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Cyber Bitcoin

Aswe know howto calculate the cost ofbitcoinmining,aswe understandbitcoinmachinerelated recessivefeeand machine industrytraps, the restthat weshould do isthat we shouldfocus on the marketing,learn how to dobest buyand sell. The reasonwhy we mustfocus on market,is thatthe currencymarket changes from day to day. Herewecannot only refers to the currencymarket price.

Whether we can make money ornot,is notbecause miningbut also base onthe determinants ofsellingprice. Sohere's the marketing we should knowinclude: its price and growth rate of the miningdifficulty. If you readmyprevious articles in this series, youhaveknow,bitcoin machineprice andbitcoin itself'scurrencyprice determine our mining opportunity cost; bitcoin mining difficult growthrate determine the total revenue of mining. Calculating the opportunity cost isrelatively easy, butto think aboutminingprices and currency prices are more sensitivediffucult. And more, you have to understand that the change of bitcoin mining difficultyincrease rate will change your mining total revenue.

Therefore,atthis paper,firstly,I'm try to makeeverybodyaware of livechangebitcoin mining difficulty,then I'm try to havea bird view,tocomparing severalbitcoinmachines inthe marketingcurrentlly.The effect of mining difficulty factor on incomeIn the previous article, we have calculated thebitcoin miningcost. Theresults showthatasthe bitcoin mining difficulty growing,for afixedcomputing powermining machine, there is afixed number of bitcoins which it caneventuallydig out. According tothedifficultyvalue ofApril 18, 2014,base onadjustdifficultyis on agrowth rateof 20%,from that day on, the totalnumber of bitcoins that1T computing powermachine can dig upis thenumberof5BTC.

However, we eventuallyfound that thenextdifficultyadjustment, which happed atApril 29th,is only hasof growthdifficultyrateat14.6%. That is say,aswe overestimate growth rate, theresult is a low estimate of the revenue. So, in this paper,let usfirstcalculatehow adifficulty growth ratefunction tomining revenue .First, let us assume that from today, the difficultyincrease rate is a fixed f, what will happen then?

(1) The difficulty adjustment time is longer. Bitcoinprotocol design that every 10 minutes has a "broken block", and itwill adjust the difficulty factor after each 2016 block to meet this design. If"broken block" time is just 10 minutes right, then the 2016 block"broken time" is equivalent to 14 days. But the all computing powercontinues to grow, each broken block has a shorter time, so the difficulty of adjustment time is shorter, shortenedto 14/ (1+f) day.

(2) The gain attenuation is slow. The current incomeof 1T mining machine is at 0.062BTC per day average. In a difficult period,average income will be 0.062/ per day (1+f). So, when the difficulty growth isslowly, the income attenuation is slowly too.From the above two, let us think about the difficultyfactor is slowing growth. How it will increase the total revenue?

So, how muchdifficulty growth rate? Let us calculate, in order to facilitate comparison, westart our calculated from April 18, 2014, when the average income is 0.072BTCfor each 1T mining machin.At first difficulty factor cycle, it can get0.072BTC/ days * 14/ (1+f) day, second difficulty period is to the firstdifficulty cycle 1/ (1+f), and so on, this is still a geometric series. Thesummation of the results is surprisingly simple: 0.072 x 14/f. Remember thisformula, you can calculate the income of each machine:Machine gross income = machine computing power (T) *per T force today return * 14/ difficulty factor growth rate.

If we begin work with one of1T mining machinefrom April 18, 2014, at the difficulty growth rate of20%, its total revenue which you will get is about 5BTC; if the difficultyfactor is growth at the rate of 15%, the revenue increased to 6.7BTC; at thedifficulty of growth at rate of 10%, revenue increased to 10BTC. It might beyou haven't noticed; the change of mining difficulty factor, effect on yourincome completely inferior to price fluctuations.Let us have the real-time calculation of each machinecosts and benefits.

Now, we put the costs and the benefits of eachbitcoin machine aggregated into a form, so that we are able to see the costsand the benefits of each miner. Regardless of how well of the calculator insome website, which is more or less for your own function. The figure belowshows what I have in a EXCEL form, since I think that is simple and practical:


The data in the table are today's. See, in the miningdifficulty factor is increasing at a rate of 15%, ant machine can be getlargest about 20% profits. Of course,this does not calculate the maintenance cost. The biggest problem now is thatif you spend 15000 yuan to buy 10 sets of ants, you have to have a place to putit in; if you buy Ajay T, space may not be a problem, but maybe you will losemoney or you have to stand its working noise.Here by this series of articles is going to being aend.

Finally, you have to combine your own conditions. Have you consider theminer's advantage. Have you have plenty of time to maintain the machine? Haveyou a free site or have you a free electricity? Wait. Each one is different,please consider your own situation.In addition, I will make this series of articlestogether, by modify and perfect the structure framework, adding some graphictutorials, making a PDF document, for everyone to download.


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