Mining cryptocurrency isn't the same thing as mining gold. It is a computational process that requires a lot of electricity and specific hardware to work properly. There are many ways to mine cryptocurrency. However, this piece will focus on the advantages and disadvantages of mining cryptocurrency with two common methods in view: ASIC and GPU mining.
ASIC vs GPU Mining
While ASICs are efficient for mining, they can only be used to mine a singular coin. Your investment will rely entirely on the future of that coin. GPUs on the other hand, are great calculators and a simple push of a button can mine a different coin. You'll be able to choose when to mine and which coin you'd prefer to mine.
Advantages of ASIC
High hash rates
Low power consumption compared to GPUs
Small size
High-profit margin
Disadvantages of ASICs
Very high entry point
High cost of operation
Application-specific
Low resale value
Short lifespan
Non-upgradeable
Controlled by few manufacturers
Advantages of GPU
Excellent for general purpose computing power
Easily sourced
Standard hardware
High resale value
Upgradable
Disadvantages of GPU
High power consumption
Less powerful than ASICs
Requires large equipment
Cannot mine certain coins
Which is Better for You?
GPU mining offers many benefits to the network that are not discussed here. This is why coins like Monero would be better mined with GPU compared to ASIC. Also, new blockchains (Ethereum for example) can have different calculations on the blockchain. This is why you'll not easily find ASICs on Ethereum.
However, in some situations, ASICs are more beneficial than GPUs. If you have a large budget, access to cheap electricity and don't mind sticking to one coin for a long time, ASICs are the best options for you. However, if you want a more flexible solution, GPUs are your best bet. Both systems of mining have their advantages and disadvantages. It all boils down to what you want.
Posted from my blog with SteemPress : https://smartereum.com/7974/gpu-vs-asic-which-is-better-for-you/