In a recent job listing by Jack Dorsey’s Block, they aimed to hire a team dedicated to launching the “next generation” of ASIC bitcoin mining.
Application-specific integrated circuits (ASICs) are microchips designed specifically for specific applications, not general-purpose applications. In this case, Block performs an ASIC that is specifically designed for bitcoin mining.
And Tweet topic Published in October 2021, Jack Dorsey outlined some key questions that indicate what the future development of Brooke’s “Bitcoin Mining System” will look like. In his subject, the following five subjects are presented for further investigation.
1. Distribution of miners
Important note: Not all distributed networks are the same. Distributed systems are scaled on spectrum, and networks like Bitcoin exhibit varying degrees of dispersion. For example, you can distribute your network to 3 peers or 100,000 peers. As Dorsey said, the more peers in the system, the less network participants rely on a small group of participants to “securely settle transactions.”
2. Improve mining efficiency
“Driving for clean and efficient energy use is great for Bitcoin’s economy, impact, and scalability,” Dorsey said. This has been a key part of Block’s stance since co-publishing a white paper titled “Bitcoin is Key to a Rich and Clean Energy Future” with ArkInvest in April 2021. Their research demonstrates how Bitcoin offers a unique opportunity to the energy industry by serving as an energy buyer of last resort. By setting the world’s lowest energy rates, you can build a more robust clean energy infrastructure while ensuring that there are still buyers for excess energy used during peak hours.
3. The current situation of silicon production
Silicon design is a very costly, long-term capital investment that raises barriers to entry. Having a small group of highly concentrated suppliers means that production is limited and supply is limited. In a tweet, Dorsey said he believes it is best to combine the silicon design process when it is closely integrated with “software and system design.”
4. Vertical integration
Dorsey believes that companies that focus on vertical integration are not enough. Vertical integration means that the multiple stages of the production process in the supply chain are integrated and wholly owned by a single company. This comprehensive process eliminates dependence on external factors of production that can impose constraints and uncertainties throughout the production process.
5. Access to mining
While the popularity of building home mining setups has certainly skyrocketed over the past year, Bitcoin ASICs have a long way to go before they can be considered a simple plug-and-play technology. Dorsey says more incentives are needed to “get around the complexity” of bitcoin mining in order to make it easier to access. We hope that one day mining bitcoins at home will be as easy as plugging in a toaster. In the future, engineers may build more solutions to recycle heat from home mining systems and integrate directly with existing home facilities such as HVAC and hot water systems.