Today, Wyoming-based Mummolin, Inc announced a successful $6.2 million seed funding round, led by Jack Dorsey, also involving high-profile investors such as Accomplice, Barefoot Bitcoin Fund, MoonKite, NewLayer Capital and Bitcoin Opportunity Fund, among others. This funding will fuel the launch of OCEANa new initiative aimed at decentralizing Bitcoin mining on a global scale, according to a statement sent to Bitcoin Magazine.
“OCEAN solves a problem for Bitcoiners that I think we all feel: increased centralization of mining pools that could harm Bitcoin, and how that endangers a number of Bitcoin attributes that we hold dear,” said Jack Dorsey, co-founder of Twitter. and CEO of Block, Inc. “When I see a project that is good for Bitcoin in general, and is also good for me and my businesses personally, it becomes an easy decision for me, and I’m happy to be a part of it . “.
The OCEAN Pool stands out as the first transparent, non-custodial platform where miners receive block rewards directly from the Coinbase transaction, eliminating the risk associated with traditional pools withholding payouts from individual miners. “Traditional Bitcoin mining pools have sole custody of block rewards and transaction fees before distributing them among miners. This gives them the ability to withhold payment from individual minors, whether by their own choice or by legal obligation. OCEAN’s non-custodial payments directly to miners from the block reward eliminate this risk and the undue influence of the pool on miners,” added Mummolin co-founder and president Mark Artymko.
“The role of mining pools must change for Bitcoin to exist as a truly decentralized currency,” said Luke Dashjr, longtime developer of Bitcoin Core and co-founder of Mummolin. “OCEAN is a new type of pool that allows miners to become real miners again. We are launching as the most transparent pool and also the only non-custodial pool where miners receive new block rewards directly from Bitcoin.
Asked by Bitcoin Magazine Regarding the problems in today’s mining industry that the OCEAN team is motivated to solve, three main areas of focus were presented:
Centralization of the construction of block models. “Even though hashrate may be distributed globally, the reality is that the smart parts of mining (running a full node, searching for transactions, building the block model) are done by very few individuals and by pools that they control,” said the global head of OCEAN. of sales, Bitcoin Mechanic. “This is a disproportionate level of influence from too few versus too many and has the potential to harm Bitcoin.” After launch, OCEAN will introduce a way for miners to independently perform block model construction while enjoying the economic benefits of being in a pool.
Guard. “Today, most pools use a payment system called Full Pay Per Share. In FPPS, pools pay miners from their internal treasuries based on the work the miners perform for the pools. In turn, when a block is found, Bitcoin pays the pool directly. This way, the pool becomes the de facto custodian of the funds and sits between the miners and Bitcoin, much like a big Bitcoin bank account,” explained Jason Hughes, VP of Development and Engineering. “This introduces significant counterparty risk for miners, similar to holding Bitcoin on an exchange.” OCEAN is non-custodial and when miners use OCEAN, they are paid directly from the Bitcoin network during the coinbase transaction.
Transparency. “Most pools do not give miners visibility into the underlying transactions they are committing their hashrate to. This opacity creates a scenario of zero checks and balances in which pools can do whatever they want without having to answer to their miners until the blocks are mined,” expressed Dashjr. “In contrast, OCEAN takes a transparency-first approach by publicly disclosing all transactions included in our block models to miners prior to mining. This exposure constitutes a self-audit and creates a natural incentive for OCEAN to always act in good faith. We give miners better knowledge of block construction so they can choose where to direct their hashrate.
As OCEAN aims to revolutionize Bitcoin mining, they plan to roll out additional phases of Bitcoin decentralization improvements and upgrades in 2024. For more information, you can visit their website at address OCEAN.xyz.