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<bsm117532>
I have been thinking about an algorithm to distribute mining hardware, built into a coin. Use legal structures to ensure that lithography masks are owned by a consortium, and production runs are auctioned off on-chain using some kind of zero-knowledge auction.
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<mryandao>
bsm117532: how'd that be sybil resistant?
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<bsm117532>
mryandao: By legal contract. Bidders must be self-identified, and if any party was found to be bidding with two identities, you take them to court.
<bsm117532>
s/you/the consortium/
<mryandao>
ah i see, that's what you meant by legal structures. Wouldn't the legal contract itself be a significant barrier of entry to the laymen then?
<bsm117532>
Not necessarily. I don't see a reason any layman couldn't register an identity and bid.
<bsm117532>
But keep in mind there are several phases in mining hardware production, and possibly several rounds of auctions. First is the output from the fabs. Second is assembly into e.g. PCIe cards. Those phases probably wouldn't involve layment.
<bsm117532>
*laymen
<bsm117532>
But the final product sales could also proceed through auction to laymen in the same manner.
<bsm117532>
Next you need a coin that dis-incentivizes creation of pools...but I leave that for later. Right now I'm just thinking about whether such an auction is cryptographically possible.