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ASICs are used to design ASIC miner which is simply a computation device intended solely for the mining of digital currency.
Generally, a specific ASIC miner is designed for the mining of a specific currency like an Ethereum ASIC miner can effectively mine only Ethereum. These ASICs are mostly optimized for the computation of a single function or set of related functions.
GPU mining mainly involves the use of a graphics processing unit (GPU) for mining purposes (like sold by NVIDIA, AMD for the mining purpose). Designing a miner using GPUs is significantly cheaper than designing a miner using ASICs. However, GPU miners have slower computation power as well as less efficient for mining cryptocurrency.
As the GPU and CPU miners rely on components which have more than one function, ASIC miners are designed solely for the purpose of cryptocurrency mining. This singular focused design makes ASIC miner much more powerful as well as energy efficient in comparison to a GPU miner.
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