Business finance and payments solutions company Square is exploring the possibility of building an open source, custom silicon bitcoin mining system. The project is focused on people and companies around the world, as confirmed by its founder and CEO, Jack Dorsey, on his Twitter account.
In the publication in which he provided details of the announcement , Dorsey assured that if they did, Square would follow the model used for their bitcoin wallet . This is, in his words, “building openly in collaboration with the community.”
Silicon is the main compound of electronic components such as graphics cards, cell phone chips and motherboards, among others. Today, many leading companies in the technology sector are using a custom compound of this element to manufacture their own components to improve their efficiency and operation.
The team that will be in charge of shaping the project will be led by Jesse Dorogusker , hardware developer at Square. This group of professionals “will begin with the necessary technical investigations,” said Dorsey. Also, the CEO of Twitter mentioned in his post that he would love to receive comments and suggestions from the community.
Reasons to innovate in bitcoin mining
The reason why the entrepreneur makes this proposal has to do with several improvements that, in his view, are necessary in the bitcoin mining industry . In this sense, Dorsey stated that mining should be more efficient, distributed and accessible.
Regarding the first point, he assured that the use of clean energy would help improve the economy, impact and scalability of Bitcoin. On the other hand, on distribution, he explained that decentralization leads to greater network security and that the participation of “third parties” should not be necessary.
Regarding the third point, Dorsey stated that mining is “not accessible” and that it should be an activity “as simple as connecting a rig to a power source. However, he considered that currently “there is no incentive to overcome all the complexities of having a mining equipment”.
Finally, the American assured that the silicon industry “is too concentrated in a few companies.” “This means that the supply is quite limited. Developing it is expensive, requires long-term investment and is strongly linked to software and systems design, “said Dorsey.
Square and its development in mining and bitcoin
This initiative is not the first that Jack Dorsey and Square face in the bitcoin field. In June 2021, CriptoNoticias reported on an alliance between this company and Blockstream, a developer of Bitcoin technology, to create a mining farm in the United States based on solar energy . Square allocated an investment of USD 5 million for the development of this project.
Likewise, the company has communicated its intentions to get involved in the field of decentralized finance on Bitcoin. For this purpose, it is developing an open source platform that will connect with the rest of the applications that Square already has in operation, as reported by this medium.