THE BITCOIN GLOSSARY · TERM 58 / 100

Merged Mining

Mining and Proof of Work141 wordsSource-linked definition
← Back to the A–Z glossary

Definition

Merged mining allows work performed for one proof-of-work blockchain to contribute to securing another compatible blockchain. A common design commits information about the auxiliary chain into the parent chain's mining work, allowing the auxiliary network to verify an appropriate proof without requiring a completely separate hashing effort. The parent chain does not necessarily need to recognize or validate the auxiliary chain's transactions. Each network still has its own consensus rules, ledger, and asset. Merged mining therefore does not merge coin supplies or make an auxiliary token interchangeable with BTC. It can let miners participate in additional reward opportunities, but the auxiliary network's security depends on the work actually committed to it and its own validation design. Any bridge, federation, or redemption mechanism connecting the networks remains a separate source of assumptions. Sharing hashing work alone does not settle those custody questions.

Source references

References accompanying this glossary entry:

Educational reference, not financial advice. See our financial disclaimer and editorial policy.

Put the terms in context.