Good-Guy
VIP Contributor
Mining is one of the ways many people make money. Mining refers to the process of generating crypto coins or tokens when transactions take place. Whenever people send crypto, miners charge a small fee for making the transaction on the block chain. This business is one of the greatest business ever conducted on a large scale. The big problem is that the difficulty levels associated with mining coins. Difficulty refers to complicated calculation a machine makes to process or mine blocks. Mining difficulty of Ethereum was 1721 in March, 2019 and in March, 2021, it was 6077. This suggests that mining difficulty is rising consistently and it will not drop to its previous levels. Mining difficulty of Bitcoin did drop in July, 2021, but this drop was not that much significant. What makes mining difficulty rise so much?