I have to pay for hosting costs monthly in USD, these contracts sell for slightly more than that for consistent rev. But i wouldn't call the contracts a risk derivative.
Technically you're losing sats
By end of contract in a week, yes. But as of today, no.
Actually, still haven't ROI'd since the contract started.
clean untraceable
The downside of making this all transparent / open source is that connection could be made viewing the public contracts and the blockchain.
non-KYC coinbase sats paid directly from Ocean
The upside making this all transparent / open source :)
Yes! 95%, that's a buffer from my own miner hosting provider SLA. ~1900 blocks min-up time, and aiming for 2000 blocks.
How are you going to ensure for your client that you're going to be able to deliver?
I hold X in escrow (maybe a tx with nlockheight after mining period?) for unpaid blocks. It's calculated and agreed to at start of contract, to be paid out at end of contract if below SLA.
An upside making this all transparent / open source, this can be used to determine a reputation for the miner over time
Since the rent period is bound to a retarget period, it's not like you can just run it longer as the retarget may break profitability calculations. Refund downtime?
I think this is an advantage actually :)
It's more accurate since bitcoin doesn't actually know the time. The network only pays out when a block is mined, so even if it took an hour to mine (rare, but happens) the payout would be 3.125 btc for the whole network for that hour, not the expected 18.75 btc per hour. For example, as of 966584, mempool.space says the mining period is 31 blocks ahead of schedule.
I like to think of it as renting hashrate for a fixed difficulty target, even tho the network hashrate is still variable.
Awesome questions! long reply ahead...
Risk and variance.
I have to pay for hosting costs monthly in USD, these contracts sell for slightly more than that for consistent rev. But i wouldn't call the contracts a risk derivative.
By end of contract in a week, yes.
But as of today, no.
Actually, still haven't ROI'd since the contract started.
The downside of making this all transparent / open source is that connection could be made viewing the public contracts and the blockchain.
The upside making this all transparent / open source :)
Yes, ocean uses TIDES though.
Yes! 95%, that's a buffer from my own miner hosting provider SLA. ~1900 blocks min-up time, and aiming for 2000 blocks.
I hold X in escrow (maybe a tx with nlockheight after mining period?) for unpaid blocks. It's calculated and agreed to at start of contract, to be paid out at end of contract if below SLA.
An upside making this all transparent / open source, this can be used to determine a reputation for the miner over time
I think this is an advantage actually :)
It's more accurate since bitcoin doesn't actually know the time. The network only pays out when a block is mined, so even if it took an hour to mine (rare, but happens) the payout would be 3.125 btc for the whole network for that hour, not the expected 18.75 btc per hour. For example, as of 966584, mempool.space says the mining period is 31 blocks ahead of schedule.
I like to think of it as renting hashrate for a fixed difficulty target, even tho the network hashrate is still variable.