The differences between ASIC & GPU Mining
Mitchell
ASIC Miners
An ASIC is an application-specific integrated circuit. The integrated circuit chip is designed for a singular purpose, which in the case of cryptocurrency, is to “mine” digital currency, such as Bitcoin (BTC). This is done through running complicated mathematical calculations to solve the mining algorithm.
ASICs are specifically built to mine cryptocurrency, and usually do the job faster than less powerful machines (such as GPUs). They are often far more expensive, less power efficient and louder, however, does provide individuals with the greatest chance of earning cryptocurrency as a form of passive income in exchange for their investment.
An ASIC miner such as the Bitmain Antminer S19 Pro can provide the most profitable and efficient mining through the SHA-256 algorithm. It has an extremely high performance with a maximum hashrate of 110Th/s, for a power consumption of 3250W.
The greater and faster an individual’s hardware is that they use to mine digital currencies, the more they will earn. That’s why people often opt for ASIC miners as it gives them the greatest ability to mine a currency like Bitcoin.
The array of ASIC miners Mining Store has on offer can be found here!
As mentioned, ASIC miners are often used to mine Bitcoin, however can also be used to mine currencies such as Ethereum, Litecoin, Zcash, and a few other assets.
They can be used at home, however, serious investors will choose to have their ASIC miner hosted for them. ASICs are often associated with heavy power usage and are much louder than other alternatives, hence why investors prefer to have them hosted by professionals in data centres. At Mining Store, we can provide you with both the ASIC miner as well as host the miner for you. This ensures you are privy to far cheaper energy costs as well as access to our support team 24/7.
GPU Miners
A GPU is a graphics processing unit. They are used for the digital rendering in a computer system. GPUs have been used in cryptocurrency mining since the first Bitcoin block was mined back in 2009.
In 2022, GPU mining is used as more of a hobby as opposed to an investment due to its simplicity. It can be a good entry level to mining for computer savvy individuals, however it is not efficient to pursue for passive income purposes.
When GPU mining, it involves utilising a gaming computer’s graphics processing unit to solve complicated mathematical equations to verify (mine) the electronic transactions on the blockchain.
Some popular companies that produce GPUs include AMD and Nvidia. At Mining Store, we no longer stock or sell GPU mining rigs as we believe ASICs are far more sustainable in the long run, provide greater profits and are more efficient. GPUs can be purchased from most electronic stores or online marketplaces.
This extends to the software needed. When GPU mining first occurred in the early days of cryptocurrency, users would have to require Linux knowledge. These days, GPU mining software can simply be downloaded off the internet, with built in wallets.
Given weaker expected profitability, hash rate growth, and popularity, GPUs are not preferred to ASICs. They also tend to break more and require further maintenance than ASICs. Positively, they produce far less heat and energy than ASICs. They can easily be placed in a bedroom, spare room, living room or open space to offer a bit of heat without much noise!
At the end of the day, we highly recommend investing in ASIC mining rigs. Being the superior option, you can always check out our mining profitability page here. You can also book a call with one of our mining experts on 1300 644 978 if you would like to learn more about cryptocurrency mining and earning a passive income!