Just like good computers cost more money, good mining hardware is expensive. This does not include electricity costs or equipment costs more on this below. When purchasing mining hardware, you will want to look at these metrics: A higher hash rate means a more powerful miner. You can use this simple calculator from Bitcoin Wisdom to determine how much money an amount of hash power will earn per month.
Hardware Efficiency Hash power is not the end all for determining good miners, though. Miners use massive amounts of electricity. You want a miner that has both a high hash rate and uses the electricity provided efficiently.
The Antminer S7 is also the most efficient miner available on the market, with 0. Consider that the previous version of the S7, the S5, had an efficiency of just 0.
That means the S5 uses twice as much electricity per hash as the S7. Equipment Costs Miners generate heat, and also need to be supplied with electricity.
Unless you already have the needed parts, you will likely need to purchase cooling fans and power supplies. Electricity Costs Electricity costs can make or break any mining operation.
How Bitcoin Mining Works
A monthly electric bill means monthly costs on top of the upfront cost of the hardware. In the USA, for example, most mining hardware is run in Washington State, where there is cheap hydroelectricity.
Minex is an innovative aggregator of blockchain projects presented in an economic simulation game format.