OCEAN, a brand new decentralized Bitcoin mining pool, introduced that it had raised $6.3 million in seed funding from numerous sources on Nov. 28. The seed funding spherical is notably led by Jack Dorsey, co-founder and CEO of Block Inc. and in addition a co-founder and former CEO of Twitter/X.
Dorsey stated in an announcement:
“Our contribution to OCEAN comes out of a deep respect for their mission … OCEAN is solving a problem for Bitcoiners that I think all of us feel – further centralization of pools and mining pools that could plague Bitcoin, and how that risks a bunch of Bitcoin attributes that we hold dear.”
Different contributors to the seed spherical embody Confederate, Barefoot Bitcoin Fund, MoonKite, NewLayer Capital, and the Bitcoin Alternative Fund.
OCEAN is operated by Mummolin, Inc., an organization that describes itself as a successor to the Eligius Bitcoin mining pool that ran between 2011 and 2017. Luke Dashjr, who at the moment serves because the co-founder of Mummolin Inc., additionally created Eligius, which was supposed to offer a decentralized strategy to Bitcoin mining.
OCEAN introduced the information on the Way forward for Bitcoin Mining Convention on Nov. 28. Although the pool seems to be operational, the corporate stated it’s going to launch new decentralization enhancements and upgrades in 2024.
Few decentralized mining swimming pools exist
Bitcoin mining swimming pools permit particular person miners to mix their computing sources and collectively compete with bigger mining companies that dominate the observe.
Although quite a few Bitcoin mining swimming pools exist, not all mining swimming pools use reward constructions that permit for direct payouts. Mummolin co-founder and President Mark Artymko defined that conventional mining swimming pools accumulate block rewards and transaction charges earlier than distributing them to miners, introducing the potential of withheld payouts.
OCEAN, against this, will depend on non-custodial payouts which are despatched to taking part miners immediately from block rewards. OCEAN additionally affords some extra transparency options, that are detailed in extra element on its website.
Whereas OCEAN is main in this new path, it isn’t alone. Different initiatives, like Foundry USA Pool, use a non-custodial escrow course of for mining reward payouts. Proposals for federated mining swimming pools or “fedipools” also exist.