GPUMINE Mining Encyclopedia（四）

What is a Mining Farm?

A mining farm is a location where miners place a large number of mining machines to conduct mining operations, similar to raising cattle on a ranch. Due to high electricity consumption, miners often sign electricity contracts with power companies to obtain cheaper electricity rates, thereby reducing mining costs.

What is a Mining Machine?

In a broad sense, a mining machine refers to hardware devices capable of generating computational power, such as CPUs, GPUs, FPGAs, ASICs, and more.

What is a GPU (Graphics Processing Unit) Mining Rig?

A GPU mining rig is a computer device equipped with multiple graphics cards. Typically, it consumes more electricity than a regular computer, requires more complex device management, and can flexibly utilize graphics cards for various algorithm calculations, offering a diverse range of mining options.

What is an ASIC Mining Machine?

ASIC mining equipment is designed to perform calculations for specific algorithms, such as Bitcoin's SHA256 or Litecoin's Scrypt. While ASICs boast superior computational power efficiency, they are limited to performing calculations for specific algorithms, offering fewer mining options. ASIC mining machines are not easily acquired, repaired, or maintained, and their hardware depreciation is higher compared to graphics cards. Additionally, not all algorithms are suitable for ASIC mining, and the presence of ASICs does not necessarily mean that GPU mining is unprofitable. Profitability depends on the proportion of ASICs in the network when assessing whether GPU mining rigs are lucrative.