Why network with ASIC always tsentralizovannaya network with a GPU. Major sins ASIC miners

In March, the developers of Monero held scheduled hardwork. The update is ran from a network of ASIC-miners, against which was made by the community. In the end, Hasrat coins dipped by 70 percent, and the chances of success of the attack 51 percent, respectively increased. In spite of this, the project still took the risk and kind of defeated the threat of centralization. Why do I struggle with ASIC? What are the dangers posed by such devices, and how are their manufacturers? Understand.

The contents

What is and why do we need ASIC miners

ASIC — acronym. The phrase “application-specific integrated circuit” means “integrated circuits for special purposes”. Appointment really special, not General, that is, the device can only perform one specific task. In the case of mining we are talking about the algorithm of finding solutions of the block.

ASIC miners are really much bypass the GPU to speed calculations in the framework of their algorithm, but their ability over. They are like a knife for oysters, which is more much of anything is not good. At the same time, graphics cards in comparison with ASIC are Swiss knives. They can and in games to play and videos to potentiality and different coins pamineti.

Why stoked for ASIC

High performance ASIC-miners guarantees more income. Even with the current exchange rate of Bitcoin, the new models can bring about 9-10 dollars for the day. Antminer S17 pays for itself in around eight months, which is not true of GPU processors. A farm of eight Nvidia GeForce GTX 1080Ti the day brings a little less than four dollars of profit in ETH.

Also read: Bitmain has revealed characteristics Antminer S17 and S17 Pro. What will be the new ASIC?

Good money is not the only reason for the love of ASIC-miners from the members of the community. Within the community also goes duck about the usefulness of such devices, saying that more Hasrat makes the network more resistant to attacks by hackers and even increases decentralization. The fans of this theory somehow forget that Hasrat concentrated in fewer hands. So decentralization and ASIC are not directly connected.

And then what to do with ASIC, to fight?

Yes, it’s the developers of the various projects. They regularly hardforce and thus cut off ASIC from the possibility to log into the network. In addition to Monero, the update also spent Zcoin, Bitcoin, Gold and other projects in Equihash 144.5.

There are less radical ways. The same algorithm ProgPoW will not close the network access to ASIC miners, but will make them less productive. Thanks to the algorithm the owners of GPU farms will still be able to earn and maintain the health of the Ethereum. The latter will not be threatened by centralization.

See also: What is ProgPoW? Why and what algorithm will kill ASIC miners and rescue card.

Full list of sins ASIC miners

Possible centralization of the networks is not the only disadvantage of the ASIC. They also have non-obvious features that affect the industry. Collect all the shortcomings of the miners.

Producers only care about money

In the era of capitalism it’s hard to blame someone in the desire to make money, but the producers of ASIC miners moved on. Their devices look really bad and awful work — they are not even close to comparable with graphics cards with a beautiful design and decent packing. While users cannot modify the hardware or software default.

Source: 2Биткоина

The reputation of most of the creators of the ASIC isn’t worth anything. All of them buy chips on the same street in China and harvested at the next. If something goes wrong — no problem. Come up with a new name and continue to collect the metal box with the same components.

For contrast, remember Nvidia and AMD — the two world-famous company. Their market capitalization is 115 and $ 30 billion respectively, and it is not much smaller than the total cryptocurrency market. Can we trust these manufacturers? How. Their reputation is very precious.

Prospects industry manufacturers also do not particularly care. The network of cryptocurrency with ASIC is losing appeal for the GPU, because the first pulls the blanket arrived. But graphics cards deliver decentralization, because the issue is relatively small, Hasrat and sold in any part of the world. What is the result? GPU migrate to other coins, and power is concentrated in a small number of miners.

Unfair distribution of facilities and non-transparent sale

Manufacturers of ASIC miners often have their own pools. Normal competition on the part of the same marketing between them, because the miners will come back. Turns out, one of asik, he is right.

Source: YouTube

You want the manufacturers to facilitate the emergence of new pools? Of course not. This explains their extreme selectivity for the clients. Even if he has plenty of money and desire to buy hundreds of ASIC miners at a higher price, he can easily refuse.

For example, quote Sony Chan, which is Chinese Linzhi.

She noted that the company does not sell equipment to scameron and creators of Ponzi schemes. Whether the client is scameron or not — will decide the leadership. Is there a space for bias? How. Decentralization? Unlikely.

New mining pools in question

Mining Bitcoin rests on six pillars: BTC.com, AntPool, F2Pool, ViaBTC, SlushPool and BTC.TOP. Today they account for 66.2 per cent Hasrat network. This balance of forces lasts long enough and is unlikely to change in the near future. Established relations with manufacturers ASIC these venues certainly is, and what the new pools?

Source: Blockchain.com

For them, the opportunity to buy the miners is much sharper than it seems. If the pool will need a number of ASIC and the minimum required Hasrat, its customers will receive payments once a month. Regular transactions will not, and who wants to wait that long?

The theme of the minimum Hasrat pool relevant to coins with a large block of time. Small blockdim given to miners easier.

Closed beta

Another feature of ASIC-miners — their secret testing by the manufacturer. In theory, companies do not interfere to create a new effective model to do her “tests” that can last for months.

Source: Bitcoinist

There are other ways of earning. At the end of November 2018 vs Bitmain has filed a class action lawsuit. According to his authors, ASIC new generation of dug coins in favor associated with Bitmain pools during the process of initiation. Claims estimated at five million dollars.

Insights

ASIC miners are far from the ideals of cryptocommunist. Their manufacturers are not particularly concerned with decentralization, but in the end from lack of profits suffer, the owners of GPU rigs. Besides the ASIC associated with greater risk. If the developers will hold hardwork and cut off miners from the network, they will have to throw away.

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