Why do we need high computing power mining machines (reasons for fluctuation in mining machine computing power)

Why do we need high computing power mining machines? What are the advantages of mining machines with high computing power? Why do we need to use machines with high computing power for mining? What are the benefits of using mining machines with high computing power? Because it cannot mine as efficiently as traditional Antminer S9, its cost is very high. Therefore, machines with high computing power can not only mine Bitcoin (BTC), but also mine other cryptocurrencies like Bitmain’s Whatsminer M1 and Whatsminer A3, all in order to reduce electricity costs and increase profits. Additionally, the design of ASIC chips sacrifices CPU and GPU resources, resulting in lower computing power. However, without sufficient computing power, it is difficult to attract more users to purchase mining machines to participate in mining activities.

Why is it necessary to have mining machines with high computing power? It is because they have high requirements for their own operation and maintenance capabilities, and their systems are already hardened. Therefore, they can meet the needs of more customers and provide greater motivation for other users’ mining activities.

Currently, the mainstream models of mining machines on the market are using the V8 version, known as the “new generation” of mining machines. However, this type of product does not support mining with high computing power. For example, classic series mining machines like Ethereum E7 have difficulty designs for mining with high computing power. But for ordinary players, shutting down these mining machines is only temporary, and small-scale investments are also not sustainable. What are the advantages of mining machines with high computing power? The reasons are as follows:(1) Miners obtain operating expenses for the mining farm and transaction fees for the mining pool through a large amount of electricity revenue.(2) Large mining companies cannot expand their business scale to a new level, so they need a large amount of funds for expenditure adjustment.(3) Miners must choose reliable, stable, and competitively priced mining machines.(4) Due to the slow operating speed of large mining machines and the impact of price fluctuations, mining farms may be forced to close due to losses or shutdowns.

Reasons for Fluctuation in Mining Machine Computing Power

According to coincryptorama, the Bitcoin computing power has been fluctuating recently. According to data from Bitfarms, a data provider for Blockchain.com, the mining difficulty of mining machines was 13.8T on January 10, 2018. However, it has dropped in March this year, reaching the lowest point of about 46,000 at block height 630,000. Although there are currently fewer mining machines with high computing power that can maintain high output, the rising prices of ASIC and GPU devices have caused concerns among miners about price uncertainty, leading to the closure and shutdown of many small-scale mining farms.