Jack Dorsey’s Block announces development of ‘full Bitcoin mining system’

Block, previously called Square and now a payments company, intends to create a Bitcoin (BTC) mining setup in order to address the hurdles encountered by mining professionals.

On his blog, published on April 23rd, Jack Dorsey from Block (formerly Square) shared that they had successfully developed a three-nanometer chip for Bitcoin mining. This development marked the rollout of a “complete Bitcoin mining system” by the company. Back in October 2021, Dorsey advocated for a cooperative strategy to decentralize Bitcoin mining through his role as CEO at Block (then Square).

Block shared that they have invested considerable effort in consulting with numerous bitcoin miners to understand their struggles. Based on these findings and our commitment to promoting mining decentralization, we intend to provide a self-contained mining chip, along with a custom-designed mining system.

Jack Dorsey’s Block announces development of ‘full Bitcoin mining system’

In May 2023, Block finished creating a five-nanometer BTC mining chip prototype. At that point, Block expressed concern over the centralization of chip development in the hands of only a few companies, believing it was detrimental to the ecosystem. The company invited the mining community for input on the project, requesting their thoughts on difficulties encountered when buying miners, performing maintenance, ensuring transparency, and resolving software-related issues.

In 2023, Intel made public its intention to halt the delivery of its Blockscale 1000 Series ASIC mining chips from April onwards. These specific chips, utilized for mining proof-of-work cryptocurrencies such as Bitcoin, will no longer be produced due to cost reduction initiatives.

The Bitcoin reward for mining a block was reduced from 6.25 Bitcoins to 3.125 Bitcoins during the halving on April 19. This change is projected to cause market turbulence as miners strive for the same rewards with fewer bitcoins in circulation until the next anticipated halving, scheduled for approximately four years from now.

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2024-04-23 23:09