Topic: How do you think the increasing efficiency of ASIC miners will impact the decent (Read 46 times)
July 26, 2024, 04:13:54 AM
Yes, it's becoming more centralized.
July 26, 2024, 04:17:55 AM
No, decentralization will by and large remain similar. Profit margins are really only good enough for miners with sufficient resources and better than normal rates from their energy provider. This essentially narrows it down to just the the bigger players.
Decentralization will not be compromised because of the current degree of centralization and how they've already probably have priority with the bulk orders. Higher efficiency doesn't mean that they would refresh their ASICs. Improvements are quite marginal most of the times and if you consider the setup costs, then it is probably not very worth. More efficient or newer ASICs don't come out as often as you think, at least for new releases.
Decentralization will not be compromised because of the current degree of centralization and how they've already probably have priority with the bulk orders. Higher efficiency doesn't mean that they would refresh their ASICs. Improvements are quite marginal most of the times and if you consider the setup costs, then it is probably not very worth. More efficient or newer ASICs don't come out as often as you think, at least for new releases.
July 26, 2024, 03:20:45 AM
It despite its advantages is tagged with a major flaw of competing against decentralization.
ASIC miner with its processing power has shifted cheaper alternative like GPU from the market
And only those who can afford it gain from it.
The more resources one it becomes relatively easier to mine a block
This has and would lead to a situation where power would be centered in few.
I think Mining Centralization is inevitable. Though decentralization protects Bitcoin and improve security
Another thing that would prevent an individual from launching an attack while having said power is that the opportunity cost that would be incurred would scale with the hash power of the attacker.
They would gain more by playing by the rule.
Keeping they are rational constant.
You don't have to follow with their updates
I think miners last more than 2 years when duly taken care of
But if you have the resources you can keep up with their updates
But that would be inefficient
Mining in average takes time to start generating Net returns.
ASIC miner with its processing power has shifted cheaper alternative like GPU from the market
And only those who can afford it gain from it.
The more resources one it becomes relatively easier to mine a block
This has and would lead to a situation where power would be centered in few.
I think Mining Centralization is inevitable. Though decentralization protects Bitcoin and improve security
Another thing that would prevent an individual from launching an attack while having said power is that the opportunity cost that would be incurred would scale with the hash power of the attacker.
Quote
The incentive may help encourage nodes to stay honest. If a greedy attacker is able to
find it more profitable to play by the rules, such rules that favour him with more new coins than
assemble more CPU power than all the honest nodes, he would have to choose between using it
to defraud people by stealing back his payments, or using it to generate new coins. He ought to
everyone else combined, than to undermine the system and the validity of his own wealth.
Satoshi words in the white paper find it more profitable to play by the rules, such rules that favour him with more new coins than
assemble more CPU power than all the honest nodes, he would have to choose between using it
to defraud people by stealing back his payments, or using it to generate new coins. He ought to
everyone else combined, than to undermine the system and the validity of his own wealth.
They would gain more by playing by the rule.
Keeping they are rational constant.
You don't have to follow with their updates
I think miners last more than 2 years when duly taken care of
But if you have the resources you can keep up with their updates
But that would be inefficient
Mining in average takes time to start generating Net returns.
July 26, 2024, 01:39:46 AM
As ASIC miners become more efficient, their impact on the decentralization of cryptocurrency mining becomes a critical topic of discussion. And did you guys notice that every month they are releasing new miners,such as AL0, AL1? I have no idea whether don't know if we should buy now or wait for another month til' they release new again.
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