Ethereum’s is called Ethash. The developers claim that this algorithm is memory hard, which makes it ASIC resistant. While Ethereum is currently proof of work, it is expected to become proof of stake in its next update. Blocks & Block Reward Blocks are generated on average every 12 seconds. The block reward is 5 ETH. Ethereum Cloud Mining is the largest Ether cloud mining provider. Ethereum cloud mining contracts are available for purchase and the prices are as follows: • 1MH/s = $44 (1 Year Ether Mining) • 25 MH/s = $1100 (1 Year Ether Mining) • 100 MH/s = $4400 (1 Year Ether Mining) You can also read to learn how to mine Ether using Amazon’s cloud servers. Ethereum Mining Profitability As with any cryptocurrency, Ethereum mining profitability depends on many factors. The hash rate of your miners in relation to the total network hash rate will determine your share of earnings. Your earnings can also vary depending on Ether’s price relative to fiat currencies like the US dollar. More efficient mining hardware will also increase profitability. The more efficient your hardware can convert electricity to Ether, the higher your profit margins. Strategize reinvestments and get the most profit from your HashFlare Ethash Ethereum mining contract. Thousands of cloud cryptocurrency miners already use Hashflare. Everyone needs to know in advance the size of profit he could receive with Hashflare. For this reason. Apr 23, 2017 - Step One of How to Calculate Cloud Mining Profitability. First you need to know how much the cloud mining will cost per unit of hashing power. As of 23 April 2017 Hashflare.io is selling 100 KH/s for 2.20 USD. That is 1 MH/s for 22 USD. Use a static calculator first. This will provide the baseline static. An Ethereum mining profitability calculator can be used to determine a rough estimate of your earnings based on your hash rate, the network hash rate, block time, and the price of one ETH. Two examples of calculators can be found at and. Ethereum Mining Pools Although Ethereum has only recently gained popularity, there are already a few Ethereum mining pools. The two most popular pools are: • • Get an Ethereum Wallet If you’re serious about mining Ethereum,. You’ll need a secure wallet to store your mining rewards. Ethereum GPU Mining It’s possible to. You’ll need to have some familiarity with the command line in order to get started. Ethereum Mining vs Bitcoin Mining Bitcoin mining and Ethereum mining are quite different. Ethereum’s development team is more centralized and can therefore can plan and implement POW changes. The Ethereum development team currently has plans to change Ethereum from proof of work to proof of stake. Changes to the mining algorithm are much harder to implement with Bitcoin and aren’t likely to happen. Ethereum’s block time is set at 12 seconds per block, while Bitcoin blocks are found on average every 10 minutes. Today I wanted to cover how to calculate cloud mining profitability. I had a recent comment on my article: that I’m concerned perpetuates the kind of static analysis that will cause someone to lose money on cloud mining. I’m going to do my analysis for Ethereum Cloud Mining. However, this analysis will work for any coin that has increasing mining difficulty. Assumptions: I’m assuming the price of ETH is static. Because if it goes up, that is simply a bonus. If mining isn’t profitable unless the currency goes up, then one is better off buying the currency outright. Step One of How to Calculate Cloud Mining Profitability First you need to know how much the cloud mining will cost per unit of hashing power. As of 23 April 2017 Hashflare.io is selling 100 KH/s for 2.20 USD. That is 1 MH/s for 22 USD. Use a static calculator first. This will provide the baseline static analysis. For Ethereum I like. As of writing there is a network hashrate of 5398704 GH/s, a blocktime of 13.31 and one ETH going for 48.63 USD. So with 1 MH/s I would earn 0.043093 ETH per month, worth 2.10 USD per month. Multiply that by 12 and the total ETH mined (0.517116) would be worth $25.2. So if the price of ETH stays the same (which for the purpose of the static analysis we will assume it will), and the network hashing power stays the same. Then the profit will be $3.2 after a year IF THE NETWORK HASHING POWER STAYS THE SAME. The problem with a static analysis is that network hashing power does NOT stay the same. Network Mining Difficulty Goes Up If you stop with this static analysis you’ll surely lose money though. Because the network hashing power has historically gone up and gone up A LOT. Ethereum Block Difficulty Growth Since 30 July 2015 In the first four months of 2017 alone, mining difficulty for Ethereum has gone up over 200% from under 100 TH/s up to nearly 300 TH/s. Which means the amount of ETH mined for anyone with fixed hashing power will have been reduced by over 66%. Factoring in the growth rate of block difficulty is the most important factor when determining cloud mining profitability. Step Two of How to Calculate Cloud Mining Profitability Projecting how much the network hashrate will increase over the life of the cloud mining contract is vitally important. You need to make a realistic estimate of how the network hashrate will increase because it will reduce the amount you get from mining each day. The chart above shows the. In this example, Hashflare.io contracts run in 12 month increments. So we need a realistic estimate of how much the hashing power (and thus mining difficulty) will go up over a 12 month period. This takes some guesswork but the best indicator is the past. The August 2015 hashrate of 55 GH/s to the August 2016 hashrate of 3,811 GH/s represents a 6,800% increase. This was the first 12 months of the Ethereum network coming online so I think this number is too high. In 2016 the Ethereum network hashrate went from 511 GH/s to 5,700 GH/s. A 1,015% increase. From April 2016 at 1752 GH/s to April 2017 of 20,300 GH/s was a 1,058% increase. So I based on 2016 I think a 1,000% increase in hashing power is a good conservative guesstimate. That means the hashing power would be around 230,000 GH/s by April of 2018. So then we follow step 1 again using the static calculator. Using the 1 MH/s and a network hashrate of 230,000 GH/s. The monthly ETH mined would be 0.004233 worth $.21. Step Three of How to Calculate Cloud Mining Profitability So at this point we have a projection of how much we’ll get from mining in the first month. And how much we’ll get in the last month. These are just a projections based on a static analysis and a guesstimate of where mining difficulty will be in the future. But the amount mined doesn’t jump down from the first month to the last month. The amount mined is slowly and steadily decreasing. I think a exponential decay model fits the data better but for the sake of ease I think a linear model will suffice. I also think a simplified method works because the cloud mining rates I’ve seen are not close to what they would need to be for mining to be profitable. Take the amount we think we’ll mine in the first month. In this case.043093. Then take the amount we’ll think we’ll mine in the last month,.004233. Subtract the first from the last. Then divide that by 11. From that point you take the starting value of.043093 subtract the decay amount.003943 to get the second months value of.039149. You do this again until you get to month 12. By summing up each month’s value we get 0.283956. Multiply that by the price of ETH of 48.63 USD and we get $13.80. The contract in this example cost 22 USD so this would not be profitable if the network hashing power goes up by 1000% (as it did in 2016) and the price of ETH stays the same. You’d end up losing $8.2. Okay, what if the network hashing power only goes up 500% so it goes up to 135,600 GH/s after one year? You’d mine about.3 ETH worth $14.66. You still lose. What if the network hashing power only goes up 100% to about 45200 GH/s? You’d mine about.387 ETH worth less than $19. What if the network hashing power only goes up 35% to 30,500 GH/s. You’d mine about.45 ETH worth $22.88. Small winner. If Network Hashing Power Goes Up You Start to Lose So what I hope this shows is that if the hashing power goes up, which in the case of Ethereum (and I suspect most coins as well) the amount of coins mined will drop and the profits will be eroded. Easy Method If you believe network hashing power will continue to go up then use this method to determine if mining is even worth a closer evaluation: use the static mining profitability calculator. Use the amount of ETH mined and the cost of the mining contract to see how much you’re effectively paying per ETH. For example Hashflare.io is selling 1 MH/s for 22 USD for a year. That would yield 0.043093 ETH per month x 12 would be 0.517116 ETH for the year mined if the network hashrate stays the same. So the cost per ETH would be 42.54 USD. With ETH trading at 48.63 USD that is only a 14% discount over a year. Unless you’re going to get ETH (or whichever other coin) at a significant discount using the static calculation (say 40-50% below spot price). It’s not worth it. But the Price of ETH is going to double! Then buy ETH directly. Lets say the price of ETH does double in a year. It goes from 48.63 USD today up to $97.26. You could have bought $22 worth of ETH (.45 ETH) and the $22 worth of ETH would now be worth $43.76. With a 1000% network hashrate increase you’d have only mined 0.283956 which would be worth $27.61. Unless the mining is profitable with the price of ETH fixed, you’re better off owning the currently directly even if the price of the currency goes up. At what price would cloud mining be worth it? As of today 23 April 2017, based on a 1000% increase in hashing power over the next year I would not pay more than around $7 for 1 GH/s of hashing power. Based on my projections that would yield about 40%. Given the risk and volatility in cryptocurrencies I would need to see that kind of return for it to be worth the risk to me. With 1 GH/s costing 22 USD, if the network hashing power stays the same I would still only make about 15%. Given the history of network hashrate increases that isn’t worth it. I can get will no market risk. Hashflare.io is nowhere close to $7 per GH/s. Genesis Mining offers 1 GH/s for 2 years for 29.99. Who knows where the network hash rate will be in 2 years. Some People Claim Cloud Mining is Profitable I have read testimonials from people who think cloud mining is profitable. My main question would be is it profitable because the underlying cryptocurrency went up, or because the mining itself was profitable? In other words would you have been better off just owning the cryptocurrency directly?
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Mining Bitcoin (+ Other Altcoins) with. The different options with a NVIDIA GPU. I could not afford this and my dreams began to fade as I opened the calculator. Find out if it's profitable to mine Bitcoin, Ethereum. NVidia Geforce GTX 1080 TI. How to buy a Cloud Mining Contract from NuVoo. EthOS Mining OS ethOS is a 64-bit linux OS that mines Ethereum, Zcash, Monero, and other GPU-minable coins. Altcoins can be autotraded to Bitcoin. Please see the for documentation and answers to common questions. There are 74,945 ethOS rigs mining on 456,225 GPUs. Buy it Now • ethOS is • Buy it at • You must buy one ethOS for each rig on which you plan to use ethOS. Features • Boots and mines: Automatic IP/hostname assignment, no need to install any drivers, configure XWindows, or compile any software. • Supports up to 16 AMD RX Series GPUs: Including support for RX Series voltage control and Z170/X/Z270/X/Ryzen Chipsets. • Supports up to 16 NVIDIA GPUs: Any 2GB+ GTX 900 and GTX 1000 series. • Supports up to 8 AMD R7/R9 Series GPUs: Any 2GB+ HD 7000 series, any R9 200/300/Fury/Nano. • Supports multiple coins: Ready to mine Ethereum, Zcash, Monero and many other gpu-minable coins. • Browser-based terminal: allow setup and configuration of ethOS rigs by connecting to their IP addresses via your web browser. • Supports all hardforks and softforks: No need for extra Blockchain storage, blockchain syncing handled by pools and wallets. • Works on your hardware: Running on thousands of rigs with thousands of different components. • Remote configuration: Instruct rig to remote reboot, set core clocks, mem clocks, fan control, pool info, and other settings remotely. • Extremely lightweight: Works with weakest possible CPU made in the last 5 generations on only 2gb of ram. • GPU overheat protection: GPUs will automatically throttle or turn off if they reach temperature thresholds. • Stratum enabled: Automatically configured to mine via efficient stratum. • Automatic reporting: Web panel with detailed rig statistics, charts, and event reports (). • Easy KVM: A terminal window opens with focus on boot, no mouse required. • Easy update: Update to the latest ethOS version with a single command. • Fast startup: Fast miner startup, low disk/cpu usage, and no out-of-space issues. • Bios flashing: atiflash utility allows for quick gpu bios flashing. Development ethOS was released in February of 2016. All proceeds from ethOS sales are distributed among the development team. CryptoCompare needs javascript enabled in order to work. Follow these instructions to activate and enable JavaScript in Chrome. PC • To the right of the address bar, click the icon with 3 stacked horizontal lines. • From the drop-down menu, select Settings. • At the bottom of the page, click the Show advanced settings link. • Under the Privacy section, click the Content settings button. • Under the JavaScript heading, select the Allow all sites to run JavaScript radio button. • Finally, refresh your browser. MAC • Select Chrome from the Apple/System bar at the top of the screen. • Select Preferences. From the drop-down menu. • In the left-hand column, select Settings from the list. • At the bottom of the page, click the Show advanced settings link. • Under the Privacy section, click the Content settings button. • Under the JavaScript heading, select the Allow all sites to run JavaScript radio button. • Finally, refresh your browser. |
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