Litecoin security

Litecoin security

Litecoin security : Dogecoin was never made to last. A meme coin through and through, Dogecoin was created to have nearly all of its coins mined within a year, in contrast to bitcoins 20 year goal of mining. Now, whilst this makes it extremely profitable and a good opportunity for Dogecoin miners, it means that the minable coins will run out quickly. The mining fees would not be able to keep the miners on Dogecoin – miners can be un-loyal profit seekers. The Dogecoin community is seriously seeking a way for it to keep itself relevant and its currency usable, and it looks like they have finally struck a solution.

Litecoin security

litecoin mining litecoinlitecoin mining litecoin

Charlie Lee, creator of Litecoin, recently got into contact with the Dogecoin community to strike a proposal. The main reason for Lee to merge mine is to keep Litecoin safe- merged mining would mean that it would be harder to successfully pull of a 51% attack on either of the coins. It also adds extra mining rewards, due to the fact for the same amount of work, you would be able to mine both Dogecoin and Litecoin.

chart litecoin hash rate vs difficulty 1 month

“Litecoin’s security is a lot less than it could be. So merging mining with Dogecoin would make both Litecoin/Dogecoin almost impossible to 51%.”

Basically, a 51% attack is when a group of people who are “mining” a crypto-currency gain more than 50 percent of a coin’s network. One of the things a 51% attacker can do is stop any transactions besides theirs going through the network. They could also reverse transactions done whilst they have control of the hashrate, meaning that they could possibly double spend their coins.

Now, one of the main reasons that Dogecoin and Litecoin is good for the general people is that they will be getting profits from both Litecoin and Dogecoin if they are mining in a good mining pool. People will also be able to advance their profits and keep the profits viable with scrypt ASIC’s coming being shipped out.

The serious part we need to talk about is the bad sides. Firstly, one coin needs to hard fork to add this. Basically, a hard fork is when an update to the coins protocols make previous invalid transactions valid, and all users need to upgrade. To merge mine a change in protocol is needed, and it is most likely Dogecoin who will need to do the forking, due to the smaller and less spread out user-base and also the fact that, due to its age, it is accepted for less purchases and in less exchanges, making the change of protocol easier.

Secondly, you are going to get mild bloating in the blockchain. Merge mined blocks require more information to prove that it is merge mined, so the blockchain might get a bit more crowded then it normally is, according to Lee. Litecoin security

You also cannot undo merge mining without yet another hard fork! This one will be harder to pull of, as who actually wants to give away a chance to get extra money earned per block mined?

Dogecoin has a history of making headlines. From sponsoring the Jamaican Bobsled Team, sponsoring Kenyan wells to NASCAR sponsorship, Dogecoin has recently gone silent with what is has been doing, and this might be a reason to save it.

On the surface, the vibrant community of Dogecoin seems to be beaming and alive as ever. Yet the Dogecoin community and sub-reddit are falling to low numbers, compared to the amazing amount they had when Dogecoin and the Doge mean were newer. Litecoin security

Is this a good idea to merge mine? Definitely. This will incentivise all miners, because mining these coins will be a joint deal, making it more profitable and therefor more attractive than some other crypto-currencies that are more profitable than the Dogecoin or Litecoin, yet not many will be able to be more profitable than both of them together. It also ensures security to both of the currencies, allowing them to have a better and safer future both for the creators and coders of the currency, but anyone who holds coins in the currencies that might be useful. In the end, the merge mining has not happened yet, but the idea is a great one. In the end, it is all up to the communities to make this happen, and to make these coins last.

 

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