Market Prices and the PPS Ratio [updated]
2017-05-06 17:11 UTC
As we all know, over the last month the price of Litecoin surged from $4 to over $25. In fact, the month of April has seen many cryptocurrencies gain in value as well as in popularity. This also holds for most of the merged-mined scrypt cryptocurrencies, such as Dogecoin, but unfortunately the increase has not been nearly as dramatic as for Litecoin. This has significantly reduced their relative profitability, meaning that the extra rewards due to merged mining are now worth less compared to the rewards due to mining Litecoin alone.
For this reason, today we have adjusted the pool's PPS ratio from 103% to 102%, so as to better reflect the current market situation. This is a very conservative change, in the hope that the profitability of merged mining will soon rise and that we will be able to restore a higher percentage. If, conversely, the current trend continues and the relative prices do not rebalance, it might soon become necessary to lower the PPS ratio even further.
As always, we will keep monitoring the prices, and will post any relevant updates here.
Update (2017-05-22): Thanks to the recent changes in relative market prices, we've been able to increase the PPS ratio to 108%.
Update (2017-07-03): After today's sudden increase in the price of Litecoin, we're forced to lower the PPS ratio to 105%.
Update (2017-07-10): The PPS ratio has been further adjusted to 104% due to the drop in the price of Dogecoin.