On Sun, May 31, 2015 at 9:45 AM, Alex Mizrahi <alex.mizrahi@gmail.com> wrote:

That orphan rate increase will go to whoever is producing the 20MB blocks, NOT you.

This depends on how miners are connected.

E.g. suppose there are three miners, A and B have fast connectivity between then, and C has a slow network.
Suppose that A miners a block and B receives it in 1 second. C receives it in 6 seconds.
This means that blocks mined by C during these ~5 seconds will be orphaned because B gets A's block first.

Yes, if you are on a slow network then you are at a (slight) disadvantage. So?

There are lots of equations that go into the "is mining profitable" equation: cost of power, Internet cost and connectivity, cost of capital, access to technology other miners don't have, inexpensive labor or rent, inexpensive cooling, ability to use waste heat...

That's good. An equation with lots of variables has lots of different maximum solutions, and that means better decentralization -- there is less likely to be one perfect place or way to mine.

--
Gavin Andresen