- For Bitcoin miners after the halving, DePIN provides a fresh source of income.
After the most recent halving reduced block rewards to 3.125 BTC, Bitcoin (BTC) miners may look to the DePIN ecosystem to make their mining facilities lucrative, Livepeer CEO Doug Petkanics told Crypto Briefing.
The blockchain industrial sector known as DePIN, or decentralized physical infrastructure network, extends decentralization and transparency into the real world.
Petkanics points out that there are positive and negative developments for Bitcoin miners regarding the shift to DePIN, where the business model is typically supplying processing power via GPUs to artificial intelligence-focused businesses.
Conversely, Petkanics notes that the infrastructure and experience that have been developed around cryptocurrency mining facilities are extremely effective in terms of energy consumption, bandwidth, and operational control.
According to a report by asset management company CoinShares, it is anticipated that electricity and total production costs will nearly treble following the April 20 halving. The survey also shows that mining firms with artificial intelligence (AI) revenue streams include BitDigital, Hive, and Hut 8.
Promoting growth
The CEO of Livepeer claims that decentralized networks of processing power have several advantages. The first has to do with the structure of the GPU market, wherein IT companies need to purchase big quantities of graphics processors in order to get a lower purchasing price.
But these businesses typically don’t need to use every GPU they buy right away, which is where DePIN shines because it allows computing power to be borrowed.
Additionally, the requirement to purchase GPU in bulk sets poses a barrier for businesses like data centers and infrastructure suppliers. DePIN can also help with this problem since, as Petkanics pointed out, smaller businesses can use an open market to access the idle graphic chips’ dormant capacities.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
