Post
Topic
Board Mining speculation
Re: Is bitcoin mining worth it?
by
jimmothy
on 01/03/2014, 23:28:08 UTC
It used to be easy to calculate the days to break even on a miner and make a decision to buy or not.

False. We only thought our calculations were more accurate. Now we know that calculations are just about guaranteed to be way off.

Maybe you were stupid.

I always understood exactly what I was calculating.  When power bills were less than 1%, it was easy to ignore operating expenses, now you cannot do so.

As for difficulty,  My 6 month projections have been +/- 10% for the last 2 years.

You are telling me you were able to accurately calculate the difficulty growth rate even with a huge amount of unknown variables like value of btc, hardware sold, hardware being used, new asic manufacturers, private farms, etc..

Can I borrow your magic crystal ball? Or did it stop working all of the sudden?

Seriously though, why can you not make reasonable estimations now if you could a few months ago when much less was known about the effect of asics?

Seriously, I can.  Learn to read.  It is not as easy as looking at mining earnings only any longer.  You must also consider operating expenses now, and the inevitable day when expenses exceed your bitcoin earnings.

Con recently posted that he sold off his Avalon because electricity costs more than it earned.  That day is coming for everyone soon.

Learn to read? What am I doing now?

Yes I understand that now (like gpus a year ago) inefficient asics will need to be shut off because they cost more in electricity than they earn.

This doesn't take away from the fact that the difficulty of bitcoin was never easy to calculate. You had no idea how many avalons/bitfurys/bitmain/bfl/asicminer were going to sell so your calculations were based entirely off guesses and that has not changed.