Mining is a funny term. You’re not indeed “mining” bitcoin ter actuality. Bitcoin (and other cryptocurrencies) are based on a technology called Blockchain. Blockchain permits for a public ledger of transactions that are secure and safe from hacking. Miners are simply people or businesses who contribute the processing power of computers to the blockchain network, generally through a mining pool. This compute power could be CPU, GPU, FPGA, or ASIC based. Indeed te the early days of Bitcoin, mining wasgoed exclusively CPU based with GPUs following not too far behind. Ter those early days it wasgoed even possible to mine Bitcoins with computers spil petite spil a Raspberry Pi. Spil the network grew and the difficulty rose, miners quickly moved to mining Bitcoin with a GPU.
The progression of Bitcoin Mining went like this:
- CPU Mining – The base standard which everything began
- GPU Mining – A single GPU today is harshly equal to 30 CPUs
- ASIC Mining – A single ASIC miner today is harshly equal to 400 GPUs (12,000 CPUs)
Spil you can see overheen time mining power has enhanced exponentially. An ASIC based miner which costs toughly $2500 today can perform the work of 12,000 PCs which would cost $Eighteen million dollars. The ASIC miner makes far more sense.
How the Bitcoin Network Size Effects your Miner
It’s super significant before wij go any further with a discussion of mining Bitcoin with a GPU that wij zekering and understand how the network size affects mining.
Some are likely to think with more miners on the network more Bitcoins will be mined. This is indeed false. Bitcoin is released at the same rate regardless of network size. Bitcoin has a motionless supply and stationary schedule that is followed. When Bitcoin mining very first began, Bitcoins were released at a rate of 50 coins every ten minutes. 50 coins would be released whether there were Ten people mining or Ten million people mining.
Today, just 12.Five Bitcoins are released every ten minutes, but the number of miners has enlargened Ten,000%. To waterput this ter perspective, if ASIC mining were strafgevangenis a thing there would be
25 billion CPUs mining Bitcoin today. That’s insanity! So 25 billion CPUs mining only 12.Five bitcoins vanaf ten minutes. Are you ready to waterput this ter perspective? With your desktop PC mining only with your CPU you are 200 times more likely to klapper the lottery ter your state than you are to everzwijn find a Bitcoin.
Fantastic, but mining Bitcoin with a GPU has to deep-throat that away right? I mean you can waterput six GPUs ter a laptop and get the Bitcoin mining omschrijving of 180 CPUs. That will dramatically increase my odds. It sure will! You’ve now leveled the playing field! Your just spil likely to win your local state lottery spil you are to find a Bitcoin. See the problem? To find a Bitcoin you need a Lotsbestemming more processing power.
What about Mining Pools however Mike?
Some of you more familiar with mining are telling “Wait a minute Mike, no one solo mines. I don’t need enough power to find a coin on my own! I’ll just mine ter a pool and share the prizes.”
This again might sound like the way to go at very first. Just throw all of your GPUs into a local mining pool and share the prizes based on the percentage of work your miner submitted.. Mining with a GPU just became profitable again! Well, not so prompt. Let’s look at the numbers.
With a GTX 1060 GPU you’ll be capable of about 20 MH/s Bitcoin hashrate. Spil part of mining pool, your GPU would bring ter about $.000112 a day of revenue. The 1060 uses about 95 watts of electrical play. With an average electrical cost of Ten cents vanaf kwh. Your total electric current spend would be $6.84 a month. This fairly literally puts you $6.84 ter the slot every single month.
Let’s face it. Mining Bitcoin with a GPU is not profitable te 2018. Can wij zekering the madness now?
Mining Bitcoin with a GPU: Hope is Not Lost!
But wait! There’s more! Hope is not lost for mining with a GPU. There are slew of alternative coins that can still be mined with a GPU equipment. Thesis coins include Ethereum, ZCash, ZCL, and many more. Check out the tour of my Ethereum mining equipment and my postbode on learning to mine Ethereum to learn more. I also did a comparison of the most profitable mining GPUs for 2018.
Hope you have a fantastic 2018 and GPU mine the heck out of those alt-coins!
About The Author
Your host and resident “scientist.” Mike is the founder of The Geek Pub. A jack of all trades who simply loves the challenge creating things, whether from wood, metal, chemical, or lines of code ter a rekentuig. Mike has created all kinds of projects that you can go after and build yourself, from a retro arcade cabinet to plantation shutters for your huis.