The mining of the most important of the cryptocurrencies, Bitcoin, presented this week an important variety of news, of which we present the most outstanding ones. Among them, it is worth mentioning the pressures to which miners are subjected in the People’s Republic of China. In that country, intentions to harm the business are openly expressed.
The reasons for this would be the carbon emissions from the ASIC equipment. The issue of contamination by digital mining seems to be just beginning and could have important consequences for crypto mining based on the Proof-of-Work (PoW) protocol.
Another issue related to mining is the new cryptocurrency that debuts in the market. This is Chia, a project whose intentions, according to its developers, is to go beyond known protocols. In other words, mining (or farming as Chia calls it), will not work with PoW, but with another protocol.
These were the top 5 on Bitcoin mining this week
As is tradition, in this weekly roundup, the five most outstanding news about the mining of Bitcoin and other cryptocurrencies are selected. According to the order of importance, these are the 5 news with the greatest impact in the field of crypto mining:
- China investigates crypto mining farms to avoid unnecessary energy consumption.
- NVIDIA again limits its processing capacity for mining.
- Mining difficulty of the Bitcoin Blockchain network drops precipitously.
- Microsoft and Intel join forces to combat mining through botnets.
- Chia Farming will start with the use of hard drives and SSA.
China investigates crypto mining farms to avoid unnecessary energy consumption
The recent inspections in some provinces of China on Bitcoin mining farms is one of the most prominent news. The impacts of these events could be of great magnitude, not only for Bitcoin, but for the entire crypto ecosystem.
As CryptoTrend reported, the mining of Bitcoin could be causing serious problems for China’s environmental goals. This fact could be pushing the authorities to act with greater determination. The vast majority of mining farms that operate in the Asian country are powered by coal.
In this sense, the goals of the five-year plans of the Communist Party to reduce emissions in the short and long term could be threatened. Thus, mining could be one of the targets of the authorities of that nation. Recently, a Nature Communication study pointed to mining as a potential threat.
NVIDIA again limits its processing capacity for mining
One of the highlights of the week affecting mining, not Bitcoin, but other cryptocurrencies, is NVIDIA’s stance. It is one of the leading manufacturers of graphics cards. It put a lock on their GeForce RTX 3080 cards.
According to this, when the card detects that it is used for cryptocurrency mining, its performance would decrease by 50%. This is news that shocked the crypto community. However, the lock was removed during an update, reviving the miners’ hopes.
However, the company quickly ruled on the matter, assuring that the removal of the blockade would have been a mistake. At the time of applying a driver update, the function would have been removed. Now, it was reinstalled again.
Bitcoin Blockchain Network Mining Difficulty Slashing Down
The fall of the Bitcoin hash rate was one of the most outstanding events of the year in terms of mining. The event, caused by simultaneous causes such as the flooding in a coal mine and the inspections of the authorities in China against the farms. That, as expected, would cause the difficulty to drop.
The most recent adjustment, produced last Saturday, May 1, was just the second loss of difficulty of the year. It was also one of the largest, in percentage terms, in the recent history of the most popular of digital currencies.
From 23.58T, the difficulty of the Blockchain network to process transaction blocks, dropped to 20.61T. This equates to a 12.61% drop compared to the last adjustment two weeks ago. It should be remembered that changes in difficulty occur every 2,016 blocks, which is equivalent to about 15 days.
Microsoft and Intel team up to combat botnet mining
Hackers are one of the big concerns for users who are advocates or not of digital currencies. Botnets illegally rake in millions of dollars in profits every year. The mining of Bitcoin and other cryptocurrencies has become one of the favorite activities of these criminals.
In that sense, the giants of operating systems, Microsoft and Intel, join forces to fight against hackers. The information was released through a statement published by the first of these firms, in which they pledged to join efforts against malicious mining.
Chia Farming will start with the use of hard drives and SSA
Moving on to one of the most prominent news about mining, but this time not from Bitcoin but from Chia. It is a cryptocurrency developed by the creator of BitTorrent, Bram Cohen. The project will see the light this Monday, May 3. But its greatest quality is the way it is generated.
Unlike currencies like Bitcoin or Ethereum, which are mined with ASIC or GPU equipment, Chia is generated with a different protocol. According to the EQI portal, the cryptocurrency will be generated with the Proof-of-Space and Proof-of-Time protocols.
In other words, the Chia cryptocurrency will be mined with hard drives and SSDs. This, the developers explain, will allow mining (or farming as they call it) to be truly within everyone’s reach and not in the power of a handful of gigantic mining centers.