We all know that crypto miners are important to the continuity of a cryptocurrency. They provide the computing power to process blocks and transactions. However, it is becoming obvious that a lot of miners across the world are making thousands of dollars for mining empty blocks, that is, they’re making money for not doing anything in the blockchain.
Processing an empty block is next to doing nothing cos no transaction occurred, your computing power is just there. Take Bitcoin Cash, for example, over 3300 empty blocks have been processed since August 2017 when it was launched.
So, an average of $5 million has been earned by miners monthly for processing empty blocks. Of course, miners need to be rewarded for providing their computation power to the network, but what happens when the amount of coins that can be mined starts to reach it’s maximum?
Take Litecoin for example, what will happen when the reward for processing a block is as low as $1? Will these miners still provide their computing power knowing they’ll be rewarded little or not at all?
One begins to wonder if the reward for processing empty blocks isn’t too much cos that’s not healthy for the cryptocurrency. If everyone sees crypto mining as a gold mine, no one will buy cryptocurrencies again. Everyone will simply leave the market to go mine coins instead.