Electroneum (ETN) Hard Fork Cuts Off Miners, Replacing with Proof of Responsibility Non-Profit Miners
It is long known that Electroneum, the U.K based mobile- based blockchain project, is more inclined to regulation and centralization more than the average blockchain out there.
The project team shocked its miners during the weekend by carrying out a hard fork on the platform that introduces charities and a reduced block reward on the mined blocks. The users however will remain unaffected by the changes on the blockchain.
Speaking on the latest development on the blockchain, Electroneum CEO, Richard Elis, explains to the users that the change is a positive step in the blockchain’s ecosystem growth prospects saying,
“We have moved the whole project in leaps and bounds and, effectively, it’s opened the door to the future in terms of scalability and lots, lots more.”
The blockchain will now take on a more “moderate approach” moving from the decentralized system to a permissioned blockchain system like Facebook’s Libra cryptocurrency adopted. The change is aiming at reducing the chances of a 51% attack on the platform to zero through a centralized system.
The number of 51% attacks on blockchains has increased in the recent past hence the need for a zero tolerant blockchain to these types of attacks. Electroneum will employ a number of “multiple trusted organizations”, such as NGOs and other approved entities to maintain the network. So far, the team has announced a total of 12 charities are validating transactions the blockchain with the cap set at 25.
The changes also brought about a reduction in the block rewards by over 75% to these new miners. This change increases the period of mining on the block and the longevity of the blockchain. However, the mining fees are centralized to the few nodes who are responsible of distributing them to ETN users.
Network control, integrity and security
Furthermore the “New Standard in Blockchain Security and Performance” in Electroneum will set up the blockchain as a KYC compliant blockchain to ease adoption. The changes will protect the blockchain’s security, integrity a control the network in a regulatory friendly manner.
The Moderated Blockchain protects the blockchain from a 51% mining attack because each miner must obtain a unique mining authentication code directly from the Electroneum Team, and no single miner can apply two blocks in a row.
Furthermore, the cryptocurrency is protected from criminal activities (well associated with the industry) due to the strict KYC/AML compliance on the platform. Miners of every block will also have to give their identification details to the team.
While the changes are celebrated across the ETN community, some investors remain unhappy at the changes. The blockchain moving from a decentralized network and the impromptu cut off of miners will raise more questions on the development team. Share with us your opinions on the recent changes on Electroneum below.