What is mining power (how many types of mining power units are there)?

What is mining power? What does it mainly affect?

What is the calculation model and method of mining power? Different software requires different machine configurations, such as computers and graphics cards, all of which use the same Proof of Work (PoW) mechanism to generate mined coins. These tokens are distributed through mining, and the corresponding distribution of rewards is determined by a certain quantity and duration of time, so that the required power for each device reaches a reasonable value.

If an ASIC chip generates a hash rate algorithm with high power consumption during mining, it means that a dedicated computer program is required. Therefore, when we double the efficiency of a new mining machine, it will significantly increase the cost; however, it can also reduce the operating cost of the mining farm and make it more efficient. Therefore, from a technological perspective, mining power is one of the most fundamental functions in the entire network.

Bitcoin is the earliest cryptocurrency that emerged. Due to its low price and ease of maintenance, it is easily influenced by hacker attacks or the exploitation of illegal elements, which gave rise to the concept of “digital gold”. But as more and more people enter the blockchain industry, this new term is spreading rapidly. Currently, the mainstream cryptocurrencies in the market are primarily virtual commodities represented by Bitcoin, and the majority are used for speculation in various altcoins and tokens.

However, not all cryptocurrencies can be called cryptocurrencies or virtual assets. Rather, all these things are combined to form a whole. So which digital currencies can be considered the main value of cryptocurrencies? The answer is simple: because it is a new digital financial product based on blockchain technology – Bitcoin. Although Bitcoin possesses characteristics such as decentralization, high verifiability, and anonymity, it is not everything. In order to ensure the security of transactions and market transparency, many people use BTC for market making. Bitcoin’s price fluctuates greatly, which may not be suitable for ordinary investors, especially for those who want to speculate. Bitcoin’s fluctuating price also makes it difficult for many people to anticipate whether its future return is worth doubting. Bitcoin’s underlying system consists of three parts: the first part is the process of storing Bitcoin (blocks), the second part is the basic structure implemented by the Bitcoin data processor.

Mining power is generally divided into two types: one is the representative Antminer S19Pro series of workload; the other is the custom-produced Antminer A11 series; and the third is the carrier for running smart contracts (including hardware wallets). The fourth type involves higher complexity at the operational level, such as issues related to CPU memory.

For example, if you have 1T of idle hard drive and more than 2G of bandwidth resources, you will only install a 3D modeling robot on your computer and then put it in your laptop.

How many types of mining power units are there?

According to BTC.com, the mining power unit for Bitcoin is 13Ghash/s (H&S), which has increased compared to 1M hash value per THash; and the mining difficulty of the mining machine is also determined by different parameters.

From the above figure, we can see that as of November 19th, in October 2017, Bitmain started to release the Shenma Antminer E9 series models, and currently, this model has reached 400TH/s, which is equivalent to about 400 million yuan (over 300 million USD) based on the price at that time. However, this number is still subject to change: in late August 2018, in early June 2019, the Antminer A3+ and Avalon T2Pro versions were successively released, as well as the new product released in late July—the Xindong Z15pro.