BitFury says it will sue Bitcoin PoW algorithm changes

According to foreign media reports, George Kikvadze, vice chairman of Bitcoin mining company BitFury, tweeted that the company will do its best to sue developers who may change the Bitcoin PoW protocol. Obviously, BitFury is very afraid of the modification of the POW protocol. The company has raised more than $90 million. If the Bitcoin consensus mechanism is changed, their efforts will come to naught.

(Photo: BitFury Vice Chairman George Kikvadze)

For non-technical people, Bitcoin currently uses the SHA256 algorithm, and its consensus mechanism is called Proof of Work (POW). But if the Bitcoin algorithm is changed from SHA256 to another algorithm, the POW protocol can be changed.

There are dozens of hashing algorithms, each with its own advantages and disadvantages, some are more energy efficient, others are more resistant to ASICs. Recently, discussions about changing the Bitcoin POW algorithm have resurfaced, which is very unfavorable for large mining companies.

The idea was first proposed by luke-jr, a well-known Bitcoin Core developer, who proposed a POW upgrade plan. This plan would pose a huge threat to large miners, as their mining machines worth millions of dollars could become useless. Assuming that Bitcoin's POW algorithm is changed from the current SHA256 to another algorithm, this plan looks like it will restructure the mining pool field. All the ASIC chips that have been created after a lot of time and effort will be scrapped.

You can view George Kikvadze's full twitter post:

1: It is extremely irresponsible to discuss (or even speculate) about changing the PoW algorithm, even if there is only a 1% chance that it could happen.

2. For those responsible, we will spare no effort to hire the best lawyers and prosecutors to prosecute you, no matter where you are in the world.

3. Bitcoin has become a multi-billion dollar industry with a huge amount of financial investment and social responsibility. We will protect it at all costs.

We contacted Bitfury and asked them about their reasons for suing the developers, but they declined to comment.

What do you think?