Bitcoin Forum
November 06, 2024, 02:13:45 PM *
News: Latest Bitcoin Core release: 28.0 [Torrent]
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Mining Hashrate Profit Guidelines  (Read 1141 times)
BTCThousandaire (OP)
Full Member
***
Offline Offline

Activity: 127
Merit: 100



View Profile WWW
August 06, 2013, 04:58:58 AM
 #1

Hashrate Bitcoins produced in one year
333M .25
1G   .87
2G   1.78
4G   3
5G   4
8G   6
20G   18.1

This should be a reasonable or optimistic mining projection.
So total costs should not exceed these numbers for the year starting today.

Using:
Bitcoin = $100
Difficulty growth/Month = 80% or Difficulty growth/11 days = 29%
mining.genesisblock calculator
Current difficulty of 37M on August 5 2013

Using my own calculations, Bitcoins generated every 2016 blocks, at 20% difficulty increase(about 11-12 days), produces 5x that amount in a year.
At 29% it is 3.45x. This differs from the genesisblock calculator, I don't know why, but I used simple geometric series calculations so I must have missed something. Maybe someone can point out the difference. Anyways, their numbers are more optimistic.

Losses adjusted for n months delay to start mining, per 1 GH
1 months .4   46% loss
2   .62   71% loss
3   .75   86% loss
4   .82   94% loss

DigitalHermit
Full Member
***
Offline Offline

Activity: 150
Merit: 100


Thank you! Thank you! ...


View Profile
August 06, 2013, 11:56:29 AM
 #2

Losses adjusted for n months delay to start mining, per 1 GH
1 months .4   46% loss
2   .62   71% loss
3   .75   86% loss
4   .82   94% loss

I think this last bit is the most interesting/useful for would-be miners to understand. It is the reason people become absolutely livid with delays from BFL, Avalon and any other ASIC seller as delays rapidly destroy any potential for profit (other than profit for the mining equipment companies of course).  Roll Eyes

I imagine in the future that more savvy miners (unlike the current math-challenged crop) will demand a purchase contract with built-in discounts off the agreed purchase price to offset any delay (46% discount for 1 month delayed, 71% discount for 2 months delayed etc...).

I, for one, will never "pre-order" mining equipment without such a contract in place or without the funds being 100% in escrow to make a total refund possible if/when a shipping date slips.
Pages: [1]
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!