Bitcoin mining.

[Bitcoin]

However, it was only in 2019 that working prototypes were created that could be used for all purposes, so it will presumably take several more years before they can actually be used for mining.
The key point, however, is that with conventional computers it may still take another 120 years to mine all the bitcoins yet to be mined, and it is extremely likely that quantum computers suitable for mining will be on the market in this time.
The problems that quantum computers could cause to Bitcoin mining are bASICally two:
they could prevent traditional computers from mining, they could potentially extract in a few minutes all the bitcoins remaining.
With regard to the first problem, there is no solution , because traditional computers are not really able to compete with quantum computers . As time goes by, however, the revenue for the miners from the block rewards will be reduced to such a point that it may not be able to cover the costs. In fact, the operating costs of a quantum computer are very high, and in the future, it may not be profitable to mine bitcoins with quantum computers.
The second problem is related to the first because as long as mining with quantum computers is profitable it makes sense to imagine that someone could try to use them to mine all the remaining bitcoins very quickly, but when it won't be profitable anymore then this scenario will also be less likely.
If, however, in the coming years it will be possible to actually use quantum computers to mine bitcoins, then the severity of this second problem will depend very much on their actual computing power.
A new Bitcoin halving in 2024.
Let's not forget that in 2024 there will be another halving , which will reduce the extracted bitcoins to 3.125 BTC per block and presumably in 2027 or 2028 there will be another one that will reduce it further to 1.5625 BTC.
As a result, if in 2024, for example, it will be possible to use quantum computers to mine bitcoins, there will only be about 1.3 million BTC left to extract, whereas if it will only be possible from 2028, there will only be a little more than 650,000 BTC left.
Many people doubt that in 2024, or even 2028, quantum computers that can actually be used to mine bitcoins will actually be available on the market, so the problem could occur even later.
For example, after the subsequent halving, presumably in 2031, only a little more than 300,000 BTC will remain to be mined, so the profitability of such an operation would already be much lower.
Furthermore, although a very powerful quantum computer could also be able to mine all the remaining bitcoins in a very short time, it must be taken into account that every 2,016 blocks the difficulty is updated and if a quantum computer could mine 2,016 blocks in a very short time, the difficulty would skyrocket, bringing the average time needed to mine a block close to 10 minutes.
Of course, such a scenario would be full of potentially negative consequences, especially if the quantum computer were to stop mining after the difficulty had skyrocketed, as it would be necessary to wait another 2,016 blocks to see it decrease.
However, given the relative slowness with which the development of this technology is proceeding, there are in fact years to find other solutions.
Threat of Quantum Computing to Bitcoin Should be Taken Seriously, But there's Enough Time to Upgrade Current Security Systems, Experts Claim.
November 7, 2020 @ 11:07 am By Omar Faridi.

[Bitcoin]

LocalBitcoins, a leading peer to peer (P2P) Bitcoin exchange, notes that with the advent of quantum computing, there have been concerns that this new technology could be a threat to existing online protocols. Some experts claim that powerful quantum computers might become a legitimate threat to the security of Bitcoin (BTC) and the current encryption algorithms that it uses.
According to LocalBitcoins:
"While the threat of quantum computing to Bitcoin is to be taken seriously, experts believe that Bitcoin [and other cryptocurrencies] have time to adapt to the quantum age without compromising [their] security in the process."
As explained in a blog post by LocalBitcoins, Bitcoin or BTC and its blockchain-based network is secured by cryptographic algorithms, which is why it's called a "cryptocurrency." Cryptography allows developers to protect certain sensitive data and communication on a platform so that only the parties authorized to view the information can access it. The LocalBitcoins team notes that cryptography uses several different algorithms, and Bitcoin depends on them to function properly.
At present, these algorithms are "almost impossible to break," but quantum computers may "spell trouble to these algorithms in various ways," according to LocalBitcoins.
They explain that the idea or concept behind quantum computing is to "go beyond the power of traditional computers by leveraging quantum mechanics, a field in physics that describes behaviors on a subatomic scale." They also noted that "when unobserved, subatomic particles can exist in multiple places at once, however, when [they have been] detected, they collapse into a single point in space-time."
"Traditional computers operate with 'bits' which encode either a 0 or a 1, while quantum computers use quantum bits, or 'qubits,' which can be both a 0 or a 1 at the same time. This phenomenon is known as 'superposition' which allows a huge amount of calculations to be carried out simultaneously."
"Bitcoin's algorithm most at risk from quantum computing is its signature algorithm that uses ECDSA (Elliptic Curve Digital Signature Algorithm) [which] is used to generate the public/private key pair to sign Bitcoin transactions securely (sending and receiving coins). ECDSA uses asymmetric encryption, and the reason for it being secure comes from the need to factor multiple large prime numbers to break the algorithm. Breaking ECDSA and deriving a private key from a public key using current computers would take such an astronomical amount of time that it wouldn't even be realistic to try it out."
But with quantum computers that support parallel calculation, this same process can be carried out a lot more efficiently, and multiple types of attacks then become possible, the LocalBitcoins team noted.
They explained that the first one of these potential attacks aims to target "re-used" addresses. When a transaction is performed, your public key becomes visible on the blockchain or a distributed ledger technology (DLT) network. The LocalBitcoins team adds that knowing your public key, an attacker who's using quantum computers may then use your public key to "derive" your private key. After they've determined what your private key might be, they can begin signing transactions on your behalf - which means they can also spend your Bitcoins or any other cryptocurrency.
LocalBitcoins clarifies that addresses that have not been used to send transactions are "quantum-safe because quantum computers can't 'read' their public key."
LocalBitcoins further noted that another possible attack is the "double-spend" attack. This "measures how fast a quantum computer can derive your private key from the already visible public key." They pointed out that "if an attacker can do this before your transaction is confirmed multiple times in a block, you are essentially both trying to spend the same bitcoin, and the attacker wins."
They also mentioned:
"Bitcoin's hashing function used in the block creation is even more robust in the face of a quantum threat than its signature algorithm. The algorithm Bitcoin uses in its mining process is called SHA-256. When a miner solves a block and receives the right to add it to the blockchain, that miner's transactions become confirmed, and part of the ledger."
They further explained:
"To solve a block, a miner needs to guess a 'nonce,' or a value that after a hash is applied, results in a number that has a certain number of leading zeroes. As a miner, you can't start from a valid result and then generate the correct nonce from it. You have to randomly guess it. This takes a lot of computing power and is behind the proof-of-work securing Bitcoin's network. If the SHA-256 was broken somehow, an attacker could mine new blocks at will and earn all Bitcoin block rewards. "
LocalBitcoins notes that existing quantum computers are only operated in labs and still appear to be a long way from becoming a legitimate threat to Bitcoin and other cryptocurrencies. According to estimates, a quantum computer of around 4000 qubits would be required to break Bitcoin's code, while the most powerful quantum computers available right now operate with only about 50 qubits.
Industry experts predict that quantum computing machines may begin to break binary based encryption algorithms within the next decade unless there's an unexpected mathematical or physical breakthrough before that.

[Bitcoin]

TOP 5 ASIC Coins to Mine in 2019 - Profitability + Best Miners - BTC - DASH - ETH - LTC - ZEC - GRIN|23:43

[Bitcoin]

The LocalBitcoins team added:
"When the quantum threat becomes more imminent, cryptography will have moved to more quantum-proof algorithms. In the process, Bitcoin's algorithms would have become quantum-resistant as well. This can be achieved by hard-forking (backwards incompatible upgrade) the Bitcoin blockchain by consensus among the Bitcoin nodes, so it will be secure from quantum attacks."
"As long as multiple users have access to a quantum computer, no single entity will be able to gain dominance over Bitcoin mining. Perhaps in the future Bitcoin's blockchain will be operated completely by nodes running on quantum computers."
Quantum Mining Offers Competitive Bitcoin mining based on Award Winning Service.
Bitcoin Press Release: Quantum Mining is offering secure, easily manageable mining contracts to cryptocurrency users from around the world. Their award winning options for miners offer easy withdrawals as well as compounding options.
4th March 2020, Zurich. Quantum Mining , an award winning crypto mining company with physical mining farms based in Sweden is offering Bitcoin mining contracts starting from $1,000 all the way up to $100,000. Quantum Mining prides itself on offering a real client-oriented service to the clients as well as its amazing efficiency and security of its mining operations.
The Tech.
Mining is only profitable if the tech behind it is sound and progressive. Quantum Mining's award-winning mining algorithm is because of years of research on QuantumAlgo by its leading developers including Johnatan Gates, who is the lead developer of QuantumAlgo, and Vilgot Larsson who implemented the algorithm into Quantum Mining's system. Founder Erik Johansson spent years collaborating with Gates over the useful QuantumAlgo program and eventually managed to get together a team to benefit from it.
Quantum Mining does NOT mean actual Quantum Computing based mining. That technology is still years into the future. Quantum Mining uses a proprietary algorithm that handles all the mining operations extremely efficiently and securely.
The Mining Hardware.
The location and possession of mining hardware is extremely important for mining operations and their dependability. Quantum Mining owns a string of farms based in Sweden. These farms have the latest mining rigs installed and the capacity can be increased according to the number of mining contracts.

[Bitcoin]

Mining Contracts.
Mining contracts on Quantum Mining last for 12 months and they can be understood by the users with ease. Starting from $1,000 and going all the way up to $100,000, these contracts offer fixed returns to the clients. So, if the Bitcoin price plummets, the mining hardware is adjusted accordingly to keep the returns stable to the end user. With a Quantum Mining Contract, clients can be free from the hassle of actual personal crypto mining which includes purchasing and installation of hardware, constant software updates and switching between mining pools as well deciding when or not to liquidate the assets.
There are five packages that clients can choose from. Quantum Mining accepts crypto payments as well as fiat payments from various services including Mastercard, VISA as well as European banks and such.
Payout and Withdrawals.
There are two payout options available: daily withdrawal or monthly withdrawal. Using a daily withdrawal is useful for users who intend to utilize their withdrawals on a daily basis including using them for trading and liquidation purposes.
The monthly payout plan has a 6-7% higher payout rate and is more useful for clients wishing to follow the HODL principles and hold on to their crypto assets. Clients can also choose to change their payout options as well.
About Quantum Mining.
Quantum Mining is a progressive cryptocurrency mining company with direct control of mining farms based in Sweden. It uses cutting-edge mining algorithms with AI-based approach to increase efficiency and reduce costs of the mining process. The company has been around since 2017 and has been offering mining contracts since 2019.
Quantum Computing | Bitcoin's Doomsday Maker.
Government intervention, poor usability, high network fees - which one of these poses the most significant threat to Bitcoin? The answer may be none of them .
Although the Bitcoin network is incredibly secure under the current condition of computers, there's an even greater threat looming overhead. Quantum computers have the potential to make Bitcoin's security measures obsolete, effectively destroying the once dominant cryptocurrency.
What is Quantum Computing?
Simply put, a quantum computer is a supercomputer held at near absolute zero temperatures (-459.67°F). At this temperature, the subatomic particles in the computer's processor act in ways that aren't possible under normal conditions.
Contrary to popular belief, quantum computers aren't necessarily faster than traditional ones. So, unfortunately, they won't improve the speed of your Netflix stream.
But the quantum anomalies that occur at freezing temperatures do enable them to perform calculations that are theoretically impossible for ordinary computers to execute in an acceptable time frame. Some use-cases of these calculations include the simulation of molecules, protein folding, and logistics optimization.
But how exactly does a quantum computer accomplish this?
Inside a Quantum Computer. Credit: IBM Research.
Superpositioning and Entanglement.
Quantum computers have two properties that give them the ability to perform complex calculations at an efficient rate. The first is superpositioning .
Traditional computers store information as a series of 0's and 1's. Quantum computers, on the other hand, store their data using a set of qubits - superpositions of 0 and 1. The qubits effectively exist in two states at once.
When you connect these qubits in a system, the number of states grows exponentially. One qubit has two states, two have four states, four have eight, and so on. The number of states directly follows the equation:
# of states = 2 n where "n" is the number of qubits.
The second property of quantum computers is entanglement . When two qubits are entangled with each other, measuring the value of one qubit will automatically tell you the value of the other qubit as well. Entangling all the superpositioned qubits of a quantum computer will give you every possible state involved.
How Does Quantum Computing Affect Bitcoin?
Quantum computers are exceptionally skilled at solving cryptographic calculations. To fully understand the threat that this poses to Bitcoin (and other cryptocurrencies), we should first rehash public keys, private keys, and how Bitcoin links the two together.
A Quick Bitcoin Refresher.
Every Bitcoin wallet has a private key and a public key. Your public key is the wallet address to which you receive funds, and it's created from your private key. Your private key is effectively the "password" you need to send funds.
To send funds, specifically bitcoin, you sign each transaction using an elliptic curve signature scheme. This scheme proves to others that you own the private key without having to broadcast what it is . The math behind this scheme also makes creating a public key from a private one easy while doing the reverse is nearly impossible.
That may change soon, though, with quantum computers.
Quantum Calculations.
A common misconception: One quantum computer could provide enough hashing power to perform a 51% attack on the Bitcoin network.
The reality: ASIC miners are, and will be for at least ten years, much more efficient at mining than quantum computers. There's little to no risk of a quantum computer sabotaging the Bitcoin network through a 51% attack. The real threat lies in a quantum computers ability to deride private keys from the network's public keys.
The inefficiencies of today's computers keep the private keys that elliptic curve signatures generate relatively safe. It wouldn't be worth the time or resources to guess private keys through brute force.
A traditional computer would need to perform 2^ 128 or 340,282,366,920,938,463,463,374,607,431,768,211,456 bASIC operations to derive a Bitcoin private key from a public address.
However, using Shor's algorithm, a significantly large quantum computer needs just 128^ 3 or 2,097,152 operations to figure out a private key. That's multiple orders of magnitude less, making the task of figuring out key relationships a possibility.
How Screwed is Bitcoin?
The good news: Bitcoin should be fine. Quantum computers that are efficient enough to calculate Bitcoin's key relationships are still many years out. And solutions aren't as complicated as they may seem.

[Bitcoin]

How to mine DASH with Antminer D3?|3:13

[Bitcoin]

Mining Doge Di Linux/Windows -Terbukti Membayar - Xmrig|16:42

[Bitcoin]

One-time Addresses.
The simplest, but not so feasible, solution is to only use each Bitcoin address once. When following this practice, your public address is only visible between the time you initiate your transaction to when it enters a block. People rarely change their address with each transaction, though.
Signature Algorithm Change.
The recommended solution is to change Bitcoin's public key algorithm from elliptic curve signatures to an algorithm that's quantum resistant.
Lamport signatures are a common suggestion for the replacement. These signatures are much larger than their elliptic curve counterparts, though (about 169 times larger). This size difference hinders scalability, even with the implementation of the Lightning Network.
Additionally, Lamport signature keys still have a limited amount of use before you'd need to create a new key pair. This number may even be as low as one use.
With any change to the public key algorithm, you would also need to soft fork Bitcoin and have all users transfer their funds to the new address type. Any funds left behind would be at risk for theft.
New Cryptocurrency.
Some teams are building out their cryptocurrency with quantum resistance in mind.
IOTA , for example, uses one-time Winternitz signatures to create key pairs. This strategy renders addresses useless almost instantaneously after sending funds, leaving your address susceptible to quantum attack for a few seconds at most.
The Nexus team advertises their 3D-blockchain as the "first truly quantum-resistant blockchain." It updates and obscures your keys after every transaction with a scheme the team calls "signature chains."
Another project, Hcash applies BLISS signatures to prevent quantum computing.
The Future of Quantum Computing & Resistance.
These projects aren't alone in their fight against quantum computing, though. Even though you don't hear much about quantum resistance in association with other projects, they're still working on it. Ethereum, for one, has proposals that would enable different types of signature algorithms for each user.
With high-powered quantum computers still years away, most projects should have plenty of time to build up their defenses. So you can rest easy at night knowing that Bitcoin should be here to stay.
Stealth mining.
QPoS = Quantum Proof of Stake.
Quantum-Proof-of-Stake (QPoS)
The Quantum Proof of Stake or QPoS consensus algorithm holds the same base core like a normal PoS algorithm, in which validators compete in who validates each block and the higher the money deposit in the block (or stake), the higher the chance of validating the block on the ledger and later on receiving the transaction fees, but will also be resistant to both classic and quantum computing attacks. Hopefully this combination will create a even safer and energy saving algorithm which will be available for more cryptocurrencies than only QRL.
Guides.
Bitcoin is both simple and complex, depending upon how far down the rabbit hole you want to go. Bitcoin itself was recently ruled by the federal courts to be recognized as a currency, which is fantastic news for the Bitcoin world. It is not profitable, however, on a traditional gaming computer anymore. That's because the world of Bitcoin switched to ASIC mining some time ago. Bitcoin is just the tip of the iceburg, however, in a world called "cryptocurrency." What's a cryptocurrency? Well, after Bitcoin's success there were a great deal of Bitcoin successors, also called coins, which also can now be rightly be classified as currency. Over 600 and climbing as of the writing of this article, in fact.
Cryptocurrency is really cool to us computer nerds, because, well, a lot of reasons. For example:
If you know which coins to mine and when, you can use a traditional gaming computer to make a lot of money. You can stack your graphics cards (up to six per rig) to double, triple, etc. your profits. Making the plunge into the cryptocurrency world gives you exactly the excuse you need to spend more on having the most powerful gaming computer money can buy. Max out the processor, memory, and graphics cards, and you've got yourself a state of the art computer which has the potential to pay for itself. Why stop at one cryptocurrency miner? Because these things tend to pay for themselves, we can help you build an entire farm of cryptominers which not only pay for themselves, but they are also very effective at heating your home! Anyone who has ever experienced electric heat knows there's no better way to do it, and those who's electric heat is also a supercomputer know that they have found the holy grail of computing power meets utilitarian.

[Bitcoin]

The list of benefits goes on and on, and is too big for this little article to cover entirely. That said, here's some more information for you...
As I said before, Bitcoin is hard to make money using a traditional computer. Instead, the most lucrative alternatives as of the writing of this article are coins such as Ethereum, Zcash, Pascal, etc. Since there are more than 600 coins, there are actually a number of ways to make money.
Websites such as Nichhash.com automatically look for the most lucrative coin to mine for and automatically mine for you on the fly. New coins literally come out faster than NiceHash can keep up, but it is a nice option to have just the same. There are two sides to every coin: the actual value of the coin which is defined by the number of miners participating in the coin's economy, and the speculators who prop up the value of said coin. Since bitcoin is worth almost $1100 per coin as of the writing of this article, it's no secret that this industry is presently BOOMING. Bots: the world of cryptocurrency is also the world of bots. Bots that help you mine for coin, bots that help you trade coins just like the stock markets, bots that help you with fun ways to make money such as arbitrage. Bots are cool! And the very best bots often require a significant amount of computing power to do your bidding! StealthMachines specializes in cryptocurrency. You don't have to be a rocket scientist to get started, because StealthMachines takes all the guess work out of the equation!
So, if you're thinking about getting a custom gaming computer or workstation and you can't quite justify the cost, consider entering into the world of cryptocurrency. You stand to make a lot of money just for owning one of the most powerful computers on the planet. Win-win!
Cryptocurrency Mining Today.
Mining is one of the key concepts in the crypto world. Everyone who comes into contact with this sphere somehow wonders about the mining of coins. How profitable is mining in 2020, and what are the current trends?
Crypto mining is a process during which a computer solves mathematical problems, resulting in the release of new blocks of information. This gives its owners a certain amount of coins, which is deposited in the total pot and registered in the public "ledger", so-called blockchain. Machines in the network are also checking transactions with existing coins, adding this information to the blockchain as well.
As for the issue itself, the most well-known algorithm of mining is Proof-of-Work (PoW), used in the networks of Bitcoin, Litecoin, Ethereum and many others.
During the mining process, the latest transactions are verified and compiled into blocks. It is usually a series of calculations with an iteration of parameters to find a hash with the specified properties. The node which first solves this problem receives a reward. This approach was specifically designed to encourage those who provide the computing power of their mining machines to maintain the network and mine new coins.
It is usually no need for a newcomer to know and understand all the complicated details of the mining process, just how much they can earn with certain equipment and electricity costs.
Everything is designed in such a way that the complexity of calculations is steadily increasing, which then requires a constant increase in the computing power of the network. In 2009-2010, for mining bitcoin, miners only had to download and run the software on their personal computers, but very soon the network became so complicated that even with best PCs with a powerful processor, mining became unprofitable. That's why miners started to use more effective video cards (graphics processing units or GPUs) and join them in so-called "farms".
In most systems, the number of coins is determined in advance. Also, many networks are gradually reducing rewards for miners. Such emission restrictions were built into the algorithm to prevent inflation.
Thus, the cost of mining for smaller participants no longer pays off, which makes them turn off their hardware or switch to another coin where they can still make their profit.
In particular, on the evening of May 11 2020, a halving took place in the bitcoin network, the reward for mining was halved, from 12.5 to 6.25 BTC. In June, the revenue of bitcoin miners decreased by 23%, to the lowest since March 2019.
However, in mid-June, the difficulty of Bitcoin mining showed a record growth over the past 2.5 years. Mining the first cryptocurrency has become 15% more difficult. Although, by the beginning of July, the complexity had stabilized. The growing difficulty of mining the first cryptocurrency indicates that new miners have joined its network. Previously, some of them turned off the equipment, as it became less profitable to mine the coin due to a decrease in its cost and halving.
Now the absolute majority of new coins are generated by industrial mining. This is done by large data centers equipped with specialized computers based on the ASIC architecture. ASICs are integrated circuits that were initially optimized for a specific task, namely the mining of cryptocurrencies. They are much more productive than CPUs and video cards, and at the same time consume much less electricity. ASIC computers are the main type of equipment for the industrial production of crypto.
So now, after the halving, BTC coin mining has become even less profitable. For beginners, mining the first cryptocurrency is unlikely to be suitable. It is more often earned by large companies that have all the necessary equipment, access to cheap rental conditions, electricity and maintenance.
Hence newbies are better off starting with mining altcoins. It is even more profitable to work in a pool, that is, together with other miners. This can help to place farms in one place and negotiate a favourable price for electricity, so you can get a small but stable income dux to the total capacity of the pool.
Therefore, it has become much more difficult for regular users who have only non-specialized equipment at their disposal to generate virtual money. However, GPU developers have significantly increased the performance of their devices in recent years, so mining on a video card is still common.
Another important event that changes the situation in the mining sphere will be the hardfork of the Ethereum network with the turn to the Proof-of-Stake algorithm. For now, Ethereum is the most popular altcoin for GPU mining, but Ethereum 2.0 will not require using such powerful equipment, so then it switches to PoS, GPU owners will have to look for alternative coins to mine.
At the moment the most popular altcoins for mining on GPUs are Ethereum (ETH), Ethereum Classic (ETC), Grin (GRIN), Zcoin (XZC), Dogecoin and Ravencoin (RVN). There are actually a lot of mining programs that automatically determine which coin is more profitable to mine at the moment.
In the coming years, the market is waiting for a race of technologies. Manufacturers are investing in finding ways to increase hashing speed and reduce power consumption. Mining pools will play an increasing role. The market will also be affected by applications for mining cryptocurrencies on smartphones that require low computing power, such as Dash or Litecoin.
And remember StealthEX supports more than 250 coins and constantly updating the list, so you can easily swap your crypto haul to more popular altcoins. Our service does not require registration and allows you to remain anonymous. Why don't you check it out? Just go to StealthEX and follow these easy steps:
✔ Choose the pair and the amount for your exchange. For example ETH to BTC.
✔ Press the "Start exchange" button.
✔ Provide the recipient address to which the coins will be transferred.
✔ Move your cryptocurrency for the exchange.
✔ Receive your coins.
Follow us on Medium, Twitter, Facebook, and Reddit to get StealthEX.io updates and the latest news about the crypto world. For all requests message us via [email protected]
The views and opinions expressed here are solely those of the author. Every investment and trading move involves risk. You should conduct your own research when making a decision.
Debate Ensues After 68% of BCH Hashrate Mined by Stealth Miners.
2019 was known for the growing trend of stealth miners mining on the BTC and BCH network. On Dec. 30, data shows that 68% of the Bitcoin Cash network's hashrate is being mined by mystery miners. As the year comes to an end, the large number of unknown BCH hashrate has attracted scrutiny.

[Bitcoin]

68% of the BCH Hashrate Was Recently Processed by Unknown Miners.
On Monday, a post on the Reddit forum r/btc explained that "untrusted hash is at nearly 70%." The r/btc thread detailed that on Dec. 30, statistics indicate that roughly 68% of the overall BCH hashrate is being processed by miners not willing to disclose their identity. When a known mining pool finds a block, in the coinbase there's usually a message which identifies who mined the block. However, in 2019 both SHA-256 networks BTC and BCH saw a significant increase in mystery miners processing the chains. In January, two research reports noticed the increasing trend of unknown miners as Coin Metrics and Diar both published findings on the subject. At the time, Diar's report said that unknown miners could be "concerning" and just because the miner does not disclose its identity, it doesn't mean the hash is not from a known pool. Coin Metrics wrote that the analytics firm also noticed a resurgence of mystery miners during the start of 2019.
On Dec. 30, 2019, unknown miners processing the Bitcoin Cash chain are around 68% and there is 2.18 exahash per second (EH/s). BCH stealth miners capture roughly 1 EH/s on Monday.
A few weeks before the Bitcoin Cash upgrade that took place on Nov. 15, BCH proponents discovered 44% of the BCH hashrate was processed by unknown miners. At the time, speculators assumed the stealth hash belonged to roughly 3-4 different pools. The reason for the theory is because there are unique messages in the block's coinbase for each unknown mining entity. Today, there are a few coinbase messages that read: " d B ^//bf Oe?D 5F " and another pool uses this message: " ^//KFy ." Besides clues like the different coinbase messages, no one truly knows who is behind the unknown BCH hashrate. During the discussion on r/btc, a few individuals took issue with calling the unknown miners "untrusted." "'Untrusted hash'... isn't that how it's supposed to be?" a person asked on the Reddit forum and also left a quote from Satoshi's white paper that said:
We have proposed a system for electronic transactions without relying on trust.
Are Stealth Miners Untrustworthy?
The Reddit user dubbed 'Lovelyday,' the BCH supporter who wrote the original post, responded to the critique for using the term "untrusted." "Sure, the 'ideal' situation in Bitcoin would be if every miner were unknown, and Bitcoins were so valuable that there'd be absolute incentive for the majority of the hash to protect the Bitcoin that observes the economic model laid out in the white paper," Lovelyday said. "Comparing against where we are today... we are a little ways off, with historical precedent for hashpower actually trying to destroy Bitcoin Cash -- That's why I used the term 'untrusted' as a blanket term for the unidentified hashrate that is > 50% -- We can't trust them, neither should we," the Redditor added. Lovelyday further stated:
Should we trust the identified hashrate? Probably not much more, but at least we can compare their actions to their stated intentions, and hold them to account by switching to pools that act in ways we prefer.
A few other BCH supporters disagreed and stressed that the Nov. 15, 2018 hash war that created BSV was the perfect example. "A 51% attack would be extraordinarily expensive to sustain on a network as large as BCH -- And it wouldn't work because of all the miners that support us," another individual commented on the thread. In addition to the stealth miners processing hash on the BCH network, a growing number of unknown miners are mining BTC and BSV as well. At the time of writing, BTC hashrate distribution shows 26% of the hashpower is being processed by unknown pools and there's 30% on the BSV network today.
What do you think about the resurgence of unknown miners taking away the dominance of known mining pools? Let us know what you think about this subject in the comments section below.
Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any ideas, concepts, content, goods or services mentioned in this article.
Image credits: Shutterstock, Pixabay, Blockchain.com, Wiki Commons, and Coin Dance.
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"Free" Bitcoin: Hungarian Politician Caught Stealing Electricity to Mine BTC.
Thomas Borka-Saxon, municipal representative of the Democratic Coalition (DK) in Budapest, Hungary, has been caught stealing the government's electricity to mine Bitcoin right from his office, HVG reports.
The disgraced politician has already resigned and abruptly left the party due to outcry.
The talk of the town.
Budapest has a two-tier administrative system, and it is divided into a total of 23 administrative districts.
The stealth Bitcoin mining operation became a hot topic in national news after police searched the building of Erzsébetváros (Elizabethtown), the seventh government district where Borka-Saxon was serving as a member of its representative body, and seized its mining equipment.
Elizabethtown mayor Péter Niedermüller put the former member of his party on blast in a fiery Facebook post:
"A fellow party member... has severely disappointed me. Or maybe that's not a strong enough word. He has betrayed me. The rule of law, the observance of moral principles applies to everyone. And to the members of my party in particular."
Niedermüller -- the opposition candidate who was elected as the district's mayor last year -- believes that the incident has tainted his party's reputation.
It is not clear how many "free" Bitcoins Borka-Saxon has managed to mine by leeching off his office's electric power.

[Bitcoin]

Cara Mining dogecoin (Terbaru 2020)|15:47

[Bitcoin]

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[Bitcoin]

Illegal crypto mining.
Although perfectly legal in Hungary, Bitcoin mining requires plenty of electricity. The energy consumption of the whole network is now on par with Czech Republic.
Many opportunists -- from American students to n nuclear scientists -- have been busted stealing electricity to mine precious coins for free.
A peek inside the booming underground market for stealth Bitcoin/Litecoin mining tools.
The over-hyped market valuation of the buzzing P2P E-currency, Bitcoin , quickly gained the attention of cybercriminals internationally who promptly adapted to its sky rocketing valuation by releasing commercially available stealth Bitcoin miners, Bitcoin wallet stealing malware, as well as actually starting to offer the source code for their releases in an attempt to monetize their know-how and expertise in this area. Throughout 2013, we profiled several subscription based stealth Bitcoin mining tools, and predicted that it's only a matter of time before this still developing market segment starts proliferating with more cybercriminals offering their stealth Bitcoin releases to prospective customers. Not only are we continuing to see an increase in terms of the number of tools offered, but also, some cybercriminals are actually starting to offer the source code for their releases, which, as we've seen in the past, has resulted in an increase in 'vallue-added' releases on behalf of fellow cybercriminals implementing features based on their perceived value, or through interaction with prospective customers.
What are cybercriminals up to in terms of stealth Bitcoin miners these days? Let's profile several of the (international) underground market share leading commercially available stealth Bitcoin miners, emphasize on their features, as well as just how easy it is to fraudulently mine Bitcoin/Litecoin these days, with the affected user never really knowing what's taking place on their PC.
Go through previous research -- including MD5s -- profiling commercially available stealth Bitcoin mining tools, released throughout 2013:
Sample commercially available stealth Bitcoin/Litecoin mining tool 01:
Sample commercially available stealth Bitcoin/Litecoin mining tool 02:
Sample commercially available stealth Bitcoin/Litecoin mining tool 03:
Sample commercially available stealth Bitcoin/Litecoin mining tool 04:
Sample commercially available stealth Bitcoin/Litecoin mining tool 05:
Sample commercially available stealth Bitcoin/Litecoin mining tool 06:
Sample commercially available stealth Bitcoin/Litecoin mining tool 07:
Sample commercially available stealth Bitcoin/Litecoin mining tool 08:
A peek inside the administration panel of a sampled stealth Bitcoin/Litecoin mining tool:
Sample screenshots of commercially available source code for stealth Bitcoin/Litecoin mining tools:
Sample screenshots of a Bitcoin/Litecoin stealing tool:
Throughout all of 2013, we continued to observe an increase in subscription based stealth Bitcoin/Litecoin mining applications with the vendors behind them emphasizing on the value-added services such as, for instance, maintaining the QA (Quality Assurance) process as well as ensuring that the latest builds of the mining applications remain undetected by antivirus scanners. Evasive tactics that aim to make it harder to analyze these samples, including the detection of Virtual Machines, and other researcher/analyst's virtual environments, also proliferated. Moreover, a decent percentage of these commercially available stealth mining applications include the ability to remove competing mining applications, indicating that the vendors are not just aware of each other's existence -- international underground market transparency -- but also, that they're trying to gain market share by removing competing mining tools from the affected hosts. Not surprisingly, we're also aware of commercially available source code for stealth mining tools that's currently being offered, naturally acting as force-multiplier for more upcoming releases, now that the source code has been publicly offered.
We'll continue monitoring this developing market segment, and post updates as soon as new developments take place.
About the Author.
Blog Staff.

[Bitcoin]

The Webroot blog offers expert insights and analysis into the latest cybersecurity trends. Whether you're a home or business user, we're dedicated to giving you the awareness and knowledge needed to stay ahead of today's cyber threats.
Stratum mining protocol.
The stratum overlay protocol was extended to support pooled mining as a replacement for obsolete getwork protocol in late 2012. The mining service specification was initially announced via Slush's pool's website [1] . Shortly thereafter, alternative "cheat sheet" style documentation was provided by BTCGuild [2] . As the extension lacks a formal BIP describing an official standard, it has further developed only by discussion and implementation [3] .
1 Protocol 1.1 Overview 1.2 Methods (client to server) 1.2.1 mining.authorize 1.2.2 mining.capabilities (DRAFT) 1.2.3 mining.extranonce.subscribe 1.2.4 mining.get_transactions 1.2.5 mining.submit 1.2.6 mining.subscribe 1.2.7 mining.suggest_difficulty 1.2.8 mining.suggest_target 1.3 Methods (server to client) 1.3.1 client.get_version 1.3.2 client.reconnect 1.3.3 client.show_message 1.3.4 mining.notify 1.3.5 mining.set_difficulty 1.3.6 mining.set_extranonce 1.3.7 mining.set_goal (DRAFT) 2 Software support 3 Criticism 3.1 Closed development 3.2 Displacing GBT 4 References.
Protocol.
Methods (client to server)
mining.authorize.
The result from an authorize request is usually true (successful), or false. The password may be omitted if the server does not require passwords.
mining.capabilities (DRAFT)
NOTE: This is a draft extension proposal. It is not yet in use, and may change at any moment.
The client may send this to inform the server of its capabilities and options. The singleton parameter is an Object describing capabilities; by default, it is considered as , "set_difficulty":[]>, but as soon as this method is used these must be explicitly included if desired. The "suggested_target" key may supersede the mining.suggest_target method.
Note that most of the keys do not have any meaningful value at this time, and the values thereof should be ignored (ie, only their presence matters).
mining.extranonce.subscribe.
Indicates to the server that the client supports the mining.set_extranonce method.
mining.get_transactions.
Server should send back an array with a hexdump of each transaction in the block specified for the given job id.
mining.submit.
Miners submit shares using the method "mining.submit". Client submissions contain:
Worker Name. Job ID. ExtraNonce2. nTime. nOnce.
Server response is result: true for accepted, false for rejected (or you may get an error with more details).
mining.subscribe.
The optional second parameter specifies a mining.notify subscription id the client wishes to resume working with (possibly due to a dropped connection). If provided, a server MAY (at its option) issue the connection the same extranonce1. Note that the extranonce1 may be the same (allowing a resumed connection) even if the subscription id is changed!
The client receives a result:
The result contains three items:
Subscriptions. - An array of 2-item tuples, each with a subscription type and id. ExtraNonce1. - Hex-encoded, per-connection unique string which will be used for creating generation transactions later. ExtraNonce2_size. - The number of bytes that the miner users for its ExtraNonce2 counter.
mining.suggest_difficulty.
Used to indicate a preference for share difficulty to the pool. Servers are not required to honour this request, even if they support the stratum method.
mining.suggest_target.
Used to indicate a preference for share target to the pool, usually prior to mining.subscribe. Servers are not required to honour this request, even if they support the stratum method.
Methods (server to client)
client.get_version.
The client should send a result String with its name and version.
client.reconnect.
The client should disconnect, wait waittime seconds (if provided), then connect to the given host/port (which defaults to the current server). Note that for security purposes, clients may ignore such requests if the destination is not the same or similar.
client.show_message.
The client should display the message to its user in some reasonable way.
mining.notify.
Fields in order:
Job ID. This is included when miners submit a results so work can be matched with proper transactions. Hash of previous block. Used to build the header. Generation transaction (part 1). The miner inserts ExtraNonce1 and ExtraNonce2 after this section of the transaction data. Generation transaction (part 2). The miner appends this after the first part of the transaction data and the two ExtraNonce values. List of merkle branches. The generation transaction is hashed against the merkle branches to build the final merkle root. Bitcoin block version. Used in the block header. nBits. The encoded network difficulty. Used in the block header. nTime. The current time. nTime rolling should be supported, but should not increase faster than actual time. Clean Jobs. If true, miners should abort their current work and immediately use the new job. If false, they can still use the current job, but should move to the new one after exhausting the current nonce range.
mining.set_difficulty.
The server can adjust the difficulty required for miner shares with the "mining.set_difficulty" method. The miner should begin enforcing the new difficulty on the next job received. Some pools may force a new job out when set_difficulty is sent, using clean_jobs to force the miner to begin using the new difficulty immediately.
mining.set_extranonce.
These values, when provided, replace the initial subscription values beginning with the next mining.notify job.
mining.set_goal (DRAFT)
Informs the client that future jobs will be working on a specific named goal, with various parameters (currently only "malgo" is defined as the mining algorithm). Miners may assume goals with the same name are equivalent, but should recognise parameter changes in case a goal varies its parameters.
Software support.
Tables showing miner/server support for Stratum mining protocol:
Criticism.
Closed development.
The mining extensions have been criticised as having been developed behind closed doors without input from the wider development and mining community, resulting in various obvious problems that could have been addressed had it followed the standard BIP drafting process [4] .
Displacing GBT.
The mining extensions were announced after the community had spent months developing a mostly superior open standard protocol for mining (getblocktemplate) [5] . Because stratum's mining extensions launched backed by a major mining pool, GBT adoption suffered, and decentralised mining is often neglected while stratum is deployed.

[Bitcoin]

Stratum V2 вЂ" mining protocol.
The next generation protocol for pooled mining by Pavel Moravec and Jan ДЊapek , in collaboration with Matt Corallo and other industry experts.
Stratum V2 is the next generation protocol for pooled mining. It focuses on making data transfers more efficient, reducing physical infrastructure requirements for mining operations, and increasing security. Additionally, Stratum V2 introduces three new sub-protocols that allow miners to select their own transaction sets through a negotiation process with pools, improving decentralization.
In the sections below, we’ll go through Stratum V2 feature-by-feature so that you can understand what’s changed from V1, why those changes matter, and how it all works on a technical level.
Note : Before you dive into the technical details, be sure that you understand the Terminology we’ll be using.
Protocol Overview.
The actual mining machine computing the hashes.
An intermediary between Mining Devices and Pool Services that aggregates connections for efficiency and may optionally provide additional functionality, such as monitoring the health and performance of devices.
An upstream node to which shares (i.e. completed jobs) are being submitted. The most common hashrate consumers are pools.
A node which negotiates with a pool on behalf of one or more miners to determine which jobs they will work on. This node also communicates with a block template provider (e.g. bitcoind) and sends jobs to mining proxies to be distributed to miners.
Mining Protocol.
This is the direct successor of stratum protocol v1. It’s the main protocol used for mining and the only part of the full protocol stack that needs to be implemented in all scenarios. It is used for communication between Mining Devices, Proxies, and Pool Services.
The protocol defines three types of communication channels:В.
Standard channels don’t manipulate the Merkle path / coinbase transaction, greatly simplifying the communication required between them and upstream nodes.
Extended channels are given extensive control over the search space so that they can implement advanced use cases (e.g. translation between v1 and v2, difficulty aggregation, custom search space splitting, etc.).
Group channels are simply collections of standard channels that are opened within a particular connection so that they are addressable through a common communication channel.
Job Negotiation Protocol.
Used by a miner to negotiate a block template (which includes the transaction set) with a pool, making pooled mining more similar to solo mining and thus increasing decentralization. The negotiation results can be re-used for all mining connections to the pool (of which there can be hundreds of thousands), greatly reducing the computational intensity.
This protocol is a separate, optional piece of infrastructure from the Mining Protocol and can be provided as a 3rd party service for mining farms.
Template Distribution Protocol.
Used to get information about the next block out of Bitcoin Core. This protocol was designed as a much more efficient and easy-to-implement API to replace getblocktemplate (BIPs 22 and 23).
More specifically, the Template Distribution Protocol is used to communicate with a part of Bitcoin Core called “bitcoind” which implements the Bitcoin protocol for Remote Procedure Call (RPC) use. In other words, bitcoind allows the Bitcoin protocol to be integrated with other software.
Job Distribution Protocol.
Used to pass newly-negotiated work to interested nodes, which can either be proxies or actual mining devices. This protocol is complementary to the Job Negotiation protocol.
In the case that miners aren’t negotiating their own work (i.e. choosing their own transaction sets), jobs will be distributed directly from pools to proxies and end devices, similarly to in the original stratum protocol. Additionally, it’s possible that the Job Negotiation role will be part of a larger Mining Protocol proxy that also distributes jobs, making this sub-protocol unnecessary even when miners do choose their own transaction sets.
Bandwidth consumption.
Stratum V2 is optimized in two ways to reduce bandwidth consumption. First, because it’s completely binary instead of JSON-based like V1, the size of data transfers is minimized. Second, it eliminates many instances where data is being transferred unnecessarily (e.g. redundant messages), meaning that the total amount of data transfers is also minimized.
V2 typical share submission message is 32 bytes without encryption and 48 with it.
V1 typical share submission message is approximately 100 bytes.
Technical Description.
Having a binary rather than text-based protocol reduces bandwidth consumption considerably. Making messages human-readable in Stratum V1 resulted in some messages being approximately 2-3 times heavier than necessary, and those have now been reduced to a minimum size in V2.
Additionally, V1 includes some messages that are unnecessary altogether, such as mining.subscribe. By eliminating these instances, fewer messages need to be transmitted in total and bandwidth consumption is reduced even further.В В.
Motivation & Impact.
Reducing network traffic as well as client-side and server-side computational intensity translates to lower infrastructure costs for all participants. At the same time, a significant reduction in bandwidth consumption allows for hashing results to be transmitted more frequently, enabling more precise hashrate measurement and mining reward distribution as a result.