Mining

k-HeavyHash Algorithm

Kaspa uses the k-HeavyHash proof-of-work algorithm. This algorithm was designed specifically for Kaspa and involves a matrix multiplication step that gives it distinct properties from SHA-256 or other common PoW algorithms.

ASIC Mining

Kaspa mining is now dominated by dedicated ASIC hardware. Major manufacturers producing Kaspa ASICs include:

• Bitmain — the world’s largest ASIC manufacturer, known for their Antminer line
• IceRiver — produces Kaspa-specific ASIC miners

GPU and CPU mining are no longer competitive against ASIC hardware. The network’s hashrate is effectively secured entirely by ASICs.

How Mining Works in a BlockDAG

Mining in Kaspa works similarly to Bitcoin with one critical difference: all valid blocks are incorporated into the DAG.

In Bitcoin, if two miners find a block at the same time, only one block makes it into the chain — the other is orphaned. In Kaspa, both blocks are added to the BlockDAG. Each new block references up to 16 parent blocks, weaving together the work of all miners.

This means:

• No wasted work — every miner’s valid blocks contribute to the network
• Fairer rewards — mining rewards are distributed more evenly since no blocks are discarded
• Higher throughput — the network can safely operate at 10 blocks per second

Block Production Rate

At 10 blocks per second, Kaspa produces approximately 864,000 blocks per day. Each block can hold up to 125 KB of data, with typical blocks containing 150-250 transactions.

The high block rate means that miners are constantly finding and publishing blocks, creating a dense, well-connected DAG structure. The GHOSTDAG protocol orders these blocks into a consistent sequence that all nodes agree on.