https://SecurityRatio.com
As many of you know, the security of a PoW chain is of utmost importance to its users and investors. Often, people look at hashrate as an indicator of security. However, this can be misleading. The Security Ratio (SR) is a more reliable metric for understanding the real security of a PoW chain. It's important to note that higher hashrate is primarily a function of Moore's Law and does not necessarily translate to higher security. On the other hand, the Security Ratio offers a better perspective on the economic security aspect of PoW chains, providing a more accurate assessment independent of the currency used.
We consider the Security Ratio (SR) to be the most fundamental metric for tracking economic security, as other isolated metrics, such as hashrate or dollars spent, do not take into account the size of the system they are securing. By incorporating the system's size, the Security Ratio provides a more comprehensive understanding of a PoW chain's true security.
Security Ratio(SR) is calculated as follows:
SR = (Total Block Rewards / Total Circulation Supply) * 1,000,000
SR is calculated for block rewards and circulation supply in each specific time period (block, day, month, year...)
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Links:
webpage: https://SecurityRatio.com
twitter: https://twitter.com/securityratio
Please feel free to share your thoughts, questions, and feedback.
The SecurityRatio.com Team
Topic: SecurityRatio.com - Monitoring the security of Proof-of-Work chains (Read 75 times)
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