Miners in Vietnam have voiced their grievances about loss of business following Ethereum’s transition to a consensus mechanism that doesn’t require the power-intensive computing they were providing. Many are struggling, local media reported, citing entrepreneurs and mining enthusiasts.
Cryptocurrency Miners Affected by Merger, Vietnam Report Reveals
Vietnamese crypto miners suffered heavy losses with their mining rigs now shut down after the second-largest cryptocurrency by market capitalization switched to a more power-efficient framework, VN Express noted in a report.
This week, Ethereum (ETH) changed its protocol from proof-of-work (PoW) to proof-of-stake (PoS) with an upgrade called “The Merge,” which was completed on Thursday. It drastically reduces the amount of energy consumed to validate transactions.
The migration to the new consensus mechanism means that powerful coin-minting hardware is no longer needed to perform complex mathematical calculations and this type of equipment has become almost useless.
As a result, “goodbye Ethereum”, “more chances” and “sell platforms” are currently the most seen phrases in online groups of Vietnamese crypto miners, the English edition wrote this weekend. end, adding:
Since the majority of Vietnamese crypto miners were mining Ethereum, many are struggling.
“We all knew this day would come and we were prepared, but some hoped ‘The Merge’ would happen later so we could mine more,” said Ngoc Can, administrator of a mining social group. crypto.
“All mining pools have closed, so miners can no longer mine and have to turn off their rigs,” Can explained. The largest Ethereum mining pool, Ethermine, announced that it was shutting down its servers and informed miners that their outstanding balances would be transferred in a few days.
Big crypto farms have been the hardest hit, according to a Dong Nai miner. “I started mining four years ago and expanded my farm after breaking even. I have not recovered my new investment and it is almost impossible to sell it,” he said, revealing that many of his colleagues have also collapsed.
“I spent my family’s savings on the mining rig. I don’t know how to get over it,” said an amateur miner from Binh Dinh. The man wanted to start minting other coins but backed out of that plan after he felt the electricity bills would be too high to make a profit.
“Many Vietnamese crypto miners also expect Ethereum to be split into a new branch that still allows PoW mechanism, but this prospect is uncertain at this stage,” the article concludes.
Do you think Ethereum crypto miners in Vietnam will manage to find other sources of income? Share your thoughts on the subject in the comments section below.
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