With the release of Bitmains Z9 ASIC, there was an outcry from the NVIDIA community wanting a hard fork due to the major difficulty spike the Z9’s caused. Well today that was voted down.
The Zcash community wishes to preserve ASIC resistance, discouraging the use of ASIC mining equipment in favor of GPU mining equipment. The Zcash Foundation should therefore adopt this as a priority.
The first nail in the Coffin
The Foundation should commit to a plan for migrating the Zcash protocol to a new proof of work algorithm with a hard-fork planned between September 30, 2020 and December 31, 2020, with the following tasks: 1) Selecting a thermodynamically efficient (not ASIC-resistant!), currently unused proof-of-work algorithm 2) Hosting and building an open hardware specification for the selected PoW algorithm 3) Assembling a consortium of hardware companies to build hardware against this open specification, while encouraging upstream contributions 4) Building an open source, cross-platform, user-friendly, p2pool-esque piece of mining software for use with this hardware 5) Manage the hard fork upgrade process across users, wallets, exchanges
The final nail in the coffin as even the new algo (in 2020) is planned to be ASIC Friendly.
What does this mean?
As you can see in the difficulty chart, we saw a 20% increase in difficulty after the release of the Z9 ASICS. This also lowered profitability substantially.
Equihash is now 5th and steadily dropping. And with the next batch coming in July. It will only get worse. But fear not NVIDIA gang!! You still have X16R, LYRA2z and LYRA2rev2. It’s just a bump in the mining road that happens time to time.