Jack Dorsey, co-founder and chief executive officer of Twitter Inc. and Square Inc., speaks during the Bitcoin 2021 conference in Miami, Florida, U.S., on Friday, June 4, 2021.
Eva Marie Uzcategui | Bloomberg | Getty Images
Jack Dorsey’s payments company Block (formerly Square) is going to start mining for bitcoin.
In a string of tweets, Block’s general manager for hardware, Thomas Templeton, laid out the company’s plans for next steps.
Templeton says the goal is to make bitcoin mining — the process of creating new bitcoins by solving increasingly complex computational problems — more distributed and efficient in every way, “from buying, to set up, to maintenance, to mining.”
The idea of making the mining process more accessible has to do with more than just creating new bitcoin, according to Templeton. Instead, he says the company sees it as a long-term need for a future that is fully decentralized and permissionless.
“Mining needs to be more distributed,” Dorsey wrote in a tweet in October, when he first floated the idea. “The more decentralized this is, the more resilient the bitcoin network becomes.”
Toward that end, the company is solving one major barrier to entry: Mining rigs are hard to find, expensive, and delivery can be unpredictable. Block says it is open to making a new ASIC, which is the specialized gear use to mine for bitcoin.
The project is being incubated within Block’s hardware team, which is beginning to build out a core engineering team of system, ASIC, and software designers led by Afshin Rezayee.
In terms of the hardware, Dorsey previously tweeted that the company was considering a “bitcoin mining system based on custom silicon.” Dorsey went on to share his thoughts on the need for more of a focus on vertical integration, as well as on silicon design, which he says is too concentrated among a few companies.
Templeton writes that Block also looking to improve reliability and the user experience of mining.
“Common issues we’ve heard with current…
