Can You Make Money Bitcoin Mining?

aa lite is a self-confessed geek and gamer fanatic who has waterput together hier own gaming equipments for the past 15 years.

What is Bitcoin Mining?

Lately I’ve bot investigating bitcoin mining spil a source of passive income. I’ve determined that this is very different from attempting to make money by publishing online content. To have a chance of earning anything at all, it requires a fairly big initial investment.

Most people are now familiar with bitcoins, even if they’ve never used them, spil the fresh virtual currency. It is the very first currency to be managed by a cryptographic protocol rather than a central bankgebouw. Basically you pay for something by sending BTC from a virtual wallet ter your laptop to the merchant’s pc.

So how can you make money from this?. Well, theoretically, your laptop can become a knot te the network that processes and verifies the transactions. With every blockchain that is processed a fresh block of 25 coins, worth around $2500 at today’s prices, is created. This is known spil bitcoin mining.

Update Jan. 2014. The mining difficulty has enlargened 50x since I wrote this article. Today it stands at 1.Four billion. This means that if my pool found a block once a day te July, it now takes overheen a month. This makes mining with anything but the most powerful ASICs totally pointless.

The price of BTC has skyrocketed (close to $1000 today), however it doesn’t fairly make up for the rise ter difficulty. According to the profit rekenmachine mining at Five GH/s will get you $1.50 a day. But check for yourself because it can switch dramatically.

If you want to get into crypto currencies, you might want to consider Litecoin rather than Bitcoins. Find out all about it here.

What You Need to Begin Bitcoin Mining

Technically all you need to become a knot te the network, and to embark printing your own virtual mone,y is a laptop with internet access. You can download a free wallet to your laptop, one of several free miner programs, and join te.

Sounds good doesn’t it? The problem is that the laptop power required is phenomenal. If you work by yourself, with only a individual laptop, it might be years before you see your very first block. For this reason most miners join a pool, where the work and prizes are collective.

Ter a pool, when a block is solved and fresh coins created, you will only get a little fraction of a coin. But usually several blocks are solved te a day. The person running the pool takes a puny percentage spil a toverfee (say 3%), but you get (almost) instant gratification.

One significant facet of mining is that the difficulty of solving the blocks increases with time.

So can you make money bitcoin mining with a individual pc? It does depend on how good your PC is. Strangely enough the processing needed for BTC mining is much better done by a graphics card (GPU), rather than a CPU. So unless you have a gaming laptop with a good dedicated graphics card, well you can do it, but you will mine so little that it will hardly make a difference.

There are two GPU manufacturers that provide the chips for all graphic cards, Ati Radeon and Nvidia. It turns out that Radeon cards are much better at bit mining than Nvidia cards. Something to do with the cards’ architecture that doesn’t indeed make a difference te rendering graphics ter games, but makes a giant difference te mining.

My Practice Mining with an Nvidia GPU

I’ve determined to attempt bitcoin mining with my gaming PC, which unluckily has an Nvidia card (GTX 660Ti) if you are interested. The efficiency of your setup is voiced te megahash vanaf 2nd (Mh/s). My card shows up to work at around 100 Mh/s.

I’ve had some teething problems with the client (I keep being thrown out of the pool) so I have not mined for a utter 24 hours, but I’ve managed to generate 0.002BTC. That is worth about 20 cents. I suspect that a utter 24 hours of mining would yield closer to 30 cents.

Also this is very variable, when mining spil a pool, which has a collective power of 3000 Gh/s, wij sometimes succesnummer the payload ter Ten hours, if wij are unlucky, and sometimes ter less than an hour. Overheen time it this evens out.

But reminisce the enlargened electro-stimulation used by strongly using your graphics card utter time. Also the wear and rip on a card very likely means it will not last spil long spil it normally would.

It is possible that mining with my setup will lose mij money rather than earn it.

You might be able to do 3-5x better with a Radeon card. Even better if your PC has two cards running te crossfire mode. But honestly it hardly seems worth the trouble.

Edit: Jan 2014, it is certainly not worth it now. The difficulty is 50x what it wasgoed te the summer!

The Fresh Mining Hardware, Dedicated ASICs

On the other forearm, there is the possiblity of buying an ASIC (application-specific integrated circuit), a chunk of electronics, dedicated to bitcoin mining, that you connect to your laptop. The smallest of the ones now being produced by Butterfly Labs works at 5Gh/s (That’s 500 times better than my card). They are also developing 50 Gh/s ASICs.

According to a fresh postbode from the manufacturer, the miners will draw 5W vanaf Gh/s that they hash. For comparison a 42″ LCD TV is rated at about 200W. So the 5Gh/s Jalapeno miner will use 0.6 Kilo watt hours vanaf day, while the 50GH/s big boy will use Three kWh.

If you pay 15 cents for a Kwh, operating the largest ASIC miner will add about $Ten to your monthly electro-stimulation bill.

The BTC mining profitability calculatorestimates that you will earn $17 a day with the 5Gh/s Jalapeno ASIC, and $170 with the 50Gh/s ASIC, after factoring ter electro-therapy usage. [Edit Nov. 2013: Now the estimate is $Three for a JalapeГ±o and $30 for the 50Gh/s ASIC.]

They are not cheap, the 50GH/s one comes at $Two,500. However, according to the rekenmachine, it would “pay for itself” te 15 days. And then you are basically printing money. The operation requires no more effort than signing ter to an exchange once ter a while to sell the coins that you’ve mined.

Edit Jan 2014: It is hardly worth mining with my 5Gh/s JalapeГ±o now, I reckon I’m making only a bit overheen a dollar a day (unless the price of BTC goes up even more that is). It is very likely spil profitable to mine with the 50Gh/s ButterflyLabs single now, spil it wasgoed with the JalapeГ±o te the summer (around $15 a day).

See what the Five Ghash/s Jalapeno looks like

Other ASIC Manufacturers

Incidentally Butterfly Labs are not the only ASIC manufacturers. Ter fact the other company “Avalon” managed to produce and sell ASICs earlier this year.

However they only sell batches of the miners, and only to people on the waiting list, so if you want to buy from them now, you will not get your device instantaneously.

There is also the option of getting the little Block Erupter USB ASICS, which do 336 Mh/s. I have 6 of thesis mining right now, they use little tens unit and don’t slow down your pc, so are superior to a graphics card.

The Problems with ASICs

Looking at it like this, buying the equipment and becoming a virtual money miner seems like a no-brainer. However, there is a catch, of course there is, otherwise I wouldn’t be telling you about this. At the uur you can’t just go online and buy thesis lovely miraculous money making machines.

When Butterfly Labs very first got into producing them, they raised the money from pre-orders. People paid up to be the very first to get the miners, and the money wasgoed used to develop and make them. But of course there were hitches and delays along the way.

The bottom line is that the smallest Jalapenos have just commenced to be shipped to the people who placed orders months ago. Evidently by now (July 2013), they have caught up with orders paid for at the beginning of November last year.

Technically shipment of the thicker miners has began, but they’ve bot shipping the Singles (50 GH/s) from the very first day of pre-orders, 23rd June 2012, the entire months, and with the Little Singles (25Gh/s) they have only reached 24th June pre-orders. I have seen people predicting that orders placed now, will not be fulfilled till next year.

Albeit one would hope that now that they’ve embarked shipping the smaller ones, the path forward will be smoother and they will be able to produce them at a welgevoeglijk rate.

The ASICs Will Become Less Profitable With Time

This is not just a problem of delaying the fabulous earnings. Reminisce that the difficulty of mining increases with time. So the supermachine that can get you 1.6 BTC vanaf day now, will produce significantly less ter a year’s time.

That might seem like an acceptable risk, if you could get your mitts on them right now, since they should pay for themselves within a duo of weeks. Unless you are very unlucky and the crypto-currency crashes right after you buy them, you should be ok.

But if you have to part with a large sum of money now, and not embark earning for months to come, the risk is obviously much more significant.

Also bitcoin mining cannot go on forever. A limit is set into the system, with the block size being halved every Four years, so the increase ter total currency is limited. Ter a few year’s time there will be far fewer fresh coins generated than there are now.

The 1 Million Dollar Pizza

Ter 2010 bitcoins were used by a puny number of people, and their value wasgoed often negotiated inbetween buyer and seller individually.

One famous case involves the sale of a pizza for Ten,000 BTC. At today’s exchange rate that is the omschrijving to overheen $1,000,000.

I hope the pizza wasgoed worth it!

Will Bitcoins Become a Mainstream Currency, or Will They Vanish?

There is always the inherent risk of dealing with bitcoins, whose price is very volatile. Earlier this year it rose to the insane heights of $260, then ter April fell to $50. It seems to have stabilised ter the last few weeks at around the $100 mark. Since their supply is stringently limited by the algorithm, it is hoped that if they become used by more people their price will rise.

But it is identically possible that it will fall, or they will become downright worthless te a few months time.

Should bitcoins crash, there will be no IMF rescue, and no meetings of G8 leaders attempting to save the currency.

Having said that, there are a loterijlot of investors who are hoarding BTCs counting on their price rising ter the future. Thesis people are usually taking much fatter risks than people spending $300-$2500 on an asic. On the other palm, if you want to invest some money te the hope that bitcoins will be worth more ter the future, you could just buy coins on an exchange, rather than mining them.

Is it Worth Buying BFL ASICs on eBay?

Now there is a way of getting the Jalapeno, and sometimes even the fatter ASIC quicker. Some people who are on the waiting list already, are selling them on eBay.

Or to be more precise, they are selling their place te the queue. You pay the money now (and obviously you pay more than if you bought it straight from Butterfly Labs, but the seller doesn’t actually have the miner te his possession yet. They will ship the voorwerp spil soon spil it is shipped to them by the manufacturer.

It does mean, however, that you will get your (virtual) money printing equipment quicker than if you place the order with a manufacturer. At least with the Jalapenos now shipping you should not have to wait too long for your order. Very likely.

One of the problems of people getting thesis very efficient miners is that the difficulty level is likely to rise quickly once they join the network, since the protocol is set up to produce a fresh block of 25 coins about every Ten minutes. This will make BTC mining much less efficient.

On the other palm there is the possibility that spil mining using simpler devices becomes far less profitable, people without ASICs are going to zekering doing it. Presumably most of the people doing it don’t use thesis expensive and hard to get devices.

There are other risks of buying on eBay. Some offers are evidently fraudulent.

One notable eBay auction involved somebody buying an Avalon ASIC worth $1500 for overheen $20,000!

So what do you think, is buying an ASIC on ebay and bitcoin mining wise?


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There is a very plain way of earning free bitcoin now without doing the Mining yourself.

You can earn a puny fraction of Bitcoin (called Satoshi) every hour by quick sign up at this listig:

You only need a Bitcoin Wallet address to have payments sent, and then click a single button once every hour to receive a few Satoshi (about 50 – 70 Satoshi is worth $0.01 at the uur).

It rolls a random number on the button press, inbetween 1 – Ten,000 and if it grounds on 1- 9885 you receive around 20-30 Satoshi but if you land on higher than 9885 you get much thicker payouts, spil many spil Two,000,000 satoshi.

I have bot doing it for around Four months now and albeit it takes around Trio hours (Three random number rolls) to make about 1 cent’s worth of Bitcoin, I have bot astonished how often you can win fatter amounts by hitting the highest prize numbers (so far I have klapper the 9885+ numbers around 7 or 8 times overheen the past Four months) AND the most significant thing is that when I began the Bitcoin price wasgoed around $Two,500 a bitcoin, but now it’s almost hitting $Ten,000 a bitcoin, so my overall balance is now worth quadruple what it wasgoed Four months ago, so its a fantastic investment because my balance I have earned is now worth Four times more than it wasgoed Four months ago.

I wouldn’t say that it is something that will get you rich. But if you work on a laptop a lotsbestemming (it can also be done on an ipad!) then having the pagina open te a background tabulator/window and clicking the button every hour it soon racks up around 2-3 cents worth of Bitcoin overheen 6 – 8 hours, and then that 2-3 cents grows day by day with the rapidly enhancing price of Bitcoins.

Also, there are options to gamble your balance on a elementary HI-LOW spel, where you bet 1+ Satoshi on whether a dice roll will be low number or high number, and a successful roll wins you dual your stake.

Playing this Hi-Low spel I have managed to earn around 500 Satoshi overheen the course of an hour, so there are chances to earn even more than what you do vanaf hour. Some people are actually managing to earn 2-3 Bitcoins a month just by having a system for the Hi-Low spel that works for them, which means they are earning inbetween $Ten,000 – $20,000 a month, but I have to admit I have not bot courageous enough to stake more than a duo of Satoshi at a time.

If you want to sign up, visit this verbinding:

And like I said, its not a ",get rich scheme", but it is a very ordinary, effortless thing to earn a few Satoshi every hour which albeit may not be a lotsbestemming of value ter itself, seem to be skyrocketing ter value the more Bitcoin rises te value. I read somewhere last week that they think 1 Bitcoin could be worth $1M by 2019. If that is true (and it’s only a analysts prediction), then 20 Satoshi you earn ter 1 hour now, could be worth $30 te Legitimate months time. And if you have overheen 100,000 Satoshi like I have got after Four months of doing this. I could be sat on $150,000 worth of Bitcoin, all for free and just 1 click of a button every hour! So grab some FREE BITCOIN right now. 🙂

The pizza is now more than 20 million dollars.

yecall 21 months ago from California

I find Bitcoin very interesting and promising. I think also that it is fairly hard to understand it, not being a ",techie", sort of person at all. I like the idea of its privacy and I do think it will be fairly an significant currency te the future.

Billy Taylor Two years ago from NY

Well waterput together article. Whoever paid Ten,000 BTC for the pizza vereiste be kicking themselves ter the foot lol.

I hope you and your mining endeavors proceed to see a profit.

I wasgoed wondering if you foresee the BTC price to rise ter the future? If so, how high do you think? I know the Winklevoss Twins predict upwards of Ten,000 – Does it indeed have a slok?

aa lite Four years ago from London

Hi f hruz and thanks for reading. I’ve also seen the amazing price rise recently. The problem is that since I’ve written this, the difficulty has risen by about 30x. The price has risen toughly 9x. According to the profitability rekenmachine, you can make 0.04 BTC ter a day if you have the 50Ghs miner from butterfly labs. Evidently you would make $32 a day with it, which is nothing to laugh at.

The problem is getting hold of it today. And predicting how much the difficulty will rise te the future. If you get the puny Jalapeñ,o miner today, it will make you about $Trio a day. So it depends on how much a Jalapeñ,o (5Ghs) would cost you, and also whether you think this high BTC price will hold, and how much the difficulty will rise te the future months. The fact that the price is so high, will get more people into mining.

f_hruz Four years ago from Toronto, Ontario, Canada

Last I checked, the price wasgoed US$843.34 – how does this switch the equation te the cost of mining?

Te any case, thanks so much for presenting all the details on ASIC’s and how they are used spil part of the cryptic creation and control process . a ingewikkeld mathematics / logic wish land.

I’m sure, it’s high time the entire fractional reserve banking system and the US buck spil a global reserve currency be eliminated from the face of the earth .

aa lite Four years ago from London

Yep it’s certainly not worth it. The difficulty has skyrocketed ter the past few weeks because of all the ASICs on the market. I think it grew Ten fold, so if you could mine 0.1Btc a day with an ASiC (for example) you will now mine 0.01Btc a day.

Last time I looked btc price wasgoed rising nicely, but nowhere near spil much spil the difficulty so the ROI of an Asic would become years rather than months. Should indeed update the article with this information.

Any update on your mining so far.

aa lite Four years ago from London

Thanks Kathryn. I found bitcoin fascinating, but to be fair the difficulty of mining has leaped so much recently, that I can’t imagine it is profitable to get into it right now.

Kathryn Four years ago from Manchester, Connecticut

I voorwaarde be entirely te the dark, because I have never heard of this! Fascinating, but too complicated and risky for mij.

I came here after eyeing the vraaggesprek of you on HubPages’ newsletter. You sound interesting.

Thanks for sharing this, and have a superb night.

aa lite Four years ago from London

I agree Hollie. I guess the question is whether bitcoin is the best crypto currency wij can invent or whether there is something better out there.

HollieT Four years ago from Manchester, United Kingdom

Going back a few points, I’ve not read all the comments, but te terms of criminality, wij can’t overlook the fact that major banks have laundered the proceeds of cocaine on a vast scale. This is not an ",alleged", occurrence, it happened. I also think it would be naï,ve of us to believe that vast and phenomenal sums of money made from all types of trafficking, prostitution, drugs and arms do not some how make their way through our banking ",cartels", There is absolutely no way thesis illicit businesses could prosper and grow otherwise. And then, of course, thesis ",legal", speculators also cause famines, poverty, war (te their greedy attempts to grip whatever resource they deem profitable) I’m not, of course, condoning any proceeds of criminality which might be laundered through Bitcoin. I’m merely stating that wij need to be realistic. If wij are comparing the proceeds of illicit acts which have bot laundered through Bitcoin to that of those which have bot laundered through the ",ethical", (?) system, pound for pound, is there truly any comparison?

Spil for wasting our precious resources, how could wij possibly compare the overheen consumption of electro-therapy for mining bitcoin with the mass manufacture of plastics and all the resources used therein: water, coal, gas and then there’s the pollution of our precious air? Perhaps that’s a examine waiting to toebijten(not)?

Bitcoin is unstable (so is fiat currency), bitcoin is used to launder money (so is our global banking system) Our energy supplies our pillaged to mine bitcoin (so is every resource wij have to manufacture and produce practically every product wij buy)

The question is, which currency creates the least havoc?

I’m not entirely coaxed by bitcoin, but I do believe it has potential- if the speculators don’t get there very first.

aa lite Four years ago from London

Thanks for commenting just-about. Until recently I’d vaguely heard about bitcoin, but never indeed paid attention to it, and certainly didn’t know that you could (potentially) make money mining it.

I also found the entire subject pretty fascinating. I couldn’t truly waterput all the information about how the system works te the hub. I strongly recommend reading more on this subject.

From a practical point of view, a crypto currency is fine ter many ways. The problem is its fine instability, I guess.

You have introduced mij to a totally fresh concept – I had never heard of bitcoins until reading this hub. I’m pretty certain that I’ve not understood fully how money can be made. However, the idea of a single, worldwide cryptocurrency ter the future sounds like a logical development spil commerce for most goods and services is becoming borderless. On the other arm, it also sounds a bit sci-fi . . .

Thank you for getting my brain cells gyrating!

SuffolkJason Four years ago from Ipswich, Suffolk, England, United Kingdom

I guess all online banks (with the possible exception of bitcoin) are vulnerable to hacking. It happens all too frequently to established banks. They find a way to voorkant the cost of fraud (LIBOR fixing, PPI mis-selling or ripping-off puny businesses).

I know that Zurker employs pentesters. The advantage that Zurker has is that it controls the Zen, so if somebody can demonstrate that they have bot defrauded, then Zurker can just substitute the stolen Zen.

When somebody transfers Zen to your account at Zurker you can, with a few clicks, verify that your account has received them. Similarly if somebody mints a Zen coin, you can ",deposit", the coin and check that it’s valid.

When I refer to criminals (I wrote the articles te Zentral but not Preferzen), I don’t mean the people using malware. I mean the criminals that use bitcoins to launder money, to trade te drugs and worse.

aa lite Four years ago from London

Ok I’ve read the Zen faq. It seems to mij that it is ",verified", by a central authority rather than cryptography.

To mij it seems like it might lead to a major security problem. Spil ter if the central authority is attacked by hackers. If this hasn’t happened yet, it might be because the Zen is simply not significant enough.

The bitcoin protocol is peer to peer. The ",ledger", of transactions is on the pc of anybody who uses it. To ",cheat", the system, you would need to switch the gegevens on most peoples’ computers (or for the majority users who most likely number ter the millions to be complicit on the crime). I think this gives the bitcoin a loterijlot of security.

I also see that when you refer to criminals you mean the people using malware. This is obviously bad, but it is not terrible. Basically what thesis people do is subvert the victims’ computers to mine for them. The victim provides the electro-therapy and their rekentuig hardware, the criminal gets the bitcoins.

This is te a way similar to the malware that adds text verbinding ads to websites that don’t use them on victims’ computers, the malware authors earn from the ads, rather than the webpagina owners.

Don’t get mij wrong, I’m not defending malware spreaders. But spil criminals go they are not exactly equal to drug dealers, the mafia etc. Who I think might be liking bitcoin because of its anonymity.

aa lite Four years ago from London

Yep I’ve just bot reading your articles on the webpagina you linked it. But I have to say that spil you are obviously invested te Zurker (I think I joined it but toevluchthaven’t done anything with my account, might be much better than other social media, but all my friends are on FB, I don’ t think I could budge em, and a social network without people you know is not truly all that useful).

I would be interested to know how the Zen is secured, te other words how do you make sure it isn’t faked. And if you take part te a transaction with Zens how do you prevent the ",dual use", problems. I think te Satoshi’s original paper about the bitcoin protocol, the need for all the processing is I believe, exactly to prevent that problem.

I could be wrong, but it seems to mij that the question is this: a bit coin is basically a string of code. When you pay for something with your BTC, the code is transferred to another person, but what is there to zekering you from using that BTC again. The reaction is that with every transaction the code gets switched, ter a way that requires a lotsbestemming of processing power, and the peer-to-peer network lets everybody’s wallet know that the old bit of code is no longer valid.

What is Zen’s solution to this? How can I know that the Zen you are suggesting mij te payment is a real Zen? If there is a central bod controlling the currency, how do wij know wij can trust them?

Spil to who the bitcoin miners are, well they could be anybody. Yep some of them can be criminals, but spil long spil they are not the majority, their block chains will not be accepted by the network (from scanning Satoshi’s original paper, he says that spil long spil the majority of the network are honestly, and not attempting to attack it, it is secure).

Anyway I guess the reaction to a lotsbestemming of my questions are to be found ter the 2nd verbinding you posted. I will now go and read it.

SuffolkJason Four years ago from Ipswich, Suffolk, England, United Kingdom

I have high hopes for the Zen ( It’s a fresh digital currency and is regulated by Zurker a democratic, member-owned social network. It’s like a revolutionary digital currency founded on a revolutionary social network. I now that it’s a bit naï,ve and idealistic to hold onto thesis fantasies but I’m hoping the latest revelations about the National Security Agency and PRISM will persuade more people to challenge the status quo and look for alternatives.

aa lite Four years ago from London

You might be right. However, I wonder if any digital currency, by it’s very unregulated, anonymous nature, wouldn’t be used by criminals. I just think that either you have institutions through which the transactions go, i.e. banks, so it is difficult for criminals to use the money without being traced, or you have a currency without central control, which is superb for criminal activity. Not indeed eyeing how you can have an ter inbetween state.

The tens unit use worries mij. The fact is that if you’re using cryptography to control the currency, you have to make it need a lotsbestemming of processing power to ",encode",, otherwise anybody could ",make money", on their iPhones. Spil I understand it, what makes bitcoin ‘real’, is that the effort to fake it is equal to the effort required to make it. Ter a way you can’t fake it, its value lies ter the processing power to make it. If you’re willing to waterput te the processing power involved, you are not printing fake money, you are making the currency.

I am not disagreeing with your points, I’m just telling that I’m not sure you can have a digital currency that is independent of bankers, that wouldn’t have thesis problems. Maybe the bitcoin is the best that is possible. Maybe the entire system just can’t work. Which would be a pity.

SuffolkJason Four years ago from Ipswich, Suffolk, England, United Kingdom

I guess that ",normal", currencies do have some environmental influence but you might have hoped that a digital currency, by its very nature, would have a minimal influence and not depend on vast processing power.

I agree that traditional banks have bot a disaster. I’m very much ter favor of a universal digital currency so that wij can all avoid banks, bankers, transaction fees and currency risks. It’s unfortunate that the very first digital currency to capture the media’s attention wasgoed the Bitcoin which (for all the reasons I mentioned above) is of no practical use to ordinary members of the public or businesses.

Bitcoin’s volatility, its association with criminality and its lack of regulation have delayed the digital currency revolution which will see the overthrow of conventional banking.

Perhaps Bitcoin’s value will remain high until an alternative, practical digital currency knocks it off its pedestal.

aa lite Four years ago from London

Hi Jason, I agree with some of your points. For one thing using up the electric current to make the currency is truly bad for the environment, and i think it is a indeed bad by-product of the protocol which aims to keep the increase ter bitcoins sustained. On the other mitt, do ",normal", currencies not have an environmental influence, I don’t know.

I also think that the fact that it is used by criminal elements (because it is hard, albeit evidently not unlikely, to trace the transactions) is a bad by-product.

On the other forearm, eyeing how banks have messed up the world economy, for which ordinary people are suffering, and how the Fed, various national financial authorities or central banks, did nothing to prevent the 2008 crash. I am not sure that fiat currencies are doing so well. I mean look at the euro.

Whether bitcoin prices are a bubble that will burst ruining its value, or whether its use will become widespread and prices will hold, is the big question. Te think it could go either way.

SuffolkJason Four years ago from Ipswich, Suffolk, England, United Kingdom

Ter my opinion, even at $100 each, the Bitcoin represents a speculative bubble which will inevitably burst at some point. The Bitcoin is volatile, consumes vast amounts of tens unit to ",produce",, used by cyber-criminals and is not backed by any tangible organization. If you were attempting to vormgeving a dysfunctional digital currency, I don’t think you could do much better! More here:-

aa lite Four years ago from London

Yep. I guess there is no risk with Adsense. But there isn’t much build up either, nowadays.

aa lite Four years ago from London

collegedad, that is an interesting question, and I’m afraid I don’t have an reaction, I’m not truly sure what the legal definition of a currency is, or US law.

I guess it is not a ‘fiat currency’, whatever that is exactly. I suppose it could be described spil a token system (albeit indeed isn’t paper money just a token system truly). It’s creator described it spil ",a peer-to-peer electronic specie system",.

I think a Forbes reporter described bitcoins spil more similar to uncommon stamp collecting, rather than currency. I think he wasgoed talking more about investors hoarding the coins, hoping that their value will skyrocket at one point

There is no doubt that it is legal. It is also being taken earnestly by the official bods. Evidently this year anti-money laundering regulations were extended to BTC transactions.

WriteAngled Four years ago from Abertawe, Cymru

Think I’ll stick with hoping for the odd Adsense click!

collegedad Four years ago from The Upper Peninsula

Ok, my very first question is how are thesis bitcoins legal. It’s illegal to create currency here te the US so is this a true currency or just a token system of sorts? I’m not attempting to be disrespectful. It just doesn’t make sense to mij.

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Spil of March 21, 2017, the “average” miner earned no more than $170 minus their electro-stimulation cost vanaf month! Spil of today December 8, 2017, the parameters have switched considerably. I deny the sisyphean task of continually updating thesis calculations. Take this reaction spil a prototype. Use the linksom given to repeat the calculations with today’s parameters—bitcoin exchange value, difficulty, global mining capacity, and the latest mining gear.

Determining the amount the average miner earns vanaf month requires statistics that are not readily acquired. Mining overall, world broad earns $66 million vanaf month. There are 6,676 knots on the bitcoin network. The average take vanaf knot is obviously $1000/month.

“Average” overheen what population? Should it include hobby miners? How should wij count large server farms dedicated to mining and using zero cost or subsidized electric current? What about Mining Pools? provides a useful way of determining the payout for a straight forward mining setup.

Using a premier mining equipment, the Antminer S2 which is on suggest for $2250 through Amazon, the coinwarz mining zakjapanner shows it earning $170 vanaf month. At Ten cents vanaf kilowatt hour, the televisiekanaal take would be minus $17 vanaf month!

I would argue that with the rate of obsolescence of mining equipments, a premier equipment such spil an Antminer establishes an upper trussed on what can be earned by a solo miner. The average take by a solo miner who joined the fray any time before today is earning a loterijlot less unless they were wise and turned the equipment off when more advanced mining equipments caused the difficulty to rise and made it unlikely to pauze even. That same solo miner may well have earned a loterijlot of bitcoin overheen time. If they kept them while the price rose, they might be VERY rich. That possibility is another story.

I already wrote an reaction to a similar question so I am gonna copy/paste it here spil well.

This question has no immobile response spil there is something called mining difficulty. It is a dynamic parameter that controls hash power needed to mine a bitcoin block.

For solo mining with a single 120 Mhashes/s card, you would expect to find one block approximately every 98 years. One block is presently 25 BTC.

Current difficulty makes solo mining entirely inadvisable under practically all circumstances.

The only solution for a miner is to join a pool.

Unless you have exceptionally cheap electrical play or have a use for the fever output from the graphics card(s) (e.g. heating your house for winter), graphics card mining is unlikely to be profitable for you.

Check out more on this topic ter this ter depth guide on mining .

Original question: How much money do Bitcoin miners make?

It depends on the miners.

However, today it’s not profitable for average persons to mine Bitcoins. Now only specialized companies and pools can generate profits.

AntPool is the largest Bitcoin miner spil of now. It is operated by Bitmain, a Chinese company that develops ASIC devices (special mining machines). Their machines are the best te the world, and the company says that overheen half of the miners worldwide use their equipment.

If wij don’t count the revenue from their machines and other products, then Bitmain can generate from $70 to $100 million annually from mining alone.

Thus, wij don’t speak about billionaires anyway – there is no billionaire entity that has grown from mining to this point. Bitmain is the largest miner te the world, and it needs at least Ten years to generate $1 billion from mining, but this is only considering the current conditions, because spil time passes, mining becomes even more challenging, spil the prize vanaf block is lowered.

Here are the largest miners spil of today:

Spil you can see, the five largest miners have 70% of the mining market, and none of them can reach $1 billion only from mining.

You can profit from mining by becoming part of a mining pool. A mining pool is a group of miners who join together to make the process more efficient and have the chance against competitors. The profits are then collective among the pool members. However, you need an initial investment of course.

The mining process requires much electrical play, which is why guys who have this can succeed:

Otherwise, embarking alone is not that profitable.

Hope this helps!

$90/BTC), using $13 worth of tens unit.

It depends how much you are willing to invest originally . Few days ago I have answered about profitability mining bitcoin.

It turns out that is very lucrative if you are mining te Serbia. With $5k investment you could make $5k televisiekanaal profit te very first year. Next year $10k nipt profit. If you dual the initial investment you will dual the profit.

Here is more detail analysis and explanation.

About 200% profit. And that’s not taking into account Bitcoin’s appreciation overheen time.

December Ten, 2017

The euphoria has worn off, or maybe the Bitcoin futures launching tomorrow have slowed people down, but wij see that Bitcoin has commenced to erase some nice gains. My 0.00776 BTC is all of a sudden only worth $118 instead of the $145 it wasgoed worth last night.

But you know what didn',t switch? How much Bitcoin I mined.

For the last Four days the 14.5TH contract with Hashflare has earned on average 0.00194 BTC a day. At that rate it would be mining 0.7081 BTC a year ter the best script. But te just the last 6 months the mining difficulty has doubled. So once again let',s be pessimistic, cut our projections ter half, and assume wij',ll be mining 0.3540 BTC te the next year.

Some quick math. Bitcoin wasgoed harshly $16,000 when purchasing the contract for $2150. Assuming wij were earning 0.354 BTC overheen the year and using that same price of Bitcoin at the end of the contract wij were expecting a total value of $6,018. A nice 179% profit for the year!

Had wij not spent the Bitcoin on the contract the other option of profiting is holding Bitcoin. At $16,000 vanaf Bitcoin wij could have taken that $2150 and bought 0.1344 BTC. At the end of the year, assuming the same conditions spil above with mining, wij would have had. wait for it. 0.1344 BTC with a value of $2150. And if the value of Bitcoin went way up, wij still have more Bitcoin and therefore more value.

Regardless of the price of Bitcoin wij made money. Now of course, this can',t substitute brief term trading spil the massive volatility ter crypto can fetch you some truly welvoeglijk profits. But for those without the mental fortitude and patience required and just want to hodl Bitcoin spil store value, I dont see why the same principle spil always doesn',t apply. Waterput your money to work for you. If you can have your money now be more money at a future date, why hesitate?

If you found this helpful and do end up buying a contract with Hashflare, please don',t leave behind to use my referral.

Everyone is interested to earn a gorgeous amount of money. If you are looking to earn some reserve metselspecie and your digital treasure te the most profitable way, then Bitcoin mining is best option for doing so. You vereiste think about mining and investing ter the all-digital currency when you think of earning money with the

Everyone is interested to earn a magnificent amount of money. If you are looking to earn some toegevoegd contant and your digital treasure ter the most profitable way, then Bitcoin mining is best option for doing so. You vereiste think about mining and investing ter the all-digital currency when you think of earning money with the help of Bitcoin. There are many ways to introduce the uses of Bitcoin. Wij are going to tell you the effortless and significant methods of how make contant with the help of Bitcoin.

What is Bitcoin Mining?

Bitcoin mining is spil a source of passive income that is very different from attempting to make money by publishing online content. It needs a fairly big initial investment to have a chance of earning anything. It is the very first currency that is controlling by a cryptographic protocol rather than a central handelsbank. The process of mining digital currencies involves solving ingewikkeld cryptographic puzzles. You have to be a knot te network and kicking off to print own virtual money is a laptop along with internet access.

Power up

Mining requires a high level of electric current. If you are building a DIY equipment, you need to have ATX power supply unit or (PSU) te any case. This will worth to invest te most efficient supply you can get.

When building a mining equipment, you will need to have an account of the power requirements of all components that you are using like graphic cards. This is also a very good idea for providing some excess capacity to overeenkomst with unexpected events and provide the potential to overheen clock your system.

How to use Bitcoin for earning money?

It’s not difficult to make money with Bitcoin, the ordinary way is to build and manage your own Bitcoin program. You can earn anywhere inbetween $50-$800 vanaf month by running your own Bitcoin system by an effortless process and methods. If you are running own Bitcoin program so you will be paying out petite amounts of Bitcoins to your users te order to build up much more by ads that you have waterput on your webpagina.

Set up own Bitcoin webstek to have passive income

It is the most significant chance to make money with Bitcoin is most likely to embark your own Bitcoin information webstek. This type of webstek will explain the basics of Bitcoin to fresh users. On the other forearm, you will be making money from ads and associate offers. Te the initial stages it takes a little time and a puny amount of money. However, after long run it will terugwedstrijd the best amount on your investment.

Mini Earning- puny time petite amount

There are some websites that will pay you petite amount of money te exchange for doing a certain tasks. Such websites are called “Faucets” which involve finding at ads te a single or other ways.

Actually webpagina owners get paid when people view and interact with ads but a few websites, such spil Bitcoin faucets, will share some of those earnings with their visitors. With some, you will kill aliens or feed animals, there are some others that you’ll see movies or click on ads. But there are some websites that will infect you with malware and viruses.

Writing- You can turn your literary abilities into metselspecie

Internet is total of endless forums and message boards that create opportunities. Thesis forums suggest best chances to spread word about products and services, and some companies will even pay you to promote their products on thesis forums. You have to provide explanation about the products. Sometime this involves little more than modifying your signature and putting an ad code into it.

The other websites will pay you ter Bitcoin for writing articles and blog posts. It makes a chance for you to create own blog, place ads on it and get the money by Bitcoin. If you love to know any other language so you can perform some translation work for Bitcoin. If you know how to write, you can earn Bitcoin lightly, because most opportunities are te English, and some are ter other languages.

Selling Products and Services

You might know that Bitcoin is a currency so it means you can earn money of selling about every sort of product and service simply by accepting Bitcoin spil payment. Now a day the major websites like etc accept Bitcoin spil payment. Te case you want to be a top marketer or good artist or any other that you can sell your services and wares and accept Bitcoin ter exchange. Ter case you’re already selling something so consider Bitcoin spil payment. Bitcoin offers a superb range of opportunities for the bold and earning of money. All-digital currency makes conducting business around the world cheaper, lighter and time saver.

Mine your own wealth- Bitcoin Mining

This is the oldest way of creating a spectacular amount of money through Bitcoin. You can also solve out elaborate algorithms by Bitcoin that blogs and adding to the public ledger. The public ledger is the history of all transactions that is conducted through Bitcoin. Basically miner creates the public ledger and let the Bitcoin system to function. When they create fresh blocks, miners are rewarding with fresh Bitcoins. This is a kleuter of motivation to more miners to get ter on the activity, which permits the Bitcoin community to grow.

Te the past people used to their huis PC to mine Bitcoins. However, after some time mining has become more difficult spil the algorithms have become more sophisticated. Now you can buy a specially mining or can join with a Bitcoin mining that is having the power of numerous computers. You can also use Bitcoin Mining Rekenmachine to check out the profitability of Bitcoin mining.

Bitcoin can provide you money by Gambling

You might be having information about the online casinos that is getting famous every other day. The online casinos are pretty forward where you can play by your luck. Bitcoin is providing the same chance to play a spel of luck through which you can earn a good amount of money. If you score a superb jackpot so you can earn good amount of Bitcoins. This all facility is providing by Bitcoin.

Earn Money by Rente and Loan

Lending is the oldest way to use your own money and earn more than your specific amount. You can have a kleintje of rente upon your money. Ter this case if you loan out some money to a relevant party and they will pay you back with having a sufficient rente. Rente rates will vary with the involving of risk.

Eventually if you are serious to earn money by Bitcoin so you have to know how to make the best use of your money. Wij hope our step by step methods and ideas could help you a lotsbestemming. For further information you can visit our webstek at WWW.INTERNETSEEKHO.COM


sharif sherzad

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