Profit calculator calculates bitcoin, why is our computer the most accurate?


There are many factors that affect your profitability. Two of the main factors that affect your profitability are:

Bitcoin price and total network hash rate.

Bitcoin network hashing rate is increasing at a rate of 0.4527678% per day. This means that if you purchase 50 TH / s of mining hardware, the total number of network parts will be reduced every day compared to the total network hash rate.

Our calculator assumes a 0.4527678% increase in daily hash rate as the average daily increase for the past 6 months.

There is no factoring in this growth, most Bitcoin mining calculators show MORE, more profitable than actual results.


Quick tips
Mining is not the fastest way to get bitcoin.

Buying bitcoin with a debit card is the fastest way.

Bitcoin price
While the hashing speed will cause your hash rate to drop, the Bitcoin price can help offset some of these losses.

Bitcoin price is rising at a slightly lower rate of 0,403% per day for the past year. We recommend entering a custom Bitcoin price into our computer based on what you expect the average price to last over next year.

Prices have been falling for most of the year, which is a factor that needs to be considered strongly in your calculations.

What our computers assume
Since our computer only has a year-long project, we assume the block reward is 12.5. We also use the current Bitcoin price in our calculations, but you can change the Bitcoin price to whatever you want to get better data.

Factors affecting profitability
Mining can be an effective way to generate passive income. However, there are many factors that affect mining profits and sometimes they are out of your control.

Some people seem to believe that they will be able to quit their job nine to five after investing in a few Bitcoin mining tools - unfortunately, that's not necessarily the case.

How do you know if tapping is right for you?

It is important to understand the drivers of constant change that play a profit-taking role, especially before you invest your money. However, appropriate passive income can be generated if you play the cards correctly. Discover the factors that you need to consider before purchasing mining hardware:


Quick tips
Mining or buying bitcoin? You can't do anything without a Bitcoin wallet.

Our guide to the best bitcoin wallets will help you choose one. Read it here!

Initial investment
The initial investment in efficient mining hardware is probably one of the things that prevents you from activating and for good reason. Hardware mining is expensive!

In fact, the high cost of dedicated mining hardware ASICs (Application-specific Integrated Circuits) is largely to blame for centralized Bitcoin mining in China.

In case you didn't know, the majority of mining activity is in China, mainly due to cheap electricity (more on that later). Because ASIC is expensive, many average consumers do not have the capital to invest.

Result?

Major mining corporations operate mining farms with thousands of ASICs. The average Joe can't even buy an ASIC, fewer than thousands of them.

Instead of mining being spread all over the world, the validation process is controlled by fewer people than the first prediction when Bitcoin was founded.

The impact of ASIC on Bitcoin aside, it's important to determine your ROI timeline before investing. Some hardware may not pay off itself. The following additional factors are largely responsible for determining the time of your ROI.

You can use the calculator above to determine your expected income based on the ASIC you are using and your electricity costs.

Block rewards and transaction fees
Once a block is validated, the contributor of the necessary computing power will receive the block reward in the form of new BTC and transaction fees.

Bitcoin's blocking time is about 10 minutes. Every 10 minutes, a block is verified and a block reward is given to the miner. When Bitcoin was first created, miners received 50 BTC to verify a block. For every 210,000 blocks - about 4 years - the number of BTC in the block reward half.

50 BTC per block seems high, but it is important to consider the Bitcoin price at that time much lower than it is today. As the Bitcoin block reward continues to halve, the value of Bitcoin is predicted to increase. So far, that trend is still true.

First, the amount of newly minted BTC (commonly known as coinbase, not to be confused with Coinbase exchange) halved to 25 BTC and the current coinbase reward is 12.5 BTC. Finally, there will be a circulation supply of 21 million BTC and the coinbase reward will no longer exist.

If BTC is no longer minted, mining won't be profitable, right?

Mistake.

Bitcoin transaction fees are issued to miners as an incentive to continue validating the network. By the time 21 million BTC has been minted, the volume of online transactions will increase significantly and the profits of miners will remain the same.

Of course, block rewards have a direct impact on your mining profits, as well as the value of BTC - as the value of BTC is very volatile, the block reward will change. Also, confirming a block successfully is the only way you will generate any revenue by mining.

This leads us to the next point:

Block difficult
If you can connect the dots, perhaps you have realized that block rewards are worth a lot of money. Watch:

12.5 BTC x current BTC value (approximately $ 7,200) = $ 90,500. NOTE: The market is currently on sale - block rewards are always subject to change.

If block rewards are worth so much, why don't people buy ASICs?

Bitcoin mining is not that simple - that's why millions of dollars have been invested in research, development, prototyping and selling specialized mining hardware.

Even if you invest in a dedicated mining ASIC that can cost thousands of dollars, the chances of you successfully validating a block are minuscule.

ASIC has caused Bitcoin's mining difficulties to soar. Moreover, you are competing with others on the network to authenticate a block. Those with more computing power are more likely to validate a block.

As stated before, companies have established large-scale mining operations in China with thousands of ASICs operating in sync. They are more likely to validate blocks than you alone.

However, there are many ways for the little guy to make a profit. If you want to start mining Bitcoin, consider joining the Bitcoin mining team. You will work with other miners to increase your collective hash power, thus increasing your chance of validating a block.

If a block is validated by your mining team, the block reward will be distributed according to the amount of computing power you have contributed. For example, if you are responsible for 5% of hash power, you will receive 5% of the block reward, minus the pool fee.

Mining groups may not seem attractive at first because you have to disclose rewards, but they are actually a smart move, as they significantly increase the odds of you confirming a block. Otherwise, you will likely consume a lot of electricity without really being rewarded for your work.

Talking about electricity:

Electricity costs

Electricity cost is probably the factor that has the biggest impact on profitability.

After all, Bitcoin's SHA-256 mining algorithm is classified as Proof-of-Work (PoW) because the work must be done to validate the network. 'Work' is computational power - so electricity is needed to validate the network.

Always look at miners' hash power / energy consumption. Ideally, you want an ASIC with a high hashrate and low power consumption. Such an ASIC will be effective and profitable because you hope to validate a block that is worth more than your electricity costs.

If you do not successfully authenticate a block, you will end up spending electricity with nothing to show for your investment. If you want to maximize your profits, buy ASIC most efficiently and tap where there's cheap electricity.

If you're looking for a great ASIC BTC mining tool, check out Longmint's Dragonmint T16.

In the United States, the average electricity cost is about 0.12 cents per kilowatt hour. In other countries, electricity costs will vary. Asia's electricity is particularly cheap, which is why China is home to many mining operations.

Conclusion
Bitcoin mining is very competitive. If you are looking to generate passive income by mining Bitcoin, that is possible, but you have to play your card right away.

To make a profitable profit, make sure you:
Mining with cheap electricity
Buy the most effective mining tool you can
Join a mining team
Please be patient
Now you have the tools to make smarter decisions. Mining is competitive, but rewarding. If you invest in the right hardware and combine your hashing power with others, your chances of making a profit will increase significantly.

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