I’m making this post because I feel that significant and disturbing elements concerning ProgPoW / Core Scientific are being ignored, or at least not discussed enough.

First, I want to make clear that I have absolutely no interest in this discussion other than to provide elements that I believe are essential. I am neither pro- or anti-ASIC by nature nor a miner with a 10,000 GPUs farm. (Actually I have a rig with 6 GTX and most of the time I don’t even mine ETH, lol). But I do care about decentralization, since it’s the purpose of a blockchain. So don’t accuse me of working for Bitmain or whatever just for being critical towards ProgPoW and Core Scientific in this post. I have no economic interest in highlighting the following.

For the record, I’ve mostly compiled CryptoMedication’s research on this matter. If you are interested in the debate around ProgPoW, I’d recommend to take a closer look at its channel on Telegram. (You can run a research on “Core Scientific” in his channel to find all the stories he has published about it). Again, I’m not affiliated with this guy — his stories are in open access anyway and are not monetized. I just respect him for his excellent work and his goal to restore transparency in this space by publishing thorough, unbiased, unique pieces of research. He has been cited in the WSJ, Washington Post, FXStreet, Vice and more, so it’s not just my opinion here.

So now that I’ve said that, have a look at these elements and make your own opinion. I hope that this will lead to interesting discussions.

1. Are ASICs really an essential and immediate threat to Ethereum? No.

  • Jon Scott, in his article ’13 Questions About Ethereum’s Movement to ProgPoW’, mentions that both Bitmain and Innosilicon, the only two known ethash ASIC manufacturers that successfully rolled out a commercially-available product**, essentially pulled their products ‘off the shelves’.** Why would be the reason other than that they weren’t profitable?

  • If you look at the ETH difficulty, it looks clear that at the moment there is no ASICs ‘taking on the network’. Otherwise the difficulty would have jumped a lot in the last months (look at Bitcoin, when new ASICs hit the market, the difficulty just explodes): ETH hashrate vs BTC hashrate.

  • One can estimate that ASICs account for less than 10% of Ethereum’s hashrate .

  • Indeed, if there were a lot of ASIC miners on Ethereum, why would they vote in favor in ProgPoW? ” We know via an on-chain miner vote that 100% of miners who voted, representing 70% of hash power, voted in favor of #ProgPoW.” https://twitter.com/hudsonjameson/status/1175132953309003776

So, where are these so-called ASICs on the network that are such a threat for Ethereum decentralization that we need ProgPoW right now?

Why would you swap from Ethereum’s robust mining ecosystem now to go to a less secure (lower hashrate) and more centralized structure just to fork ASICs that don’t even account for 10% of the total hashrate?

2. Is ProgPoW the answer to alleged/future centralization of Ethereum? Hell no.

  • Listen to Kristy-Leigh Minehan herself [CTO of Core Scientific] reminding everyone in this video that GPUs are basically ASICs: https://youtu.be/Loy6iNShirM?t=3540

  • Core Scientific has been partnering with NVIDIA and “the leaders in AI supercomputing systems” to produce AI-based GPU chips. See the partnerships: https://www.corescientific.com/about .

  • Their infrastructure is “built on NVIDIA DGX Systems for GPU compute and market leading flash storage technology. Core Scientific now provides AI infrastructure-as-a-service for large scale deep learning and data analytics work.” https://www.prnewswire.com/news-releases/core-scientific-and-sfl-scientific-partner-to-deliver-hosted-ai-solutions-300915327.html. They have a page on their own website about it: https://www.corescientific.com/dgx-readydc.

  • You can read more about Nvidia DGX here. This is not the regular GPU that you or me can find on Amazon.

  • So Core Scientific has access to non-public technology that gives them an exponential advantage over commercially available GPU chips. These GPUs have even more development behind them than the ASICs everyone refers to. This type of tech is a much greater threat to mining centralization than ASICs could ever hope to be. Core Scientific have access to technology that regular people don’t, which will allow them to mine ProgPow WAY more efficiently than you ever will, essentially creating the same dynamic as what you see between ASICs and “regular” miners. https://t.me/Zerononcense/22963

  • It is estimated that Core Scientific has the infrastructure to leverage 25% of BTC’s hashrate with their facilities. On Core Scientific’s website, they boast that their facilities can scale to 1 Gigawatt of electricity. The average power plant in America does 1.1 GwH. With that infrastructural capacity, Core Scientific could store 250,000 S17 ASICs (Bitmain’s new ASIC model). Again, casual miners will not be able to compete. Video of CS facilities.

  • Digital Asset mining is listed has one of their business. See also this video: John Curran & Jim Benedetto, Core Scientific | Pure Accelerate 2019:

  1. Core Scientific custom builds all of their data centers with the goal of focusing on GPU-use. Their goal is to build these data centers for blockchain mining [2:50]

  2. “We do cryptocurrency mining for ourselves as well” – John Curran [6:33]

  3. “We are the first AI-ready, certified data center” – specifically referring to the storage that would be used to back their GPUs and why they wanted to go to Pure Storage. “How much data can I get into those GPUs as fast as possible” [9:20]

  4. “Users of Core Scientific’s data centers are seeing performance improvements of 800%+” – [12:00]

  • Now look at this page (and their partnerships): https://www.corescientific.com/blockchain. Bitmain, BitFury, Canaan, Innosilicon, Obelisk, Halong, etc. I know right? ASICs manufacturer. And also Nvidia as mentionned above. They state that their “custom firmware and optimization suite increases hashrate while minimizing power consumption resulting in improved profitability”. And also that they can “Maximize your return with our proprietary coin-switching ML/AI algorithms and optimized machine performance based on patent-pending technology“. And you want to trust these guys to decentralize the network??

So, Core Scientific is likely pursuing its own interest by pushing ProgPoW. They have access to much more powerful chips and hardware than anyone else, and that gives them an exponential advantage over “regular” miners.

Therefore, ProgPoW is essentially a threat to the decentralization of the Ethereum network.

3. Core Scientific is SHADY, to say the least

  • Bob Summerville: ” I have uninvited ProgPOW author @OhGodAGirl [Kristy-Leigh Minehan, CTO of Core Scientific] from #ETCSummit after learning of connections between @corescientific, herself, and Craig Wright / Calvin Ayre / Coingeek / BSV. I also now strongly advise the Ethereum community against adopting ProgPOW.” See https://bobsummerwill.com/2019/09/17/progpow-author-kristy-leigh-minehan-uninvited-from-etc-summit/

  • Many have noted the extreme conflicts of interest in Kristy-Leigh’s promotion of ProgPoW (there is substantial evidence that attests to the fact that Kristy-Leigh has and perhaps still is selling GPU miners for Ethereum via her company, ‘The Mineority Group’, whilst still pushing the idea of ‘ProgPoW’ onto the Ethereum community).See https://www.corescientific.com/team: “In 2013, Kristy-Leigh founded a company that became the leading provider of hardware optimizations for GPUs and ASICs. Some of the contracted parties included Bitmain, BitFury, Halong Mining, Innosilicon, NiceHash and KnCMiner*. In 2016, she joined Genesis Mining as a Cryptographic Engineer; in 2017, she became Area Manager for Genesis Technology, the world’s largest GPU-based mining operation.** In 2018, she founded The Mineority Group, a Blockchain hardware and software provider; during her tenure as Chief Executive Officer, she achieved over 100M annual recurring revenue, and launched the Mineority platform, an all-in-one cryptocurrency mining platform powered by smart contracts for management and auditing.”

  • Calvin Ayre is Going to Get Even Richer From ProgPow. Squire Mining signed a sweet deal Core Scientific for the hosting of “blockchain cloud computing assets” = mining. This came, almost simultaneously, with the announcement that Calvin Ayre would be receiving 80 million common shares in Squire, with 827 million non-voting participating shares.

  • Almost everyone on Core Scientific’s executive board has a serious criminal past and history. Seehttps://twitter.com/ZeroNoncense/status/1166236682426998786 https://t.me/Zerononcense/22328 https://t.me/Zerononcense/22349 Is ProgPow Funneled by Money Laundering?

Conclusion: ProgPoW is most likely a cash grab and a threat to the Ethereum ecosystem.

What do you think?

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Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum
Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum
Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum
Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum

Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum

Core Scientific Is Shady And ProgPow Is A Threat To The Ethereum Ecosystem : Ethereum