Image source: Emrit
What comes to your mind when you think of cryptocurrency mining? Energy inefficiency for many. Also, Bitcoin mining requires a lot of energy, but this label does not apply to all cryptocurrency mining. As the blockchain industry has revolutionized, energy-efficient cryptocurrency mining opportunities have emerged on the market where everyone can participate and profit.
Energy efficiency issues of Bitcoin mining
Ten years ago, anyone could use their spare computing power to mine Bitcoin, and many made a lot of money. Unfortunately, it’s a long time ago, as individuals are largely locked out of this modern gold rush. Bitcoin mining is now dominated by companies and large institutional investors, many of which are listed, effectively creating an army competition for computing that exacerbates Bitcoin’s energy efficiency problems. I am.
Energy issues are related to Bitcoin’s proof of work consensus mechanism. In layman’s terms, this is the process by which a computer connected to a blockchain or node verifies the legitimacy of a transaction. To reach consensus, blockchain nodes compete to solve complex mathematical equations. The faster the node, the more Bitcoins you can mine. Therefore, computing power that consumes energy is very important in Bitcoin mining.
Energy efficient blockchain is here
Fortunately, the new consensus mechanism Proof of stake, Solved the problem of energy efficiency. Proof of Stake requires each node on the blockchain to bet its own cryptocurrency for the privilege of validating transactions. This avoids the need for more and more computing power while maintaining security. This is because there is no incentive for node operators to fool the blockchain and there is a risk of losing the bet cryptocurrency.
Blockchains such as Algorand, Cardano and Solana are pioneers of proof of stake, and Ethereum, the second largest blockchain, recently changed its consensus mechanism from proof of work to proof of stake to solve energy problems. Did. This is very good for the blockchain industry, but mining on these blockchains requires betting hundreds of thousands and even millions of cryptocurrencies, making most individuals unable to participate again. increase.
Fortunately, the third consensus mechanism in distributed wireless space, called coverage proof, has opened up new opportunities for individuals to regain their benefits from mining.
How to Profit from Energy Efficient Cryptocurrency Mining
There are new types of real-world blockchain use cases that require edge computing power and truly distributed deployments and cover large regions. You can mine cryptocurrencies on these blockchains by placing hardware or nodes in the blockchain at home or at work. Helium, for example, is a great project with great success in building the world’s largest distributed wireless network in just a few years.
Helium has created a coverage certification consensus mechanism for Internet of Things (IoT) networks. It uses the blockchain skillfully to ensure that the nodes in the network are honestly sending wireless signals from their asserted locations on the blockchain.In fact, the helium cryptocurrency (HNT) has been valued 20 times more valuable since the beginning of 2021 and many customers Mesprit Earn tens of thousands of dollars in HNT mining.
You can easily host an EmritCoolSpot Helium miner, the same size as a small wireless router, using the same amount of power as a 5 watt light bulb.
Image source: Emrit
Another Emrit blockchain partner is PlanetWatch, which uses blockchain and IoT to build a global air quality sensor network. Next year you can sign up for Emrit to host both PlanetWatch and Helium miners.
This is just the beginning. As more and more blockchain projects require edge computing, distributed blockchain infrastructure companies like Emrit can extend their projects by bringing simplicity to Web 3.0 and creating access to the community. To support.
Jiten Varu is the CEO of Mesprit..
Equity News Contributor: Jiten Varu
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