With Decred (DCR Coin) Rising, ASIC Miners and Hardware Companies to Profit
Decred is one of the most privacy-focused platforms in the crypto world, and it’s been around since February 2016. Originally, it only was valuable enough for tokens to be worth about $1, but it has since grown enough to be valued at $91, according to reports on May 30th, 2018.
Somehow, with the cryptocurrency market in a state of decline, Decred hasn’t faltered, which is attracting the attention of miners that want to profit as well. Unlike other major platforms that use a single consensus mechanism for their mining, Decred uses two – Proof-of-Work and Proof-of-Stake mechanisms.
Using ASICs To Mine Decred Tokens
Obelisk is one of the manufacturers that stands to profit greatly, as they work to create hardware that can meet the needs of miners during this time. Their custom 28nm ASIC, known more eloquently as the DCR1, has a hash rate of 1200 GH/second. However, despite this efficiency, the device only requires 500 watts for power consumption.
As Obelisk and other manufacturers develop solutions for mining, the hash rate of Decred has almost tripled within the last two weeks. It essentially breaks down to 16.3 k Th/s. With powerful mining hardware like this, other GPU mining pools may be obsolete.
Profiting With Mined Decred Tokens
When a miner validates their transactions within any given network, they must adhere to certain rules to receive a reward from the cryptocurrency. To determine how much profit an ASIC miner stands to make, they must factor in a number of variables, like:
- Chip hash rates
- Network difficulty
- Necessary power consumption
- Electricity fees
- Mining fees
- Coins awarded per block
While the DCR1 works hard to benefit the miners, it is also up against the Ibelink 6 Th miner, DSM6T. It has a hash rate of 6.23 Th/s, which is faster than any other Decred miner globally. It only weighs 17.6 kg and requires 2.1 kW for power.
Bitmain also plans to offer their own Decred mining hardware, which is only fitting with their existing status as developing the most powerful and profitable ASIC miner for bitcoin, named Antminer S9. The hash rate of the miner is 14 Th/s and has a power consumption of 1.28 kW. Bitmain is widely successful in mining hardware and is close to monopolizing the industry. Rumors say that the launch of their Decred ASIC will be in the third quarter of 2018.
Best Available Decred ASIC
Most miners will be looking at a price tag of $1,000 to $10,000 for an ASIC, with the Ibelink DSM6T to be listed at $9,999. However, the DCR1 is only listed at $1,999.
If an individual considers mining, they need to account for the startup costs of purchasing a miner, if they want to make the most profits possible. Even though the costlier ASIC miners tend to have the best results, the miner will still have to wait the same amount of time to get a return, putting them at a heightened risk of being hacked.
When choosing an ASIC miner, factor in the power consumption, the hash rate, and the amount of time that those tokens will be pending. These costs will help the miner to get the best expectation of their profits overall.