Bitcoin Mining Calculator: We all know that Bitcoin has come into the main stream within the last few months when suddenly its price rose from around $900 to $2000 and it has been increasing since then.
This steep increase in the prices has turned a lot of eyeballs to Bitcoin, hence thousands of people are jumping into cryptocurrency world every day.
And if you are one of those who are willing to grab their share of profits through Bitcoin mining, then trust me to mate you are at the right place.
A lot of our users wanted to get into Bitcoin mining but are unaware of the investments and the profits that they can make through it. So we made this guide for calculating Bitcoin Mining Profitability.
I would also share some basic tips(not much technical) related to Bitcoin Mining calculator.
Moreover, You can directly Check Bitcoin Mining Profitability with the below Tool.
Bitcoin Mining Calculator 2017
So this was simple and quick Bitcoin Mining Calculator where you can easily check your BTC mining profitability.
How To Use Bitcoin Mining Calculator:
To use our Bitcoin Profitability Calculator, you just need to do a few steps:
- Enter the Hash Rate of the Bitcoin Miner.
- Click on “Calculate Mining Profit”
- That’s it!
See how simple it was. It will just take a few seconds only.
Since you are here on this page, you must be thinking to start Bitcoin Mining as part-time or full- time, right? But before you take the leap, let me make you a bit more aware of Bitcoin Mining.
Factors To Consider in Bitcoin Mining
Bitcoin mining is not difficult as it seems and not easy either. You just need to grab a few hardware, software, cool place and electricity to get started.
Though mining Bitcoin has become very competitive these days, but it could still be profitable because of the increasing Bitcoin rates.
So here I would be throwing some light over a few things to consider before getting your hands dirty with BTC Mining.
Bitcoin Mining Hardware (Miner)
First and foremost, you need to buy a mining Hardware also called a miner. This is Application-specific integrated circuit chips (ASICs) which would connect with your software to mine Bitcoins.
The hardware is the upfront cost that you need to bear and it would cost you a few hundred dollars. The latest mining hardware is Antminer S9 which costs around $1500 with a 1600W power supply. This miner would generate around $5-$7 worth of Bitcoin every day, hence you would need a year to recover your investment.
Moreover, You need to check the Hash Rate of the miner which is generally in units of W/GH, P/GH, T/GH etc. Higher the hash rate, higher would be the performance of the miner and more number of Bitcoins would be mined.
By putting the hash rate in the Bitcoin Mining Calculator, you will get the know how much you can earn with the certain hardware.
Electricity cost is one of the key factors that you need to take into consideration as it could make you a lot of profits or loss.
Since it is a recurring cost you must check the electricity rates in your area and then calculate the profitability according to it.
If you get cheap electricity then you would surely make a good profit out of it. The maximum number of miners are located in China, the reason being cheap electricity.
On the other hand, profitability in the USA might reduce due to high electricity charges. But in USA also, you can set your rig in the state like Washington, where electricity prices are comparatively low.
So try to find the place with the lowest electricity charges but you need to take some more factors into consideration as well.
Weather plays an important role in determining mining profitability. The hardware used for mining produce huge heat all around the room. Hence you would need a cooling system to keep the temperature of the room moderate.
However, If you live in a cold area like Canada, then it could help you save your electricity bill which you would have spent on normally heating the room.
You would require external cooling fans to keep the hardware cool enough so that it does not burn itself down due to overheating.
Apart from the expenses, you need to take mining difficulty into consideration. Bitcoin Mining difficulty is increasing rapidly with new miners joining the pool every minute.
Every time difficulty increase you would require more power(hash rate) to effectively mine bitcoins. And over the period of time, using your existing hardware would be no more profitable as they would consume more electricity and produce less BTC.
So, You need to upgrade your hardware once it becomes less profitable. And as I already told you, Hardwares are not cheap at all.
If you are new to Bitcoin, then you might not be familiar with Bitcoin Block Reward. A miner is paid everytime a block is solved by them. And they get fees for efficiently solving the block.
This Bitcoin block reward is halved every 4 years.
Currently, the reward for solving each block is 12.5 bitcoins and it will drop to 6.35 on 18th June 2020.
This would eventually reduce the miner share considerably. But if the price of Bitcoin is doubled within 4 years, the reward remains the same when considered in fiat currency.
Things to Remember
Apart from the above-stated factors, there are a few more points that you must keep in your mind.
- Revenue is based upon the current Bitcoin price and difficulty. Your revenue will probably decrease with the increase in difficulty and as per my experience difficulty increases with time.
- Revenue is calculated on the basis of the current USD price. It might vary with time.
- Revenue is Not Profit. There would be many over-head expenses like cooling equipment, electricity fluctuations, internet cost etc. You must surely take them into consideration before calculating your final Bitcoin mining profit.
I hope our Bitcoin Mining Calculator and Guied helped you a lot.
Do share it with freinds who would love to start Bitcoin Mining.
You must also have alook at:
- Ethereum Mining Calculator and Guide
- How To Buy Bitcoin with Credit Card
- Spend Bitcoins with Bitcoin Debit Card