Bitcoin mining is increasing even though the demand for cryptocurrency has reduced over the past few months after Bitcoin prices fell considerably. Bitcoin network is said to be consuming electricity which is good enough for the entire country of Ireland. The currency at this moment acquires more than 50 percent of the market share. Ethereum, on the other hand, is building a technology that requires much less energy than Bitcoin. If this continues, Ethereum will most likely beat and dethrone the largest currency by market share in the near future.
Decentralized ledger is what Bitcoins work on, and that in turn runs on all computers across the world. While transactions in a bank are centralized, the validations of Bitcoin transactions are made by a group of miners. These miners are rewarded with a new Bitcoin for validating and updating the transaction. While Bitcoin currently trades at $ 8501.11, the value in India is at Rs 5,78,180.
Expert Opinion On Ethereum
“Bitcoin miners use at least 2.55 gigawatts of electricity currently, and potentially 7.67 gigawatts in the future,” states Dutch researcher Alex de Vries in a report. According to Vries, electricity is 60 percent of the total price of mining Bitcoin. He further noted that the average price of electricity across the globe is 5 cents per KWh. However, the study has its own limitations since experts are questioning the method used to calculate electricity consumption.
The reward reduces when the number of miners increases. However, at the same time, the time consumed to process the cryptocurrency rises. It is approximately 12.5 Bitcoin every 10 minutes. Back in 2010, it used to be around 50 Bitcoins per 10 minutes. This piece of information indicates that more energy is required for mining to run faster processors.
Bitcoin has the highest market share and price and is undoubtedly the most popular cryptocurrency today. However, Ethereum, the second most popular cryptocurrency is slowly trying to take Bitcoin’s market share, which has fallen to almost half its 90% stake about four months ago. During the time, it quadrupled its market share to 30%. Considering the trend right now, it won’t be shocking if Ethereum beats Bitcoin in market share soon.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]