Buterin to Propose to Increase PoS-Validators Reward

According to Vitalik proposal, if PoS-validators, for example, validate 1,000,000 ETH, then the annual yield will be 18.1%
23 April 2019   323

The creator of Ethereum, Vitalik Buterin, published on GitHub a proposal on changing the reward scheme for validators after the transition of ETH to the Proof-of-Stake consensus mechanism (PoS).

According to the formula proposed by Buterin, if PoS-validators, for example, validate 1,000,000 ETH, then the annual yield will be 18.1%.

Buterin PoS Validators Reward Proposal
Buterin PoS Validators Reward Proposal

The more assets are fixed for validation, the lower the interest rate. So, 134 217 728 ETH will bring cryptoinvestors only 1.56% per annum. At the same time, the maximum annual emission volume will be 2,097,152 ETH.

Considering that the current volume of Ethereum's market offer is 105,777,585 ETH, this offer is focused on the medium and long term. Buterin also clarified that the profitability indicators are shown without taking into account proceeds from transaction fees. Consequently, the actual income of validators can be several percent higher than the values ​​indicated in the table.

According to Justin Drake, a researcher at the Ethereum Foundation, if after implementing PoS 32 million ETH will be allocated for stacking, the income of validators will be 3.2% per annum. At the same time, the annual emission indicator will be 1% (for comparison, the current indicator of Bitcoin inflation is 3.94%).

In this case, Drake notes that after the activation of EIP 1559 of the funds collected in the form of commissions, will be destroyed. Consequently, with an average gas consumption of each shard of 1000 ETH per year, inflation will drop to 0.5%.

Users left generally positive comments on the offer. However, some of them expressed fears that in the new conditions the exchange may receive significant advantages, which will be able to do stacking at the expense of clients.

Bitmain Wants to Sue $4.3M From Ex-Employees

Tangled cased started back in 2015, when today's largest mining pool BTC.com was born
17 June 2019   94

The Chinese mining company Bitmain sued three of its former employees who allegedly violated the contract to refuse competition. This is reported by Coindesk.

Currently, there are six lawsuits in court: three from the co-founders of the Poolin pool, claiming that they are no longer bound by the terms of the contract with the company, and three from Bitmain, insisting on the opposite.

The operational director of Poolin Fa Zhu in 2015 reported that he and his colleagues suggested Bitmain to open a new mining pool, BTC.com, in parallel with Antpool, which was already available at that time. Bitmain did not support the initiative, and then the three decided to launch it with their own money. Today BTC.com is the world's largest bitcoin mining pool in terms of hash rates.

Poolin was founded in November 2017 for the mining of a variety of cryptocurrencies and is currently ranked seventh among the largest mining pools of Bitcoin. Poolin was involved in Bitcoin mining in July 2018 and has since received 26,825 BTC or $ 220 million at the current exchange rate.

Under the terms of the waiver agreement, Bitmain had to pay the Poolin CEO Zhibiao Pan $ 2,780 a month for two years for refusing to open a bitcoin mining pool. The amount of compensation for the two other business participants is not specified.

Now the company is trying to recover all payments from the former employee, and also asks to impose a fine in the amount of $ 667,000 for violating the terms of the contract. In addition, Bitmain lawyers argue that all Bitcoins mined by Poolin are income derived from the failure to comply with the terms of the agreement, the percentage of which is also subject to recovery. The total amount of the claim is $ 4.3 million.

Poolin lawyers, in turn, state that Bitmain itself violated the terms of the agreement when it failed to pay Pan in due time, and the 26 825 BTC obtained by the defendant cannot be considered a direct loss for BTC.com, since there are many pools in the Bitcoin network, everything of which were able to get this cryptocurrency.