The supply of bitcoin miners continues to expand. The main parameters to consider are efficiency, power, durability, type of cooling, noise and price.
Efficiency
An “ASIC” (Application-specific integrated circuit) is a chip that passes from block headers to the mill of the SHA-256 algorithm. Its function is to transform electricity into hash.
So for the same quantity of hash produced, an ASIC consuming less electricity is more efficient. This efficiency is measured in joules per terahash (J/TH). This is the essential data that you must look at before investing.
here is a comparison efficiencies of several models (and their power in TH/s) and their daily income with a bitcoin at $51,000 and a KWh price at $0.05:
S21 Antminer (17.5 J/TH producing 200 TH/s): $12 per day
M60S Whatsminer (19 D/TH producing 186 TH/s): $11 per day
S19 XP Antminer (22 D/TH producing 140 TH/s): $8 per day
M50S Whatsminer(26 D/TH producing 126 TH/s): $6 per day
M50 Whatsminer (29 D/TH producing 114 TH/s): $5 per day
S19j Pro Antminer (30 D/TH producing 104 TH/s): $5 per day
S19 Antminer (34 D/TH producing 95 TH/s): $3.8 per day
T19 Antminer (38 D/TH producing 88 TH/s): $3.1 per day
S17 Pro Antminer (40 J/TH producing 53 TH/s): $1.8 per day
S17 Antminer (45 D/TH producing 53 TH/s): $1.4 per day
S9 Antminer (98 D/TH producing 14 TH/s): –$0.5 per day
Note that machine depreciation, pool fees, delivery costs, among others, must be subtracted from these revenues. Without forgetting that this income will fall by half from the halving…
It appears that with an electricity cost greater than $0.05 per KWh, it is essential to choose an ASIC with an efficiency less than 30 J/TH.
Post halving, the Antminer S21 will allow you to mine a bitcoin for around $20,000 if the price of Kwh is at $0.05 (assuming that 1 BTC = $51,000). That’s an impressive gross margin of 40%. It will be around $40,000 for the S19 generation.
As a general rule, you should prefer to invest in the most efficient models which, in the long term, are those which offer the best return on investment.
At the end of 2023, eight relatively new ASIC models produced more than 70% of the hashrate. 15 to 20% of the computing power (86-115 EH/s) however came from old models (M20S, M32, S17, A1066, A1246 and S9) which will no longer be profitable post-halving.
As an example, here is what you have brought back on an S19 for four years:
-Purchased the S19 for $2,400.
-Connection March 1, 2020 (~2 months before the halving of 2016).
-Cost of electricity: $0.08/kWh.
-Machine plugged in 95% of the time
-Immediate sale of part of the BTC harvest to cover electricity costs.
Executing this strategy resulted in the machine being fully paid off in just 291 days. As of today, you would have ~0.379 BTC worth ~$19,500.
Hashrate
Buying an ASIC essentially means investing in the hashrate of the machine. This is its computing power expressed in TH/s.
Since the machine is used for nothing other than mining, its value is entirely linked to this power (at equal efficiency). ASIC prices are therefore generally denominated in dollars per terahash ($/TH).
If efficiency is crucial, the total power of an ASIC is also a very important parameter. For what ? Because ASIC builders are in Asia and shipping costs are painful.
Let’s say you purchase a machine with a minimum capacity of 1 TH/s and incur $150 in shipping costs to bring it to your premises. Are these shipping costs justifiable for such a small hashrate? No.
Opting for machines with a higher hash rate reduces shipping costs and provides economies of scale.
Here is the ranking of miners according to their power (in TH/s):
The WhatsMiner M63S is currently in the lead with an impressive 390 TH/s. A single machine therefore produces 390,000 billion hashes per second… This is almost thirty times more than the Antminer S9 which was the best available just a few years ago.
However, the ten most powerful models in the list above are complicated to install due to their hydraulic or immersion cooling. The most powerful fan-cooled ASIC is the Antminer S21 with 200 TH/s.
Endurance
The profitability of a miner necessarily depends on its lifespan. This is a very important parameter.
While the Antminers S9 proved to be very tough, the S17 suffered many failures. The S19 series, for its part, displays very good performance.
It is therefore better to wait for feedback without rushing to the latest models. The Antminers S21 may have some unpleasant surprises in store. This is not the case for the moment, but some defects only appear after several months.
MicroBT’s WhatsMiners have a reputation for being more durable than Bitmain’s Antminers. WhatsMiners are often considered a safer choice due to its sturdy construction, longevity, and better performance at even room temperature.
Regular maintenance can make a difference. Cleaning your device and providing proper ventilation can extend the life of your miner and maintain its performance.
Here are two previous articles on good practices:
–Clean your Antminer
–Maintain your Antminer
Heat
ASICs are constantly crossed by a flow of electrons which generate heat as they pass. The laws of thermodynamics being what they are, a miner consuming 3,000 watts per second is equivalent to a 3,000 watt radiator.
Effective removal of this waste heat is important to ensure optimal performance. There are three cooling technologies. Hydraulic cooling, by ventilation or by immersion.
Hydraulic cooling is recommended when reusing heat. For example for greenhouse heating, fish farming and other similar applications. Then opt for the WhatsMiner M63S or M53S.
Immersion cooling also transfers heat from ASIC miners to water. ASICs are immersed in a dielectric fluid which absorbs heat. The system then pumps the fluid to a heat exchanger which transfers the heat to a water circuit before returning the cooled fluid to the immersion bath.
For those who don’t plan to reuse heat, air cooling is much simpler. But again, this heat can be reused if necessary in winter thanks to a flexible ventilation duct.
The downside of fan-cooled models is the ambient noise, around 75 decibels. If noise is a problem, it is better to opt for water-cooled models, which generate between 40 and 50 decibels, or rather immersion which generates practically no noise.
Price
It goes without saying that it is better to buy your machine at a low price. The price of ASICs is generally measured in dollars per terahash ($/TH), which allows the prices of models with different powers to be compared.
The prices of different models vary depending on power, efficiency and cooling method. Their prices are often calculated based on the number of days needed to make them profitable given the current price of bitcoin.
Paying the highest price does not necessarily equate to the best return on investment. The two key questions to ask are:
1) Does this miner have functions that I don’t need?
2) Is this model too expensive? Opting for a less efficient but cheaper and more reliable model (fewer breakdowns) can sometimes result in a higher return on investment. This is the case when the price of bitcoin collapses.
Post halving, here is the maximum electricity price at which it will be better to buy bitcoin directly rather than plug in your miner:
Anyway, everything is calculated. Keeping in mind that the context is constantly deteriorating. The hashrate has grown 4% per month on average over the past four years. Which means an equivalent reduction in revenue from your machine.
In general, miners have a lifespan ranging from 3 to 5 years. Or even more if used and maintained correctly. You should not install your bitcoin miners in a humid place. Nor in a poorly ventilated area where the ambient temperature is very unstable or too hot.
For DIY enthusiasts, practicing overclocking allows you to artificially increase the power of your miner. Only the very latest models offer factory settings to do this. Some miners, thanks to immersion cooling, manage to increase their power by more than 30%.
Don’t miss our article on overclocking (and underclocking): How to unblock your antminers?
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