<p>Incentives for <strong>miners</strong>:</p>
<ul>
<li>Security &amp; Privacy: communications between miners and pools are encrypted with SV2. Stratum V1 is plaintext by protocol definition. Attacks such as hashrate hijacking would be unfeasible with SV2.</li>
<li>Efficiency: SV2 uses a specific binary framing which reduces the bandwidth consumption and latency for the entire communication between miners and pools. Stratum (V1) instead is a json-encoded protocol. SV2 aims to reduce also the number of empty blocks, since it introduces new messages needed to pre-build a future block template with other transactions while mining on the current one.</li>
</ul>
<p>Incentives for <strong>pools</strong>:</p>
<ul>
<li>Efficiency: the same benefits of the above described for the miners.</li>
<li>Server load: thanks to the SV2 standard channels and to the SV2 binary framing, the load on the pool servers is reduced.</li>
<li>No more responsibility for transaction selection: right now pools have the entire power of selecting transactions that are mined in the future blocks, and this is a very bad centralization point. In a future in which governments or other entities will make pressure upon pool operators, in order to perform any kind of censorship, this will be totally pointless if the block templates (and so transaction selection) is done by individual miners.</li>
</ul>
<p>These are the main incentives for adopting Stratum V2 for both miners and pools.
In order to get more info about all protocol features, I'd recommend to have a look at:</p>
<ul>
<li><a href="https://github.com/stratum-mining/sv2-spec" rel="nofollow noreferrer">https://github.com/stratum-mining/sv2-spec</a></li>
<li><a href="https://stratumprotocol.org/" rel="nofollow noreferrer">https://stratumprotocol.org/</a></li>
<li><a href="https://github.com/GitGab19/Stratum-V2-Master-Degree-Thesis" rel="nofollow noreferrer">https://github.com/GitGab19/Stratum-V2-Master-Degree-Thesis</a></li>
</ul>

CC BY-SA 4.0
2023-09-11T16:17:51.443Z
But is the incentive strong enough for pools to give up the tx selection power?
hashimov
CC BY-SA 4.0
2023-09-12T10:05:19.157Z
I think that the efficiency and security points are very strong incentives for both miners and mining pools. Transactions selection feature (defined as Job Declaration Protocol in SV2 specs) is very important for the pools as well. From a low-time-preference point of view, it constitutes a crucial aspect for mining pools businesses and the entire network as a whole.
gitgab19
CC BY-SA 4.0
2023-09-11T07:35:55.257Z
2023-09-11T07:35:55.257Z
gitgab19
<p>I am wondering about the prospects of resolving increasing mining pool centralization. What is the incentive for miners and pools to support Stratum V2?</p>

<mining-pools><mining-profitability><stratum>
Stratum V2 incentives?
hashimov
# Stratum V2 incentives?

(Asked by: username_0 on 2023-09-09)

I am wondering about the prospects of resolving increasing mining pool centralization. What is the incentive for miners and pools to support Stratum V2?

**Tags:** mining-pools, mining-profitability, stratum


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## 1 answers

### Answer by username_1 on 2023-09-11. Score: 1

Incentives for **miners**:

* Security & Privacy: communications between miners and pools are encrypted with SV2. Stratum V1 is plaintext by protocol definition. Attacks such as hashrate hijacking would be unfeasible with SV2.
* Efficiency: SV2 uses a specific binary framing which reduces the bandwidth consumption and latency for the entire communication between miners and pools. Stratum (V1) instead is a json-encoded protocol. SV2 aims to reduce also the number of empty blocks, since it introduces new messages needed to pre-build a future block template with other transactions while mining on the current one.

Incentives for **pools**:

* Efficiency: the same benefits of the above described for the miners.
* Server load: thanks to the SV2 standard channels and to the SV2 binary framing, the load on the pool servers is reduced.
* No more responsibility for transaction selection: right now pools have the entire power of selecting transactions that are mined in the future blocks, and this is a very bad centralization point. In a future in which governments or other entities will make pressure upon pool operators, in order to perform any kind of censorship, this will be totally pointless if the block templates (and so transaction selection) is done by individual miners.

These are the main incentives for adopting Stratum V2 for both miners and pools.
In order to get more info about all protocol features, I'd recommend to have a look at:

* <https://github.com/stratum-mining/sv2-spec>
* <https://stratumprotocol.org/>
* <https://github.com/GitGab19/Stratum-V2-Master-Degree-Thesis>

> **Comments:**
> **username_0**: But is the incentive strong enough for pools to give up the tx selection power?  
> **username_1**: I think that the efficiency and security points are very strong incentives for both miners and mining pools. Transactions selection feature (defined as Job Declaration Protocol in SV2 specs) is very important for the pools as well. From a low-time-preference point of view, it constitutes a crucial aspect for mining pools businesses and the entire network as a whole.  

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