Is Bitcoin mining a profitable business?

[shield132]

Introduction
In the ever-busy world of business, profits and losses are key components experienced by those in it. However, from a very tender age until this minute, I have not come across anyone who chooses to make losses. Certainly, everyone loves to make profits through any means possible.

Uber just made a profit recently in Q2 2023. Btw as far as I know, sometimes mining companies are forced to mine when the profit almost doesn't exist, there are moments like that when the price is very low or when the halving comes, and no one can compensate 2x less reward immediately.

Bitcoin mining is a very profitable business, because mining companies pay back their investments in 1 year.

Bitcoin mining is not a very profitable business, at least not for an average person. It's profitable for those who have free or very cheap electricity and competition is so high that commercial companies have occupied cheap electricity with some bribes to politicians.

Bitcoin mining was profitable but now gradually decreasing mining hash rate regularly. But when Bitcoin mining hash rate was large then it was profitable i think. Moreover huge people still mining Bitcoin. For Bitcoin mining we have to see some things.

It's the opposite. Mining becomes less profitable when more people mine on the global market, e.g. when the total hashrate volume increases. When hashrate decreases, the difficulty decreases too and it's easier to profit.

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[JustineCollins09]

Considering large pool miners. it do not seems to be a good business now days. Value of your ASICC miners will decrease every day you might end up even broke. It needs a good strategy along with big investment to be profitable

[stompix]

It depends. Mining takes a lot of investment—equipment, electric bills, internet, and more than you can imagine.

Electric bills and internet are running costs, not investment!

but it is possible if you can afford it and are knowledgeable about building a fine and efficient mining rig.

Nobody builds mining rigs, you buy an ASIC, you put it on a shelf and you power it on, the only time the miners decides on efficiency is when he buys the type of gear he will mine with it. 

Bitcoin mining was profitable but now gradually decreasing mining hash rate regularly.

Yeah I can see that decrease:


100% up in a year /S

So that when you join a mining pool, you have the opportunity to be able to do more creative things within the circle and industry, and as well you need that funding to be able to do quite a number of things, for example, an affordable electricity, to earn rewards that you are planning or that you are aiming in the mining industry even if it is not monthly though.

Creative things , like?
Writing poems about bankruptcy or what?   

I have a feeling that more times passes and Bitcoin grows as well as adoption the more of a mystery mining begins to look to some, much like religion!
I mean seriously, it's basic business, you have x and y, just as you plan a donut shop near NYPD headquarters or a pork ribs food stall in Riyadh, it's pure economy, you have the means or you don't, cost and profits, 5th grade elementary school economics.

[philipma1957]

It depends. Mining takes a lot of investment—equipment, electric bills, internet, and more than you can imagine.

Electric bills and internet are running costs, not investment!

but it is possible if you can afford it and are knowledgeable about building a fine and efficient mining rig.

Nobody builds mining rigs, you buy an ASIC, you put it on a shelf and you power it on, the only time the miners decides on efficiency is when he buys the type of gear he will mine with it. 

Bitcoin mining was profitable but now gradually decreasing mining hash rate regularly.

Yeah I can see that decrease:


100% up in a year /S

So that when you join a mining pool, you have the opportunity to be able to do more creative things within the circle and industry, and as well you need that funding to be able to do quite a number of things, for example, an affordable electricity, to earn rewards that you are planning or that you are aiming in the mining industry even if it is not monthly though.

Creative things , like?
Writing poems about bankruptcy or what?   

I have a feeling that more times passes and Bitcoin grows as well as adoption the more of a mystery mining begins to look to some, much like religion!
I mean seriously, it's basic business, you have x and y, just as you plan a donut shop near NYPD headquarters or a pork ribs food stall in Riyadh, it's pure economy, you have the means or you don't, cost and profits, 5th grade elementary school economics.

well the donut shop near the cops will work.

but the pork ribs I am not so sure.

[serveria.com]

Introduction
In the ever-busy world of business, profits and losses are key components experienced by those in it. However, from a very tender age until this minute, I have not come across anyone who chooses to make losses. Certainly, everyone loves to make profits through any means possible.

In a case where I happen to be the only one that sells a particular brand within a region or state, it is expected of me to make profits. But if there are other competitors that sell the same brand as me within the same region, the tendency of making profits is likely not to happen due to the competition.

I tried to apply a similar scenario to Bitcoin mining. We all know that several miners around the world compete to solve a difficult mathematical problem, which aids the creation of a block. After the successful creation of a block, the miner is rewarded with some Bitcoin. Sadly, I can't tell the exact number of miners globally, but I think their population is enough to make the reward process very tough.

Questions
1. With the large population of miners around the world, could every miner earn a reward at least once a month?
2. If it's impossible for every miner to earn at least once a month, does that mean that mining is not a profitable business?

Note: I am asking these questions based on a miner's perspective, considering the cost of power supply consumed and the fixing/replacement of faulty mining machines.

Mining is no different from any other business. You should try to spend as little money as possible in running costs and earn as much as possible in rewards. Possibility of finding a block depends on your size, bigger operations have more chances. Another option is to join a mining pool if you can't afford a huge farm.
But all in all, you should try to find the best location, with lowest electricity prices, reasonable employee wages and taxes. Some powerful, efficient and modern hardware will also be helpful. And finally, like in any other business venture, you'll need some luck.   

[Olatundespo]

The mining of Criptocurrancy is so expensive.Cryptocurrency mining can be profitable under the right circumstances but it depends on several factors such as the cost of electricity the price of the cryptocurrency being mined, the efficiency of the mining hardware and the difficulty level of mining. Profitability can fluctuate significantly over time due to changes in these factors and market conditions.

Eventually mining can require substantial upfront investment in equipment and ongoing operational costs. It's crucial for miners to carefully consider these factors and perform detailed cost-benefit analysis before getting involved in mining.
Excess electricity has been used for mining and it directly effects to environments.
China have been stop their mining BTC 2022 for the reason of pollution of environment. Most Bitcoin mining occurred in the United States, according to IP addresses from so-called hashers that used certain Bitcoin mining pools in 2021.

[edevald]

Here in Brazil, the US$0,23/kWh makes mining impossible resulting in negative profit, you have to pay to turn ON your rig.

The ROI of an RTX4080 is around 188 months if you are lucky not to burn it or it reaches an antecipated end of life.

[Crypto Panter]

Introduction
In the ever-busy world of business, profits and losses are key components experienced by those in it. However, from a very tender age until this minute, I have not come across anyone who chooses to make losses. Certainly, everyone loves to make profits through any means possible.

In a case where I happen to be the only one that sells a particular brand within a region or state, it is expected of me to make profits. But if there are other competitors that sell the same brand as me within the same region, the tendency of making profits is likely not to happen due to the competition.

I tried to apply a similar scenario to Bitcoin mining. We all know that several miners around the world compete to solve a difficult mathematical problem, which aids the creation of a block. After the successful creation of a block, the miner is rewarded with some Bitcoin. Sadly, I can't tell the exact number of miners globally, but I think their population is enough to make the reward process very tough.

Questions
1. With the large population of miners around the world, could every miner earn a reward at least once a month?
2. If it's impossible for every miner to earn at least once a month, does that mean that mining is not a profitable business?

Note: I am asking these questions based on a miner's perspective, considering the cost of power supply consumed and the fixing/replacement of faulty mining machines.

The answer is a big YES!
Mining business has turned into industrial business and many at-scale mining farms are growing. So it's reasonable to be a competitive and tough business but it's still one of the most profitable industries with the minimum Return of investment around 17 months on average! It makes it very lucrative business for investors that know its risks.

There are some parameters and essentials you need to provide in order to afford launching a mining farm.
1- Cheap electricity rate in range of  3-5 $cent /kwh
2- having high initial budget to spend buying equipments
3- Having an exact business plan for cost & revenue
4- planing for maintenence and supply on frequent base to keep high uptime

It's the most profitable business atm if you can satisfy its requirements, no matter how many miners exist in the maket!... The price will adapt itself with the Bitcoin network difficulty and competition

[FP91G]

Mining is a profitable business, but there are always risks of bans in different countries.
As the price of $BTC surges and demand outpaces supply, @WhiteHouse
worried $BTC mining could put significant strain on the power grid; crypto officials tell @FoxBusiness
fears are overblown but will be used to try and increase regulation on the industry. More now
https://twitter.com/CGasparino/status/1762525370455032023