The cost of mining the network.

[organofcorti]

I've made some inroads in determining the electricity cost of securing the network: http://organofcorti.blogspot.com/2013/06/125-cost-of-securing-network.html

3. Summary

Main points:
Network electricity use is governed mainly by users with hashrates up to 20 Ghps
At 10 MW and an estimated average electricity cost of US$ 0.15 per kWh, the cost per day of securing the network is US$36000 - not hundreds of thousands of dollars per day, as new sites estimated.
Also:
We have an estimated 30000 user accounts in the network
The network has doubled in hashrate since April 14th, but the total electricity use has increased by only a third.
A large number of CPU and GPU miners came and went in April - and had no significant effect on the hashrate, but a very large effect on the total electricity use.

However to make the estimate more robust, I need some help, and I've posted a survey: https://docs.google.com/forms/d/1EgNjL-N6mMEfOsDup2Pr7I5B9sM2LUVZOGcddcBCEFI/viewform

It looks a bit long and daunting, but most miners will only have to answer ten questions or less, and it should take less than ten minutes. I'll make the data publicly available to whomever wants it.
Also, sorry about having to get you to convert your local electricity costs to US$ - the conversions were going to be a headache!
Cheers all!

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[1715599372]

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[os2sam]

Should I take the survey before or after my Block Erupters show up?

[organofcorti]

Should I take the survey before or after my Block Erupters show up?

Right now, pleasesirthankyou.

I'll be putting up the survey monthly if I can get enough respondents, so your Block Erupters will count next time, never fear!

[os2sam]

never fear!

Ok, I'll do my best.

I did the survey.  I have a 5830 and 5770 and your survey only wanted specific info on the 5830.  It seems to me that it is missing the info on the 5770, except for the total hash rate.  Is that what you intended?
Thanks,
Sam

[organofcorti]

never fear!

Ok, I'll do my best.

I did the survey.  I have a 5830 and 5770 and your survey only wanted specific info on the 5830.  It seems to me that it is missing the info on the 5770, except for the total hash rate.  Is that what you intended?
Thanks,
Sam

Sorry it's not clear - I wanted the total hashrate you have and the average hashrate for your highest hashrate device.

I just looked at your response, and if it's the one added just now, then you filled it correctly.

Thanks os2sam

[os2sam]

never fear!

Ok, I'll do my best.

I did the survey.  I have a 5830 and 5770 and your survey only wanted specific info on the 5830.  It seems to me that it is missing the info on the 5770, except for the total hash rate.  Is that what you intended?
Thanks,
Sam

Sorry it's not clear - I wanted the total hashrate you have and the average hashrate for your highest hashrate device.

I just looked at your response, and if it's the one added just now, then you filled it correctly.

Thanks os2sam

I can't quite visualize how you'll use this data for power consumption figures.  But I guess we'll find out when you post the resulting analysis.

See you at next months survey.
Sam

[KSV]

still more eco friendly than all the banks in the world. . .

[mhps]

still more eco friendly than all the banks in the world. . .

To speed up transaction at store check-out point Bitcoin will need payment service providers. People will also need BTC loan service, credit card, investment service... in short, when BTC economy exapands, it needs most part of today's financial institutions -- banks, incurance companies... Either that or BTC becomes a reserve currency only.

To the OP -- I think in China industrial electricity cost is about $0.13 and for residence it is $0.08 per kwh. Chinais a significant contributor to the total network hashrate due to ASIC miner and (I think) a large number of internet bars.

[organofcorti]

still more eco friendly than all the banks in the world. . .

To speed up transaction at store check-out point Bitcoin will need payment service providers. People will also need BTC loan service, credit card, investment service... in short, when BTC economy exapands, it needs most part of today's financial institutions -- banks, incurance companies... Either that or BTC becomes a reserve currency only.

To the OP -- I think in China industrial electricity cost is about $0.13 and for residence it is $0.08 per kwh. Chinais a significant contributor to the total network hashrate due to ASIC miner and (I think) a large number of internet bars.

Could be. That's why the measure of electricity use is a better metric.