Fractal Bitcoin mining was introduced to the crypto ecosystem on September 9, 2024. Support for Fractal Bitcoin mining on the EMCD pool became available one day later, on September 10, 2024.
This setup allows miners to contribute computing power to two networks simultaneously: Bitcoin and Fractal Bitcoin. This process is known as merged mining and is based on a shared Proof-of-Work mechanism.
For miners, this means the ability to receive additional block rewards without increasing hardware usage or electricity consumption.
In this overview, merged mining is explained using the BTC + FB pair as an example. The same logic applies to other networks that support merged mining.
What is Merged Mining?
Merged mining, also known as Auxiliary Proof-of-Work (AuxPoW), allows miners to use the same hashing process to support more than one blockchain at the same time.
In merged mining, the “parent” chain is the primary network being mined (Bitcoin), while the “auxiliary” chain (Fractal Bitcoin) reuses the same Proof-of-Work. This model extends existing mining infrastructure across compatible networks without requiring changes to hardware configuration or increased energy consumption.
In practice, a single Proof-of-Work calculation can be accepted by multiple networks that support AuxPoW.
How Merged Mining Works
Merged mining works by embedding auxiliary chain data into the parent chain’s block structure, allowing one Proof-of-Work calculation to secure both networks.
A valid block found on the parent blockchain (Bitcoin) can also be recognized by the auxiliary chain (Fractal Bitcoin). As a result, the same hashing process contributes to both networks within a single mining cycle.
Here is how the mechanism works in practice:
Block discovery: When a block is found on the parent chain, a reference to it is embedded in the auxiliary chain’s block hash.
Proof-of-Work validation: Mining devices perform the standard Proof-of-Work (PoW) calculation. If the solution meets the difficulty requirements of the parent chain, blocks are validated on both networks. If it meets only the auxiliary chain’s difficulty requirements, only the auxiliary block is validated.
Block reward allocation: Validated blocks are recorded on each supported network, allowing miners to receive block rewards from both the parent and auxiliary blockchains within the same mining cycle. This approach increases total mining rewards without additional hardware or power consumption.
Advantages of Merged Mining
Shared security model. Smaller blockchains, such as Fractal Bitcoin, can rely on the computing power of more established networks like Bitcoin. This reduces exposure to certain attack vectors by aligning their security with a larger Proof-of-Work network.
Cost efficiency. Merged mining enables miners to receive block rewards from multiple networks using the same hardware setup. No additional equipment or increased energy usage is required.
Energy efficiency. The same computing resources are reused across supported networks. Compared to running separate mining processes for each chain, this approach reduces overall energy consumption.
Existing Examples of Merged Mining: Litecoin (LTC) and Dogecoin (DOGE)
In 2014, the Dogecoin network adopted merged mining with Litecoin. At the time, declining block rewards reduced miner participation and weakened network stability. By aligning with Litecoin’s Proof-of-Work, Dogecoin was able to leverage a larger pool of computing power.
This integration strengthened network resilience and improved overall chain stability while allowing miners to support both networks within a single mining process.
FAQ
Can I disable one coin and mine only Bitcoin without Fractal Bitcoin when using the EMCD mining pool?
No. Mining activity performed for Bitcoin is also used to validate blocks on the Fractal Bitcoin network. The same worker process applies to both chains and cannot be separated.
Does mining a secondary coin (Fractal Bitcoin) affect the Bitcoin hashrate?
No. Mining operates in parallel. Your hardware performs computations for the Bitcoin network, and those same computations are reused by Fractal Bitcoin. This does not reduce performance or affect the Bitcoin hashrate.
Are Bitcoin and Fractal Bitcoin handled separately and in their native assets?
Yes. Each network is handled independently. The platform provides a separate mining account and wallet for each supported coin.
Do I need to change any hardware or software settings to start merged mining Bitcoin and Fractal Bitcoin?
No additional configuration is required. Once Bitcoin mining is active, Fractal Bitcoin mining is enabled automatically.
Does merged mining Bitcoin and Fractal Bitcoin require additional electricity compared to mining only Bitcoin?
No. Miners do not need to increase power consumption or add hardware. Since the same hashing work is reused for both networks, there is no additional energy usage associated with supporting the secondary chain.