Bitcoin Mining Rigs?

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jaggedben said:
And that's quite an unrealistically low price of electricity in the US if you're not using enough to broker wholesale prices.
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ERCOT has been issuing requests virtually every day for customers to voluntarily cut back on electrical energy consumption because due to the heat wave in Texas reserves are very low and there is a risk of blackouts. If I were King Of ERCOT I would be shutting down all cryptocurrency "mining" activity on the Texas grid at least until the choke point has passed.
 
LarryFine said:
Plus the costs of the computers, racks, space, network and power wiring, and the labor.

I have to wonder how long it takes to break even.
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Absolutely. Mining rigs are around $3,000 and consume about 3kW of electricity, based on various readings. Even bare bones infrastructure would probably be about 2x or 3x (wild guess) the electricity cost.
 
Bitcoin mining refers to the process of validating and recording transactions on the Bitcoin network. The primary purpose of Bitcoin mining is twofold: validating transactions to prevent fraud and adding new blocks to the blockchain, thereby creating new Bitcoins in a decentralized manner.
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Seems very circular.
 
gadfly56 said:
It takes about 143,000 kW-hr to mine one bitcoin, or about $7,500 worth of electricity at $0.05/kW-hr. Bitcoin price as of this writing, $26,035.19.

minerdaily.com

How Much Power does it take to Mine a Bitcoin? - Miner Daily

We assess how much power it takes to mine a bitcoin in kWh, MW, and GW. We also explain how Bitcoin's network growth will slow in the future.
minerdaily.com minerdaily.com

Keep in mind that as time goes on, it's harder and harder to mine a bitcoin. At some point it's going to cost as much as it's worth.
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I would put large error bars on the kWh per coin number.

By design the number of calculations per coin will go up over time.

You can expect the number of calculations per kWh to go down as hardware improves. Meaning you need to buy new hardware to keep up.

If (big if) that Amazon unit has the hashs/kWh efficiency numbers used in the article that suggested 143MWh per coin, then 1 machine would take several years to make 1 coin.

From distant memory, bitcoin 'mining' is probabilistic, meaning that getting a bitcoin for your work is random. I think people join 'pools' to share costs and rewards.

Jon
 
ggunn said:
If I were King Of ERCOT I would be shutting down all cryptocurrency "mining" activity on the Texas grid at least until the choke point has passed.
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I'd just make crypto mining pay the wholesale price, not the hedged price that that retail customers usually pay.

If someone wants to run their mining hardware at $9.00 per kWh, let em.

Jon
 
We had a cryptocurrency mining operation move into a closed paper mill in far northern Wisconsin. The power infrastructure was already there, but it looks like the project is stalled. The investing company lost about 94% of its share value over the past two years. Evidently China has banned these types of operations, so they are moving to countries like the US.
 
jim dungar said:
We had a cryptocurrency mining operation move into a closed paper mill in far northern Wisconsin. The power infrastructure was already there, but it looks like the project is stalled. The investing company lost about 94% of its share value over the past two years. Evidently China has banned these types of operations, so they are moving to countries like the US.
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Wait, what?? If China has banned them, wouldn't that make a US project that much more attractive? :unsure:
 
As far as the utility of the calculations performed, except for the chance of gaining a Bitcoin, they are totally useless. A waste of computing power.
(Turing(?) once ridiculed one of his grad students for writing an assembler for a computer language. He felt that were much better uses of computing power than saving programmers time. )
 
scrubbin said:
So using this calculator https://simplemining.net/asic-miner-profitability/antminer-s19 and using the fastest Antminer S19 XP Hydro 255/THs at .10kWh for electricity I would make $71.00/month profit. The Antminer S19 XP Hydro costs $6,000. and has a lifetime of approx. 4 years. So 84 months to pay it off and at 48 months it needs replaced. :unsure:. Anyone care to lend me some capital to mine bitcoin?
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Ahh! You plan on starting a 'Capital Depreciation Fund'. I bet you could guarantee a 50% return of one's investment.
 
GoldDigger said:
As far as the utility of the calculations performed, except for the chance of gaining a Bitcoin, they are totally useless. A waste of computing power.
(Turing(?) once ridiculed one of his grad students for writing an assembler for a computer language. He felt that were much better uses of computing power than saving programmers time. )
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A story told to me by my machine language programming professor:

There was a semiconductor company that made microprocessors that assigned a team to optimize their on board microcode that translated high level instructions into machine language. The team mined a bunch of input code and searched for the code for the most commonly used instruction, which they used as input to their optimizing algorithm. The problem is that they didn't investigate what the instruction actually was. It was WAIT. :D
 
I know some CB'ers that would buy it just for the high amp 12v power supply
 
Joethemechanic said:
Seems very circular.
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The 'blockchain' is an algorithm for creating a distributed anonymous ledger.

Imagine that I buy something from you by simply saying 'I owe you a dollar', and I record that transaction in a big book sitting in a gazebo in the town green. In that book it simply says 'winnie owes Joethemechanic $1'. Then you buy something from ggunn, by again making a record in the book. The actual dollar never changes hands.

The blockchain is a cryptographic algorithm for maintaining that book on a network of untrusted machines with the various users are also not trusted.

The bitcoins are simply numbers assigned value that are used to reward people participating in that network. The bitcoins have _zero_ value except for their perceived scarcity.

bitcoins are like dollars, in the sense that they kind of sort of represent promises from one person to another. But they have no hard value.

The blockchain ledger might have value separate from bitcoin, for allowing people to agree to exchange things of actual value. Say we use blockchain to write in the ledger 'winnie owes Joe a pint of beer'. You could use that pint of beer to buy something from ggunn. But at some point someone is going to want to drink that pint, and someone will need to deliver. And then everything will come crashing down when they realize that the fractional reserve bankers have shared 3 pints of beer out 19 ways.

-Jon
 
bitcoins are like dollars, in the sense that they kind of sort of represent promises from one person to another. But they have no hard value.


-Jon
[/QUOTE]

Bit coins is just like the dollar they both have no hard value. The dollar stoped being backed by gold and we switched to the petro dollar.
 
winnie said:
I don't think the dollar has any sort of strict tie to oil either.

-Jon
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Correct it’s a verbal agreement between nations. It’s has become the world currency for oil trading.
That kinda why it’s scary with BRICS and what may happen to are dollar if everyone drops it like a hot potato
 
Liquid-cooled rigs are pretty sweet for keeping things chill, especially if you're thinking about heat recovery. As for how long they have to run, that's a complex question—depends on your rig's hash rate, current difficulty, and the price of Bitcoin. Internet speed isn't usually a bottleneck, but you'll want a stable connection. The calculations are for validating transactions and securing the Bitcoin network. It's like a decentralized ledger that everyone trusts 'cause of the work miners do.
 
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