Fractal Bitcoin Enhances Network Security
In a significant development for the Bitcoin ecosystem, Fractal Bitcoin, a layer 2 scaling solution, has successfully enhanced its network security by partnering with one of the world’s largest cryptocurrency mining pools, Foundry. This alliance, announced on April 24, marks a pivotal achievement for the Fractal Bitcoin team, which is aiming to optimize the security of its network while facilitating the scalability necessary for decentralized finance (DeFi) applications.
Merged Mining Advantage
With this integration, Fractal Bitcoin has aligned itself with a staggering 93% of the total computational power used to mine Bitcoin, effectively merging its operations under the Cadence Mining model. This model allows miners to engage in merged mining, a process that enables them to simultaneously mine both Bitcoin and Fractal Bitcoin using the same SHA-256 hashing algorithm. The advantage here is clear: miners can generate additional rewards without needing to invest in new hardware.
Optimizing Resources
Typically, crypto miners diversify their activities across multiple networks like Bitcoin, Litecoin, and Monero, even though each requires a distinct setup in terms of computing and energy. However, with the advent of merged mining, miners have the opportunity to optimize their resources. Despite sharing the mining capabilities, Fractal Bitcoin operates on a unique reward distribution system – under which Bitcoin miners receive an allocation of one-third of the block rewards generated, with the remaining two-thirds going to other eligible miners.
Securing the Future of Fractal Bitcoin
This strategic partnership not only aids in securing Fractal Bitcoin but also positions it as a highly secure option within the Bitcoin-compatible network space, enabling it to leverage Bitcoin’s robust security features. The future looks promising as Fractal Bitcoin seeks to capitalize on this security enhancement to support its ongoing development and scalability goals in the burgeoning DeFi landscape.
