BitMEX Research on Drivechains

• "We assess the sidechain peg-out system and the benefits of blind merge mining."
• "In particular we discuss some of the Bitcoin mining economic and incentive arguments around sidechains."
• "There are potentially higher mining costs associated with merge mining and the claim that these costs can never contribute to centralisation risks, is somewhat fanciful, in our view."
• "However, a successful blind merge mined sidechain with significant MEV opportunities could offer Bitcoin significant benefits, which could more than offset the disadvantages."

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