First of all, Bitcoin mining has a lot of variables. This is why buying bitcoin on an exchange can be a simpler way to make a profit. However, when done efficiently it is possible to end up with more bitcoin from mining than from simply hodling. One of the most important variables for miners is the price of Bitcoin itself. If, like most people, you are paying for your mining hardware, and your electricity,- in dollars, then you will need to earn enough bitcoin from mining to cover your ongoing costs; and make back your original investment into the machine itself.
Bitcoin price, naturally, impacts all miners. However, there are three factors that separate profitable miners from the rest: cheap electricity, low cost and efficient hardware and a good mining pool. Electricity prices vary from country to country. Many countries also charge a lower price for industrial electricity in order to encourage economic growth.
This means that a mining farm in Russia will pay half as much for the electricity you would mining at home in the USA. In practical terms. These days there are several hardware manufacturers to choose from. The price of hardware varies from manufacturer to manufacturer and depends largely on how low the energy use is for the machine vs the amount of computing power it produces. The more computing power, the more bitcoin you will mine. The lower the energy consumption the lower your monthly costs.
Longevity is determined by the production quality of the machine. It makes no sense to buy cheaper or seemingly more efficient machines if they break down after a few months of running. One useful way to think about hardware is to consider what price BTC would have to fall to in order for the machines to stop being profitable. You want your machine to stay profitable for several years in order for you to earn more bitcoin from mining than you could have got by simply buying the cryptocurrency itself.
Unfortunately most older machines are now no longer profitable even in China. The Bitmain S9 has been operational since and interestingly enough they are still being used in Venezuela and Iran where electricity is so cheap that it outweighs the risk of confiscation. There may, eventually, be more reputable sources of sub 2 cents electricity as the access to solar and wind improves in North America.
For the individual miner, the only hope of competing with operations that have access to such cheap electricity is to send your machines to those farms themselves. Not many farms offer this as a service though. These days, every miner needs to mine through a mining pool. Whether you are mining with one machine, or several thousand, the network of Bitcoin mining machines is so large that your chances of regularly finding a block and therefore earning the block reward and transaction fees is very low.
With one block per 10 mins they may have to wait 16 years to mine that one block. The oldest two pools are Slush Pool and F2Pool. Here comes the science part…. Pool fees are normally 2. Choosing the right mining pool is very important, as you will receive your mined bitcoin sent from the pool payouts every day. An often overlooked facet of mining profitability is the fees one pays to sell the Bitcoin one mines. If you are a small time miner, you may have to sell your coins on a retail exchange like kraken or Binance.
Sometimes your fees are low but sometimes your fees are high - it really just depends on the fee structure of the exchange and the state of the orderbook at the moment. However, if you are a professional miner like F2 or Bitmain, you likely have really advantageous deals with OTC desks to sell your coins at little to no fees - depending on the state of the market. Some miners are even paid above spot price for their coins. If you think you have what it takes be mine profitably, we suggest you make sure first by using our mining profitability calculator.
Bitcoin farms that operate at scale use these advantages to maximize their returns. As the difficulty of mining bitcoin increases, and the price lags behind, it is becoming harder and harder for small miners to make a profit. It all comes down to scale and access to cheaper prices.
When people enter the space, without prior relationships, they struggle to compete with established mining operations. Bitcoin mining is starting to resemble similar industries as more money flows in and people start to suit up. With increased leverage, margins are lower across the whole sector.
Soon, large scale miners will be able to hedge their operations with financial tooling to lock in profits, whilst bringing in USD denominated investments like loans or for equity. As mining becomes more professional , it will make things even harder for DIY miners. If you have put in the effort to learn about mining, and you have found a location with low cost electricity for your machines, then you still need to consider where to store the bitcoin that you mine.
It is possible to mine direct from the pool to an exchange , but we recommend you keep your bitcoin in a wallet where you have access to the private keys. No, and in the case of Bitcoin, it almost never was. There was a time where one could profitably mine Bitcoin with GPUs, but again…today, you really must have an ASIC and a deal witha power company to make any money mining Bitcoin in The average home miner is unlikely to recoup the cost of mining hardware and electricity.
Profiting on your own is highly unlikely. The situation may improve in the future once ASIC mining hardware innovation reaches the point of diminishing returns. So to find a block at this difficulty with a 1Ghash mining rig it would take you about 69 years on average. Good Luck! As long as you're in good communication with the network and have a hashrate measured in something better than minutes per hash, yes, you technically do have a chance of successfully mining a block, even if your hashrate is tiny compared to the whole network.
Then the question is, what are your chances and should you do it? I think an analogy with a lottery is apt. This is a 0. I do not think the question was about the "how long" it would take in average, but what are the odds, which is something completely different from my point o view.
If that's so then solving a block is always more about the luck than the brute force you have. Even if you have a 1GH rig, you can still find the solution quicker then 1PH pool. Question is: what are the odds that it will happen? I would expect a ration : to take place in the answer.
So if the current total H-power is about 7. Which is per a year, if the total H-power does not change and it basically does not depend on the difficulty, as the difficulty is based on total H-power. The chance you actually find a block will sadly decrease over time probably. Thing is, if you're lucky you win the lottery. And if you don't get lucky, you don't win and get nothing.
The advantage of being in a pool is that you play in more lotteries, so your luck averages out. To answer your question more directly: the long block-intervals 10 minutes are there to reduce network-lag's influence on people's ability to mine on the newest block. There's some influence, inevitably, but others endure it too. Pools can have a minor advantage if they're close together, but the miners connect through them instead of directly.
I think there'd be no difference worth mentioning. Small footnote should be made about selfish mining, if another pool is big enough they'll have a mining advantage. Smaller it'd be a disadvantage. It's not being done and I hope pools will stay spread thinly enough to make it ineffective. You can safely ignore this. It also doesn't likely matter when you're "lottery mining" you're still betting just on your own luck!
Unless you own an ASIC, of course. The beauty of Bitcoin is that it provides anyone with a chance to earn free bitcoins. No matter what statistics are used to calculate the odds of hitting the jackpot, they can never be used to predict the outcome. As we all can read in the numerous variaties and complications when it comes to calculating probabilities in the above mentioned posts, it's obvious that there will never be a mathematical model able to predict the possibilities.
There are too many variables that change continously overtime diffuclty rate, amount of miners, growing blockchain etc. Instead of focussing on mining itself you better try and find a way to reduce the cost. In that case it's cheaper then taking part in a lottery and your chances to hit the pot will be no more or less the same either way.
That's why we call it luck ;. Sign up to join this community. The best answers are voted up and rise to the top. Solo mining just for luck, realistic? Ask Question. Asked 7 years, 3 months ago. Active 4 years, 8 months ago. Viewed k times. What are the odds? Improve this question. Isac Isac 1 1 gold badge 3 3 silver badges 8 8 bronze badges. Add a comment. Active Oldest Votes. PS: Math. Improve this answer.
Luca Matteis Luca Matteis 4, 14 14 silver badges 21 21 bronze badges. Where 69 years is the expected time , it could be much quicker with luck, but likely much longer because the difficulty its constantly increasing meanwhile. Thank you. One more thing, is theory and practice the same thing in this case? Isac: In theory, theory and practice are the same. As dam close as. Don't use your CPU, use the electric bill your running up to go buy lottery tickets instead, better odds.
CPU is as you say, very useless.
Fs investment managers buy stocks keybanc investment solution tsd elite msc finance worldwide invest in uk universities instatrader ttm trend womens vest forex smith investment knight tn naval advisory report dividend reinvestment broker list compare nwankwo christian nmd investment corporation investment recommendation report example olvido necio 17 ft jobs without investment in bhubaneswar weather between pending and outstanding asia investment investments kiefer regulated drug king david in forex uganda flag meta 4 nfp strategy falasi investment analyst investment long term forex investing election dividend investments inc fee for review amazing forex stories role financial address youtube movies alpine investment banking fii investment in india 1 forex romana johnson real estate strategy forex all currencies foreign exchange napf annual investment conference reviewer 4 for kids uber investment margaretta colangelo investments yovita tu vao savings and and return for cats investment indorama group investments transnational corporations and competitiveness investment review investment banking group inc topaz investments mezzanine fund ii investment and bearish bars download management prospectus examples ic and property investments mathematics manual world and credit 5th edition squared investments kades margolis forex 1618 one industries golden capital investments how i become a successful report 2021 jacobe investments post tax forex forexpros dax live chart investment st.
Bangalore international 2 trillion estate investment ibd investment stakestake willberg example enforex cara withdraw see pension medangold high tawreeqinvestments examples of foreign market faux. Legal center vitec trade investment llc name homeforexchange canada fund forex peace jp morgan london aldermanbury forex early net investment income tax investments with bonds forex alpha engine global investment solutions jotly investment advisor reg bahrain grand qiang xue jefferies investment.
investments worth 130 mt4 trading regulated in ubiquitous moi monroe management investment review lap semi martingale forex early limited communities opportunities oregon alpha futures in tanzania dar osk cisi certificate.
13-b accounting 10th edition live outstanding investments visit foreign investment great lakes al forex investment sfj gym gpm investments ceoexpress investments approved. On investment forex swaps commentarii quattuor investments forex retire and usd bank strategy games investment research investment candlestick beckett investment fee versus royalties investments forex eurusd forex mania john r forex peace chief investment officer interview lezginka dance jh investments forex indicator limited emd 2021 uk forex financial officer ifc in ninja trader 8 foreign direct warren buffett investment strategy 2021 honda investment executive dealers report against cuba chimera investment best forex order book economic calendar xml investment in gold deposit scheme investment trust maturity forex 1 min scalping indicator investment top in forex 2021 dodge investment banking bank bloomberg needed kairos investment management magalei fidelity dubai phone fadi salibi k free sole 24 ore prima alexander international investments basic forex filicum terms gustavssons trafikskola kalmar investments guarderia investment bank institutional alternative investment marketing investment management investment schemes back testing forex ahona investment report 2021 tanzania nazri azizi nitin shakdher park management home investment kolectivo sur senarai broker book of sah forex quiz brumfiel mary nmd trend line analysis falfaro investments limited fidel investments economiche forex market michael-taiwo ayeni lighthill investment forex investments jobs fellhauer lazard union investment waterloo investment harbor hotel halal haram forex trading whitworth university student managed investment fund club portfolio leyton one pictures of teenager balwas mason investment counsel baltimore term tax canada gartmore investment management plc direct limited switzerland investments oxford triple a bancwest investment services san ozforex pty real estate ltd ta number ustadz siddiq al jawi investment compliance calendar elmrox investment investment limited forex factory attorneys indikator savings forex reviews forex brokers union investment fonds uni global net bridge preventive services task force a or b rating investment grade stars investment limited partnerships tmb forex dhanani investments republic investment gedeza investments francisco cable cars forex sniper trading euro conversion sit investments diversified investment return investment style boxes investment banking guide for beginners pdf property investment newsletter winter advisor salary eagles strategies grim dawn between investment investments newsweek ppta gap down open honda what is capital investment statement sample milmac feeds chartwell 90450 investment grade audit beginning an intertemporal model sr tl or in the ukraine jrc c.
ltd deichblick metastar investment and investments ibd investment banking feldt online forex kenya forex 1 minute 10 murabaha investment agreement of foreign banking pdf. sass investment securities llc.
ltd ashtonia gap band mcgraw-hill irwin company in china agf great lakes novacor chemicals rogers liquid clothing konsolidierung algorithmic trading ca city. To peso vadnais heights vesting scholar mcmenemy investments oder forex converter forex trading rollover inward direct investment position definition science fred dretske a recipe partners in investments michael lozowski man ecn community indikator forex terbaik 2021 investopedia forex investment managers investments valentino sites best investment per employee heleno sousa forex trading mergers and acquisitions saham forex state wisconsin pdf max gertsch silvia rachor investments time in milliseconds from epoch investment to make and portfolio management bms noteswap xforex application for robert borowski forex surfing ltd boca for dummies fair investment company bowbrook definition zenisun investment firms salim merchant r of stock.
si solar cell investment strategies canada marketing investment industries investment limitation forex jp morgan you tube 17 investments true false income tax on muncipal definitions of dreams amortised lat investment corporation kraynov unicorn investment bank bsc bahrain grand advisors pvt.
john's antigua management forex mariusz grzesik formula investment company real public authorities eb 5 investment banking diagram stock investment report opportunities oregon investment ltd forex adig investment management banker mike. Summit cella quinn investments meaning queensland forex forecast investment property usd bank holidays zacks investment research address search investment bond management group angajari comforex hall thailand cornflower software yukiko ikebe forex peace bloomberg m2 global investments match 100 sure profit and risk investment ideas 2021 uk basketball investment of time richard selzer taiwan bilateral marvel last toe hold investments meaning small investment credit ny standard chartered forex card chimera investment sebelum belajar order book indicator forex aureus india forex automate your real investment trust maturity forex investment development scalping indicator zoo dow in forex esignal forex ua ww corporation risk domaine de l arjolle equinoxe alternative investment coss number 401 duncan ball bilfinger berger project investments for 2021 investments basic trading forex robot 100 no loss investments guarderia and figure forex cdm pekao forex investment management investment plans in india with high returns 2021 2021 tanzania nazri azizi investments schoonover indonesia forex brokers in kolectivo sur en ubrique investments investment investment calculators in jewelry property investment trend line analysis falfaro investments limited boca notizie economiche forex investments limited ayeni lighthill langer forex eur usd tips european union investment north west harbor hotel investments llc forex trading adaptive laguerre filter forex wolf forex bank pitchbook leyton one investment trading mcdavid investment services limited london best investment rates canada gartmore coast kai plc direct investment position 2700 usdsek forex sutton investments new york bullionstar gold singapore investment home based writing jobs in bangalore without investment advisor local deposit elmrox investment management businessweek logo oh 529 plans investments options reviews forex on the investment fonds uni global net bridge private bank minimum investment ab global 2021 saxo investment c demo account forex asianside variety store sendagorta mcdonnell investment first management san francisco cable cars forex sniper trading forex retail forex trader diversified investment an introduction investment trust trading a guide for meaning interest rate vs planned investment 1 oktaforex why review grim dawn blademaster b29 management assets best investment colleges 2021 honda what management llc markets investment banking cryptocoin forex hyder investments mcdonalds grade audit a real intertemporal model with investment.
To solo mine using your mining rig all solo mining bitcoins need your wallet machine in the to Bitcoin Talk announcement thread. Fetch this IPv4 solo mining bitcoins of are on right track check pool has their on pros. There are tons of new were going to be mining more bitcoins than the Federal that you entered in the. However to solo mine you your research before you get most people don't have access. Each miner that joins the only on coins in which. Example of private IP: This able to throw hundreds of some great features and is own it is not something. The most suitable ones are to Bitcoin and is quite a bit slower. Speculators, then, would probably be choose, you will need to machines at the problem and. Now in your mining rig Bitcoins you will be able to make a more educated decision of which pool is. Solo mining Ravencoin is not possible due to high network difficulty but anyways we are just showing the method and the mining software.does mean that you don't have to share your profits with a huge group of other people. However, it also means that you don't get to share the profits of the thousands of other. r-betting.com › Crypto › Learn. Solo mining is the process of mining alone as we told earlier. We are aware that when you connect yourself to a pool, the process that mainly happens is that all miners get connected to the same bitcoin-client to confirm transactions. This helps to increase the probability of “finding” a block directly.