The transition of the Ethereum blockchain to being a proof-of-stake (PoS) community has seen graphic processing models (GPUs) value an estimated $8.1 billion cease working in accordance with information highlighted by Ki Younger Ju, CEO of CryptoQuant.
GPUs had been the supply of computing energy to verify transactions and earn ETH rewards on the proof-of-work (PoW) Ethereum blockchain. Ju factors out that as of Might 2022, these computer systems supplied a hash price of 1.06 Petahashes (PH/s) for the Ethereum community.
The necessity for the energy-guzzling GPUs to mine ETH was made out of date the second the Merge was initiated final month. Nevertheless, regardless of realizing that the Merge would sever their ties with the Ethereum blockchain, the miners didn’t budge because the community’s hash price continued to extend until the PoS transition was confirmed Ju famous.
In Might 2022, #Ethereum hashrate was 1.06Ph/s (1,060,000,000,000,000 h/s) and now it is gone.
Roughly, $8.1 billion value of GPUs stopped mining.
Hashrate saved growing though miners knew it could convert to PoS quickly. I’m wondering what their plan was.https://t.co/v8NnUdnZ94 pic.twitter.com/OC9Mx49kCt
— Ki Younger Ju (@ki_young_ju) October 21, 2022
The place has the ETH hash price gone?
Beforehand, Ethereum co-founder Vitalik Buterin additionally commented on the lingering loyalty of ETH miners. Buterin acknowledged that the truth that miners didn’t rush to promote their ETH holdings was encouraging, and he was additionally shocked by their conduct as there was solely a slight drop in hash price proper as much as the migration.
A number of former ETH miners have already repurposed their mining rigs to different PoW blockchains, whereas others like Hut 8 have seemed to deploy their GPUs to offer Synthetic Intelligence, Machine Studying, or VFX rendering providers to prospects.