The Bitcoin Mining Game Has Changed

The Bitcoin mining industry has seen the introduction of ASCI or application-specific integrated circuit machines. The first computer arrived at a miner’s home in late January and has been trickling into shipped ASCI machines finding their way into miner’s Bitcoin mining rigs ever since records.

Since ASCI machines are specifically designed for Bitcoin mining tasks, they are highly effective machines for what they are meant to do. High end ASCI machines have a hash rate in excess of 1 million per second. A typical Bitcoin mining software which runs a CPU has a hash rate of 1.5 per second. Do you want to learn more about is bitcoin mining profitable

It goes without saying that ASCI machine shipments were a game changer in the Bitcoin world. Bitcoin mining software no longer supports CPUs, since a 24-hour Processor will possibly not see a Bitcoin for many years, even if it were mining in a lake.

This trend favors those interested in mining who also have thousands of dollars lying around to be used on expensive hardware, as well as early Bitcoin mining adopters who have probably made heavy profits from their early mining efforts. Those early profits could be rolled into the latest and greatest setup of hardware and rigs to hold Bitcoins produced well into the future.

The ASCI development is hitting the worst of those miners who run relatively powerful GPUs. The complexity of successfully mining a Bitcoin block has increased to a level that can make the electricity costs outweigh the payout that a GPU miner will see in Bitcoin from year to year.

All of this speculation is closely tied to Bitcoin’s price stability going forward. If Bitcoin stays around the current level of 30 usd then innovation will continue to advance. ASCI has contributed in part to the rally Bitcoin has seen over the last 2 months. Bitcoin’s USD exchange rate has soared from 10 usd to 30 usd. It’s hard to find an investment with that kind of return anywhere on the planet, so in recent days, it’s normal for Bitcoin to be attracting attention. But that attention will last? And if so, will this bring more scrutiny and volatility on the young digital currency than stability? Relative stability in the long term is the one trait Bitcoin must establish if it is to achieve the original goal of being a viable and competitive currency on a world scale.