It is a fact, The Merge clearly aside the miners even though these people are a big part of the success of Ethereum. Some are already talking about converting to cloud computing or artificial intelligence. Others are considering becoming collectors of the new Ethereum 2.0 blockchain.
Use mining hardware for cloud computing
Mining requires powerful, expensive computer hardware, especially for the main cryptos like ETH or BTC. The miner especially needs super computers equipped with several GPU cards, a powerful motherboard or an efficient cooling system. Multiply this equipment by thousands or hundreds in mining farms. What to do with all that hardware after Ethereum moves to PoS?
HIVE Blockchain for example, the Canadian crypto mining giant, has started mining other GPU-minable coins in anticipation of the Merger. Theoretically, the company could mine Ethereum Classic (ETC), Litecoin (LTC), Monero (XMR), Dogecoin (DOGE), etc. And this, although the market capitalization of these cryptocurrencies does not reach 5% of the 194 billion dollars of Ethereum. The firm also says its GPU cards can be used for cloud computing and AI applications, as well as engineering applications, including scientific modeling of fluid dynamics.
Miners: Towards retraining in artificial intelligence
Like HIVE Blockchain, Hut 8 Mining is trying to retrain in the field of artificial intelligence. The company says they want to “repurpose their machines to provide on-demand artificial intelligence, machine learning or VFX (visual effects) services to customers. Other miners who are no longer profitable mining alternative cryptos are considering reselling their hardware. With GPU resale on the rise, this could suggest likely market saturation.
Sami Kassab, analyst at the crypto-intelligence platform, gives his views on the post-Merge situation for miners. She says, “Miners willing to invest additional time and capital will be able to upgrade to high-performance data centers or node operators/providers for Web3 computing protocols, two rapidly growing markets. »
Become a collector of Ethereum 2.0 or switch to Ethereum Classic?
Since miners own ETH tokens, they can consider becoming collectors for the Ethereum 2.0 PoS process. As defined on Ethereum.org, a validator is a node in a proof system. It is responsible for storing data, processing transactions, and adding new blocks to the blockchain. To become a validating node, a user must receive at least 32 ETH.
Another option, switch to mining Ethereum Classic (ETC) which uses a consensus mechanism Proof of Work (PoW) to validate transactions. ETC is therefore another conversion option for Ethereum miners after the merger. This also prompted renewed interest in Ethereum Classic which climbed 28% after the announcement hard fork Bellatrix from Ethereum.
Theoretically, Ethereum miners will be out of work after the merger, but luckily there are some interesting retraining options. They can forget about mining or put their hardware to work with other technologies like AI. There is also the possibility to transfer all the mining activities to Ethereum Classic and other alternative cryptos. Unless he wants to be an Ethereum 2.0 collector.
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