There’s another benefit to the 45-day maturity mechanism that I think is even more important than the SV1 liquidity penalty.
It gives miners actual skin in the game.
Today, a miner can point hash at whatever pool offers the best immediate economics, help that pool accumulate a huge amount of hashpower, find a block, and relatively quickly turn the reward into liquid XBT. If that behavior contributes to mining centralization or otherwise damages the network’s long-term value, the miner can effectively walk away with the consequences left behind.
With 45-day maturity, the miner remains economically exposed to the network after finding the block. Their reward is locked while the consequences of the mining ecosystem they helped create continue to unfold.
That changes the incentive from:
“Where can I make the most money today?”
to:
“What mining environment am I helping create, and what happens to the value of my reward while I’m still holding it?”
So the benefit isn’t only that 45-day maturity makes SV1 pools harder to finance. It aligns miners’ incentives with the long-term health of XBT itself.
For example, a miner now has a direct economic reason to prefer a pool like DATUM that strengthens decentralization and makes XBT more attractive to sound-money seekers. If better decentralization increases long-term demand for XBT, the miner’s own locked rewards benefit from that increased demand.
The miner isn’t just selling a service and walking away. They remain exposed to the value of the monetary network they’re securing.
The protocol doesn’t need to identify bad miners, blacklist pools, or police intentions. It simply makes miners keep skin in the game.
The long coinbase maturity soft fork is much cleverer than it looks at first glance. It doesn’t try to identify or ban mercenary BLAKE2b hash. Instead, it attacks the economic machinery that allows immature SV1 pools to rapidly aggregate opportunistic hash and turn it into liquid payouts.
At block 973,440, newly mined coinbases become subject to a 6,480-block maturity until block 979,920. But because the enforcement window itself is exactly 6,480 blocks long, none of those rewards actually mature while the rule is active. They all hit the same cliff: effectively, every new mining reward is frozen until 979,920, when consensus returns to the normal 100-block maturity.
That is brutal for an immature SV1 pool. If its business model relies on spending coinbases around the normal 100-block maturity to pay transient hashers, that flow simply stops working. Spend one of those covered coinbases too early and upgraded nodes reject it; mine a block containing that spend and those nodes reject the entire block.
The alternative is for the pool to keep paying miners out of its own already-mature reserves while 45 days of newly earned block rewards accumulate frozen behind it. For a thinly capitalized pool, that can be existential. And the more opportunistic hash it attracts, the larger the liquidity hole becomes. The mechanism turns the very thing that makes SV1 dangerous (being able to rapidly aggregate huge amounts of mercenary hash) into a massive capital requirement.
DATUM with direct generated payouts, such as TIDES, fits the model much more naturally. The miners' shares are placed directly into the coinbase when the block is created. Those individual outputs still have to mature, but there is no centralized pool treasury that first receives the subsidy and then needs to spend it later to distribute rewards. The maturity burden follows the actual miners rather than forcing a pool to finance an army of transient hashers.
Another clever part: there is no miner or node signaling threshold. This is a height-based flag-day soft fork. Nodes running the new version begin enforcing it automatically at 973,440 regardless of how many other nodes signal support.
Nodes that refuse to upgrade are not given veto power over activation. As long as miners follow the stricter rule, they can continue following the same chain. But if an old-rule SV1 pool or miner tries to spend one of these coinbases after only ~100 blocks and mines that spend, the enforcing network rejects the block outright. Any non-upgraded nodes that accept and build on it have followed that miner onto an incompatible fork.
That is another benefit of the design: unaligned miners do not get to drag enforcing nodes back to the old rules. If they insist on monetizing rewards before the new maturity permits it, they effectively fork themselves, and any old nodes willing to follow them, off the enforcing network.
That's the elegance of it: the network doesn't need to know which ASICs are “mercenary.” It changes the incentives underneath them. Opportunistic hash can still point at XBT, but the thinly capitalized SV1 pools that make that hash liquid, convenient and scalable suddenly need enough reserves to finance weeks of payouts, or make their miners wait.