Bitmain, which specializes in custom mining chips and miners, has come under increased scrutiny due to the Chinese firm’s control over the production of so much bitcoin hardware and hashing power. Some bitcoin participants are beginning to fear a negative outcome for bitcoin with so few producers of asic chips for bitcoin mining digital currency’s mining hardware.
In 2013, companies like Black Arrow Software, Cointerra, Hashfast, Vmc, Kncminer and others offered different hardware miner models. Today, the competition for consumer-grade mining hardware has largely dwindled to two companies: Canaan and Bitmain. The-Beijing based Bitmain announced Tuesday the launch of its new Antminer T9, which features fewer ASIC chips and increased power consumption over the hardware provider’s prior models, leaving questions as to how they’ve made their overall system more efficient. ASIC Chips a Threat To Decentralization? Bitcoiners on social media have lots of questions about the company’s plans for its ASIC chips. They control too much of the production of mining hardware.
They control too much of the hashpower. Some wonder if a lack of competition has harmed the quality of machines available. Bitcoin mining insiders have heretofore wondered about Chinese spending on bitcoin mining. CEO of now defunct Kncminer, Sam Cole, said. Even with free electricity we cannot see how they will ever get this money back. Either they don’t know what they are doing, but that is not very likely at this scale, or they have some secret advantage that we don’t know about. The technology with which Bitmain works, to be sure, is complicated.