Multi-vPoW: Myriadcoin – s Solution to Merge-Mining
Last updated on March 20th, 2018 at 05:13 pm
Merge-mining has made headlines recently with the announcement of Dogecoin merge-mining under Litecoin (i.e. Dogecoin is the “child”, Litecoin is the “parent”). It is a concept that has bot around for a while and implemented by a handful of coins, including Bitcoin. Waterput simply, a miner performs the same hash on both the parent and child blockchain and can solve blocks on either chain at no toegevoegd cost. The concept has yet to truly take off spil anything beyond academic because of a problem very parasitic ter nature: The child coin’s price is at the grace of the parent coin’s miners. Te Dogecoin’s case, dogecoins become “free lunch” for Litecoin miners that they can sell for an toegevoegd BTC or LTC profit. For merge-mining to be a successful instrument it needs to be given a symbiotic environment. There voorwaarde be a mutual balance that doesn’t leave one party with a bad taste ter their mouth.
Merged-mining’s Current Imbalance
With “mono-proof-of-work” (mono-PoW) coins like Litecoin and Dogecoin that utilize one algorithm (Scrypt) to solve blocks, there is no visible way to balance blockchain security (i.e. Litecoin’s larger network hashrate) with the inescapable selling pressure that is to go after (i.e. Litecoin miners dumping their “free” dogecoins for BTC/LTC). Even the perceived imbalance is enough to harm the child coin’s value, if Litecoin miners do not sell their dogecoins at the rate that the market anticipates, the market will still react spil if the dumping is occurring at that higher rate. It is a self-fulfilling prophecy where one coin is placed a metaphorical pedestal above the other. Fortunately, with the emergence of Myriadcoin’s “multi-proof-of-work” system (multi-PoW), a healthy partnership can be constructed inbetween the two coins.
Myriadcoin and Multi-vPoW: A Symbiotic Solution
Here, I will propose a solution to the imbalance (and the subsequent low popularity) of merged-mining: multi-varying proof-of-work block prizes (multi-vPoW). [Note: There may be a better way to name this.]
Myriadcoin’s upcoming PolyMYR project, a merge-mining and auto-exchanging pool, will dual spil a cryptocurrency laboratory where the multi-vPoW solution can be rigorously researched and tested. To understand the solution best it requires a epistel recap of how a multi-PoW system like Myriadcoin works. Myriadcoin has Five algorithms (SHA256d, Scrypt, Skein, Qubit, and Myriad-Groestl) that can independently solve blocks. They have independent difficulties that are adjusted using the same formula. Any algorithm can solve the next block even if it is the same algorithm. Each algorithm targets the same block time and the block prizes are the same no matter which algorithm solves the block.
The multi-vPoW solution involves adjusting block prizes based on which algorithm finds the block. With Myriad spil a parent multi-PoW, the child coin can become a multi-PoW (if it isn’t already) that selects a few algorithms that are merged-mined by parent Myriad algorithms and an algorithm(s) that is not merge-mined (creating a degree of overlap). The merge-mined algorithms would be programmed to have lower block prizes than the non merge-mined algorithm(s). This instantly creates many variables (number of merge-mine algorithms, number of non-merge-mine algorithms, block prizes, etc.) that can be tinkered with to create a zindelijk balance of give and take.
For example, a developer wants to commence a fresh X11 coin but is worried that a competitive and saturated altcoin mining strijdperk may leave the coin prone to 51% attacks for lengthy periods of time early on. The developer wants ensured network security from the ogenblik it launches so they determine to launch it spil a multi-PoW with Five algorithms: SHA256d, Scrypt, Skein, Myriad-Groestl, and X11. Merge-mining is enabled on the Four algorithms it shares ter common with Myriad (SHA256d, Scrypt, Skein, and Myriad-Groestl) while the X11 algorithm is devoid of the auxPoW merge-mining code. The Four merge-mine algorithms could then be designed with block prizes of say, 25, while the block prize for X11 is 200. This would create a 25-to-200 ratio for the block prizes. Or maybe the ratio would be set to 40/200 or Ten/200. Whatever the ratio may be, the bottom line is that Myriadcoin miners are paid for their contributions to the network security of the fresh coin te a manner that is not detrimental to the long-term value of the coin. So long spil there is a fairly-balanced block prize vormgeving, Myriad miners should not have reason to complain about lesser block prizes because the child coins are ultimately “free lunch”. At the same time, the developer should not deprive merge-mined algorithms of block prizes altogether or else the merge-mining symbiosis becomes parasitic against the parent coin and the child coin would be dealt with naturally by the free market. It’s a matter of mutual respect that eliminates any real or perceived harm to either coin ter the merge-mining partnership.
Complimenting multi-vPoW With Other Blockchain Technology
Merge-mining symbiosis via multi-vPoW could even be enhanced by utilizing complimentary blockchain technology. For example, an implementation of multi-vPoW colored coins could offerande miners the choice of coloring their merge-mining coins into tokens that represent the amount of network security they provided. This would act spil a deflationary device (that isn’t a scam!) for the child coin that still prizes the parent coin miners with more profit/value given that creative ways to use the colored security tokens are constructed. Even further, while I understand that PoS block prizes are presently not compatible ter merge-mining environments, it may be intriguing to innovate a way for merge-miners to stake their child coins rather than sell them right away.
Ultimately, a means to achieve meta-stability within merge-mining symbiosis may be desirable and achievable from real-time gegevens analysis of relative network hashrate on each merge-mining algorithm. Hypothetically, the child coin block prizes for a merge-mined algorithm may be constructed to dynamically switch based on the size of the network hashrate of that algorithm relative to the surplus of the network. If too many miners are loaded up on one algorithm, the block prizes may be temporarily lowered while the block prizes on a smaller algorithm network could be raised. This could incentivize a migration of miners from the crowded algorithm to the sparse algorithm to prevent extended duration of low individual network hashrates.
Thesis are a few solutions that will be explored by Myriadcoin and PolyMYR. If anything, I hope to spark a upbeat discussion about stijlvol solutions for merge-mining symbiosis. I do not pretend to know if thesis ideas will succeed, but I can assure you they will be explored. Wij love to thrust the envelope on the Myriad toneelpodium.
Should Myriadcoin’s exploration of meaningful innovation spark your interests, I implore you to join our community and development team. Wij are always looking to grow! Join us on /r/myriadcoin or sway by our IRC channel (##myriadcoin on Freenet).