com calling for greater community dialogue and agreement before moving forward with the dev funding plan.

    As we approach the deployment of the dev fund, WariHash will be looking to add additional hashing power and accept payments in BCH. If you are interesting in reserving hashrate in advance of the dev fund deployment, contact us at support@warihash.com and we can give you a quote.

    Edit Feb/01/2020: BTC.TOP CEO Jiang Zhuoer just published a follow-up statement on behalf of the BCH dev fund miners, clarifying aspects of their initial proposal as well as proposed modifications to the original plan. Possible modifications include a direct donation mechanism by miners to developers of their choice, a “no donation” option that would require abstaining miners to relinquish 12.5% of their coinbase rewards to a burner address to avoid a Tragedy of the Commons situation, a pilot program for the fund launched in advance of the actual implementation, and a 3-month “hashrate voting period” to decide whether to proceed with this plan.

  2. Hut 8, a publicly listed mining company, is restructuring its deal with Bitfury and its CEO, Andrew Kiguel, is stepping down. Hut 8 is one of many mining companies which made huge bets in 2017/2018 and now needs to restructure its operations to stay afloat.