Jack Dorsey's New Venture: Anti-Censorship Bitcoin Mining Pool

• Bitcoin Startup Mummolin Raises $6.2 Million for Decentralized Mining Pool
• Introduction of the Non-Custodial Mining Pool
• A New Era of Transparency in Mining
• Understanding the Bitcoin Mining Process
• Addressing Payment Withholding in Bitcoin Mining
• Industry Observers Applaud the New Pool
• Plan for Future Upgrades and Improvements
• Funding and Support
• OCEAN Tackles Bitcoin's Censorship Problem

Bitcoin Startup Mummolin Raises $6.2 Million for Decentralized Mining Pool

Bitcoin$42,260 -0.64%-based startup Mummolin has obtained $6.2 million in seed funding spearheaded by Jack Dorsey and other investors. The aim is to enable miners to control their block rewards from the network. The funding will provide the necessary capital to launch a decentralized mining pool, OCEAN.

Introduction of the Non-Custodial Mining Pool

The newly launched non-custodial pool is set to be a pioneer in its field. Unlike some current pools, miners will receive their block rewards directly without the involvement of a centralized entity. This novel approach sets the stage for increased transparency within the bitcoin mining industry.

A New Era of Transparency in Mining

Luke Dashjr, a long-serving Bitcoin core developer and co-founder of Mummolin, has echoed these sentiments. He described the venture as being the most transparent pool to date, and the only non-custodial pool where miners receive new block rewards directly from Bitcoin.

Understanding the Bitcoin Mining Process

A Bitcoin mining pool is a collaborative platform where network operators unite to verify transactions. The rewards from this collective effort are then split amongst the miners. However, traditionally, these mining pools have acted as centralized entities, taking custody of the rewards before distributing them to miners. This outdated model enables the withholding of payment from individual miners, either voluntarily or by legal mandate.

Addressing Payment Withholding in Bitcoin Mining

According to Mark Artymko, Mummolin's co-founder and president, the OCEAN mining pool will offer non-custodial payouts that come straight from the block reward. This revolutionary approach eradicates the risk of withheld payments and minimizes the pool's undue influence over miners.

Industry Observers Applaud the New Pool

Lyn Alden, the founder of Lyn Alden Investment Strategy, has commended the novel mining pool on social media. She praised it for its foundational decentralization, which, in her view, will benefit the Bitcoin network immensely. The new venture is essentially a new-and-improved version of Dashjr's previous zero-fee pool, Eligius.

Plan for Future Upgrades and Improvements

According to Dashjr, the old code has been updated and tested to support the latest Bitcoin addresses and mining machines. Its first customer, Barefoot Mining, has already signed up, and the pool plans to roll out further phases of Bitcoin decentralization improvements and upgrades in 2024.

Funding and Support

The funding round was led by Bitcoin advocate and former Twitter CEO Jack Dorsey, with participation from Accomplice, Barefoot Bitcoin Fund, MoonKite, NewLayer Capital, the Bitcoin Opportunity Fund, and other strategic partners.

OCEAN Tackles Bitcoin's Censorship Problem

OCEAN's launch arrives at a time when some established mining pools have faced controversy for censoring certain transactions. This is a significant issue since many Bitcoiners consider censorship resistance a fundamental principle of the original and largest blockchain. In a recent case, F2Pool drew criticism on social media following a report that it might be censoring transactions from an address subject to U.S. government sanctions.

Dorsey expressed that OCEAN is addressing a problem faced by many Bitcoin enthusiasts, the increasing centralization of pools and mining, which could jeopardize the attributes of Bitcoin that many hold dear.

Edited by Jonathan Stoker