From what price of bitcoin (and electricity) will the different ASIC models no longer be profitable after the halving?
Bitcoin “Breakeven”
Blockware released a painting very practical for knowing the “breakeven price” of the main ASICs. That is to say the price of bitcoin from which an ASIC is profitable taking into account the price of electricity.
The first table takes stock of the situation before the halving. The second gives the figures which will prevail after the halving. ASICs are ranked from least efficient (left) to most efficient (right):
After the halving, with an electricity price of $0.08 per kilowatt hour, you will need at least one S19j Pro+ type ASIC to get what you need. The breakeven will be $67,816 for one bitcoin.
The S17 antminer, at the same price per kWh, will need a bitcoin at $108,000 to bring in money. Even the S19j Pro will no longer be profitable at the current price.
An S9 ASIC will need an electricity price of $0.02 and bitcoin over $62,935 to be profitable. Suffice it to say that these inefficient models will definitely disappear from circulation.
Note the extreme profitability of the latest models. At $0.02 per kW, the S21 is profitable from $2,697 for one bitcoin! In other words, at the current price of $70,000, the S21 brings in 26 times more than it costs.
However, we must subtract the purchase price of the ASIC as well as its delivery cost. An S21 producing 200 TH/s sold for $27 per TH costs $5,400.
The lower range model, the S19j XP and its 151 TH/s, costs $3,500. The S19j Pro+ and its 120 TH/s sells for $2,300.
Certainly, the return on investment for intermediate models comes sooner (because they are less expensive to purchase). But ultimately, it is more important for the latest generation ASICs.
In short, bitcoin miners need to find the right balance between the cost of hardware, the price of electricity, and of course, bitcoin rewards.
For example, ASIC S19 can produce 110TH/s (110×10^12 hashes per second) while consuming 3,250 watts per hour.
Currently, each transaction block offers a total reward of 6.25 BTC. This represents approximately 900 BTC per day (one block every ten minutes). So many bitcoins which are distributed equally to all the miners thanks to the pools.
With the total hashrate of the Bitcoin network being 600EH/s, an S19 produces 0.000165 BTC per day (~$11) before halving. All for a power consumption of 78,000 watts at the same time.
A miner paying $0.07 for his kWh must therefore pay $5.46 per day. Clearly, the breakeven is around $32,000 per BTC. A figure that will jump to around $64,000 after the halving…
Don’t miss our article: Bitcoin Mining – How to choose the right ASIC?
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