Cryptocurrency mining is a process of solving complex mathematical problems. Miners play the role of a cornerstone of many cryptocurrency networks because they spend their computing power and time in solving the math problems, which provide proof of work to the network, verifying the Ether transactions. The ethash asic miner receives rewards in Ethereum for completing a task.
Why should you mine ether?
Making money is the primary motivation of mining, it turns the act of doing mathematical problems into a reliable business as the miners receive rewards for each block, including the transaction fee that is paid by the users. All these things contribute to the overall revenue.
Besides making money, there are some other reasons for mining ether. Any selfless community member can decide to mine in order to secure the network, because every additional hash counts. It can also be helpful to acquire Ether without investing in the asset directly.
Another benefit of mining is heating. Yes, the mining devices convert electricity into cryptocurrency, while also dissipating heat. It may be a rather unconventional way to warm up your home, but it is an option.
Is mining ether profitable?
The profit of mining relies on the rates of electricity in a particular area. The lower the price of electricity, the higher the revenue.
If you are planning on mining from a place, where the cost of electricity is higher than $0.2/KWh, then it will impact the return on capital and overall profit as well.
The professional miners often move their operations into specific regions, where they can get the electricity at the lowest prices. It enhances the overall profit for the industry. However, you can also perform mining from home if you are getting electricity at a lower rate.
Maximum hash rate, minimum electricity costs, and hardware costs are the key to successful and profitable mining.
How to choose the best mining hardware?
Choosing the right mining hardware i.e. Linzhi Phoenix is a must to maximize the profit. When you are selecting a mining device, make sure you consider the possible hash rate, energy consumption, and purchase rate as well.
The purchase prices are often ignored by the professional, which can affect the entire process of mining. The mining hardware will not last forever as teardown is a factor.