Bitcoin Mining Profitability Calculator: Is your miner profitable?
The answer can be both yes or no. There are various factors on which one can determine the profitability of the mining hardware setup. But you don’t have to worry about profitability because Cointogeek brings you a Bitcoin Mining Calculator to determine your profit according to your hardware setup.
Below are the various factors explained on which the profitability is calculated are explained.
A hash rate is a rate of solving the mathematical problems a miner’s computer can solve. Bitcoin Miners also come with a hash rate. The more hash rate, the more powerful the miner is. Miner’s performance is measured in MH/s (Mega hash per second), GH/s (Giga hash per second), TH/s (Terra hash per second) and PH/s (Peta hash per second).
Bitcoins per Block
A miner is rewarded whenever a mathematical problem is solved and a constant amount of Bitcoins are created. The number of Bitcoins generated per block starts at 50 and is halved every 210,000 blocks (about four years). The current Bitcoin reward per block is 12.5. The next block halving is going to occur in 2020.
Running a Bitcoin mining hardware requires electricity. Electricity rate is an important factor to calculate the profitability of the mining rig.
Every mining hardware consumes the different amount of energy and the more the hash rate of the miner, the more power it consumes.
Pool fees are the fee deducted from the platform that has created a pool of miners to mine bitcoins and shares the profit among the pool members according to the work done by each miner.
The time period is the time period one is going to run the mining hardware. The more time frame you have the more bitcoin you will earn.
Profitability decline per year
With every year the profitability decreases as more miners join the network and difficulty increases to mine bitcoin and hence more powerful mining hardware is needed to mine bitcoin. We also need to include the rising hardware costs, electricity costs and price crashes I.e exchange rates.
Bitcoin Mining Calculator