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Make money mining bitcoins

Bitcoin Mining / July 24, 2021

It's not about how many miners you have anymore. It's not about your hashrate anymore. Mining, due to the price of Bitcoin at this moment, is about judging whether you're served better by buying miners and mining or buying Bitcoin outright.

Buying Bitcoin miners is expensive. The initial capital investment is hard to overcome with the ever increasing difficulty rate. And you must remember that the reduction of the block reward by half is happening in less than two months, which will make that even more difficult. Unless you know a way to get the best miners free or at a steep discount you're at a disadvantage.

Powering Bitcoin miners is expensive. The electricity cost of these powerful machines eats into profit every second they are running. Unless you get free or cheap electricity, you're at a disadvantage.

Cooling Bitcoin miners is expensive. Again, this is usually a steep electricity cost. Unless you live in the Arctic or in the mountains where you can simply use the outside air as ambient cooling, you're at a disadvantage.

Then there's housing, security, maintenance, break downs, network costs, etc. All costs that eat into profits.

If you're looking to mine because you've got an itch to mine, do so. If you're looking to mine to learn about mining, do so. If you're looking to mine to help decentralize the mining process, do so. If you're looking to mine because you want free or easy money, you're going to be disappointed. You'll have a much better return on investment buying Bitcoin outright and holding them.

One caveat to this answer is that the conditions all change if the price of Bitcoin rises significantly enough to make the block reward worth chasing again or the mining fees increase significantly enough to pay miners what the block reward used to be. Then this would change all the numbers involved.