Ethereum miners at risk of 'unemployment'
A future consolidation of the Ethereum network could remove miners from the network but make
ne of the key effects of Ethereum consolidation is removing miners from the network. Miners are considered the heart of pioneering systems like Bitcoin, Ethereum. However, mining rigs are increasingly power-hungry, causing these blockchain networks to face a lot of criticism. To make Ethereum greener, developers are working hard to move from POW (Proof of Work - proof of work, done by miners) mechanism to POS (Proof of Stake - proof of stake mechanism) , made by token holders).
Ethereum core developer Dapp Lion said that the merging of the Ethereum network could happen in June. At that point, the two Ethereum per block reward will disappear. According to BeinCrypto, this could eliminate the POW mechanism. Miners will no longer mine Ethereum with algorithmic machines, but will switch to the POS model, which reduces up to 99.9% of the energy used to maintain the network, which means lower CO2 emissions to the environment.
On the official blog, the developers of Ethereum note: "You should know that after a successful merge, the network will be fully POS. Mining will not be possible on the network."
Mr. Tran Dinh, CEO of Alphatrue, said: "The majority of miners in Vietnam are mining Ethereum. The change of operating model will force them to change their business model." Dinh cited 3DCenter's statistics in November 2021 showing that the price of video cards - a required component to mine Ethereum - has increased by more than 90% compared to the listed price. "If miners invest in rigs at this stage, it can be greatly affected. They may even have to 'cut their losses' by selling off their mining rigs if the transition from POW to POS happens sooner. intended," he said.