The cryptocurrency community is invigorating for a real revolution – top digital currencies may cease to use the Proof of Work algorithm. This is because of the far-reaching game of Bitmain (a mining giant), that is developing its monopoly on the market by imposing new ASICs for leading digital currencies.
This does not only concern users that prefer traditional graphics processing unit (GPU) farms, but the developers as well, as the ecosystem becomes more centralized and susceptible to attacks. It appears that the line of production of short life ASICs for new cryptocurrencies now seems to be an arms race between less-rapid oppositions and Bitmain.
In the crypto community, Bitmain gained a “greedy bunch” reputation after it used an enormous hashrate on its pool to block vital votes on the network of Bitcoin. The information of the resistance started earlier this year when Bitmain said it was going to launch Antminer A3 production for the mining of SiaCoin, destroying Obelisk’s (its old competitor) four months of labor.
At that time, the owner of Obelisk and founder of SiaCoin – David Warrick didn’t fulfill his promise of a soft fork and gave Bitmain an opportunity to resolve the issue. Actually, the issue resolved itself. At the beginning of the sales, Bitmain promised a $460 daily profit, which reduced by 2 times in just ten days, with just $10 to date.
Penalty Bench Risk
The monopoly of Bitmain continues to evolve. At the same time, the number of cryptocurrencies available reduces but the number of miners remains constant. The dispute is becoming more severe, putting more pressure on the team of developers.
Even Zcash creators were publicly criticized and accused of betraying the community’s interest, Monero steered a hard fork, and Ethereum wants to change the algorithm. Nevertheless, it’s worth knowing that one of ASICs’ weak spot is that they can be hit by the followers of ASIC Resistance.