EIP 1011 - Hybrid Casper FFG proposes further reducing PoW block reward from 3 ETH to 0.6 ETH. The EIP briefly mentions that this is "because the security of the chain is greatly shifted from PoW difficulty to PoS finality and because rewards are now issued to both validators and miners." This document is to serve as an addendum to that statement, providing additional data, analysis, and arguments.
We aim to show that in Hybrid Casper FFG with an 80% reduction in block reward:
- a PoW attack on the finality enabled chain cannot do much in comparison to a pure PoW attack
- a pure PoW attack just as costly as other prominent PoW chains
- there are options in the event of an attack
- all of the above is a strong discouragement for an attack to be conducted in the meantime before full pos