Why use a GPU for mining (Why use water for mining)

08/16/2023 15:27 • Blockchain Buzz • 118 views

Why use a GPU for mining? Why use a GPU for mining?

Because Bitcoin’s consensus mechanism gives people more confidence in digital currencies. With the increasing price and market value, more and more companies are starting to see blockchain as a new economic form, and this industry is gradually becoming well-known.

In the past few years, the development of Bitcoin has been supported by investors and companies worldwide. However, due to the slump in the encrypted asset market and a significant drop in prices, many companies had to close their doors and seek investment. As a result, the stock prices of these companies continue to rise, and some companies have chosen to close their business lines and stop operations in response to market uncertainty and various reasons.

Although most mainstream exchanges have closed down, many people still remain cautious and even believe that this phenomenon has not been seen for a long time. So why do we continue mining in the current environment?

The first issue we need to consider is whether such devices are strong enough for the security of the network itself. If Ethereum is currently facing serious security vulnerabilities, how can its transaction speed be guaranteed?

The second issue is whether there are other factors that will affect mining efficiency, such as high electricity costs or insufficient computing power.

Finally, we need to consider the quality of hardware (such as CPU or storage space). When the performance of a computer declines, a large amount of memory damage often occurs, making it difficult to upgrade the graphics card to the latest version, which may cause system crashes and slow operation in some cases. Therefore, even an older machine can withstand the pressure. However, in the long run, this situation will also bring great trouble to the entire miners – they need a large amount of hardware to handle their operations.

In addition, mining is also a complex job. Mining requires a tremendous amount of computing resources to maintain normal network operation, which involves a large amount of energy and consumes vast and expensive basic materials, which are also one of the technologies most ASIC miners rely on.

Why use water for mining

According to cointelegraph, in an interview on January 10, 2018, a Bitcoin miner told reporters: If we consider the issue of energy consumption, mining needs to use water. Because it is more susceptible to heat than other industries, and its environment and Proof-of-Work (PoW) technology can prevent malicious attackers from destroying the network and generating a large number of new coins. This means that you may need a large amount of electricity to operate your system to ensure that your system has no terrible changes. Therefore, when we want to mine, it is best to choose a technology solution based on environmental protection rather than purely relying on noise or noise interference to avoid hacker attacks.

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Why use a GPU for mining (Why use water for mining)

Why use water for mining

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