How the Next Phase Of Crypto Mining Leans Into Inclusivity And Sustainability

August
19, 2021

5 min read

Opinions expressed by Entrepreneur contributors are their own.

What comes to mind when we think of cryptocurrency mining? Usually, we think of the often expensive and complicated equipment used for crypto mining, the high cost of electricity associated with it, and probably its impact on the environment. All of the above have been major talking points within the crypto industry for years and have raised concerns about the future of mining.

The cost of mining, both in equipment and electricity, has been a major entry barrier for the industry with many people even stealing electricity to facilitate their activities. The environmental impact of mining has also come into focus, with Tesla cancelling previous plans to accept Bitcoin as a form of payment because of concerns about its impact on the environment. 

However, as the industry moves into a new phase of development, it seems that the mining sub-sector is leaning towards being more inclusive of people, expanding on the ways through which users can earn an income, and making sure that sustainability is the name of the game. 

A new way to mine?

A new company that is pioneering an innovative way for users to mine crypto is GoMining. As opposed to traditional mining or even cloud mining, GoMining takes away most of the work from the consumer and expands upon their income-making potential. First, the miners do not need to buy the equipment or pay for the electricity directly themselves but instead, buy GoMining’s native GMT Token which is backed by computing power.

After buying the token, users get a daily bitcoin income from what the company mines. The computing power of the company’s devices is distributed between the total number of token holders and the token itself acts as an asset. This means as the price of the token increases, users can earn additional income besides the bitcoin they are already receiving. 

The company also does something interesting in that every week, following each additional emission, half of the tokens issued are burned and the remaining are redistributed between other tokens. The reason for this is that the burning of a portion of tokens backed by computing power and their redistribution results in an increase in supply power. This, in turn, leads to an increase in income as the only tokens that are granted are those that have not gone on sale yet.

The benefit of this is that not only does the GMT token increase in value but the bitcoin income increases on a daily basis. This means that users are earning an income from two different sources as opposed to a singular one. Compared to cloud mining, users do not have a time limit on how long they are set to mine cryptocurrency as they can hold on to the token for bitcoin mining for an unlimited period of time.

This not only reduces the initial entry barrier into the crypto mining sector but also gives users much more benefit for their investment. There is also an emphasis from the company on maintaining an eco-friendly operation. Currently, 50% of the electricity used for the operation of GoMining devices comes from renewable energy sources like hydroelectric power and wind turbines. Over time there are plans to make sure that 100% of the energy they use comes from renewable sources, thereby reducing its ecological footprint.

Considering how much of a hot-button issue this has been within the industry, it is refreshing that short-term and long-term sustainability is at the forefront of the business’ operations. The work that GoMining is doing is not just making it more profitable for people to mine but essentially laying a foundation for the future of the industry. 

The future of mining?

Thanks to the massive bull runs that tokens like bitcoin have seen in the last few years and the growing publicity around the cryptocurrency industry, more people are looking towards getting into crypto and this includes getting into mining. The issue is, however, that the mining sector still has a number of barriers to entry but these barriers are being addressed by operations like GoMining.

With options like GoMining, mining crypto does not have to be an intimidating affair but instead, can be made more accessible to the masses. Not only do people receive mining rewards on a daily basis but the token with which they buy into the operation also increases in value. Finally, the emphasis on sustainability essentially helps to secure the future of crypto mining considering the pushback it has received due to its current environmental issues.

Should these efforts be successful, the cryptocurrency industry and the mining sector particularly can survive and thrive well into the future. 

Note: Investment in cryptocurrency is subject to risk and readers should do their own due diligence. Entrepreneur Media does not endorse any such investment.