Bram Cohen, the inventor of BitTorrent appears to have resolved Bitcoin’s biggest environmental problem, that of wastage of power in the process of mining. The trade-off here is that the new cryptocurrency built by Cohen and called Chia may well replace Bitcoin for it has all of the positives minus the disadvantages of Bitcoin.
Chia is a stupendous step forward in cryptocurrency evolution, given that Bitcoin was the first ever form factor in this category. Chia is advanced technology since it is built on Proof-of-Space unlike its ancestor, the Bitcoin’s Proof-of-work principles. Hence Chia uses the hard disk of a computer to optimal levels to generate crypto, while Bitcoin spews out immense electrical waste similar to its generation installations such as data centers where servers holding backup data and similar storage of info were regularly cooled down by expensive water-based cooling systems.
In the case of Bitcoin also the experience of these mining centers or as they are called mining farms was very similar to that of data center infrastructure, except that automated computers ran complex algorithms to generate Bitcoin every half-an-hour or so, instead of data-holding servers.
Chia does not spew electricity when it is running the algorithm and is thus one of the first generation green digital currencies. As per Cohen’s theory of using the hard disk to mine for Chia:
“The idea is that you’re leveraging this resource of storage capacity, and people already have ludicrous amounts of excess storage on their laptops, and other places, which is just not being utilized. There is so much of that already that it should eventually reach the point where if you were buying new hard drives for the purpose of farming, it would lose you money.”
Higher security features
According to Cohen, it is possible to set up an attack on the Bitcoin network though it could be an expensive affair. However, such an attack would not be possible on Chia network because such a network would be every more expensive since ASICs needed would be more than what is used on Bitcoin. Despite Cohen’s claims of security, critics do admit security via Proof-of-Space has its limitations. Cohen has an answer to such adversaries as well with the Proof-of-time “consensus” mechanism.
Bitcoin has time on its hands since the Chia scheduled for launch by end of 2018 is delayed beyond further notice. Only with Chia’s official launch will the true nature and operations be revealed and comparisons with Bitcoin for its performance and supremacy begin.
Tags: Bram Cohen, Bitcoin, Chia, Cryptocurrency, digital currencies, crypto