Company Name DEMAND
Founders: Filippo Merli and Alejandro De La Torre
Date founded: 2023
The location of the headquarters: Lisbon and Florence in Italy
Bitcoins held in Treasury “Currently being bootstrapped”
The number of employees: 2
Website: https://www.dmnd.work/
Public or private? You can also contact us by email.
Alejandro De La Torre has a deep concern that Bitcoin mining was too centralized, and wants to do something about it. Here’s why he began DEMANDThe pool is a Bitcoin miner that gives the power to independent Bitcoin miners.
It’s crucial to know what De La Torre learned during his years in the Bitcoin-mining industry before you can fully understand why he started DEMAND.
De La Torre – History of Bitcoin Mining
De La Torre served as the Vice President of PoolinThe VP for Business Operations of Bitcoin.com, one of largest Bitcoin mining pools and cryptocurrency exchanges in the world. BTC.comIt also had its own own Bitcoin mining pool. He realized that time was of the essence in order to decentralize Bitcoin mining.
“The experience I had in the last pools made me realize that we needed a change in the mining pool industry and we needed it very, very quickly,” De La Torre told Bitcoin Magazine. “There’s a very clear problem with centralization in mining pools today, and I was able to pinpoint that issue while working at BTC.com and Poolin.”
De La Torre continued to say that many Bitcoin mining pools now act as proxies of a bigger pool (which he did mention, but not by name). AntpoolIt was explained that centralization could seriously hurt Bitcoin.
“The anchor pool is close to 50% of the network now. It allows for a 51% attack on the network, which would be catastrophic,” said De La Torre.
“I don’t think they would ever do it, but the possibility is there, which is already a huge red flag,” He also added.
De La Torre pointed out, too, that such levels centralization present risks in terms of network censorship. He said that this large pool could easily censor the majority of transactions within the Bitcoin network.
A 51% and potential censorship attack “are a very clear and present danger that we have in Bitcoin right now,” According to De La Torre
“Power to the Solo Miners”
De La Torre’s business partner, Felippo merli, reacted by threatening to sue. launched DEMAND Pool In November 2023, the aim is to put the power in the hands sole miners.
DEMAND was the first global demand-driven marketplace Stratum V2 Open-pit mining. Stratum V2 mining pool is open.source A messaging protocol that allows pools and miners directly to communicate, reduces the need for mining infrastructure compared with its previous version, and allows solo miners their choice of pool. own Templates for mining. This last feature is what sets Stratum V2 aside from other protocols for mining pools.
“Pools today are the ones who are in charge of building the blocks and adding the transactions into the blocks,” said De La Torre. “With Stratum V2 — with DEMAND — the miners themselves will be able to build the blocks and add the transactions that they want.”
The majority of filtering done in pools is not at the miner’s level. De La Torre is aware that miners, particularly in light of recent protocols like Ordinals or Runes have a desire to be in control of which transactions go into their blocks. De La Torre also believes that miners need to have more control over their blocks, since it enhances the decentralization ethos.
“This gives me less power. That’s what I want. I don’t want the power. I’m done with that power,” said De La Torre. “I’ve had it before, and it’s too much power in the hands of too few. And that’s not what Bitcoin is. Bitcoin is decentralization, and this is furthering that.”
DEMAND created mining templates to assist miners in filtering. These templates can be used by miners for their own operations.
Incentivizing Solo Miners
De La Torre understands that solo small miners are unlikely to find a good block. However, he believes they should still give it a go.
“You’ve got to heat up your home during winter, right? Why not just use a Bitcoin miner as a heater?” said De La Torre.
“If you’re lucky, you hit a block and you just made your wife very happy,” He laughed as he continued.
DEMAND Pool offers solo miners the opportunity to earn money by selling the hash rates they generate. DEMAND Pool has a contract with the marketplace for hash rates Rigly Plans to expand partnerships.
De La Torre spoke about how payments for DEMAND will be made via PPLNS, the Pay Per Last N Share system. PPLNS allocates profits based on blocks mined by a mining pool per day. The payouts vary depending on whether the mining pool gets lucky in finding blocks.
This is different from the FPPS System (Fee Pay Per Share), a system that’s commonly used among the largest mining pools. With FPPS the miners receive a payment regardless of whether the pool has found a block.
De La Torre understands that the prospect of receiving consistent payments through FPPS may appeal to some miners, but he has been quick to emphasize that long-term payouts for both PPLNS (Positive Payment Liability System) and FPPS (Fast Paying Per Share) are equivalent.
“A lot of people have some misunderstandings about PPLNS,” said De La Torre.
“FPPS gives you constant payouts, which is fine. I understand why a miner would find FPPS. However, PPLNS over enough time averages out to about the same,” He also added.
“Yes, you won’t have constant payouts, but you will have incorrect payouts according to how much hash rate DEMAND has — and we intend to have a good amount. You will still be getting a constant payout, or it would average out to more or less the same. So, there’s no real downside to it.”
De La Torre pointed out, too, that Solo Mining as part of DEMAND’s pool was one of the most effective ways to obtain non-KYC Bitcoin for Bitcoin enthusiasts.
He also stressed the fact that solo miners’ coming online will do something else that’s vital to keeping Bitcoin decentralized — it will bring more nodes online.
Send Nodes
Miners must run DEMAND to use the block templates. own nodes. Solo miners will contribute not only to decentralizing Bitcoin’s hashrate but also its governance.
“Not only do we want the solo community and the home mining community to flourish and to make more money, but we also want node proliferation,” said De La Torre.
“Solo miners will provide hash rate to secure the network and potentially make some bitcoin and also help with maintaining Bitcoin Core or whatever Bitcoin client they want. Nodes are good for the health of the system,” He also added.
The Future
De La Torre said DEMAND was also working to expand its pooled-mining services, and DEMAND would actively seek miners who are interested in joining.
He has vowed that DEMAND will be a “stable and trustworthy pool with transparent payouts,” Differentiating the “black box” Pools are available.
De La Torre is doing all he can to help independent miners get online. His voice was palpable as he told me about his plans for DEMAND.
“The centralization of Bitcoin mining pools is becoming a very serious issue, and it’s up to us as the mining community to do something about it,” said De La Torre. “If we don’t, it’s not good.”
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Source: bitcoinmagazine.com
