Bitcoin Miners signal for Taproot Activation

Bitcoin Miners signal for Taproot Activation

The Bitcoin network hasn’t seen a big update in a long time, and the last time it did was in 2017, when BTC participants enabled Segregated Witness (Segwit). Since then, bitcoiners have been debating Taproot, the next big update. Gregory Maxwell, a software developer and Bitcoin Core contributor, proposed the Taproot proposal in January 2018.

Last October, Bitcoin Core programmer Pieter Wuille launched a pull request to add Taproot to the Github repository. Taproot, on the surface, appears to be able to assist BTC in scaling and making bitcoin transactions more private. If consensus is reached, the protocol will be implemented as a soft fork that enhances the blockchain’s scripts for privacy-centric and complex transactions.

What Is Taproot and How It Will Benefit Bitcoin | Binance Academy
Binance

According to the Github “Taproot-Activation” documentation, “Taproot is a proposed Bitcoin protocol update that can be deployed as a forward-compatible soft fork.” “By combining the Schnorr signature scheme with MAST (Merklized Alternative Script Tree) and a new scripting language called Tapscript, Taproot would increase the versatility of Bitcoin’s smart contracts while also increasing privacy by allowing users to disguise complex smart contracts as standard bitcoin transactions.”

Around 25% of the network’s SHA256 hashrate approves of the Taproot activation as of Sunday, May 2, 2021. According to the web portal taproot.watch, there is a signaling cycle of 2,016 blocks and “1,802 Taproot blocks remaining before [the] soft fork is locked in.” The page continues, “Taproot will not lock in with the existing signaling ratio (7.14 percent).”

Sources:
Bitcoin Miners Start Signaling for Taproot Activation, People Prep for BTC’s Largest Update in 4 Years – Technology Bitcoin News. (2021). Retrieved 5 May 2021, from https://news.bitcoin.com/bitcoin-miners-start-signaling-for-taproot-activation-people-prep-for-btcs-largest-update-in-4-years/
What Is Taproot and How It Will Benefit Bitcoin | Binance Academy. (2021). Retrieved 5 May 2021, from https://academy.binance.com/en/articles/what-is-taproot-and-how-it-will-benefit-bitcoin


The Best GPUs for Mining as of 04/20/21

The process of inserting and validating transaction records on the Bitcoin public blockchain ledger while ensuring network uptime is known as mining. This is how the network survives without relying on vulnerable, centralized networks or trusted third parties. Mining is often used to differentiate legitimate Bitcoin (BTC) transactions from double-spending attempts, which occur when a user tries to spend money that has already been spent elsewhere.

Wccftech

What miners are really doing is guessing for a certain number (the nonce) that is defined in the header of the next block, which has a predetermined number of zero bits. They solve the proof-of-work and are rewarded with the protocol currency, BTC, when they guess the right number after using a lot of computing power. At the same time, this serves as the Bitcoin minting process.

GPU mining entails using the graphics processing unit of a gaming machine to solve complex math problems in order to validate electronic transactions on a blockchain.

Highest Earning GPUs as of 04/20/21

  1. Nvidia RTX 3090 — $602.33/m
    At $1499, the RTX 3090 brings competition to ASIC mining with a low payback period and low power consumption. However, with the ridiculously priced GPU market, the average 3090 goes for around $4,200. Although the price is quite ridiculous, it still has a payback period of 216 days, and everything after those days are profits.
  2. Nvidia RTX 3080 — $481.74/m
    The RTX 3080 has some crazy specs, including 68 SM units for a total of 8704 CUDA cores. The card also includes next-generation RT (Ray-Tracing) cores, Tensor cores, and brand-new SM or streaming multi-processor modules in addition to the CUDA cores. 272 TMUs, 272 Tensor Cores, 96 ROPs, and 68 RT cores are among the other features. The card has a TDP of 320W and a base clock of 1440 MHz and a boost clock of 1710 MHz. In terms of mining efficiency, the GeForce RTX 3080 has an out-of-the-box mining rate of 73–74 MH/s on the Ethereum DaggerHashimoto algorithm. Overclocking the card to a maximum performance output of 92–93 MH/s brings the performance up to 82–84 MH/s.
  3. AMD VII — $447.33/m
    Average eBay cost: $1999.00, a payback period of 138 days.
  4. AMD RX 6800XT — $305.97/m
    Average eBay cost: $1600.00, a payback period of 162 days.
  5. AMD RX 6900XT — $305.97/m
    Average eBay cost: $2000, a payback period of 202 days.
  6. AMD RX 6800XT — $287.37/m
    Average eBay cost: $1500, a payback period of 161 days.
  7. Nvidia RTX 3060 Ti — $282.41/m
    Average eBay cost: $1620, a payback period of 177 days.
  8. Nvidia RTX 3070 — $282.41/m
    Average eBay cost: $1759, a payback period of 193 days.
  9. AMD RX 5700XT — $265.98/m
    Average eBay cost: $1200.90, a payback period of 139 days.
  10. AMD RX 5700 — $263.81/m
    Average eBay cost: $1180.90, a payback period of 138 days.
  11. Nvidia RTX 2080 Ti —$ 261.33/m
  12. Nvidia RTX 2070 Super — $208.63/m
  13. Nvidia RTX 2060 Super — $208.63/m
  14. Nvidia RTX 2080 Super — $208.63/m
  15. Nvidia RTX 2070 — $208.63/m
  16. Nvidia RTX 2080 — $208.63/m
  17. Nvidia GTX 1080 Ti — $204.91/m
  18. AMD RX 5600XT — $198.71/m
  19. AMD RX Vega 64 — $188.48/m
  20. AMD RX Vega 56 — $171.74/m
  21. Nvidia GTX 1080 — $167.09/m
  22. Nvidia P104–100 — $167.09/m
  23. AMD RX 580 8GB — $151.59/m
  24. AMD RX 480 8GB — $148.18/m
  25. AMD RX 570 8GB — $145.39/m
  26. Nvidia GTX 1660 Super — $142.29/m
  27. Nvidia GTX 1070 Ti — $141.36/m
  28. AMD RX 470 8GB — $139.81/m
  29. Nvidia GTX 1660 Ti — $137.02/m
  30. Nvidia RTX 2060 — $134.54/m

Sources:
⛏ The Best GPUs for Mining | Kryptex. (2021). Retrieved 20 April 2021, from https://www.kryptex.org/en/best-gpus-for-mining
Mujtaba, H. (2020). NVIDIA GeForce RTX 3080 Ethereum Mining Performance Leaks Out. Retrieved 20 April 2021, from https://wccftech.com/nvidia-geforce-rtx-3080-ethereum-crypto-mining-performance-leaks-out/

Consortium Invests $1.3B in a Filecoin Mining Facility

China-based consortium IPFS Union is investing over $1.3 billion to create China’s largest decentralized storage in Jiangxi Province of Fuzhou City. As part of its “Big Data Industrial Park” project, the station will mine Filecoin (FIL), a peer-to-peer data storage platform, allowing users to trade storage without a third party, a blog article by Filecoin read. After the network was upgraded to mainnet a few months ago, Filecoin has gotten a lot of coverage in China. According to the article, this mining facility will be China’s largest distributed storage facility, bolstering the union’s big data vision. For the past ten years, the consortium has seen some major tech players including Microsoft, AMD, Huawei, Alibaba, and SAP leading the world in cloud storage, massive cluster data management, and internet infrastructure.

What is Filecoin?

Filecoin is a peer-to-peer file storage network with built-in economic incentives to ensure that files are safely stored over time. They allow anyone to rent out extra storage space they may have on their computer. Filecoin launched in October 2020, and its ICO raised $257M.

Filecoin, 1Y — CoinMarketCap

Storage miners are machines that are in charge of storing files and demonstrating that they have been stored correctly over time. Anyone can enter Filecoin if they want to store their files or get paid to store other people’s files. No one corporation has leverage over the amount of storage available or the price of that storage. Instead, Filecoin allows anybody to participate in open markets for storing and retrieving data.

A blockchain and native cryptocurrency are included in Filecoin (FIL). For storing files, storage miners earn FIL units. The blockchain of Filecoin stores transactions for sending and receiving FIL, as well as proofs from storage miners that they are correctly storing their data.

For miners

Filecoin is a cryptocurrency that allows storage providers to sell their space on the open market.

People and organizations that run mines and receive Filecoin tokens are known as storage providers. A miner may be any internet-connected machine with free disk space or a dedicated Filecoin-specific device with plenty of storage. The Filecoin blockchain rewards miners for providing valuable storage to the internet rather than for completing inefficient proof-of-work calculations.

When a storage provider adopts the Filecoin protocol, they gain access to the entire Filecoin user community. Filecoin’s protocol and network handle all of this, so providers don’t have to build their own storage API or advertise their services. Filecoin allows a vibrant, open network of independent storage providers by eliminating barriers to entry.

Sources:
Filecoin price today, FIL live marketcap, chart, and info | CoinMarketCap. (2021). Retrieved 20 April 2021, from https://coinmarketcap.com/currencies/filecoin/
What is Filecoin?. (2021). Retrieved 20 April 2021, from https://docs.filecoin.io/about-filecoin/what-is-filecoin/#for-users
Microsoft-Led Consortium Invests $1.3B in Largest Decentralized Storage Facility in China to Mine Filecoin (FIL). (2021). Retrieved 20 April 2021, from https://cryptonews.net/en/news/mining/54

What is Chia Network?

“We believe that chia, a new digital currency built on our new blockchain with radically different features and security than other digital currencies, will ultimately deliver on the promises of ‘magic internet money,’” the company asserted in its first version of a new business white paper.

So what is Chia and how does it work?

VentureBeat

Chia was founded in August 2017 with the aim of creating a better blockchain and smart transaction platform. The Chia Network is being built to develop global financial and payment networks. Chia will be the first digital currency designed for businesses. Since Bitcoin, Chia is using the first modern Nakamoto consensus algorithm. Bram Cohen, the greatest network protocol programmer alive and the inventor of BitTorrent, created Proof of Space and Time. Chialisp is an efficient, easy-to-audit, and safe smart transaction programming language from Chia. Atomic swaps, registered payees, recoverable wallets, multiset wallets, and rate-limited transactions are instances of smart transactions currently available.

PoST works by filling up unused computer storage space with strings of digits that farmers (or “blockchain validators,” as Chia refers to them) agree to load on their computers. The more room and strings they have, the better their chances of winning a block are. Chia claims to be “the easiest cryptocurrency to validate for normal people ever.”

Bitcoin bulls obsess about the hard limit, but Chia argues that what matters is a predictable number, not a set amount. Chia does not have a limit, but it will not surprise holders with unexpected emissions. The white paper claims that “being able to directly quantify a mutual expectation of total supply at any given time provides much the same financial and peace of mind value.” As previously mentioned, the company will launch the mainnet with 21 million XCH, a nod to bitcoin, and farmers will be able to earn them immediately. Though farming will take 21 years to double supply, the company believes it will be very similar in just six years. The coin-structure of favoring an infinite supply is similar to Dogecoin.

Miners in China are reportedly desperately snatching up every hard drive and SSD they can find in the wake of the Chia cryptocurrency’s launch. Chia uses a proof of space and time model, unlike Bitcoin, which is based on proof of work. Chia is said to be an environmentally friendly cryptocurrency. Chia was founded by Bram Cohen, the founder of BitTorrent, to take advantage of the free space on storage devices. Chia is based on the idea that hard drives and SSDs use less fuel, are easier to come by, and are less expensive to buy. Mining Ethereum or Bitcoin on a large scale, on the other hand, adds to the loss of energy.

Miners are mass-purchasing hard drives with capacities ranging from 4TB to 18TB, according to the HKEPC study. Panic buying would eventually result in a hard drive shortage and price increases. Hard drive and SSD prices in Hong Kong are forecast to rise between 200 HKD and $600 HKD ($26 to $77). User SSDs aren’t the best option for growing Chia because of the constant read and write operations. When there’s money to be made, though, nothing is safe from miners.

Sources:
FAQ — Chia Network. (2021). Retrieved 20 April 2021, from https://www.chia.net/faq/
5 Takeaways From Chia Network’s New White Paper — CoinDesk. (2021). Retrieved 20 April 2021, from https://www.coindesk.com/5-takeaways-from-chia-networks-new-white-paper
Hard Drive and SSD Shortages Could Be Imminent If New Cryptocurrency Blooms. (2021). Retrieved 20 April 2021, from https://www.tomshardware.com/news/hard-drive-ssd-shortages-imminent-if-new-cryptocurrency-blooms
Takahashi, D. (2019). Chia Network creates a $100,000 contest to bolster its cryptocurrency platform. Retrieved 20 April 2021, from https://venturebeat.com/2019/07/09/chia-network-creates-a-100000-contest-to-bolster-its-cryptocurrency-platform/

DMG buys new Mining Machines

DMG Blockchain Solutions, a publicly traded bitcoin mining firm, has acquired 3,600 bitcoin mining machines.

Canadian tech giant DMG Blockchain Solution has installed 1,000 new Bitcoin  Machines. | by Andy Little | On The Block Publication | Medium

The order is expected to boost the Canadian company’s hashrate to over 500 petahashes per second, up from about 140 petahashes. (According to Luxor Tech, the seven-day moving average for Bitcoin’s total hashrate is 144 exahashes per second.) DMG’s stock is down 15% at $1.39 CAD ($1.11 USD) at press time.

The first shipments of these application specific circuit (ASIC) miners – computers designed to perform a single task, in this case, generating hashes to mine bitcoin – will arrive at DMG in August. The company anticipates receiving the order’s final batch.

Sources:
DMG Purchases 3,600 ASICs in North American Bitcoin Mining Expansion. (2021). Retrieved 19 April 2021, from https://www.coindesk.com/dmg-purchases-3600-asic-bitcoin-miners-north-america

Nvidia CMP HX’s disappointing specs

Nvidia quotes on their website, “We are gamers, through and through. We obsess about new gaming features, new architectures, new games and tech. We designed GeForce GPUs for gamers, and gamers are clamoring for more.” After halving the mining hash rate for the 3060, Nvidia is announced “CMP HX” cards, built for mining. “For instance, CMP lacks display outputs, enabling improved airflow while mining so they can be more densely packed. CMPs also have a lower peak core voltage and frequency, which improves mining power efficiency.” However, their stats don’t exactly match up.

Nvidia

The entry-level mining card mines at 26 MH/s vs the 3060’s mining hashrate 45 MH/s before being halved, to 22 MH/s. This would put the 30HX’s performance behind the previous 3060, which retailed at just $329. Even the 40HX and the 50HX barely keep up to the 3060’s previous performance. While Nvidia hasn’t released a price for these cards, it’s very unlikely that they’ll be under the 3060 retail price of $329.

Nvidia claims to be solving gamers and miners problems with these cars, however, with just the hash rate it’s unclear to see how. However, Nvidia may optimize the cards past just the hash rate, especially since the power wattage is considerably high compared to the reasonably low hashrate. As of now, the 3060ti and 3070 continue to be the best choice for mining profits and payback period.

SOS Announces Receipt of Crypto Mining Rigs

The SOS team began inspection, setup, and installation procedures as soon as the mining rigs arrived. The Company expects the pool of rigs to be able to produce around 177 Peta-Hashes per second (PH/s) for mining Bitcoin and 356 Giga-Hashes per second (GH/s) for mining Ethereum once this batch of mining rigs goes live (ETH). The long-term ROI (return on investment) is expected to be promising if the machines perform as expected. These hash rates are affected by a variety of factors, including downtime for repair, reconfiguration, and other variable factors that could have a significant effect on future computing efficiency.

SOS Announces that the First Batch of 5000 Pieces of Crypto Mining Rigs  Gone Live Today
Yahoo Finance

The company confirms that mining operations in Q1 2021 resulted in the production of 42 Bitcoins and 916 Ethereum. This is for a quarter of service only. Steven Li, SOS’s Chief Financial Officer, elaborated, “These mining results cover the first quarter of operations, and the total number of Bitcoins and Ethereum is higher than we expected. As we complete the installation of our third batch of mining rigs and have full quarters of service, we expect our production to increase in future quarters.” Mr. Yandai Wang, Chairman of SOS, commented, “We believe that the general trend for cryptocurrencies will be bullish. We have completed the set-up of the cryptocurrency business in China at this stage. With the anticipated development of our cryptocurrency mining operation in the U.S., we believe that SOS’ cryptocurrency business will achieve significant results. We remain confident in our strategy to invest in crypto-currency operations.

Nvidia Swaps Ampere Silicon to Limit Ethereum Mining

HKEPC reports that Nvidia has discontinued the GA106-300 die, which powers the GeForce RTX 3060, citing an unnamed Taiwanese graphics card manufacturer as a source. As a result, the latest GA106-302 die will be used in upcoming GeForce RTX 3060 graphics cards. The die swap, as easy as it might appear, is enough to render the Nvidia-leaked GeForce 470.05 Beta driver obsolete because it lacks the necessary data to detect the latest PCI Device ID. According to HKEPC’s sources, Nvidia has added additional mechanisms to the GA106-302 silicon, making it more difficult to crack the anti-mining limiter.

Nvidia's first Ampere GPU is a silicon monster for AI and servers | TechSpot
TechSpot

Nvidia is expected to launch the GA106-302 silicon in May, implying that future GeForce RTX 3060 graphics cards will feature the new die. Nvidia has essentially brought some confusion to the mix by injecting the latest variant into the existing market, causing cryptocurrency miners to think twice before purchasing a GeForce RTX 3060. On the other hand, Nvidia’s decision is likely to boost the value of older GeForce RTX 3060 graphics cards, which are now fetching over $1000. While HKEPC only mentions the GeForce RTX 3060, it is possible that this is only the tip of the iceberg. Nvidia could also revise its other Ampere silicon, according to prominent hardware leaker kopite7kimi, who has an impeccable track record of Ampere leaks. The GA102 and GA104 silicons, which power the GeForce RTX 3090, GeForce RTX 3080, and GeForce RTX 3070, respectively, are included in the list. As a result, it seems that Nvidia is on a crusade to eliminate cryptocurrency miners.

The previous anti-mining limiter was short-lived, owing to Nvidia handing over the keys to the kingdom to cryptocurrency miners. We’re hoping that this time around, the chipmaker has added extra safeguards, and that, just maybe, more Ampere graphics cards will end up in gamers’ hands rather than Ethereum mining farms.

Google Finance’s “Crypto” Section

Cryptocurrencies continue their breakthrough into the mainstream. Google Finance users can get a quick overview of the prices of the most famous cryptocurrencies with just one click and compare them with other asset classes. Google Finance has added a separate crypto section to finance.google.com. A section called “Crypto” now appears in the “Market Comparison” category, along with traditional stocks and fiat currencies. This section provides key pricing information for several cryptocurrencies, including Bitcoin, Ether, Litecoin, and Bitcoin Cash. Google’s umbrella company, Alphabet, is also the owner of the largest video platform, YouTube, that has consistently suppressed crypto content creators by banning the publication of educational content and news, often seemingly at random. Cointelegraph and CoinDesk, the two largest crypto news platforms, are subject to suspensions that were subsequently lifted after YouTube confirmed that they did not violate the terms of service on this platform.

Google Finance adds dedicated 'crypto' tab featuring Bitcoin, Ether,  Litecoin
Cointelegraph

The cryptocurrency market has attracted a lot of attention over the past year as institutional investors and corporations have begun to invest in this asset class. Their participation helped grow the market capitalization of cryptocurrencies, which exceeded $ 1 trillion in January. The market capitalization of the entire cryptocurrency market peaked in February at $ 1.7 trillion, then underwent a correction. According to current values, the cryptocurrency asset class is worth more than 1.43 trillion US dollars. Retail cryptocurrency adoption and institutional interest have risen sharply in the last three months. And as large companies such as Tesla and Mastercard actively pursue cryptocurrencies, the need for clearer regulation is growing, said U.S. Securities and Exchange Commissioner Hester Peirce. Demands for a clear regulatory framework in the digital asset market are likely to become “louder” as the bull market heats up. Meanwhile, Peirce says, the new administration of US President Biden can provide a new perspective on the regulatory aspect of cryptocurrencies.