What Would Be The Ethereum Merge Impact On Cryptocurrency Miners

Both Bitcoin and Ethereum miners are still in business, despite the crypto winter. According to records from 2022, Ethereum miners generate more revenue than Bitcoin miners. Given the rising cost of electricity, it is surprising that miners have grown so fast.

However, all of that may soon be overthrown. There’s growing concern that the upcoming merge will put ETH miners out of their jobs. This can be traced to the effect of the asset’s merge on the operational mechanism of the network.

Ethereum Miners Record High Revenue

Arcane Research: Drawing informationAccording to records, Ethereum mining generated an estimated $11 trillion in revenue by 2022. This is quite a higher figure than what was discovered with Bitcoin mining. The research shows that Bitcoin miners made about $10 billion in the same time period.

Research data trends are similar to last year. Bitcoin mining had a revenue figure of up to $17billion at that time. However, this revenue was still $1 billion less than the $18 billion generated by ETH miners.

Bitcoin mining has been generating more revenue than Ethereum mining. As of 18 months ago, this was the case. The trend has been in the favor of ETH miners since then. Because of the ecosystem’s versatility, ETH mining has seen a higher profit.

What Would Be The Ethereum Merge Impact On Cryptocurrency Miners
Ethereum shows significant growth

But, there’s a new change coming that could end the employment of Ethereum miners. It has to do the Ethereum Merge. Beacon Chain will be successfully merged with Ethereum Mainnet at this event. Attained this goal, the ETH network will be moved to Proof-of-Stake.

The Impact of Ethereum Merge on Miners

Ethereum miners understand that Merge completion is the end of ETH mining. Validators will also be able to verify all transactions on the ETH network. These validators, who are based on the PoS Blockchain status, will receive a reward for all their efforts.

While there’s an option to allow ETH miners migrate to Bitcoin mining it also has its downsides. It has to do both with their mining systems. Bitcoin miners, however, use ASIC. Ethereum miners use GPUs for their mining processes. The problem with compatibility arises here.

ETH miners only have one option at the Merge. They will receive a fraction of the amount they received before the merge. They won’t be able to keep their GPUs as they are being sold off.

AntPool also announced its $10 Million investment in ETC. The mining platform claims that ETH can still be mined after the merger is complete.

Chandler Guo (a Chinese miner) has shared his ideas about creating an alternative version (a forked edition) of Ethereum. It will be known as ETHPoW, and it will continue the proof-of-work mechanism of digital currency blockchains after the merger.

Featured Image from Pixabay – Chart from TradingView.com

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