Difficulty Adjustment Algorithm (DAA)
A DAA is the consensus rule that recalibrates mining difficulty so average block time stays near target as hash rate changes.
- Acronym
- DAA
- Also known as
- Difficulty Retargeting
A Difficulty Adjustment Algorithm (DAA) updates the proof-of-work target to keep blocks arriving at a predictable cadence (e.g., ~10 minutes for BTC, ~10 minutes for BCH). By raising difficulty when hash rate rises and lowering it when hash rate falls, DAAs stabilize issuance and network timing.
Different chains use different DAAs. Some adjust per period, such as BTC's 2016-block retarget; others adjust every block with smoothing filters, such as BCH's ASERT; and some use hybrid schemes.
Poorly tuned DAAs can cause unstable block times, fee spikes, and issuance distortions. They can also be manipulated with timestamp games or oscillation attacks if not designed carefully.
Related terms
3 linkedExplore connected entries beyond the alphabetical index.
Mining Difficulty
→Mining difficulty measures how hard it is to find a valid proof-of-work block and adjusts to keep average block times near target.
Proof of Work (PoW)
→A consensus algorithm where computing power is used to solve complex problems, verify transactions, and create new blocks.
Hash rate
→The number of proof-of-work hash attempts performed per second by mining hardware or an entire network.
All terms and definitions may update as the Cryptionary improves.
