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Ethereum Difficulty Spike

7 Answers - Why Is Ethereum's Difficulty Rising When Ethereum Is Down 50%? - Quora

7 Answers - Why Is Ethereum's Difficulty Rising When Ethereum Is Down 50%? - Quora

Why is Ethereum's difficulty rising when Ethereum is down 50%? Over $20,000 in your IRA or 401k? Here's how to move to Bitcoin. Open a Bitcoin IRA now for massive growth potential on a tax-deferred basis. Get a free info guide now. The difficulty has no direct correlation with price. So, in this case, it means that even with the price down, at least the same amount of hashing power is in play to sustain the Ethereum Network. Why? We can only guess, but at least these miners see good reasons to continue to mine. The next month, the ETH value drops by 50% You can re sell all your rig for say $7000. You lose $3000. Or you can still mine and earn some ETH that might be worth much more in the future. Trading has a short term horizon. Mining has a long term horizon. You cannot buy and sell a rig as fast as buying and selling a bitcoin. Learn blockchain. Earn up to an average of $63,566 per year. Master the concepts like cryptography & cryptocurrency, blockchain networks, bitcoin mining & security. There's no correlation between the hash rate and the price. The hash rate is a function of total computational power on the network. New computers get added and older dogs get upgraded so it makes sense that the hash rate will continually increase over time. The price of ether is a function of trading volume and ultimately the supply and demand. It acts similarly to a traditional stock market in this sense with some interesting differences. If the price continues to call it means there is greater selling pressure than those looking to buy it. In the examples below about the price of the rig and the incentive to hold it lies the basic incentive for miners. While the price of ether is high enough, where you might break even, there is the potential to make a profit of the price increa Continue reading >>

Ethereum Difficulty Spike Alleviated With Nicehash

Ethereum Difficulty Spike Alleviated With Nicehash

Ethereum Difficulty Spike Alleviated With NiceHash The first time I set up my Ethereum rig I was enjoying decent profits from just my GTX 1070. It was enough to make a profit considering the price of electricity. But things have changed. The Ethereum network difficulty isnt stable, as it is with Bitcoin in the beginning you could mine with your old GPU, but now Bitcoin requires potentially a multi hundred thousand dollar rig to be worth it. The earnings were cut in more than a half due to the difficulty change. And the reason for the difficulty change is in the design of the Ethereum blockchain. The network is going to move away from the proof of work design to a proof of stake setup. This has resulted in a sharp rise in block difficulty that will continue to increase until blocks are almost impossible to solve. The difficulty spike has started in Ethereum since block 200,000. Ethereums development team did this to encourage work towards the proof-of-stake solution. Does this mean its over for Ethereum? Will the coin lose its value, and the transition be uneventful? Nope, its far from over for the miners. The network has not frozen yet, and the future is brighter than ever. Why? Due to NiceHash! A service where you can sell your computing power for others to use it. And it doesnt have to be Ethereum. Bitcoin, ZCash, Dash, and many other coins are also supported. Hashing power buyers select the cryptocurrency they want to mine, a pool on which they want to mine, set the price that they are willing to pay for it, and place the order. The hashrate sellers connect their mining hardware to the NiceHash servers, using an unique BTC address pointed on the dashboard after registration. You get paid for each valid share you submit, in Bitcoin, for the price that is determined b Continue reading >>

Ethereum Difficulty Drop

Ethereum Difficulty Drop

Should the network's hash rate drop such that it the Ethereum difficulty level I recently wrote a bearish article about Ethereum as I see the price declining in the short term. As ETH fans know, the Ice Age's difficulty increase over the last few months before POS has suffocated daily returns to all time lows. At this pace, mining profits are quickly thinning out. However, on whattomine it has no real impact on the amount of coins being produced. The difficulty increase and drop in the price of Ethereum has slapped us a few times across the face, in what feels like every day. I can't say when it by edwardthomson Mar 18, 2018 As the price of Ethereum continues to drop week over week, the mining difficulty continued to rise. The drop in difficulty and hash rate was expected due to depressed Prices increases in ethereum, Ethereum Difficulty will cause exponential as well as causing new AMD cards to drop 30% hash rate due Take a look at the Ethereum difficulty chart and the Ethereum Mining is Dead: Price Drops, (the difficulty in which Ethereum mining is The difficulty improve and drop in the cost of Ethereum has slapped us a On August 4th Stephen Tual wrote about the network's difficulty By those numbers it looks like Ethereum Actually probably a lot sooner as miners will drop Ethereum difficulty bomb discussion - BBT of the Ethereum Network Difficulty that is hashing power to drop off from the difficulty Small-scale Ethereum miners are now selling their GPUs, as the currency's price drop, plus an increase in mining difficulty make it harder to make a profit. Ethereum mining is getting more difficult, with the value of the currency's value hitting a 50 day low of under $200 and miners reporting a new difficulty spike In my previous articles I have talked a lot about AMD P Continue reading >>

Ocaholic - Ethereum Mining Becoming Increasingly Difficult - Ocaholic - News

Ocaholic - Ethereum Mining Becoming Increasingly Difficult - Ocaholic - News

Ethereum mining becoming increasingly difficult According to latest reports, Ethereum mining is becoming increasingly difficult and on top of that the cryptocurrency has taken a massive hit making it sell for $200 US. In addition, miners are reporting a new difficulty spike. According to Tweaktown, the difficulty has increased massively during the past 72 hours. Since the night of July 2nd, the DAG increased jumping by 20% each time. Several mining communities have reported a difficulty spike regarding Ethereum mining. According to the latest information, the increased difficulty is having an effect on the value of the coin as well. Right now reports are claiming that Ethereum is 20% harder to mine than what it used to be. Since the night of July 2nd, the DAG increased in waves from 900T to 1.2T. A massive increase in difficulty usually means that a large mining farm or even several mining farms have gone online or some data center switched from mining other coins to Ethereum. Since the difficulty scales with the amount of resources (sheer number of cards) mining a certain coin this would be the logical conclusion. While this bump in difficulty will not make Ether mining completely useless, it will make it harder for the small miners to reach their ROI (Return on Investment). The mining profitability depends directly on the difficulty. The hard mining a certain coin becomes the less coins youll have in your pocket by the end of the day, especially considering that youll have to pay more for electricity per coin mined. The exact same thing could be witnessed a few years ago. Back then mining the so called Litecoin was very profitable. Once the masses figured that out it took a few months until the big guys in the business started mining that very same coin, making it le Continue reading >>

Anyone Buying Hardware To Mine Ethereum Is Going To Lose

Anyone Buying Hardware To Mine Ethereum Is Going To Lose

Anyone buying hardware to mine Ethereum is going to lose Theres a huge cryptocurrency mining boom taking place right now, with global GPU shortages for both AMD and NVIDIA, as well as a general shortage on high-end PSUs that drive over 1000W. This all began to spiral out of control starting in late May, and into the first week of June when Ethereum really exploded onto the scene. It was being mined the hell out of behind the scenes, but it was in the middle of June when it felt like it was absolutely everywhere. GPU shortages across the world, with both reactional effects to AMD and NVIDIA as well as eBay sellers, retailers, wholesalers, and even the second-hand market. Older graphics cards from AMD began doubling or tripling in price in the second-hand market, with the Radeon R9 295X2 selling for nearly $1000. This drove people to buy Radeon R9 290/390 series cards, on top of people stripping shelves bare of the Polaris-based Radeon RX 470, RX 480, RX 570, and RX 580. Both variants were depleted with 4GB and 8GB models selling out, and then NVIDIA felt the effects with GTX 1060s becoming super popular overnight, selling out just as quickly as retailers began cashing in on the Ethereum mining boom. It wasnt long until the higher-end GTX 1070s began leaping in price, before also flying off shelves. This trickle effect was hitting other markets that werent being talked about, including high-end PSUs. I had a near impossible time of finding high-end PSUs, with 1000W+ units selling out all over the place. There were a few high-end 850W units left, but the numbers were thinning. On eBay, there were plenty of mining-oriented products that began enjoying the Ethereum rush, including PCIe x1 to x16 risers, steel frames for multi-GPU rigs, and more. Now that there are virtually Continue reading >>

Ethereum Update Goes Live On October 17th

Ethereum Update Goes Live On October 17th

Ethereum Update Goes Live on October 17th The Byzantium hard fork opens the doors to moving to a proof-of-stake blockchain. The network will be in test mode until October 17, when the official update will come live. The next planned hard fork on the Ethereum blockchain has an official date- October 17th. Until then, the blockchain will run the Byzantium update on the Ropsten test net, where transactions can be tested without a gas price. Byzantium is the first part of the Metropolis stage on the Ethereum project. The updates were split, and the next hard fork, Constantinople, was delayed to achieve a smoother running of the blockchain. The Byzantium version has been running on Ropsten since September 18. The most prominent feature of the update would be the possibility for anonymous transactions based on the algorithm of ZCash. After October 17, users of MyEtherWallet will be safe with an automatic update. Users of Geth or Parity would have to update. There will be only one Ethereum network after the hard fork- it is a planned update, and not a split off where two chains are supported. The Byzantium update will benefit miners, at least for the next 18 months. There was a visible uptick in mining difficulty for Ethereum starting from September 21. The update will delay the difficulty time bomb and prevent those difficulty spikes. The change is based on the EIP-649 , which is only a part of the changes related to the hard fork. The lower difficulty will also come with a block reward of 3ETH instead of 5ETH, as it is now. Other mining changes include a more equitable reward when two miners discover a block at the same time. The so-called "uncle" blocks also receive a reward, but do not continue to exist as a separate blockchain- only one valid block remains. Also, new blo Continue reading >>

Ethereum Mining Difficulty Increased Significantly

Ethereum Mining Difficulty Increased Significantly

Ethereum mining difficulty increased significantly What is the reason of Ethereum's abnormal difficultyincrease? Open-source blockchain-based distributed computing platform featuring smart contract functionality, which facilitates online contractual agreements For the last 24 hours, Ethereum mining difficulty increased by20%. ETC mining difficulty is now almost 1208234552666986.0, this is all-time record. This situation can be caused by so called "Difficulty bomb impact". Distributed databasethat is used to maintain a continuously growing list ofrecords, calledblocks. How this will affect the price of ETC in the medium and long term we cannot know. Today, 10 of July, Ethereum lost about 6% in last 24 hours. Now it's $229. The Ethereum Ice Age is a difficulty adjustment scheme that was put in place to ensure that everyone has an incentive to move to the new blockchain once the hard-fork is implemented. It was introduced on the 7th of September (2015-09-07), about 11 months ago and it's programmed to raise difficulty exponentially. It's impossible for miners to keep up with the increase of difficulty which would raise block time and it would make the blockchain freeze, hencethe name Ice Age. Continue reading >>

It Is No Longer Worth It To Build An Ethereum Mining Rig

It Is No Longer Worth It To Build An Ethereum Mining Rig

It Is No Longer Worth It To Build An Ethereum Mining Rig Building an Ethereum mining rig hasnt been worth it for months, and soon they will be completely obsolete. Goodnight, sweet prince. Image: Daniel Oberhaus/Motherboard Back in May I wrote a guide explaining how to build an Ethereum mining rig , a special type of computer that forms the backbone of the Ethereum network and earns ether, the digital currency native to the network, for its owner. Shortly thereafter, Motherboard also made a video documenting this process . Since then, Ive received countless emails from readers inquiring about my mining rig. Ive received three such emails this week. The most common question voiced by these readers is whether or not it is still worth it to build a mining rig. The answer to this question is no. Building an Ethereum mining rig hasnt been worth it for months and a few months from now, mining ether will be completely obsolete. Read More: An Idiot's Guide to Building an Ethereum Mining Rig Arguably, building an Ethereum mining rig wasnt even worth it when I built my machine in May, and many readers let me know this when the article and video first came out. This is somewhat true, but there is a necessary caveat here. Mining ether also wasnt worth it for about the first year and a half of the cryptocurrencys existence. The price of ether hovered around $10 from 2015 until early 2017, when it saw a spike to $25. This was important because it meant the value of the ether being mined was higher than the cost of the electricity that was needed to mine it. In other words, until that point small scale mines were operating at a loss in the belief that the tokens they were mining would someday be worth a lot more money. In hindsight, these early miners were rightthe price of ether has Continue reading >>

Ethereum Mining Difficulty Exploded Over The Past Three Months

Ethereum Mining Difficulty Exploded Over The Past Three Months

Ethereum Mining Difficulty Exploded Over the Past Three Months Ethereum Mining Difficulty Exploded Over the Past Three Months The Ethereum mining difficulty has increasedby leaps and bounds over the past few months. With more and more people looking to mine cryptocurrency and Ether specifically it is normal to see this trend emerging. Unfortunately, this does not bode well for Ethereum miners, as it will require more powerful hardware to mine every time the difficulty increases. Ethereum Mining Difficulty Reaches All-Time High The downside to any proof-of-work-based cryptocurrency system is how the mining difficulty affects the entire network. Miners provide an important service to any cryptocurrency requiring hashpower to maintain its stability. More people mining on the network means the entire ecosystem is protected better. In exchange for their hashpower, miners receive an incentive known as the block reward . This is the same for any currency which still supports mining at its current stage. For Ethereum users, mining the cryptocurrency seemed pretty appealing just a few weeks ago. When the Ether price briefly hit US$400, a lot of people made the conscious decision to effectively invest in ETH mining equipment. For most people, this meant buying up a lot of graphics cards , as there are no ASIC miners for Ethereum nor will there ever be any, especially when keeping the difficulty bomb in mind. For those unaware, Ethereum will switch to proof-of-stake at some point in the future. It is impossible to deny thatthe Ethereum mining difficulty has evolved over these past few months. In January of 2017, the difficulty was just below 100 TH/second, according to Etherscan, and had been rising gradually since January of 2016. However, things really started to pick up speed Continue reading >>

Ethereum Mining Is Dead: Price Drops, Difficulty Booms

Ethereum Mining Is Dead: Price Drops, Difficulty Booms

Ethereum Mining is Dead: Price Drops, Difficulty Booms There would be some people who have invested real money, hoping for a meteoric (short term) rise... and that's what they'll do no matter what someone tells them. Those that are in it for the long-term (years) are not going to be bothered by these, while major, sharp declines in value. They will hold their digital currency for years without worrying, hoping for the longer slow burn scenario as Bitcoin has experienced. For new miners, you're going to be looking at every single available exit. This is something I warned about in my previous article on Ethereum, that new miners who might have invested $10,000+, where a few weeks ago they were making $4000+ a month from their systems at a high point, are going to be finding themselves in a sticky situation. Not only has the revenue per month dropped drastically, but the difficulty has increased correspondingly, making what you mine twice as hard, for less than half of what Ethereum was valued at when you started. For those with bigger mining farms dedicated to Ethereum, I would definitely recommend switching your mining over to Zcash or something similar. Ethereum mining for miners with less than ten graphics cards just became incredibly hard to justify... but better for bigger farms as they have many more GPUs that outweigh the difficulty. Even then, larger farm owners will want to switch out for something more profitable, anyway, as the difficulty of Ethereum mining is tragically hard right now. For now, we'll see how the rest of the week pans out. Right now, there's so much volatility because the cryptocurrency market never closes, ever. It's a 24/7 market compared to the daily stock trading market that closes and reopens. Digital currency is constantly evolving in m Continue reading >>

Ethereum Difficulty, What Is Happening - Ethermining

Ethereum Difficulty, What Is Happening - Ethermining

It's the windows update from last night. It took 30% off my claymore hashrate. Just dont say it, keep it quiet for the mining dudes who follow this things and make profit of it. Wait, can I trade my reddit Karma for ether!? Shh! Don't bring these things to light, quiet and mine... Alt coins are recovering in price making it more profitable to mine than ETH Chinese New Years taking a break from mining. Correlation doesn't equal causation, but god damn I cannot agree with this more. The company I work for relies heavily in certain areas of Chinese manufacturing and we are SOL for this week and next. That's just one farm having a temporary shutdown or power failure or something. That drop is equal to about 500 rigs. Not a big deal. has to be more than 500 rigs. my back-of-the-envelope math shows that there would only be 12-13,000 rigs for 500 to create a 4% drop like that. There is more than 13,000 rigs mining ETH. Considering these guys have 16,000 rigs to themselves, I'd say you're right. This drop is significantly more than 500 rigs. 4% of 236,293 GH/s is about 9,451,720 MH/s. Or somewhere around 315,000 rx580s. Definitely more than 500 rigs. Who/how does the difficulty get set? Last weekend ETH difficulty went up 5% in one day. Could that have been too high of an increase and this is a correction today? I guess difficulty is a function of the hash rate and time between mined blocks. Where D = difficulty, H = network hash rate, and T = time between blocks: It would make sense that it scales linearly. So, a 5% increase in hash rate might result in a 5% increase in difficulty. And vice-versa should the hash rate go down. That being said, I'm not sure it would take days before the difficulty corrected itself. As I understand it, the difficulty is pretty fluid and changes Continue reading >>

What Is The Ethereum Difficulty Bomb?

What Is The Ethereum Difficulty Bomb?

Over the past few months, there has been a lot of speculation regarding Ethereums mining difficulty. This problem is known as the Difficult Bomb, and it poses a significant threat to the ecosystem. Or that is what most people think will happen if things ever come to such a point. Switching to proof-of-stake should make this a non-issue, though. Now is a good time to look at Ethereums difficulty bomb and what it could potentially mean for the network if left unchallenged. THE ETHEREUM DIFFICULTY BOMB MAKES MINING IMPOSSIBLE It is important to understand the problem of the Ethereum difficulty bomb first and foremost. When Ethereum was first created, the developers had to create a consensus algorithm. Similar to Bitcoin, this consensus is achieved through mining in a proof-of-work environment. However, with the mining difficult going up over time, it could potentially create a problematic scenario. After all, it does not appear there will be ASIC-like mining hardware for Ethereum anytime soon. However, the Ethereum developers have come up with a different plan. From the outset, the plan was to make Ethereum mining impossible at some point in the future. This change will be introduced through an arbitrarily difficult block to mine, which will effectively create the difficulty bomb in question. As this difficulty bomb is activated on the network, the mining difficulty will skyrocket and eventually make Ethereum mining unfeasible and extremely unprofitable. Some people would expect this to be the end of Ethereum, but there is no reason to panic just yet. The goal is to switch over to a proof-of-stake algorithm before the Ethereum difficulty bomb can even become a problem. Right now, that PoS algorithm is still in development, albeit its completion appears to be imminent. Do Continue reading >>

Ethereum Classic | Beginners Guide

Ethereum Classic | Beginners Guide

Ethereum Classic is the original Ethereum blockchain and allows for the implementation of decentralized applications and smart contracts. The project was born out of an unwavering belief in core principles. It symbolizes the importance of a cryptocurrency being fungible and its blockchain immutable. The Ethereum and Ethereum Classic blockchains were identical all the way up to block 1920000. But then the infamous DAO changed a blockchain and cryptocurrency forever. A smart contract known as The DAO, the Decentralized Autonomous Organization was created on the Ethereum platform. The DAO was essentially a venture capital fund where investors would vote on how to allocate capital. The fund was so popular that it attracted roughly 14% of all Ether in existence at the time, raising 150 million dollars. The advantage and disadvantage of a smart contract is the autonomous execution. In this case, the smart contract had a design flaw that allowed someone to steal over 3.6 million Ether from The DAO. Vitalik Buterin, creator of Ethereum, and the majority of the community wanted to perform a hard fork that would roll the blockchain back to block 1920000 to before the hack so that funds could be returned. You can read more about the controversy and the decision to hard fork Ethereum here . After the hard fork to return peoples funds, the original Ethereum blockchain remained and is now known as Ethereum Classic or ETC. The community that continued to mine and support the original blockchain believe there should be no outside influence on what was supposed to be an immutable blockchain. Ethereum Classic has since blazed its own trail in the cryptocurrency world. In the long run, the Ethereum Classic community hopes there is value in taking the principled approach that code is law. Continue reading >>

The Ethereum Difficulty Bomb What It Could Potentially Mean For The Network If Left Unchallenged

The Ethereum Difficulty Bomb What It Could Potentially Mean For The Network If Left Unchallenged

First and foremost, you will have to understand the issue of the Ethereum difficulty bomb. When the developers created first Ethereum, they had to develop a consensus algorithm. Like bitcoin, the consensus is attained through mining in a proof-of-work environment. However the difficult kept rising over time with the mining, it could potentially produce a challenging scenario. After all, its appearance will not be in existence. ASIC similar to mining hardware will be available for Ethereum anytime in future. However, the Ethereum developers have made a different plan. From the beginning, their planning was to make Ethereum mining unfeasible at some point in the future. This change will be brought in through an arbitrarily difficult block to mine, which will successfully be able to raise question against difficult bomb. With the activation of difficulty bomb, the mining difficulty will increase and ultimately make Ethereum mining unworkable and very unprofitable. Some people would think that it is the end of Ethereum. But there is nothing to panic just yet. This plan is made to shift to a proof-of-stake algorithm before Ethereum difficult bomb could even become a problem. Right now, the developers are still working on proof-of-stake. At the time of publication, no official launch date is fixed for the shift to proof-of-stake. The Ethereum difficulty bomb was actually believed to be brought in as a type of smart contract. That plan of action was altered in favor of a difficulty adjustment scheme, which was established as part of the Frontier update in 2015. According to this new schedule, it is also clear that the difficulty bomb would force the developers to create new major hard fork very soon. As we already know, this kind of hard fork is in fact on the horizon for Eth Continue reading >>

When Is Next Major Ethereum Difficulty Spike?

When Is Next Major Ethereum Difficulty Spike?

When is next major Ethereum difficulty spike? That's what I thought too. Anyone else heard the same or something different? That's what I thought too. Anyone else heard the same or something different? Spike will happen only if eth suddenly doubles or triples its price overnight, plus people are very careful about adding more gpu's cause mining could die anytime. Well to serve your case, last time i checked, difficulty was 1.5, now is 1.85, which means 20% in few days. BTC Address: 1DH4ok85VdFAe47fSVXNVctxkFhUv4ujbR Not sure about this but wasn't the Ethereum "ice age" just postponed because of the metropolis-byzantium update? Meaning it's not removed but still built into the code but designed to activate at a later date (later block height)? Was wondering about the same as i'm also considering adding more mining rigs. 1 year is enough for ROI and some profit anyway right? Not sure about this but wasn't the Ethereum "ice age" just postponed because of the metropolis-byzantium update? Meaning it's not removed but still built into the code but designed to activate at a later date (later block height)? BTC Address: 1DH4ok85VdFAe47fSVXNVctxkFhUv4ujbR Not sure about this but wasn't the Ethereum "ice age" just postponed because of the metropolis-byzantium update? Meaning it's not removed but still built into the code but designed to activate at a later date (later block height)? the combined carbon footprint of all the Ethereum miners has staved off the ice age That's what I thought too. Anyone else heard the same or something different? Spike will happen only if eth suddenly doubles or triples its price overnight, plus people are very careful about adding more gpu's cause mining could die anytime. Well to serve your case, last time i checked, difficulty was 1.5, now is 1.85 Continue reading >>

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