Bitcoin 'mining pool' promises to stay small

July 17, 2014 by Peter Svensson

The largest group of bitcoin miners, which maintains and processes transactions in the digital currency, is promising to avoid majority control of the currency as a temporary measure to maintain the payment system's credibility.

Mining pool GHash.IO, which is controlled by a British company, CEX.IO Ltd., said Tuesday that it would not amass more than 40 percent of the of the bitcoin system. Earlier this summer, it briefly exceeded 50 percent.

Miners operate the computers that keep track of bitcoin transactions. As a reward, they receive newly minted coins. A miner that controls more than 50 percent of bitcoin processing could control the flow of transactions, freeze people out of the network and keep all future bitcoins for itself.

Explore further: Cornell researchers teach Bitcoin attack lesson in selfish mining

Related Stories

Australian claims huge bitcoin robbery

November 8, 2013

An Australian man claimed Friday to be the victim of a massive bitcoin robbery, saying hackers had stolen more than one million dollars of the digital currency from his website.

Vietnam says bitcoin transactions are illegal

February 28, 2014

(AP)—Vietnam's communist government said trading in bitcoin and other electronic currencies is illegal, and warned its citizens not to use or invest in them.

Bitcoin faces biggest threat yet: a miner takeover

June 17, 2014

The Bitcoin digital currency system is in danger of losing its credibility as an independent payment system because of the growing power of a group that runs some of the computers behind it.

Recommended for you

Cellphones can steal data from 'air-gapped computers'

July 28, 2015

Researchers at the Ben-Gurion University of the Negev (BGU) Cyber Security Research Center have discovered that virtually any cellphone infected with a malicious code can use GSM phone frequencies to steal critical information ...

Tech leaders warn over 'killer robots' (Update)

July 28, 2015

A group of top tech leaders, including British scientist Stephen Hawking and Apple co-founder Steve Wozniak, on Tuesday issued a stern warning against the development of so-called killer robots.

Where is solar power headed?

July 22, 2015

Most experts agree that to have a shot at curbing the worst impacts of climate change, we need to extricate our society from fossil fuels and ramp up our use of renewable energy.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.