• Home
  • Blockchain
  • Crypto
  • Defi
  • NFT
  • Trading
  • World News
  • Contact
What's Hot

Understanding Blockchain: The Technology Behind Cryptocurrencies

April 21, 2023

The Risks and Rewards of Trading Cryptocurrencies

April 17, 2023

Ethereum: A Comprehensive Guide to the World’s Second-Largest Cryptocurrency

April 12, 2023
Facebook Twitter Instagram
  • Home
  • Blockchain
  • Crypto
  • Defi
  • NFT
  • Trading
  • World News
  • Contact
CryptodailyNews24
  • Home
  • Blockchain
  • Crypto
  • Defi
  • NFT
  • Trading
  • World News
  • Contact
CryptodailyNews24
Home»Crypto»Is “solo” bitcoin mining making a comeback?
Crypto

Is “solo” bitcoin mining making a comeback?

Donald MunnBy Donald MunnFebruary 22, 2022Updated:September 29, 2022No Comments3 Mins Read
Share
Facebook Twitter LinkedIn Pinterest Email

Is it possible to mine bitcoin by oneself again? 

As a matter of fact, yes, even nowadays, but it is not necessarily worthwhile. 

In recent months, it has happened that individual, non-pooled miners were able to mine Bitcoin or Ethereum blocks completely on their own. 

It is worth noting that the current reward for mining a Bitcoin block is 6.25 BTC, or over $240,000, although this will be halved in early 2024.

However, since a lot of computing power is required to successfully mine BTC and ETH, miners usually pool their computing power with other miners, using so-called “pools”, and share any proceeds in proportion to the computing power provided by the pool. 

Those who want to try mining alone, usually have so little computing power that they can hardly ever mine a single block. 

Successful cases

However, every now and then there are rare exceptions, so much so that at least two have been discovered in recent months, one on BTC and the other on ETH. 

But these are exceptions. It is enough to think that around 144 blocks are mined on the Bitcoin blockchain every day, or on average more than 4,300 per month, and apparently in the last month only one of these was mined by a single miner. 

Probability of success

Even if we imagine that it could be around two per month, that would still be less than 0.05% of the blocks. Therefore, anyone who decides to try mining Bitcoin blockchain blocks on their own has to set themselves up for failure at least 99.95% of the time. Furthermore, there are several miners competing for that 0.05%, so the actual success rate is far lower. 

It should also be kept in mind that cashing in 6.25 BTC may not really be life-changing, and that the energy consumption would be high even in case of failure, so it may not be worth the risk. 

Convenience

In reality, pools have been created to allow individual miners to try mining on their own. These pools are different from the classic ones, because they pool computing power to increase the pool’s chances, and only allocate the prize to the miner who manages to extract the correct hash that validates the block. This, however, does not increase the odds. 

Power costs are rising, due to the consequences of lockdown, so it is possible that solo mining is becoming even less cost-effective in recent times. 

It is therefore a bet with very high costs, as well as very rare gains which are not as high as one might imagine. 

 

The post Is “solo” bitcoin mining making a comeback? appeared first on cryptodailynews24.com.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
Donald Munn
Donald Munn
  • Website

Related Posts

Understanding Blockchain: The Technology Behind Cryptocurrencies

April 21, 2023

The Risks and Rewards of Trading Cryptocurrencies

April 17, 2023

Ethereum: A Comprehensive Guide to the World’s Second-Largest Cryptocurrency

April 12, 2023

The best PR films to inspire your crypto marketing strategy

January 2, 2023
Add A Comment

Comments are closed.

Advertisement
Top Posts

Subscribe to Updates

Get the latest sports news from SportsSite about soccer, football and tennis.

The latest news about Bitcoin, ICO, blockchain and fintech.

Top Insights

Understanding Blockchain: The Technology Behind Cryptocurrencies

April 21, 2023

The Risks and Rewards of Trading Cryptocurrencies

April 17, 2023

Ethereum: A Comprehensive Guide to the World’s Second-Largest Cryptocurrency

April 12, 2023
Get Informed

Subscribe to Updates

Get the latest creative news from FooBar about art, design and business.

  • Home
  • Blockchain
  • Crypto
  • Defi
  • NFT
  • Trading
  • World News
  • Contact
© 2023 cryptodailynews24.com Submit news release

Type above and press Enter to search. Press Esc to cancel.