What does “双挖” mean (What is dual mining)?

Dual mining refers to the distribution of mining rewards in a single currency form without changing the sovereignty and wealth of the miners.

Dual mining is a mining method based on the Bitcoin network, aiming to increase block rewards and reduce the amount of tokens mined. This method is referred to as “dual mining”. By adding two different currencies to the blockchain simultaneously, the system can maintain stable operation without any centralized entity controlling the prices of these assets. Therefore, it can be understood that when a cryptocurrency transaction is generated, it is immediately used as a unit of account and payment to users. If this transaction eventually turns into a fiat currency, two things will happen (in other words, the transaction is completed).

What is dual mining?

Dual mining (Multi-Pool) is the most common cryptocurrency design method in the Bitcoin network. When running on the blockchain, each block is computed by a miner. After the block reward is packed into transactions in the new block, the miner starts to broadcast the mined coins to other nodes to receive rewards. This results in all tokens in the entire block being unable to be extracted. This mechanism prevents any remaining unfetched funds in a single block from flowing into the system, which can cause losses or put the entire block in a dormant state.

The principle of dual mining technology is to use two mining devices to improve efficiency and reduce costs. Firstly, a certain amount of BTC is obtained from the mining pool, resulting in a large amount of BCH and BSV. Then, these assets are sent to different mining pools, reducing the demand for miners while eliminating some costs, such as additional gas fees, adding new block spaces, and the speed of restarting a new chain. Since no one can correctly verify a specific block, miners will retain certain data and store it locally. Finally, if a miner decides to mine new coins without using the old hash algorithm, a new block will be created.