It could have huge implications. Intel plans to enter the Bitcoin mining space with a cleverly marketed “ultra-low-voltage energy-efficient” ASIC chip. It is remarkable considering the fact that ASIC miners were severely delayed due to a chip shortage. It also opens the doors to Bitcoin miners being manufactured in the USA. It’s the same in other parts of the West.
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In December, Raja Koduri hinted at Intel’s intention to get into the Bitcoin mining space. Even though he’s the chief architect and senior vice president of Intel’s architecture, graphics and software division, no one expected Intel to deliver so soon. The details are sparse. There’s nothing on Intel’s official site. A quick search reveals that “Access to additional search results for “bonanza” is restricted.”
Intel leaps in the #BitcoinMining ASIC manufacturing is huge. The USA needs more chip factories. The result will be:
– Improved National Security
– Supply Chain robustnessIt will reduce Taiwan’s dependence on China, which is under threat from aggression by China.
— Dennis Porter (@Dennis_Porter_) January 18, 2022
However, we have the 411 on the project that goes by the code name “Bonanza Mine.”
What Do We Know About Intel ’s “Bonanza Mine”?
The product will be an “ultra-low-voltage energy-efficient Bitcoin mining ASIC.” According to Tom’s Hardware, the page thatThe news broke that Intel would reveal its new chip on:
“The ISSCC ConferenceThe annual meeting of top-notch chip industry minds. This year, Intel has a presentation scheduled in the ‘Highlighted Chip Releases’ category to outline a new “Bonanza Mine” processor, a new chip described as an “ultra-low-voltage energy-efficient Bitcoin mining ASIC.”
Apparently, Intel has been developing the product since at least 2018, when they registered “a Patent to protect a highly specialized processing method that uses an optimized SHA-256 datapath.”According to Tom’s Hardware, “Intel has a wealth of experience in hardware-assisted SHA-256 algorithms due to the use of these instructions in its CPU products.”
It’s huge news
We welcome more competition in the hardware mining industry🔥 pic.twitter.com/C7I1FQJxH6
— Dan Held (@danheld) January 18, 2022
A more recent indication of the company’s intentions came when the already mentioned Intel executive Raja Koduri “appeared on popular streamer Dr. Lupo’s show.” He told him point-blank”
“Being able to do much more efficient blockchain validation at a much lower cost, much lower power, is a pretty solvable problem. And you know, we are working on that, and at some point in time, hopefully not too far into the future, we will kinda share some interesting hardware for that.”
BTC Price Chart for 01/18/2022 On Bitstamp Source: BTC/USD at TradingView.com| Source: BTC/USD on TradingView.com
Why is this important?
Bitmain, Microbt and Canaan have managed ASIC Bitcoin mining until now. A small percentage of the market is handled by Strongu, Canaan, and Ebang. All these companies are Chinese. All of the chips were made in Taiwan and South Corea. This poses a centralization problem for the Bitcoin network that seemed unsolvable until Intel’s soft announcement.
Now, the open-source Bitcoin miner that Jack Dorsey’s Block is working on makes a lot more sense. Theoretically, the silicon chip is the only part of an ASIC machine that can’t be bought in a hardware store. With that problem solved, by no less than an industry leader with immense manufacturing power, the sky’s the limit. This will be a major step forward for Bitcoin mining.
Intel is the industry leader in bitcoin mining at $220 billion.
The Bitcoin network is a digital currency. Each technology company will eventually join it. https://t.co/pbTFiRqx0B
— Pomp 🌪 (@APompliano) January 18, 2022
Also, Intel’s announcement certainly legitimizes Bitcoin mining as a business to watch for the next 100 years. As podcaster Anthony Pompliano said, “Bitcoin is a computer network. Every technology company will eventually plug themselves into it.” With this announcement, Bitcoin not only gets Intel’s seal of approval. This giant corporation has joined the fray.
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To close this off, let’s quote Tom’s Hardware one more time:
“For now, it isn’t clear if Intel will release the Bonanza Mine chip as a product for the public or if it remains confined to a research project. However, given that the chip is in the “highlighted Chip Releases: Digital/ML” track and Koduri’s comments, it’s logical to expect that these chips will be offered to customers in the near future.”
It is still not all done. But it does smell good.
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