Altcoins Talks - Cryptocurrency Forum

Cryptocurrency Ecosystem => Crypto currency Mining => Topic started by: Mavalet on October 30, 2018, 11:38:13 PM

Title: Why do crypto-currency farms need so much electricity.
Post by: Mavalet on October 30, 2018, 11:38:13 PM
Surely many wondered why cryptocurrency farms consume a lot of electricity?The process itself is called proof of work. That is, when you send a crypto currency to another recipient, he in turn must make sure that it does not belong to You anymore, and this proof is the large number of computers (miners) generated and recorded in the form of "blocks" in the network. Each block includes information about the previous one, which makes it impossible to change all the blocks in this chain, hence the name of the blockchain.This whole process is quite energy-intensive, and explains why it is so expensive to store large amounts of data in the blockchain network.
Title: Re: Why do crypto-currency farms need so much electricity.
Post by: altcoingamer on October 31, 2018, 04:39:13 AM
Quote from: Mavalet on October 30, 2018, 11:38:13 PM
Surely many wondered why cryptocurrency farms consume a lot of electricity?The process itself is called proof of work. That is, when you send a crypto currency to another recipient, he in turn must make sure that it does not belong to You anymore, and this proof is the large number of computers (miners) generated and recorded in the form of "blocks" in the network. Each block includes information about the previous one, which makes it impossible to change all the blocks in this chain, hence the name of the blockchain.This whole process is quite energy-intensive, and explains why it is so expensive to store large amounts of data in the blockchain network.

It could easily be fixed though by implementing an asic-resistant consensus so the difficulty wouldn't be so high... but I don't really care about the power usage since banks themselves and all of their infastructure use far more power in comparison.
Title: Re: Why do crypto-currency farms need so much electricity.
Post by: Collinberg on November 01, 2018, 12:34:17 PM
I think the question is self explanatory, it's like asking why a poultry farm needs so much chicken feeds, the only thing that the mining machines require to work is electricity.
Title: Re: Why do crypto-currency farms need so much electricity.
Post by: dimosha1 on February 23, 2019, 06:52:52 AM
Quote from: Mavalet on October 30, 2018, 11:38:13 PM
Surely many wondered why cryptocurrency farms consume a lot of electricity?The process itself is called proof of work. That is, when you send a crypto currency to another recipient, he in turn must make sure that it does not belong to You anymore, and this proof is the large number of computers (miners) generated and recorded in the form of "blocks" in the network. Each block includes information about the previous one, which makes it impossible to change all the blocks in this chain, hence the name of the blockchain.This whole process is quite energy-intensive, and explains why it is so expensive to store large amounts of data in the blockchain network.
I can say one thing that such high energy costs will pay for themselves in the future
Title: Re: Why do crypto-currency farms need so much electricity.
Post by: dentolas on March 04, 2019, 11:08:42 AM
there is a common sense notion that crypto mining consumes a lot of power... but how many industries, banks, etc consume a lot more? for example, aluminium mining consumes a lot more and people just don't care...
besides, how many crypto farms use renewable energy? have you thought about it?
maybe the key to be a successfull miner comes from being a successfull energy producer ;)