j"1LAnZuoQdcKCkpDBKQMCgziGMoPC4VQUckM <div class="post"><div class="quoteheader"><a href="https://bitcointalk.org/index.php?topic=813.msg9257#msg9257">Quote from: knightmb on August 14, 2010, 08:29:35 PM</a></div><div class="quote"><div class="quoteheader"><a href="https://bitcointalk.org/index.php?topic=813.msg9249#msg9249">Quote from: gebler on August 14, 2010, 08:06:01 PM</a></div><div class="quote"><div class="quoteheader"><a href="https://bitcointalk.org/index.php?topic=813.msg9246#msg9246">Quote from: FreeMoney on August 14, 2010, 07:45:42 PM</a></div><div class="quote">What if I had a factory and hired you as a consultant? Would you tell me avoiding costs altogether was the best thing? Many, many costs are worth it.<br/></div><br/>Sure, I just thought this was an unnecessary cost, best avoided by fixing the algorithm before it causes real problems and associated costs. I understand that the 4x limit to the difficulty adjustment was added quite recently, so there is some precedent in fixing problematic aspects of the algorithm. <br/></div>I'll bite. <img alt="Grin" border="0" src="/static/img/emoticons/grin.gif"/><br/><br/>How would you fix the algorithm?<br/></div><br/>It's in my original post:<br/><br/><div class="quoteheader"><a href="https://bitcointalk.org/index.php?topic=813.msg9186#msg9186">Quote from: gebler on August 14, 2010, 12:43:54 PM</a></div><div class="quote">A simple(?) modification of the algorithm would be to apply the adjustment after a certain amount of time rather than at a certain block number. The switch could still be synced to take effect for the next block, so time synchronization between clients would not need to be super exact to have the vast majority of them agree on when the new difficulty is to be applied.<br/><br/>Also, the difficulty adjustment should probably take into account the adjustments of the number of bitcoins minted per event (now 50, halved every 4 years). Halving the number of bitcoins generated each time is equivalent to doubling the difficulty as far as profitability is concerned, and such a drastical drop in profitability is unnecessary if it can be avoided easily. I'm not sure if the current adjustment algorithm already takes that into account somehow, but I couldn't see any obvious adjustment for it in the source code.<br/></div></div> text/html
https://whatsonchain.com/tx/7106b554d35e7a874e04e49a8d3b50c19d7028d62daf490bd690cc5243f4bef9