Compare cloud mining services. Is it still profitable? #3
Cryptocurrency market capitalization is about to change their trend. In June the capitalization reached historical maximum with peaks over 100B$ mark, but now it goes in opposite direction.
Total Market Capitalization Source
Two week ago the most profitable currency for mining was ETH, but crypto market is unpredictable like a weather in mountains. Please see my previous post.
Coins exchange rates drop with increasing mining difficulties could dramatically change cloud mining sense. Let's investigate mining profit for 5 cryptocurrencies: Bitcoin, Litecoin, Ethereum, DASH and ZCash. Coins exchange average rates from Coinmarketcap API:
$ ./mine2.py
BTC_USD: 1893 USD
ETH: 0.0768 BTC
BTC: 1.0 BTC
DASH: 0.0652 BTC
LTC: 0.02001 BTC
ZEC: 0.07936 BTC
Could you estimate at a glance what is more profitable: to pay 13.5$ for 1 MHz/s for LTC lifetime contract with 0.01$ fee per day or to pay 28$ for 2 MHz/s without maintenance fee for 2 year contract? It is a little bit confusing.
At first, we need to know how many coins we could mine at current network difficulty level per offered hash power. Online calculators shows following results:
Coins: # 2017-07-16
BTC: 0.00000313 # Bitcoin per day for 10GH/s hash rate
LTC: 0.00180030 # LiteCoin per 1 MH/s
ETH: 0.000034775 # Ethereum coins per 100 KH/s
DASH: 0.00010240 # DASH coins per 1 MH/s
ZEC: 0.00000297 # ZCash coins per 0.1 H/s
With the coins price and mining rate we could estimate return of investment (ROI) and annual percent:
currency mining invest revenue maintenance profit return percent
ZEC HF 100 8.12133 0 -91.8787 NaN -91.8787
ZEC GM 100 21.9792 0 -78.0208 NaN -78.0208
ETH GM 100 61.5553 0 -38.4447 NaN -38.4447
BTC HF 100 179.729 106.167 -26.438 NaN -26.438
BTC GM 100 143.783 67.9467 -24.1637 NaN -24.1637
DASH GM 100 76.7297 0 -23.2703 NaN -23.2703
DASH HF 100 79.3756 0 -20.6244 NaN -20.6244
ETH HF 100 83.6592 0 -16.3408 NaN -16.3408
LTC HF 100 183.952 26.963 56.9886 7.73333 56.9886
LTC GM 100 177.382 0 77.3818 6.86667 77.3818
Now LTC is the only coin that could return investment in less than 1 year. Since GM mining for LTC is out of stock, the HF mining will bring 57% of profit in a year with the ROI about 7 months. This result is based on assumption the price and difficulty remain the same.
Disclaimer: It is not an investing recommendation. I'm not affiliate to mining providers. You could use these calculations at your own risk.
are you in a lot of mining share companies?
Not at all. As you could see mining is very risky. I'm rather for data analysis.
Why this interesting post not have enough votes and comment ? thanks to @foolic.
Thanks!