Jack Dorsey, a well-known proponent of Bitcoin and co-founder of Twitter, led a $6.2 million seed fundraising round for Mummolin, the firm that runs the cutting-edge Ocean Bitcoin mining pool, in a calculated attempt to change the Bitcoin mining environment.
This new project seeks to empower miners by allowing individuals to earn block rewards directly from Bitcoin, as opposed to the traditional method of getting rewards through mining pools of BTC.
Ocean, the brainchild of Mummolin, seeks to introduce a higher level of transparency in the Bitcoin mining process. The decentralized mining pool aims to provide miners with more visibility into the mining process and shift the control of block rewards away from traditional mining pools. The $6.2 million seed funding, led by Jack Dorsey, will play a pivotal role in supporting the launch of Ocean and driving its mission to redefine Bitcoin mining.
Ian Northon, co-founder and chief legal officer at Mummolin, emphasized that the raised capital would be utilized for general corporate purposes. While the cap table remains private, Northon proudly acknowledged the support of seasoned Bitcoin enthusiasts and thought leaders in the project.
The payout system of Ocean, termed TIDES (Transparent Index of Distinct Extended Shares), is positioned as an advancement over existing models, providing a more efficient mechanism for distributing miner transaction fee revenue.
Luke Dashjr, Mummolin co-founder and a longstanding Bitcoin Core developer, expressed the belief that for Bitcoin to truly embody decentralization, the role of mining pools must undergo a transformation. Ocean is presented as a novel mining pool that restores miners to their authentic role, ensuring transparency and direct receipt of new block rewards from Bitcoin. Dashjr affirmed that Ocean stands out as the most transparent and noncustodial pool, focusing on empowering miners.
Mark Artymko, co-founder and president of Mummolin, shed light on the inherent risks associated with traditional BTC mining pools, emphasizing that these pools exercise exclusive control over block rewards and transaction fees, enabling them to withhold payments.
Ocean, with its non-custodial payout system, mitigates these risks by directly delivering block rewards to miners, thus eliminating undue influence from the pool.
Jack Dorsey, a fervent supporter of Ocean, expressed confidence that the platform would address concerns related to the centralization of pools and mining activities in the Bitcoin ecosystem. Dorsey views Ocean as a project that not only benefits Bitcoin at large but aligns with his personal interests and corporate ventures.
The announcement of Ocean’s launch took place at the Future of Bitcoin Mining Conference, set against the backdrop of Barefoot Mining’s historic 150-year-old hydroelectric dam in rural South Carolina. Barefoot Mining, the inaugural client of Ocean, has ingeniously repurposed the dam to facilitate large-scale Bitcoin mining by harnessing excess energy.
The launch of Ocean, strategically timed 139 days before Bitcoin’s anticipated fourth halving event on April 17, 2024, holds significant implications. As the mining reward per block is poised to decrease from 6.25 BTC to 3.125 BTC post-halving, Ocean’s innovative approach to mining could play a crucial role in sustaining the incentives for Bitcoin miners in the evolving landscape.