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Power Consumption of FIL Mining and BTC Mining: Key Differences

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by Andy Watson · 4 min read
Power Consumption of FIL Mining and BTC Mining: Key Differences
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The POW mechanism adopted by BTC requires miner nodes to provide accounting capacity, while FIL requires miner nodes to provide storage capacity.

There are hundreds of tokens on the market. Although each digital currency can bring corresponding returns to miners, each blockchain project has its characteristics.

The working principle of the BTC miner is to obtain rewards through calculations, which is like solving a mathematical problem. Whoever solves this mathematical problem first has the right to bookkeeping and block rewards. BTC “mining” refers to confirming the transaction information that occurred within a period and recording it on the blockchain to form a new block.

In short, the blockchain is like an open and transparent ledger. All miners are bookkeepers. Each block on each blockchain is equivalent to adding a bill to the ledger. And mining is a “bookkeeping” process.

Consensus Mechanisms of FIL and BTC Are Different

The POW mechanism adopted by BTC requires that miner nodes provide accounting capacity, while Fil is for storage mining, which requires miner nodes to provide storage capacity.

BTC is the largest digital currency of digital currency. +IPFSwuhan The form of mining is proof of POW workload, which means that BTC is obtained by consuming CPU hash rate and time. At first, computers and GPU miners were used for mining. Later, ASIC miners with hash rate advantages were born to mining BTC, and computers and GPUs were gradually phased out. However, at present, mining farms have always had an “electricity cost issue.” Therefore, most mining farms have chosen hydropower stations or mountainous areas with low electricity costs to save costs.

As the encouragement layer of IPFS, FIL is a decentralized storage network, turning cloud storage into an algorithm mall. The form of FIL mining is proof of reproduction + proof of time and space. Filecoin miners are all other enterprise-level hardware. Compared with BTC and ETH miners, they consume less power and have less impact on the environment. However, FIL mining has higher requirements for operation protection. It needs to be stored in a national IDC computer room, requiring a constant temperature, humidity, and wind environment. Hardware engineers and software engineers conduct 24-hour inspections.

When mining, FIL will provide retrieval income, storage income, and block rewards to miners. Still, storage miners need to provide specific pledges and gas fees to store user data, and block rewards are released linearly. It can be said that Fil’s fault tolerance is very low, and its pledge mechanism requires that the network and power cannot be disconnected during the mining process. Otherwise, the pledged token will be confiscated. Suppose you want to get a more stable income. In that case, you need to continuously optimize software, hardware, operation, maintenance, etc., which requires a specific skill strength and in-depth research on FIL mining.

The so-called bull market speculation, bear market mining, today’s market for FIL mining investment is more appropriate. Since the expansion of BTC/ETH mining farms will take some time to be completed, what are the configurations of the FIL miner today? 

What Are the Configurations of FIL Miners?

These include processors, GPUs, motherboards, memory, and hard drives.

In addition to hardware configuration, software facilities and the mining environment are equally important. The software facility is the optimization of the mining program. Although the FIL official tutorial is helpful, it still requires technical personnel to perform particular post-maintenance optimization. The mining environment is the operating environment that ensures the regular operation of the miner. Compared with the ETH miner, the FIL miner can be very “gold and expensive.” The essential condition is to ensure the regular operation of the miner. Furthermore, the FIL miner is used to store data, and the FIL mining farm is also a data center. To ensure the security of the data, the above conditions are indispensable.

Do FIL Miners Consume Electricity?

The power consumption of the FIL miner is the power consumption of the standard miner, and there will be no abnormal waste of power. ETH mining requires a hash rate. Among them, there are two ways to increase the hash rate. The first is to buy more miners. The second is to increase the workload of existing miners and increase the load of the hardware. As a result, the hardware life is significantly reduced, and the power consumption is also greatly increased. Of course, FIL mining also has to fight for hash rate, but the hash rate of FIL is storage space. Therefore, only by increasing the number of miners will there be no overload operation.

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Andy Watson
Author Andy Watson

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