Tether will deploy its entire hashrate in Bitcoin Core developer’s OCEAN mining pool

What’s new? Tether, which issues the largest USDT stablecoin in the crypto market with a capitalization of $144,6 billion, has started collaborating with Bitcoin Core developer Luke Dashjr’s OCEAN mining pool to increase the decentralization of the first cryptocurrency’s blockchain. Tether intends to deploy all of its current and future hashrate to OCEAN to ensure Bitcoin’s sustainability and transparency.

Press release

What else is known? OCEAN allows miners to create their own block templates using the open-source DATUM protocol, reducing dependence on centralized intermediaries and increasing resilience to censorship.

In deploying the hashrate, Tether is utilizing DATUM Gateway software designed to enable high-performance mining operations even in throughput-constrained regions. This will extend the reach and resilience of the protocol infrastructure.

Tether will use the software in all of its mining operations around the world, including in rural Africa. It has already begun deployment at its sites in Uruguay, Paraguay, and El Salvador.

Although Bitcoin’s hashrate is decentralized, the block creation process performed by mining pools is currently mostly centralized in the hands of a few leading players: Foundry USA, AntPool, and ViaBTC.

OCEAN, launched in 2023, has received the backing of Block CEO and Twitter creator Jack Dorsey. Under his leadership, the project raised $6,2 million to launch the first non-custodial pool. The OCEAN project’s headquarters, as well as Tether’s headquarters, are currently located in El Salvador.

Jack Dorsey’s Block will increase investment in mining and crypto wallet development

Along with this, the company will reduce non-mining business units

Read more

So far, OCEAN has only a small market share: according to mempool.space, the protocol mines between 0,2% and 1% of bitcoin blocks. It has mined nine blocks in the last week, including two in a row on April 14 at 892342 and 892343. In turn, Foundry USA, AntPool, and ViaBTC have mined 331, 199, and 161 blocks, respectively, or more than 66% of the total during the same period.

Partnership with Tether will provide the hashrate growth necessary for OCEAN development. In the last 24 hours, its hashrate amounted to 18,3 EH/s. For comparison, the hashrate of Foundry USA for the same time exceeded 298 EH/s. This pool utilizes the capacity of leading mining companies such as Hut 8, Bitdeer, and Bitfarms.

“As a company committed to financial freedom and open access, we see supporting decentralization in Bitcoin mining as essential to the network’s long-term integrity. Deploying hashrate to OCEAN aligns with both our mining investments and our broader mission to fortify Bitcoin against centralizing forces,” said Tether CEO Paolo Ardoino.

Ordinals developer presents a protocol to increase decentralization in mining

Casey Rodarmore pointed out that many pools have a single approach to prioritizing transactions

Read more

Tether launched its mining division a year ago. It has invested at least half a billion dollars in developing this line of business and launched its own software for managing mining capacity called Moria. Among other things, it bought a stake in German miner Northern Data AG and invested $150 million in Singapore-based miner Bitdeer.

Tether is currently in litigation with Swan Bitcoin over the latter’s breach of agreements in managing the 2040 Energy mining company.