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Popular crypto YouTube channel “VoskCoin,” which has over 600k subscribers, shared a viral video this week. In the video, they discussed reasons why ALPH could potentially deliver KAS-like gains in the next bull cycle.
Kaspa (KAS) has been highly profitable for miners, offering impressive returns with the possibility of a 20x gain for early adopters. Now, ALPH is attracting attention due to its minable nature, much like KAS.
Kaspa, which utilizes BlockDAG technology, is currently the 27th largest cryptocurrency by market cap, valued at around $4 billion. Despite not being listed on major exchanges like Binance, Coinbase, or Kraken, KAS remains a significant player in the crypto space.
In contrast, ALPH Coin is ranked 280th by market cap, with a valuation of around $140 million. Though its market cap is smaller than KAS, ALPH has seen an 856% increase over the past year, outpacing Kaspa’s 352% gain. This remarkable growth suggests that ALPH could see further gains, possibly 10x or 20x.
Mining Profitability and Emissions
Kaspa’s mining rewards are gradually decreasing as emissions reduce over time. This will make the coin more difficult to mine, with a decline in mining profitability expected in the coming year.
ALPH’s daily emissions (new coins mined) are much lower, at approximately $80,000 per day, compared to Kaspa’s $1.25 million. If ALPH experiences growth similar to Kaspa, its daily emissions could increase significantly.
ALPH employs a mining method called “Proof of Less Work,” which aims to reduce energy consumption by burning ALPH tokens instead of ramping up computing power, thus limiting energy usage for large-scale miners.
Currently, ALPH mining is highly profitable, with top-tier miners earning up to $192 per day, potentially reaching $70,000 annually. Kaspa miners, such as those using the KS5 Pro, also remain profitable but will face declining rewards as emissions decrease.
Both ALPH and KAS are vying for a position as scalable, decentralized blockchain platforms. While ALPH is attempting to stand out with its innovative sharding and proof of less work, it remains to be seen whether it can replicate Kaspa’s success.
The video also highlights the risks associated with mining in the current market, noting that many miners may be overestimating future profits, especially as competition from large mining farms intensifies.
While ALPH could be well-positioned for the next market cycle, it’s unlikely to follow Kaspa’s exact path. ALPH’s success will largely depend on the overall market direction. If a new bull run occurs, ALPH could see significant value appreciation.
However, it’s important to consider the worst-case scenario: ALPH could face a situation similar to Kadena, where mining rigs were highly profitable for a brief period before collapsing, resulting in substantial losses for miners.
Read also: Analyst Shares a List of Top 9 Crypto Tokens That Could Do 100x – Hint: Not $XRP or $ADA