Cryptocurrency can only be maintained through mining. Mining is the practice of using a computer’s processing power to solve complex mathematical problems. These problems are transactions in the cryptocurrency.
So, in short, mining is when computers process transaction in the blockchain to obtain cryptocurrency. Cryptocurrency miners use computer GPUs to mine.
When the value of a cryptocurrency goes up, so does the profitability in mining. Right now, mining is extremely profitable and every miner is expanding their operations. To calculate the profitability in mining, we have to take into consideration the hashrate, power usage and power cost. Hashrate is the rate at which cryptocurrency is being mined. The higher the hashrate, the more the profit. Also, the better your GPU you’re using to mine, the more your hashrate. Then power usage.
Having an efficient GPU is extremely important as that determined if you make a profit or losses. You could end spending more on power than what you profit. Power cost is also very important. In some regions, power is very expensive and mining simply isn’t viable. Similarly, in regions with cheap power e.g places close to dams mining is very profitable as electricity is dirt cheap. All of these factors play a part in determining the profitability of a mining setup. https://cryptocalc.online/en simplifies this by letting you type in the hashrate, cryptocurrency and power usage/cost, and then it does the calculations for you. This comes in very handy when planning to build a GPU cryptocurrency mining setup.
The website has many different cryptocurrencies. It also has a built in ASIC profitability chart, all of them listed with their 24/h profitability. An ASIC is a computer specifically designed for cryptocurrency mining. There’s also a world map with the cost of mining 1 bitcoin displayed for every country. All in all, CryptoCalc is a very helpful and interactive tool for calculating whether profit off mining is possible in your region.
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