It’s challenging to pinpoint a more critical threat to Bitcoin’s sustainability than the centralization of mining. With only a few dominant mining pools, the risk of regulatory pressure forcing KYC compliance onto transactions becomes all too real. This jeopardizes Bitcoin’s core value of censorship resistance, potentially compromising its long-term viability.
Over the weekend, Ocean launched DATUM (Decentralized Alternative Templates for Universal Mining), a system akin to Stratum V2, offering miners the freedom to choose transactions for the blocks they mine. This empowers miners to maintain control over transaction selection while still benefiting from pooled mining rewards, reducing the influence of regulatory pressures. By decentralizing transaction selection, DATUM contributes to mitigating mining centralization concerns.
While DATUM doesn’t completely eliminate the threat of centralization, it represents a significant step forward. The ability for miners to independently select transactions enhances Bitcoin’s censorship resistance and fosters a more decentralized network. By encouraging miners to take control of block construction, Ocean incentivizes a more secure and resilient mining environment.
Overall, DATUM underscores the importance of decentralization in safeguarding Bitcoin’s core principles. As the network continues to evolve, initiatives like DATUM play a crucial role in preserving Bitcoin’s censorship resistance and ensuring its longevity in the face of regulatory challenges.
