Ethereum: Solo mining in Sep 2017 [duplicate]
Ethereum: Solo Mining September 2017 – A Look Back
As we continue to explore the world of cryptocurrency mining, one question remains: is solo mining still viable, especially given the high hash rate and energy requirements?
In September 2017, the Ethereum network was at a crossroads. The Proof-of-Work (PoW) consensus algorithm that had dominated the cryptocurrency for years was facing increasing competition from alternative blockchains like Bitcoin Cash and Litecoin. To adapt to this new landscape, many miners switched to solo mining.
The Case for Solo Mining
Solo mining is the practice of mining cryptocurrencies without joining a mining pool, where multiple machines work together to validate transactions and create new blocks. In the early days of Ethereum mining, solo mining was a viable option for those with the necessary hardware and energy resources.
To process an entire block in less than a month, you need significant computing power. Bitcoin’s 100th hash rate required approximately 150,000-200,000 GPU (graphics processing unit) hours per day in September 2017. This translates to approximately 10-15 months of continuous mining at current hash rates.
Challenges and Limitations
While solo mining is still possible, it is important to be aware of the significant challenges involved. The energy consumption of a single miner can be significant, especially given the high hash rates required by Ethereum.
Additionally, global demand for electricity has driven up prices, making it increasingly difficult to find affordable and reliable energy sources to support solo mining operations.
Location Matters
In recent years, the cost of living in certain locations has made them attractive destinations for miners. For example:
- Cuba: The island nation offers significant discounts on electricity costs, making it an attractive location for miners.
- El Salvador: In an effort to become a cryptocurrency-friendly country, the government of El Salvador has introduced favorable mining regulations and incentives.
- Georgia (USA): Georgia has become a hotspot for cryptocurrency mining, with many large data centers and mining operations popping up in the region.
However, the availability of reliable electricity and stable infrastructure can vary greatly depending on location. Miners should carefully consider their options before deciding to set up a business in a particular area.
Conclusion
Solo mining remains a viable option for those with sufficient hardware and energy resources. However, it is important to be aware of the challenges and significant costs associated with using a lone miner.
The question remains: can miners alone mine an entire block in less than a month, 100x Antminer S9, 100THash/s? While it may be possible in some cases, it is unlikely without significant progress in energy efficiency and cost savings.
As the crypto mining landscape continues to evolve, we can expect more efficient solutions to emerge. But for now, miners alone must overcome the complexities of energy costs, environmental impact, and market volatility to succeed in this great game.