{"id":9152,"date":"2021-07-05T17:56:23","date_gmt":"2021-07-05T17:56:23","guid":{"rendered":"https:\/\/www.buyucoin.com\/crypto-labs\/as-miners-leave-bitcoin-in-droves-space-allocation-dedicated-to-filecoin-and-chia-surges\/"},"modified":"2021-07-05T17:56:23","modified_gmt":"2021-07-05T17:56:23","slug":"as-miners-leave-bitcoin-in-droves-space-allocation-dedicated-to-filecoin-and-chia-surges","status":"publish","type":"post","link":"https:\/\/www.buyucoin.com\/crypto-labs\/as-miners-leave-bitcoin-in-droves-space-allocation-dedicated-to-filecoin-and-chia-surges\/","title":{"rendered":"As Miners Leave Bitcoin in Droves, Space Allocation Dedicated to Filecoin and Chia Surges"},"content":{"rendered":"

While a large quantity of hashrate has stopped dedicating resources to the Bitcoin network, a great number of alternative mining ecosystems are swelling with new participants. China\u2019s ASIC exodus has ignited a significant increase in demand for accessing storage power on both Filecoin and Chia\u2019s proof-of-storage networks. Both networks have seen space allocation spike significantly since the bitcoin mining crackdown in China. <\/strong><\/p>\n

Alternative Consensus Algorithms Reap Benefits of the SHA256 Hashrate Drop<\/h2>\n

A lot has been happening in the cryptocurrency mining space recently, as the industry is seeing a massive shift since the start of the bitcoin mining crackdown in various Chinese provinces. SHA256 hashrate dedicated to the Bitcoin (BTC<\/a>) network has plummeted over the last few weeks and the hashrate drop caused the network\u2019s mining difficulty to dip close to 28% this past weekend. Interestingly, this was the largest epoch mining difficulty drop BTC<\/a> has ever experienced and in two weeks it may be even larger.<\/p>\n

At press time, according to coinwarz.com<\/a>\u2019s hashrate chart set for a one-month interval, BTC<\/a>\u2019s hashrate is 87,660,572,446,369,430,000 hashes per second or 87 exahash per second (EH\/s). The mining difficulty drop made it easier and more profitable to mine BTC<\/a> but alternative crypto assets that leverage different consensus algorithms have been far more profitable. Today\u2019s most profitable consensus algorithm is Blake256R14 which can mine the crypto asset decred (DCR).<\/p>\n

Today\u2019s most profitable mineable coins leverage consensus algorithms like Ethash and Blake256R14.<\/p>\n

A machine that boasts more than 52 terahash per second (TH\/s) \u2014 and pulls 2,200 watts off the wall with an electricity consumption rate of $0.12 per kilowatt-hour (kWh) \u2014 can see profits of up to $116 per day using DCR exchange rates on July 5. A machine that can mine the Ethash algorithm and coins like ETH<\/a>, ETC<\/a>, CLO, PIRL, and UBQ can get roughly $42 per day using today\u2019s crypto exchange rates, the same electrical consumption with 750 megahash per second (MH\/s), and 1,350 watts of power.<\/p>\n

<\/p>\n

Chia and Filecoin Networks Benefit From the ASIC Exodus<\/h2>\n

These specific consensus algorithms have seen an increase since the SHA256 exodus, but in comparison to times prior to China\u2019s crackdown, these networks also lost a considerable amount of hash during the shift as well. Two notable crypto networks, however, saw the opposite effect as space allocations dedicated to the Chia network and Filecoin network have grown exponentially. In mid-October, Bitcoin.com News reported on Filecoin\u2019s miner strike which saw a standoff between members of the Filecoin mining community.<\/p>\n

Filecoin\u2019s 7.087 exbibytes (EiB) of effective storage on July 5, 2021.<\/p>\n

At that time, Filecoin\u2019s \u201cNetwork Storage Power\u201d according to filfox.info<\/a> was 600 pebibyte (PiB) of effective storage. When the first warnings of a miner crackdown in China came out of Inner Mongolia back in March and went viral, Filecoin\u2019s effective storage rate skyrocketed. The effective storage rate climbed higher and higher as each week passed, as today\u2019s rate is 7.087 exbibyte (EiB). he network crossed a milestone<\/a> of 1 EiB on November 24, 2020. The network crossed a milestone<\/a> of 1 EiB on November 24, 2020, then a great majority of the effective storage increase stemmed from Q2 2021.<\/p>\n

Chia\u2019s 30,505 PiB of allocated storage on July 5, 2021.<\/p>\n

The crypto asset network Chia has also seen the space allocated to the Chia network grow exponentially and after the Sichuan crackdown, it spiked considerably higher than usual<\/a>. Chia network statistics show 30,505 PiB of allocated storage dedicated to the chain on July 5. It was only 26,718 PiB on June 22, which shows it has increased 14.17% since the start of the Sichuan mining crackdown<\/a> that week. The Chinese journalist Colin \u2018Wu\u2019 Blockchain tweeted<\/a> about the demand that Chia and Filecoin mining was seeing on June 20 and since then space allocated to both networks has increased a great deal.<\/p>\n

\u201cThe computing power of Chia and Filecoin in China has not been affected,\u201d the regional reporter noted that day. \u201c[The] Chinese government mainly controls the power sector to crack down bitcoin mining, but they consume less electricity. Their computing power is continuing to rise, and some bitcoin miners may switch to them,\u201d he added.<\/p>\n

What do you think about the other consensus algorithms besides Bitcoin\u2019s SHA256 seeing more demand these days? What do you think about the exponential increase in space allocated to Chia and Filecoin\u2019s networks? Let us know what you think in the comments section below.<\/strong><\/em><\/p>\n

Bitcoin News
\nNews, Algorithms, Allocation of space, Bitcoin, BTC, Chia, Chia Mining, China, chinese miners, CLO, Colin \u2018Wu\u2019 Blockchain, Consensus, DCR, EIB, ETC, ETH, exbibyte, Filecoin, Filecoin Chia, Filecoin mining, Hashrate, pebibyte, PiB, PIRL, proof of space, SHA256, UBQ<\/p>\n","protected":false},"excerpt":{"rendered":"

While a large quantity of hashrate has stopped dedicating resources to the Bitcoin network, a great number of alternative mining ecosystems are swelling with new participants. China\u2019s ASIC exodus has ignited a significant increase in demand for accessing storage power on both Filecoin and Chia\u2019s proof-of-storage networks. Both networks have seen space allocation spike significantly…<\/p>\n","protected":false},"author":0,"featured_media":9153,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53,3],"tags":[],"class_list":["post-9152","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain-news","category-coin-news"],"_links":{"self":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/9152"}],"collection":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/comments?post=9152"}],"version-history":[{"count":0,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/posts\/9152\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media\/9153"}],"wp:attachment":[{"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/media?parent=9152"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/categories?post=9152"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyucoin.com\/crypto-labs\/wp-json\/wp\/v2\/tags?post=9152"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}