Let’s clarify one thing from the get-go: Mining Ethereum (ETH) is over. Since “The Merge” in September 2022, Ethereum shifted from the energy-intensive Proof-of-Work (PoW) system to a more efficient Proof-of-Stake (PoS) mechanism. By now, anyone suggesting that ETH mining will return in 2025 is either misinformed or trying to sell something without value. Remember the days when mining operations thrived with arrays of GPUs producing ETH at will?
Those times of high-energy consumption are long gone. Ethereum’s transition to PoS aimed to drastically reduce energy expenditure, achieving a staggering 99.95% reduction. This move was essential for future upgrades to accommodate increased network traffic. The aftermath of this shift threw miners into turmoil.
Vast amounts of Ethash ASICs, once valuable, became obsolete almost overnight. The GPU market became saturated with miners desperately trying to sell off their equipment. The once formidable hash rate securing Ethereum splintered, with many GPUs now seeking new opportunities. A significant portion of this computing power migrated to Ethereum Classic (ETC), Ethereum’s older counterpart, which continued using the PoW algorithm.
This resulted in skyrocketing mining difficulties, making it increasingly hard for both existing and new miners to generate substantial earnings. Other chains that welcome GPU mining, like Ravencoin and Ergo, faced similar spikes in difficulty as miners sought refuge there. However, while ETH mining may be history, PoW mining itself persists. Chains like ETC, Ravencoin, and Kaspa are still actively mined, though profitability hangs in the balance.
The crux of the issue lies in electricity costs, which are paramount when determining mining profitability. With most residential rates being unfavorable, average miners often find themselves losing money. In 2025, the prospects of making substantial gains in mining have diminished. It’s now an uphill battle, primarily favoring those with access to cheap power and efficient hardware.
Ethereum’s shift has redefined the mining landscape, making it more specialized and challenging. Those venturing into PoW mining today need to tread cautiously, focusing on cost-efficiency and potential earnings.