A lot of the proposals assume a 20% dev fee. I was looking at DC’s chart from the live stream and wondering if anyone has done any analysis on how much money is necessary to secure the network under various scenarios (network value, asics costs, energy) as well as trade-offs. Can anyone point me to relevant research?
It looks like ECC needs to make some friends among miners - they should be able to help answer this question
What kind of research do you need?
In the past i made several about electricity prices world wide by country and made a topic that lower ZEC prices lead to more mining centralization within china and some former soviet republics as they have the lowest electricity prices in some provinces + the hardware is cheapest for them without the need of shipping and custom fees.
I’am not sure what exactly research or numbers you are looking for, but i think an easy general formula could be applied:
The less Rewards to miners, the more mining centralization further to low electricity regions.
The less Profit for miners the more mining centralization further to low electricity regions.
The less ZEC price, the more mining centralization to low electricity regions.
I gave in the past a lot of thoughts to the electricity and ZEC price how it affects the network and as well how POW in general today is a bad choice for exactly such factors that over short or long there will be mining centralization due raising difficulty that will drive out miners automaticly from higher electricity price regions which of course logically get replaced by low electricity miners.
This is a natural process and a trade off with POW and the above 3 general rules (Low ZEC price, less profit, Less mining rewards) would speed up such process.
Now one question could be (maybe) if the network is secure if the majority of hashpower is located in china?
Not sure if this helps but i made some calculations for the best currently available asic miner, ZEC and electricity price without including any other costs like the hardware itself, PSU, shipping, whatever.
The following calculations are for todays network and difficulty using the most effiecient asic miner Innosilicon A9++ and the least efficient one Bitmain Z9 mini:
Electricity price of 10 cent per kw/h:
Innosilicon A9++ would would break even with electricity at a ZEC coin price as low as $24.52.
The Z9 mini allready needs a ZEC coin price of $66.01 to break even with electricity.
Electricity price of 15 cent per kw/h:
Innosilicon A9++ would need a ZEC price of $36.78 to break even with electricity.
The Z9 mini would need a ZEC price of $99.01 to break even with electricity costs.
Electricity price of 7.5 cent per kw/h
Innosilicon A9++ would need a ZEC price of at least $18.63 to break even with electricity.
The Z9 mini would need a ZEC price of $50.17 to break even with electricity costs.
Electricity price of 5 cent per kw/h:
Innosilicon A9++ would need a ZEC price of at least $12.26 to break even with electricity.
The Z9 mini would need a ZEC price of $33.00 to break even with electricity costs.
I will think these days about a way how to convert it somehow post halving like. Maybe if someone else has an idea how to make it simplified, just go ahead with these numbers.