The third halving of Bitcoin recently marks another important step in the evolution of this pioneer cryptocurrency. The halving reduces the block rewards miners receive to maintain it as a premise of deflationary currency.
But critics expressed some concerns before Bitcoin halved. Some people focus on the impact of halving the price of BTC, and more importantly, others worry that as smaller miner participants shrink their operations and larger participants flourish, the computing power of the Bitcoin network Eventually it will be centralized.
Data from BTC.com shows that in the past three days, three companies have dominated the source of Bitcoin’s hash rate (hash rate). F2Pool (fish pond) dug up the last bitcoin block (block height 629,999) before halving, maintaining the top spot with a hash rate of nearly 21%.
At the time of writing, the hash rates contributed by BTC.com and AntPool were 16.8% and 14%, respectively. Both companies are owned by mining giant Bitmain, which achieved revenue of US $ 300 million in 2020 and is still profitable and dominant in the Bitcoin mining ecosystem.
In the past 24 hours at the time of writing, OKEx Pool has contributed more than 8%, and the combined hash rate of Bitmain and F2Pool has exceeded 50%.
This means that these two dominant entities can, in theory, conspire to try to launch a 51% computing power attack on Bitcoin.
When enough people control more than 50% of the Bitcoin hash rate, it will cause panic ripples throughout the Bitcoin community. This worry is obviously logical-after all, anyone who controls most of the hash rate can take over the network.
However, the cost of trying to maliciously take over control of Bitcoin will be around US $ 21 million per day. More importantly, this actually means that the end of the attacking miners is coming, because the price of bitcoin they spent so long mining will collapse due to the attacks they launched.
Moreover, the mining pool is composed of a large number of individuals and groups, and anyone can withdraw support for malicious mining pools at any time. For these reasons, the possibility of malicious attacks seems very small.
Therefore, miners have no incentive to join forces to launch attacks to disrupt the booming Bitcoin network. The entire business model of miners depends on mining rewards and transaction fees. Although a 51% attack is an external possibility, there is currently no such risk.
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