bitcoin.org

Open letter

Hello fellow bitcoiners, miners, exchange owners, market makers and crypto traders, this is a humble attempt to fix a major problem the world of cryptos is facing which is a huge impact in the environment that is not aligned with dreams of a better world that crypto aims to bring. First of all this not FUD at all, quite the contrary, i believe that facing facts as they are presented is the best way to not fear your investiment. And the fact is that bitcoin mining is today(may 2021) the 33rd “country” in the world in terms of energy consumption, and by the end of the year(2021) 90% of all bitcoins will be mined if we keep this pace of mining. This is where enters my humble proposition, which is to cut miners reward per block mined, or at least adjust it weekly based on a hashrate target that we all agree is enough to guarantee network security but not overkill how it is now, causing a lot of harm to the environment, the algorithm already counts for difficulty adjustment based on hashrate but it doesnt count for hashrate adjustment based on mining reward, so if bitcoin prices increase so will increase mining reward which makes the mining network grows with bitcoin pricing increasing. This is a big flaw in the bitcoin network as we are over expending precious resources and even causing shortages of electricity in countries like Iran that were obliged to ban bitcoin mining in favor of its energy security. Like every problem we need to have a rational solution, and what i am proposing is first find an optimal hashrate target that core developers agree is enough to keep it safe, redesign the reward mechanism so it adjusts the quantity we reward each block mined by to get closer to the desired hashrate so if bitcoin continues to grow its pricing this doesn’t mean an increase in the hashrate leading to insane energy comsumption values like it is now without proper adjustments. The thing is so insane that a company in the state of NY bought a thermoelectric just to mine bitcoin offgrid and its cost is like U$2500 per bitcoin mined, so if they can profit this much it means that we lost the parity long time ago and the excess hashrate is just pure nonsense. The long term benefits of this humble proposal is that we would stablish a more sane control over bitcoin hashrate and in consequence its energy comsumption, off course it will still consume a lot of energy but not more than enough which is the case right now, so it will be much more eco friendly and this can helps bitcoin rising in price compensate for eventual miners losses, all they have to do is hold instead of selling to pay expenses with energy which will be much lower also.