Good News in the Bitcoin Mining scene
As reported by a crypto Influencer Alex Krüger, the current surge in the purchase price of bitcoin, bitcoin mining are very profitable again.
He calculated that following the mining rig depreciation, the price of bitcoin through mining has become 3,850$, although the market evaluation of bitcoin was 3,200$, hence creating mining non-profitable. But as of today the cost of bitcoin through mining following rig deprecation calculates to somewhere around 4,350$ while the trading cost of bitcoin is about 5,600$, which leaves us with $1250 profit as of now.
Krüger's calculations have been based on some assumptions, and he's priced the amount of power at 5.5 cents per kWh, while he costed Antminer S9 asic miner at 200$ using a depreciation period of 1.5 yrs. Although these may be accurate for some states, they are not for others.
His calculations are somewhat more than just what some Chinese miners cover power in China. The power cost in China is approximately 3.5 cents per kWh, and also this current price cut is a result of the production capacity of power plants in southern China being more than the requirement. Applying the identical grade as Alex, we've calculated that the purchase price of a mined bitcoin in China is about 3000$ which creates a profit of over 2000$ for Chinese miners. Krüger in among his tweets stated that:
An exact number is heavily dependent on electricity cost. e.g. last December Coingeek reported an electricity cost (inclusive of all operational expenses) of $0.073. I am using $0.055.
An alteration in the energy price can cause huge disruptions at the mining cost. But as nearly all bitcoin mining operations have been conducted from China, it's safe to suppose that lots of miners have seen favorable balance sheets during the downfall of bitcoin.
The Actual Price of Bitcoin Mining Round the Planet
A U.S. based power company calculated the price of mining bitcoin all over the world. They utilized standard rigs composed of Antminer S9s because the normal metric. Based on their calculations, South Korea is among the most expensive states to mine bitcoin, together with the price being up of 26,000$ to get one mined bitcoin. Germany, Portugal, and Belgium will also be appropriate behind South Korea at the most expensive states for bitcoin mining race. While Venezuela because of its authorities subsidized, power is the least expensive state for bitcoin mining, costing just 531$. The research revealed that the majority of the 114 countries investigated were too pricey for mining bitcoin because of high power prices.Some countries in Europe are very profitable, to cite : Sweden bitcoin mining, Romania bitcoin mining hosting, Slovakia bitcoin mining.
China banning BTC mining is very good for miners elswere
While the purchase price of bitcoin mining is 1 face of this coin, the legality is another pressing problem. Chinese miners embody a contradiction; greater than 80 percent of the planet's bitcoin is mined from mining channels in China while its own trading has been prohibited in the nation. Nevertheless, this will change shortly, and the nation will prohibit Bitcoin mining. In that program, 450 recorded farms are "poisonous" and need to be removed immediately. Bitcoin mining is among the practices found in the "cleansing" policy.
In the event the Chinese government prohibits bitcoin mining, the resulting hash rate decrease will be golden chance for miners from different nations. India, Romania, Bangladesh, and Iceland because of their cheap electricity costs can take whole advantage of this circumstance.