Why Verge Needs DigiShield NOW! And Why DigiByte Is SAFE!
Hello everyone, I’m back! Someone asked a question recently on what exactly happened to XVG – Verge and if this could be a problem for DGB – DigiByte - Here: DigiByte vs Verge It was a great question and there have been people stating that this cannot be a problem for us because of DigiShield etc… with not much explanation after that. I was curious and did a bit more investigating to figure out what happened and why exactly it is that we are safe. So take a read.
Some Information on Verge
Verge was founded in 2014 with code based on DogeCoin, it was initially named DogeCoinDark, it later was renamed Verge XVG in 2016. Verge has 5 mining algorithms as does DigiByte. Those being:
However, unlike DigiByte those algorithms do not run side by side. On Verge one block can only be mined by a single algorithm at any time. This means that each algorithm takes turns mining the chain.
Prior to the latest fork there was not a single line of code that forced any algo rotation. They all run in parallel but of course in the end only one block can be accepted at given height which is obvious. After the fork algo rotation is forced so only 6 blocks with the same algo out of any 10 blocks can be accepted. - srgn_
Mining Verge and The Exploit
What happened then was not a 51% attack per say, but the attacker did end up mining 99% of all new blocks so in fact he did have power of over 51% of the chain. The way that Verge is mined allowed for a timestamp exploit. Every block that is mined is dependent on the previous blocks for determining the algorithm to be used (this is part of the exploit). Also, their mining difficulty is adjusted every block (which last 30 seconds also part of the exploit). Algorithms are not picked but in fact as stated previously compete with one another. As for difficulty:
Difficulty is calculated by a version of DGW which is based on timestamps of last 12 blocks mined by the same algo. - srgn_
This kind of bug is very serious and at the foundation of Verge’s codebase. In fact, in order to fix it a fork is needed, either hard fork or soft fork! What happened was that the hacker managed to change the time stamps on his blocks. He introduced a pair of false blocks. One which showed that the scrypt mining algorithm had been previously used, about 26 mins before, and then a second block which was mined with scrypt. The chain is set up so that it goes through the 5 different algorithms. So, the first false block shows the chain that the scrypt algorithm had been used in the recent past. This tricks it into thinking that the next algorithm to be used is scrypt. In this way, he was essentially able to mine 99% of all blocks.
Pairs of blocks are used to lower the difficulty but they need to be mined in certain order so they can pass the check of median timestamp of last 11 blocks which is performed in CBlock::AcceptBlock(). There is no tricking anything into thinking that the next algo should be x because there is no algo picking. They all just run and mine blocks constantly. There is only lowering the difficulty, passing the checks so the chain is valid and accepting this chain over chains mined by other algos. - segn_
Here is a snippet of code for what the time stamps on the blocks would look like:
SetBestChain: new best=00000000049c2d3329a3 height=2009406 trust=2009407 date=04/04/18 13:50:09 ProcessBlock: ACCEPTED (scrypt) SetBestChain: new best=000000000a307b54dfcf height=2009407 trust=2009408 date=04/04/18 12:16:51 ProcessBlock: ACCEPTED (scrypt) SetBestChain: new best=00000000196f03f5727e height=2009408 trust=2009409 date=04/04/18 13:50:10 ProcessBlock: ACCEPTED (scrypt) SetBestChain: new best=0000000010b42973b6ec height=2009409 trust=2009410 date=04/04/18 12:16:52 ProcessBlock: ACCEPTED (scrypt) SetBestChain: new best=000000000e0655294c73 height=2009410 trust=2009411 date=04/04/18 12:16:53 ProcessBlock: ACCEPTED (scrypt)
Here’s the first falsified block that was introduced into the XVG chain – Verge-Blockchain.info As you can see there is the first fake block with a time stamp of 13:50:09 for example and the next is set to 12:15:51, the following two blocks are also a fraudulent pair and note that the next block is set to 12:16:52. So essentially, he was able to mine whole blocks - 1 second per block!
This exploit was brought to public attention by ocminer on the bitcointalk forums. It seems the person was a mining pool administrator and noticed the problem after miners on the pool started to complain about a potential bug. What happened next was that Verge developers pushed out a “fix” but in fact did not really fix the issue. What they did was simply diminish the time frame in which the blocks can be mined. The attack still was exploitable and the attacker even went on to try it again! “The background is that the "fix" promoted by the devs simply won't fix the problem. It will just make the timeframe smaller in which the blocks can be mined / spoofed and the attack will still work, just be a bit slower.” - ocminer Ocminer then cited DigiShield as a real fix to the issue! Stating that the fix should also stipulate that a single algo can only be used X amount of times and not be dependent on when the algo was last used. He even said that DigiByte and Myriad had the same problems and we fixed them! He cited this github repo for DigiByte:
It seems that the reason that this exploit was so lucrative was because the difficulty adjustment parameters were not enough to reduce the rewards the attacker recieved. Had the rewards per block adjusted at reasonable rate like we do in DGB then at least the rewards would have dropped significantly per block. The attacker was able to make off with around 60 million Verge which equals about 3.6 million dollars per today’s prices. The exploit used by the attacker depended on the fact that time stamps could be falsified firstly and secondly that the difficulty retargeting parameters were inadequate. Let’s cover how DigiShield works more in detail. One of the DigiByte devs gave us this post about 4 years ago now, and the topic deserves revisiting and updates! I had a hard time finding good new resources and information on the details of DigiShield so I hope you’ll appreciate this review! This is everything I found for now that I could understand hopefully I get more information later and I’ll update this post. Let’s go over some stuff on difficulty first then I’ll try giving you a way to visualise the way these systems work. First you have to understand that mining difficulty changes over time; it has to! Look at Bitcoin’s difficulty for example – Bitcoin difficulty over the past five months. As I covered in another post (An Introduction to DigiByte Difficulty in Bitcoin is readjusted every 2016 blocks which each last about 10 mins each. This can play out over a span of 2 weeks, and that’s why you see Bitcoin’s difficulty graph as a step graph. In general, the hash power in the network increases over time as more people want to mine Bitcoin and thus the difficulty must also increase so that rewards are proportional. The problem with non-dynamic difficulty adjustment is that it allows for pools of miners and or single entities to come into smaller coins and mine them continuously, they essentially get “free” or easily mined coins as the difficulty has not had time to adjust. This is not really a problem for Bitcoin or other large coins as they always have a lot of miners running on their chains but for smaller coins and a few years ago in crypto basically any coin other than Bitcoin was vulnerable. Once the miners had gotten their “free coins” they could then dump the chain and go mine something else – because the difficulty had adjusted. Often chains were left frozen or with very high fees and slow processing times as there was not enough hash power to mine the transactions. This was a big problem in the beginning with DigiByte and almost even killed DogeCoin. This is where our brilliant developers came in and created DigiShield (first known as MultiShield). These three articles are where most of my information came from for DigiShield I had to reread a the first one a few times to understand so please correct me if I make any mistakes! They are in order from most recent to oldest and also in order of relevance.
DigiShield is a system whereby the difficulty for mining DigiByte is adjusted dynamically. Every single block each at 15 seconds has difficulty adjusted for the available hashing power. This means that difficulty in DigiByte is as close as we can get to real time! There are other methods for adjusting difficulty, the first being the Bitcoin/Litecoin method (a moving average calculated every X number of blocks) then the Kimoto Gravity Well is another. The reason that DigiShield is so great is because the parameters are just right for the difficulty to be able to rise and fall in proportion to the amount of hash power available. Note that Verge used a difficulty adjustment protocol more similar to that of DigiByte than Bitcoin. Difficulty was adjusted every block at 30 seconds. So why was Verge vulnerable to this attack? As I stated before Verge had a bug that allowed for firstly the manipulation of time stamps, and secondly did not adjust difficulty ideally. You have to try to imagine that difficulty adjustment chases hashing power. This is because the hashing power on a chain can be seen as the “input” and the difficulty adjustment as the corresponding output. The adjustment or output created is thus dependent on the amount of hashing power input. DigiShield was designed so that increases in mining difficulty are slightly harder to result than decreases in mining difficulty. This asymmetrical approach allows for mining to be more stable on DigiByte than other coins who use a symmetrical approach. It is a very delicate balancing act which requires the right approach or else the system breaks! Either the chain may freeze if hash power increases and then dumps or mining rewards are too high because the difficulty is not set high enough! If you’ve ever taken any physics courses maybe one way you can understand DigiShield is if I were to define it as a dynamic asymmetrical oscillation dampener. What does this mean? Let’s cover it in simple terms, it’s difficult to understand and for me it was easier to visualise. Imagine something like this, click on it it’s a video: Caravan Weight Distribution – made easy. This is not a perfect analogy to what DigiShield does but I’ll explain my idea. The input (hashing power) and the output (difficulty adjustment) both result in oscillations of the mining reward. These two variables are what controls mining rewards! So that caravan shaking violently back and forth imagine those are mining rewards, the weights are the parameters used for difficulty adjustment and the man’s hand pushing on the system is the hashing power. Mining rewards move back and forth (up and down) depending on the weight distribution (difficulty adjustment parameters) and the strength of the push (the amount of hashing power input to the system). Here is a quote from the dev’s article. “The secret to DigiShield is an asymmetrical approach to difficulty re-targeting. With DigiShield, the difficulty is allowed to decrease in larger movements than it is allowed to increase from block to block. This keeps a blockchain from getting "stuck" i.e., not finding the next block for several hours following a major drop in the net hash of coin. It is all a balancing act. You need to allow the difficulty to increase enough between blocks to catch up to a sudden spike in net hash, but not enough to accidentally send the difficulty sky high when two miners get lucky and find blocks back to back.” AND to top it all off the solution to Verge’s time stamp manipulation bug is RIGHT HERE in DigiShield again! This was patched and in Digishield v3 problems #7 Here’s a direct quote: “Most DigiShield v3 implementations do not get data from the most recent blocks, but begin the averaging at the MTP, which is typically 6 blocks in the past. This is ostensibly done to prevent timestamp manipulation of the difficulty.” Moreover, DigiShield does not allow for one algorithm to mine more than 5 blocks in a row. If the next block comes in on the same algorithm then it would be blocked and would be handed off to the next algorithm. DigiShield is a beautiful delicate yet robust system designed to prevent abuse and allow stability in mining! Many coins have adopted out technology!
Verge Needs DigiShield NOW!
The attacker has been identified as IDCToken on the bitcointalk forums. He posted recently that there are two more exploits still available in Verge which would allow for similar attacks! He said this: “Can confirm it is still exploitable, will not abuse it futher myself but fix this problem immediately I'll give Verge some hours to solve this otherwise I'll make this public and another unpatchable problem.” - IDCToken DigiShield could have stopped the time stamp manipulation exploit, and stopped the attacker from getting unjust rewards! Maybe a look at Verge’s difficulty chart might give a good idea of what 1 single person was able to do to a coin worth about 1 billion dollars.
Edit - Made a few mistakes in understanding how Verge is mined I've updated the post and left the mistakes visible. Nothing else is changed and my point still stands Verge could stand to gain something from adopting DigiShield! Hi, I hope you’ve enjoyed my article! I tried to learn as much as I could on DigiShield because I thought it was an interesting question and to help put together our DGB paper! hopefully I made no mistakes and if I did please let me know. -Dereck de Mézquita I'm a student typing this stuff on my free time, help me pay for school? Thank you! D64fAFQvJMhrBUNYpqUKQjqKrMLu76j24g https://digiexplorer.info/address/D64fAFQvJMhrBUNYpqUKQjqKrMLu76j24g
BCH nov15-dec15 update . BCH moves along and claims its #4 place back on CMC
https://news.bitcoin.com/hash-wars-bch-proponents-face-a-new-dawn-in-the-battles-aftermath/ 35 days later after the fork, Bitcoin Cash supporters are working towards moving past the hash war that took place a little after the scheduled BCH upgrade on Nov. 15. Now both networks are operating and the Bitcoin Satoshi’s Vision (BSV) coin has its own price ticker and market capitalization listed on data sites like Coinmarketcap and Satoshi Pulse. A portion of crypto-trading platforms have now listed BSV as a separate currency and the entire ecosystem of exchanges, payment processors and a great majority of wallets have awarded the ABC side of the chain the BCH ticker. At the time of writing, the global average price for BCH is $144 after markets jumped 47 percent on Dec. 19. BSV spiked 18 percent this Tuesday and each coin is currently trading for $92 per token. Since the fork, the BCH network hashrate has dropped considerably, even more so than the 50 percent loss BTC suffered this past month. Average hashrates for a great number of SHA-256 algorithm coins have endured deep drops in processing power according to global statistics. The Bitcoin Cash hashrate used to command a rough average of 5 exahash per second (EH/s), but now only captures 1 EH/s to 850 petahash per second (PH/s) on a daily basis throughout this month. On the bright side, the BCH network has been 5-8 percent more profitable to mine than BTC over the last two days. Further, BCH has amassed a large swathe of different mining pools that are processing BCH blocks on a regular basis. This includes Viabtc, Btc.com, Antpool, Multipool, Bitcoin.com, Btc.top, Waterhole, Copernicus, P2pool, Ckpool, and some other unknown mining entities as well. Another BCH metric that has halved since the fork on Nov. 15 is the cryptocurrency’s daily transaction rate over the last month. Before, bitcoin cash transactions per day were about 20,000-25,000, whereas today that number stands at roughly 9,750 over the course of the last 24 hours. Over the last three weeks, the BCH daily transaction rate has been averaging 10k per day, with a few instances of 15k-22k spikes here and there. There has been a steady increase in daily transactions week after week, and with 99 percent of BCH infrastructure back in order, this should continue. A good example of this behavior is the increase in BCH price and trade volume on exchanges over the last few weeks. Pre-fork BCH trade volumes captured anywhere between $400-900 million worth of global trades every day. After the fork, this statistic dropped to around $50-100 million daily on global exchanges. This was because some cryptocurrency trading platforms with a ton of bitcoin cash liquidity had paused BCH transactions and some exchanges halted trading. Week after week, however, global BCH trade volume has been steadily increasing on exchanges like Upbit, Binance, Huobi, Lbank, and Coinbase Pro. With the 40 percent increase over the last 24 hours, BCH trade volume has jumped to over $400 million in global trades on Dec. 19. At the time of publication, this makes BCH the seventh most traded digital asset out of the entire crypto economy. The Bitcoin Cash community had also suffered from daily battles on Reddit’s btc forum and social media platforms like Twitter. A good portion of the trolling and infighting seems to have quietened down, and most BCH supporters are just trying to move forward. There’s been plenty of developments since the fork, with projects like Electron Cash, Honest Cash, Cash Shuffle, and Openswap adding more utility to the BCH network. Furthermore, BCH enthusiasts look forward to the upcoming BCH upgrades that are under discussion and they can track the code’s development too. For now, BCH supporters are extremely pleased that the fork is behind them and are thrilled to reclaim fourth position among all cryptocurrency market capitalizations.
Clearing up some confusion about cryptocurrencies, mining and when prices will go down.
I spend my last 6 months in a lot of cryptocurrency Reddits and informed myself about the topic. I read a lot of misinformation in the non crypto Reddits every day and because of that I am making this post to clear some things up and explain everything. Sorry for the wall of text, there will be a tldr; at the end
How do mining profits work?
The Ethereum network pays out people who mine for them in Ethereum. The total daily amount of Ethereum giving out is more or less constant for now which means that if only a single person mines he gets everything, if a million person mine with the same hash power behind them everyone gets 1/1,000,000 of the reward, the reward itself does NOT increase, only the price of the ETH can increase. Normally people would buy more GPUs until they reach a point of only a small profit compared to the energy costs and it would a reach a point of balance between total network hashrate and profit in USD (like it was in the last 3-4 years). The problem is that the price spiked multiple times way too fast and GPU manufacturing can't keep up which causes GPU prices to spike and delays this point of balance which results in MASSIVE profits for everyone who mines because the hashing power "supply" is capped. We are talking about 100$ a month with a SINGLE RX 480 right now (80$+ with power cost included).
When will it stop?
Actually quite soon (yay). This is sadly a truth that not many miners know of (not to mention some are delusional... you will find them in the comments) and very few people think about. Even the popular Youtube channels have no idea about this. Before I come to the end of GPU mining first there are some numbers.
How many GPUs are out there and how much are the total profits?
The current network hashrate is about 191TH/s and a total daily reward paid of 31,239,969$ in the last 24 hours. Because a single RX 480 gets about 28MH/s (pretty much average), we have about 6,821,428 GPUs mining ONLY Ethereum right now. If you every wondered how much money you need for a global GPU shortage the answer is about 30 million dollar daily.
Can you finally tell us when and how it stops? I want to play pubg!
Ok ok... the thing is the Ethereum network doesn't need your GPU power. It only uses it as a spam filter to make it harder to manipulate the network. You would need over 50% of the total hashrate to reliably fake transactions, think of it as a giant google captcha. You can easily replace that captcha with another one and this is exactly what Ethereum does in the near future. Proof of stake means instead of wasting GPU power you just stake your Ethereum and the more of your Ethereum you invest the more voting rights and rewards you get. If you are caught trying to cheat your whole money gets confiscated and donated to everyone else depending on their voting rights. Full proof of stake will probably be implemented late 2018 but just to be fair it already got delayed multiple times so there is no clear 100% date for it yet.
So... Ethereum fires all the miners, wont miners just mine something else?
This is where the misconception starts. There is actually a second point of balance in all of this. All cryptocurrencies will always divide all the hashing power between them until they all reach about the same profit (people always switch to what gives the most profit). It may seem like there are a lot of profitable cryptocurrencies to mine but that is actually an illusion. Many of the smaller coins would be unprofitable after a few thousand GPUs because their total $ reward giving out daily is pretty small. The thing is nobody mines something that gives less profit so they switch. To sum it up Ethereum is basically the minimum payment job and everyone who goes below that wont find anyone willing to do the job until they get more profitable than Ethereum. Now what happens if 6.8 MILLION RX 480 are jobless after a single update? They will all start mining something else. The problem is Ethereum has a GIANT majority in hashrate and all other mineable cryptocurrencies combined can't be profitable after Ethereum switches even if their prices spike by 10x.
It can't be that bad...
OH HELL YEAH IT IS THAT BAD! Every heard of Monero? It is the cryptocurrency that caused the RX Vega shortage. Any idea on how much daily rewards they give out? A giant 1,504,249$ in the last 24 hours. Yes that is 20.7 times less and we are talking about the second biggest mineable coin out there. As soon as Ethereum fires all the miners everything will collapse and profit will turn NEGATIVE for a while unless you have free power. Q4 2018 is the end of mining for probably ever. Because the Ethereum code is open source and everyone can use it there will most likely be more coins that follow proof of stake after that (there already are some that already have it) so mining will most likely never come back.
Why the switch to proof of stake?
There are many benefits. It consumes A LOT less power, it is most likely faster and people who hodl Ethereum get more Ethereum for just having it. Free interest rate hype! But the most important thing about this is that miners control the currency and every update to it. Sadly they don't have the same interests as people who want the crypto to succeed and improve. For example Bitcoin's block size is kept at 1mb even though increasing it was always the plan since 2009. Why? It's very simple. You can only fit X amount of transactions in 1mb and if it gets more than that only people who pay more get their transactions in faster which means more fews are being paid to the miners. While they make a fortune the currency suffers with spikes to 50$ for a SINGLE transaction (currently it's 18$). If the power goes to the ones having the currency they are directly interested in the well being of the currency which is better for everyone.
So... what does all of this actually mean?
We will get the biggest GPU mass sell off in the history of the technology itself. I wouldn't be surprised to find a RX 480 for 100$ in December. Miners already made the price of the GPU back multiple times, they don't care about the price if they get at least something. This will be a GREAT time for buying GPUs. It already happened once in 2013? when ASIC miners got introduced for Bitcoin mining and all R9 290(x) got dumped on the market because they went from awesome miners to completely useless overnight. This time will be much bigger though because of the sheer amount of GPUs used for mining.
AMD's and Nvidia's part in this
AMD did ramp up production last time with the r9 290(x) and got completely rekt. They couldn't sell the GPUs anymore and the used r9 290(x) were way too cheap to compete with. This time they are smarter and they just make as much as they can without investing too much while basically selling everything they produce for almost a whole year. Nvidia is about the same right now, they are just making bank without risking much. If you ever wondered why the 1070ti exists, it is basically a mining only GPU. The 1080 is horrible for Ethereum mining because of GDDR5X timings but the 1070ti has the same GPU power with GDDR5 non x. They only made this for more profit when selling to miners.... yet no reviewer called them out for this to my knowledge.
GPU prices will crash hard and the used market will have laughable low prices. These GPUs actually run undervolted, underclocked and at a low temperature the whole time because the bottleneck is the memory speed which means they are in EXCELLENT condition. Maybe their BIOS got flashed for better memory timing but you can just switch to the second BIOS or flash it back to normals. These will the GREAT to buy. Note that r9 290(x) and 390(x) GPUs should be avoided because they have such an overkill memory setup that their GPU core is the bottleneck (-> overclocked, overvolted and run at 90c+).
How will Nvidia react?
Well they will have a problem. Nobody will buy a 1180 if they can get a GTX 1080 for 200$ compared to something like 600$. Especially if Nvidia releases the 1180 while mining is still a thing. I guess they will wait with the 1180 or release a 1280 shortly after mining died with a really competitive price (if AMD can't compete they will just compete with themself...). Just think of the GTX 970 which got released with a 299$ MSRP and got actually sold at that price!
This got way longer than expected... well I hope you learned something. Just comment if you want to correct something or have a question. Most of these are assumptions based on thinking so none of this has to happen but is in my opinion very likely to happen. tldr; Because Ethereum has almost all of the GPU power behind it and will fire all the miners in around Q4 2018 with the switch to proof of stake there will be a huge excess of GPU power and prices will crash hard. edit: if you only care about numbers and facts and want a better distinction between assumptions and facts read my other comment https://www.reddit.com/pcmasterrace/comments/7rqkmo/clearing_up_some_confusion_about_cryptocurrencies/dsyzg6b/
The connection between the LTC price surge since mid november and the new Batch of Bitmain Miners.
I think its time that people understand a bit more, and post memes that explain nothing a bit less. There is too many newbies in crypto now who don't understand anything and just think Litecoin is great because its expensive. Take a look at these 3 things: Available Mining hardware The Litecoin mining difficulty The Litecoin price Available Mining Hardware Bitmain sold their last big batch of miners in early summer 2017, since then LTC Miners have been sold out. Suddenly mid november, LTC Miners were available again on Bitmain's Internet site. The Litecoin mining difficulty It takes a while for Bitmain to distribute all their miners, at the end of the summer it seems that the summer batch of miners has found their new owners. The Litecoin Difficulty stopped rising and was steady at a plateau. Roughly 4 ASIC miners were necessary to mine one LTC in 24h until mid november. Its an open secret that Bitmain "tests" their miners before they send them to their clients, and the day they started selling their new batch, they started "testing" it as well. You can see very clear how the difficulty jumped up and is growing steadily ever since. From Friday to Saturday, the LTC difficulty jumped up from 1.7Mio to 1.9Mio, it's the biggest jump in difficulty this year if I haven't overlooked something. Today, the mining profitability outcome/harvest is at almost 50% of what it was before the day Bitmain started "testing" their new miners. Roughly 8 ASIC miners are now necessary to mine one LTC in 24h. The Litecoin price Not accounting for the spikes here and there, the LTC price this summer looked similar to the difficulty chart. During the summer, the price was quite steady at a plateau. This changed though in november. The price started to rise steadily. From Friday to Saturday, the LTC price jumped up 50%, also the biggest jump in a pretty short time that we have seen this year. I hope you are starting to see what pushes the price up lately. Its not the Goku/Vegeta Memes of the new "coalition" between Bitcoin and Litecoin. Its not Charlie Lee's twitter about LTC acceptance at Bitrefill.com. Its a necessary reaction to keep the network save and alive, because if profitability goes down to 0, miners will stop mining. Have a nice weekend and enjoy the price spike. edit: I am not trying to proof that general demand does not push the price up! LTC is available in limited quantities, so of course there is an upward trend with increased demand. I am trying to show you one reason for sudden price increases (and decreases) that many newbies are not aware of. edit2 2 corrections for clarity: changed profitability to outcome/harvest and put brackets around decreases, because my observations are actually that the price has to adjust upwards with increase in difficulty. I have not enough evidence that it goes downwards as well with decreased difficulty. Profitability of LTC mining actually stayed the same since mid november due to the adjustment of the price to the increased difficulty. edit 3 Users are commenting that the difficulty follows the price. I understand very well that when a coin becomes very profitable to mine, people jump on it. But how do you explain this then? Until the 5th of December, the hash rate increased slowly. From 5th to the 8th of December the LTC hash rate increased to 250% of what it was was before. The difficulty jumped up on the 6th of December from 1,3 to 1,7mio. And on the 9th of December from 1,7 to 2,4mio. So it increased to 200%, which means the profitability sunk to 50%. The LTC price was steady until the 8th of December at 95$. From the 8th to the 9th of December it went straight up to 150$. A price spike right after everybody went home or drinking on a friday? The price went up after the difficulty doubled, not before. I'm just reading charts and try to make sense of them. Just saying "no" without having another explanation is just not very convincing.
Wafflepool and Multipool together control over 50% of the global hashrate. Shibes, this is a serious problem.
tl;dr: MFW I see a threat to Dogecoin: http://i.imgur.com/vtF2yU6.gif As of this writing, Wafflepool (with 37.66% of the network hashrate) and Multipool (with 18.74% of the network hashrate), control 56.34% of the network hash rate. Source: https://pools.rapidhash.net/ This is a problem Are these pools likely to collude to 51% our beloved coin? Not likely at all. Does every human person with access to two computers on the Internet practice perfect security when it comes to authentication and server hardening? Not likely at all. The 51% attack is now quite possible if someone compromises just two computers: the controllers at the top of these two pool hierarchies. +GoodShibe talked about decentralizing hashrate last week in Of Wolves and Weasels. In response, I put up a quick and admittedly quite imperfect project to help explain and combat centralization by promoting ubiquitous CPU mining on existing, unused hardware. Dogecoin needs to be peer-to-peer, for real, to survive The 51% Attack is not theoretical -- read up on the attack last June against Feathercoin. They were unprepared for this and I believe as a result of this event, Feathercoin is now all but dead. Today, the attacker(s) is/are still unknown and presumably at large. I don't know how to solve this. I know there are many, many smart cryptocoin experts on this subreddit. Cheer me up so I can go back to goofing off with this play-pretend-but-really-real-mostly cryptocurrency project. Thanks! edit: first 26 minutes of this post, 3 uprockets, 3 downdigs. funky i guess i have to gun for the controversial tab instead of the hot tab. edit1: first 21 hours of this post, tons of uprockets and tips. Thanks everyone! I learned a lot about hashrate and malicious intent, and I hope others did, too! And here I thought the 0 score was going to doom this post. For more like this, visit /panicdoge!
Multipool- A pool of miners that automatically mine the least difficult, most valued and easily tradable cyptocurrency, at that time. These pools automatically! switch between coins as they become more valuable to mine. One of their favorites just happens to be Doge, alongside aurora and litecoin. They do this to maximize their daily mining profits. These coins are then automatically! sold for bitcoin on an exchange; dumping said coins for whatever they can get at the time! <-- For those that don't know :) If a coin becomes the target of this, its value can be pushed down significantly! At the same time said coins difficulty increases because of the huge surge in hashing power by these multipools. Making it more difficult for dedicated miners. In fact, this has completely destroyed smaller coins before. http://www.coinwarz.com/cryptocurrency/coins/dogecoin <-- If you look at the difficulty chart here, you will notice that it looks like a saw. This is because we are being targeted repeatably by multipools. These pools are causing our mining difficulty to jump from 900 to 1200 repeatedly (70gh to 100gh, global hashrate) This is a 25-30% increase over the entire global hashrate of all of the doge being mined everwhere!! i.e. lets say we mine 360 mil Doge a day(what I saw quoted awhile ago) and 25% of that is being sold as soon as its mined. That would roughly be 90,000,000 coins being sold and dumped immediately! So vast amounts of doge are being traded automatically for bitcoin and driving down our value. If you put a massive supply of anything to sell on a market, the supply outweighs demand and the price falls Thankfully, another halvening is just over a month away. This will make sure that we aren't one of the most valuable coins to mine and as such wont be targeted by multipools! Well, at least not until our value goes way up! If you can, buy doge now!, You will never see it this cheap again after the next halvening in april. tl;dr Stoopid multipools! I shake my fist at thee!
Hi, it’s some weeks that I’m getting into Monero and I really see a great future for it. My problem is that I have a very low budget so my mining capability is a joke (around 80 h/s). I cannot help this coin to grow by mining it, so I’m making this FAQ hoping that can be useful for new users. If you want to support me, the tip jar is at the end of this post. Thank you!
I noticed a lot of confusion around Monero. Many of the most asked question are basically the same , so I collected some of them from /monero, /moneromining and monero.stackexchange and I made this Monero Faq. Please feel free to suggest any new frequently asked question or correction/modification/ (also about the grammar, my english is not very good), i’d like to keep this post updated.
Minergate is known for being linked to Bytecoin (read here and here ) and many users are noticing lower or differences in hashrates when using other miners (just make a research using the word “minergate” here on reddit). don’t be fooled by the nice graphical interface.
Bitcoin mining difficulty up another 24% in just the last 30 days!
A year ago the hashpower needed to mine Bitcoin was insane, the network was considered unbreakable. But its continued to double every few months. This is an indicator that the $ cost for many miners has continued to increase, yet investment into mining continues to thrive. Mining is basically an entire sub economy of the tech sector creating massive amounts of wealth and jobs. Here's a link showing charts for the increase in hash power...it shocked me in January and I didnt think it would just keep going up so much during this bear market. https://www.coinwarz.com/difficulty-charts/bitcoin-difficulty-chart With so many questions about miner cost influencing supply and thus price, I'd like to hear your thoughts. If hashpower doubles again, the price support will likely gone up? Seeing as the 2014 crash had essentially no miner investment on this scale, its logical to assume that this is a game changer that continues to evolve. Even the people getting free hydro will start to be squeezed out with these difficulty levels. It reminds me of the way the diamond miners can control supply to influence price. Thoughts?
Using "default" price of electricity hashpower (don't know how accurate those are), Coinwarz has it below zero, BitInfoCharts slightly above. I've no doubt it's quite profitable in many places including those where the cost of electricity is subsidized by taxpayers, but for causal miners without access to government officials or government owned "enterprises", it seems it's close to game over... Ignoring the topic of the current forking on BCH (please use other OPs for comments on that), a collapse in SHA256 mining profitability would relatively benefit BCH because of the faster difficulty adjustment. Does anyone have anecdotal or other insights into the current situation via-a-vis causal/hobbyist BTC mining? https://www.coinwarz.com/calculators/bitcoin-mining-calculato?h=14000.00&p=1320.00&pc=0.10&pf=0.5&d=6653303141405.96000000&r=12.50000000&er=5599.26000000&hc=0.00
I recently found this website. https://www.coinwarz.com/charts/network-hashrate-charts I tried to compare Vertcoin's hash rate to other coins and found that in some cases, a network had a hash rate of zero (see Zclassic). How can that be? What is also odd, VTC has a hashrate that is 10 times greater than BitcoinGold but BTG is a $133 coin whereas VTC is a $4 coin. The market is does not know how to efficiently price cryptocurrencies at the moment.
Now that everyone and their mom is buying Bitcoin, while others learning that ETH is acutally GPU minable, The difficulty has increased in just over the past 5 days from 1.5 to near 1.8 https://www.coinwarz.com/difficulty-charts/ethereum-difficulty-chart I saw my rewards drop from .68 beginning for month, to .63, now to .59 ETH(For 600 hash) I've been mining since June. After the whole Iceage, i was ready to recover now this happens. Price is high, yes, but I think we can all agree ETH/Bitcoin are in bubbles. I barely got to make much ETH because of the whole IceAge fisaco followed by this :( I'm looking for other coins to mine like ZEC or ETC, but that also means the added hassle of exchanging it to something coinbase will cash out to Fiat.
All, I can still feel the wind from the hands that just slapped me over the CoinWarz ad! For those of you who think it was a total waste, don't worry, I'll make it up to you :-) I still think it is good exposure. I know that when I was just starting out in the cryptocurrency world, CoinWarz was one of the first websites I looked at for a good while. Anyway, there is still plenty left in the fund (3414VTC) and now we have ads on BitInfoCharts, Reddit and CoinWarz. So, let's vote on whats next.... I am in contact with the following vendors: http://www.cryptocoinsnews.com/http://coinfinance.com I can run an ad on Cryptocoins News for $5 per CPM as a 728x90 banner on the top of their breaking Bitcoin news stories. The other location is the footer which runs $4 per CPM. Basically we just set a budget and they display the ad until it is spent. The minimum is $250. CoinFinance would charge 200VTC for two weeks which is discounted because of a few other things I am offering the owner. I can easily run both. Cheers!
Crypterra: Most common mistakes people make when joining.
Some quick tips: 1) Understand what to mine: Please use a mining calculator to verify which coin is the right for you, https://coinwarz.com good mining calculator for ETH/LTC/BTC. Everyone is joining the BTC hype, but do they realize that there are a lot of people stuck in the 12k-19k BTC range? https://www.tradingview.com/x/veTUpi9n/, chart looks like we will need a lot of new money in Bitcoin in order to make new highs, maybe some future news about the Lighting Network could trigger the move. BTC Profitability increases when mining difficulty decreases (https://btc.com/stats/diff) and when price increases (https://coinmarketcap.com/). Given the future projections of difficulty and current chart coin investors should consider mining Ethereum given the bullishness of the chart (https://www.tradingview.com/x/YlvNfhcJ/) and the +50% move since mid December. 2) How to reduce payment fees: I originally bought 5 TH/s with Bitcoin and paid almost $30 in fees while transferring from Exxodus to Crypterra. Paid 5 TH/s with LTC and only paid 6.86 in fees. If your going to invest more than $500 in Crypterra I highly suggest you use Litecoin to avoid the insane amounts of BTC transfer fee. The transaction will be cheaper and also faster since there are almost 145,000 BTC transactions pending in the blockchain. 3) Missing Hashpower : Lots of people have been complaining about not receiving hashpower after sending payment. I had the same problem when I paid with BTC, it took 9 days for my hashpower to show. I did not have the same problem when I paid with Litecoin (LTC). 4) Understand the risk: As with any investment you need to manage risk, invest only what you can afford to lose. I started with $500 I had to wait 11 days for my first payout, (9 for my hash power to appear + 1.5 mining for $10), the 20 TH/s special is good but don't feel forced to buy into it. If you want to join Crypterra, educate yourself on the topic and join me https://crypterra.net/?code=CR8960
World’s Top-12 Cryptocurrency Web-sites According to Dickinson-Junior
I continue to introduce the most interesting and useful crypto currencies related web-sites to my dearest readers who just stand on the crypto-currency path. With ICO-trackers we have already figured out, and as far as crypto exchanges are concerned, I gonna tell you in the next article. Today, we analyze useful and interesting news and analytical web resources. The garland of victory among specialized cryptocurrency web-sites belongs to www.coinmarketcap.com (the most important data in a nutshell: market capitalization of all cryptocurrencies, the number of coins in circulation for each of them, rates against the USD) — 133.6 million visitors monthly! An online publishing platform www.medium.com houses a lot of interesting opinions of analysts and traders on cryptocurrencies, technical articles, crypto-currency jokes. For my pity it does not show the audience by subreddits. But all cryptocurrency and ICO experts recommend this resource for mandatory reading! Its monthly audience is about 140 million people! The largest cryptocurrency and ICO forum www.bitcointalk.org is a mustread for both newbees and golden oldies) — 35 million visitors. http://www.coindesk.com (cryptocurrency news, educational materials, analytics, reports on the "Consensus" annual blockchain technology summit) - 21,4 million visitors. www.steemit.com is a blogging and social networking website on top of the Steem blockchain database. One finds a lot of reading on cryptocurrencies, upcoming ICO reviews, discussion in the comments. The Steem blockchain produces STEEM and Steem Dollars which are tradeable tokens users obtain for posting, discovering, and commenting on interesting content. 19 million visitors every month. www.cointelegraph.com delivers bitcoin and ether news, analytics, explanation of cryptoterms, ICO calendar) - 10.78 million visitors monthly. www.cryptocoinsnews.com - bitcoin and major altcoins news, analytics, tips on how to get free bitcoins and how to earn money with bitcoins — 9,7 million people of monthly audience. www.bitcoinwisdom.com - Bitcoin and Litecoin Difficulty charts and calculators, exchange rates — 8.52 million visitors every month. www.bitinfocharts.com - cryptocurrency statistics, major cryptocurrencies rates, a lot of graphic information on them — 5.9 million people of monthly audience. www.coinwarz.com - cryptocurrency charts, mining calculators, online profitability calculators to determine the profitability of bitcoin mining in comparison with other cryptocurrencies — 4 million visitors every month. Bitcoin Wiki (https://en.bitcoin.it/) — online encyclopedia of cryptocurrency terms, 1,139 pages, 3.9 million readers every month. http://www.newsbtc.com - cryptocurrency news and analysis, educational information for "dummies", a list of crypto-currency brokers, cryptocurrency exchanges charts, tips on how to visit bitcoin-casinos, the list of most popular ICOs) - 2, 6 million people of monthly audience. www.bitcoinmagazine.com tells the news and reveals bitcoin history, reminds of dark Internet, provides one with information for technical analysis, hosts a calendar of blockchain and bitcoin-events - 1.98 million visitors every month. I hope everyone will find here what he is looking for… For, as it was said many centuries ago, " For every one that asketh receiveth; and he that seeketh findeth; and to him that knocketh it shall be opened” (Luke 11:10). Author: Dickinson-Junior
CoinWarz is a free cryptocurrency information website that provides data analysis for how profitable it is to mine Bitcoin versus choosing to mine a different alternative digital currency instead.. What Is CoinWarz? According to the site itself, CoinWarz was founded in May of 2013 and has since received 60+ million page views from 4.5 million unique visitors. Bitcoin Trend Us - CoinWarz Bitcoin difficulty chart Vous êtes ici: Accueil / Bitcoin Trend Us - CoinWarz Bitcoin difficulty chart. Top 100 Richest Bitcoin Addresses and Bitcoin distribution. After the market crash in December 2017, theIt will take a ride similar to the one we witnessed last year for Bitcoin to reach this mark.Check. Just hours after the cryptocurrency reached an all-time ... Obwohl die genaue Hashing-Leistung von Bitcoin nicht bekannt ist, kann sie anhand der Anzahl der abgebauten Blöcke und der aktuellen Blockschwierigkeiten geschätzt werden. Anmerkungen. Tägliche Zahlen (Rohwerte) können aufgrund der Zufälligkeit der Blockerkennung periodisch steigen oder fallen: Selbst bei einer Hashing-Leistungskonstante kann die Anzahl der abgebauten Blöcke im Tag ... According to coinwarz.com, its website is the right platform for bitcoin and crypto service providers to advertise their brands to the budding crypto community. CoinWarz claims that its website had recorded over 115 million views and 10.5 million unique visitors since it first launched in 2013. Furthermore, data on the site reveal that CoinWarz hosts 500,000 unique visitors and 4,000,000 page ... The Bitcoin difficulty chart provides the current Bitcoin difficulty (BTC diff) target as well as a historical data graph visualizing Bitcoin mining difficulty chart values with BTC difficulty adjustments (both increases and decreases) defaulted to today with timeline options of 1 day, 1 week, 1 month, 3 months, 6 months, 1 year, 3 years, and all time
Cryptocurrency Mining Profitability - How I Find The Most ...
Links: TOBG Kanal auf Lbry: https://lbry.tv/@tobg:b Hashrate Bitcoin Chart: https://www.coinwarz.com/mining/bitcoin/hashrate-chart Difficulty Bitcoin Chart: ... This video is unavailable. Watch Queue Queue. Watch Queue Queue Queue Let's take a look at a historical snapshot of the crypto market price in April 2017 and discuss what are the most profitable coins to mine right now? What do you think about the health of the ... Subscribe to Crypto Stuffs Official YouTube Channel: https://goo.gl/MuQY3s Stay with me "Crypto Stuffs" for latest crypto news tags: bitcoin ethereum bittrex bitcoin news poloniex bitcoin mining ... Below are the sites with links that I talked about in the video. Any questions you have on Cryptocurrency or if you hear something in the news, let me know and I'll make a video about everything I ...