Is Bitcoin Mining Profitable?
Bitcoin mining can be fruitful for some miners, but in many cases, it has been observed that the miners don’t get back invested cost of hardware and electricity. The computation hardware devices used in bitcoin mining consume electricity equal to 1 million PlayStation together. As the bitcoin mining process has gotten more complex over the years, the electricity consumption in bitcoin mining has also increased. Single bitcoin, one would require electricity worth more than an average US household’s nine years of electricity consumption, says the Cambridge Bitcoin Electricity Consumption Index. Bitcoin mining can be profitable when you succeed in mining a bitcoin and your mined bitcoin trades at a decent rate. Joining a mining pool can help miners earn profit from bitcoin mining as joining a pool divides the resources and allows them to use them collectively.
What is bitcoin mining? How does it work?
Cryptocurrencies are one of the most advanced pieces of technology, attracting investors throughout the globe. Among these cryptocurrencies, Bitcoin is one of the most popular ones. It’s a simple digital currency that works on a decentralized network and doesn’t involve any financial institution or government. Bitcoin turned out to be quite profitable for many people. However, investing in bitcoin has many downsides, too, like its prices are very volatile, and still, it’s not accepted as a currency in most parts of the world.