Bitcoin Cash remains a relatively controversial fork of Bitcoin. Ever since its launch, there has been a lot of open hostility toward this altcoin. On the mining scene, it now seems something nefarious could be going on. The actually known mining pools currently control just under 50% of the network hashrate. Unidentified miners are seemingly trying to “game” the network again.
The Bitcoin Cash Mining Problem
Several issues regarding the mining of Bitcoin Cash have become apparent since its launch. During the first week of development, miners could effectively game the mining difficulty to generate massive profits. It is that aspect that also influenced whether it was more profitable to mine Bitcoin or Bitcoin Cash, a topic of debate that hasn’t been revisited in quite some time. That was, until just a few days ago.
One Reddit post explains how a lot of miners were temporarily switching off their units to trigger a mining difficulty decrease. Once that drop completed, they turned on the hardware again to mine 25 blocks in less than one hour, despite the official block time being set at several minutes. It is evident that type of behavior should never be condoned, yet for some reason, the BCH developers have yet to come up with a foolproof solution to this problem. It is a bit unclear if they have anything planned to make this a non-issue in the future.
The Unidentified Miners
To make the situation even worse, the overall hashrate distribution makes very little sense at this time. The majority of the network is controlled by unidentified miners or mining pools. Although that isn’t necessarily a cause for concern, it appears one of the miners has successfully mined nearly half of the blocks in one day this week. A direct result of the mining difficulty adjustment being tricked, but it also shows there is potentially nefarious intent waiting to happen.
Based on the current statistics, it is impossible to determine if there is just one rogue miner or a bunch of people colluding to potentially take over the BCH network as a whole. If the latter option is the case, something needs to be done sooner rather than later to address the situation. It is certainly possible this situation will balance itself out again in the days to come, but the current outlook is fairly grim. If the DAA can still be tricked on demand, and miners can control virtually half of the hashrate with ease, there is a certain risk factor at play.
BCH Price Isn’t Budging
While these concerns are being discussed on Reddit, traders are not too concerned about what is happening. In fact, the value of Bitcoin Cash has not shown any real signs of weakness over the past day or so, but this is merely a temporary snapshot of what is actually happening. As such, there may very well be some minor shifts over the coming days, assuming this situation hasn’t cleared itself up by then.