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Re: Monetizing the network
by
Gryph
on 15/05/2011, 19:27:53 UTC
I think the modifications would be at he mining software level. I don't think they would be at the pooling software level.

The miners would have to somehow run code belonging to the "entity" (i have no better name for them right now so bear with me). A way of switching between mining and entity code, preferably automatically, would be needed.

Somehow a type of bidding system needs to be set up so that Entities out bid each other for miner time. The miners would set minimum rates, and the entities would have to first outbid the current profitability of bitcoin mining, the miner's minimum rate, and then outbid each other, then their code runs.

So if bitcoin crashes then the miners switch over to getting paid for entity work. if Bitcoin becomes insanely profitable the miners switch back and the entities either raise their bids, or wait out until more miners come to push the difficulty and push down profitability.


Ofcourse some miners may prefer helping entities than making profit so they might allow code to run for less than market price.