Monero’s privacy-focused cryptocurrency ecosystem is in for a huge upheaval. The impending closure of Minexmr, its largest mining pool, is becoming increasingly clear. The demise of the latter has rekindled a battle for hashrate control between the nine remaining pools on the network.
Largest Monero mining pool liquidated in favor of decentralization
With 41% of the network hashrate, Minexmr largely dominates Monero mining, ahead of nanopool, which is credited with 19% of the total hashrate. Its power of 998.64 MH/s guaranteed a significant profit in the distribution of mining rewards. Please note that this network is based on Proof-of-Work. Pool issued a press release announcing that it would close its operations on August 12th. The day before the next network update. The memo sent to the miners of the pool encourages them to take the necessary steps to deploy their hardware to other groups.
To this end, Minexmr has encouraged its employees to switch to decentralized pools and has not hesitated to indicate its preference for p2pool. With a firepower of 77.38 MH/s, the latter currently only controls 3% of the network hashrate. Minexmr has assured its miners that they will not pay any fees for using p2pool to support the Monero network. He also assured that he will automatically send all pending mining rewards to other miners after the pool closes.
While the largest mining pools appear to be a threat to the decentralization of the network, the demise of Minexmr sounds like good news for Monero. Despite Minexmr’s recommendations, the community fears that migrants will choose pools with more capacity than p2pool to maximize their income.
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Luke Jose Ajinaku
Not only did my failed investment in cryptocurrencies in 2017 not dampen my enthusiasm, but only strengthen it. Therefore, I decided to study and understand the blockchain and its many applications, as well as pass on information regarding this ecosystem with my pen.