What if we made mining a reward for executing script?

One of the challenges of a new currency has always been the need to artificially increase the "difficulty" by requiring a HUGE amount of erroneous calculations. Bitcoin's hashing is terribly wasteful, while PoS coins end up being super-deflationary by continuously reconcentrating the money supply.

What about a mining system that is entirely based off the successful execution of the script attached to contracts, plus some multiplier on the fee (eg 1.05)? This way the computational power given to the network would reinforce the network itself.

This has the added benefit of maintaining inflation on par with actual economic processing need, rather than some arbitrary percent or number.

Comments

  • yoyoyoyo Member Posts: 34 ✭✭
    edited February 2014
    Several problems:
    - The calculation must have a well defined difficulty (probabilistic). This is to control how much coins are created over time. This cannot be done if parts of the calculation is based on the result of turing complete smart contracts.
    - Contracts are not required to execute successfully. They can starve halfway or exit in error.

    Consider that you could create a block full of your own transactions to contracts doing nothing. You would be very fast to mine it and you'd get the reward. You could then chain such blocks ad libidum.
  • salhadaarsalhadaar Member Posts: 26
    It's really not that wasteful when you consider that the overall level of mining will always self-correct based on the market price of Bitcoin vs the cost of mining. Still a lot less than any real world equivalent.

    I think the resources allocated to executing all the scripts would be tiny in comparison to the hashing power needed to successfully mine a new block. 100s - 1000s of lines of assembler vs. billions of hashes.
  • superfreakaholicsuperfreakaholic Member Posts: 6
    What about using a useful proof of work, like what was used in Primecoin?
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