We are open about our affiliation to Amazon. This post contains some affiliate links.
Why ASIC Devices?
Bitcoin Mining can turn out to be a very rewarding venture for a miner.
But, getting along with solving the complex mathematical puzzle of hashing needs expensive, power-consuming hardware.
That’s not all, a keen understanding of the processes that drive blockchain technology is critical to have a complete working system.
It may look quite easy to put together some piece of equipment and just mine bitcoins, but there are some factors you should consider as price is not the most important metric for evaluating a mining hardware.
Before going into mining, you have to know your competition, understand how they operate and make a profit. Cost management is another side to it as overheads could skyrocket and dip into your profits.
SEE ALSO: Best 7 Mining GPU Graphics Cards To Consider
SEE ALSO: 14 KEY Tips You Should Know Before Mining Bitcoin
You really have to know what you’re doing to succeed and it all starts with the kind of mining hardware you procure.
To harness Bitcoin, you’ll need to obtain a Technoscientific BTC Mining hardware known as ASICs (Application-Specific Integrated Circuit devices).
With several ASICs in the market today such that they have advanced through a very aggressive Bitcoin mining arms race, the blockchain network makes use of huge amounts of processing power to compute very complex mathematical equations and safeguard its network, compelling available mining hardware to continuously gain more power.
When exploring various ASIC hardware for Bitcoin mining, you have to compare the power of the hardware to the amount of energy it requires to function with maximum efficiency.
And, this translates to checking the kilowatt/hour rate of electricity consumption in your operation base or locality.
Other things to look out for in a piece of mining hardware are hash rate Mh/s, algorithm type (Ethash, SHA-256), and noise output in decibels (dB). We will discuss this in detail much later.
What is an ASIC BTC Miner?
ASICs are specialized bitcoin mining devices, BTC producers, or bitcoin mining machines. These days, all types of bitcoin mining are done on exclusive bitcoin mining hardware, ASICs mostly in thermo-regulated data-centers that use cost-effective electricity.
What to Consider when Choosing a Bitcoin Mining Hardware
At the inception of Bitcoin, mining could be done on a regular desktop PC using a CPU with a comparatively high RAM.
As the blockchain ledger started expanding, so the mathematical processes needed to safeguard the network became more intricate, compelling miners to switch to more sophisticated GPUs to generate the hashing power required to mine.
Let’s look at three vital factors to look out for when choosing bitcoin mining hardware:
Efficiency ratio of the Mining Hardware
A BTC mining hardware is designed basically to transform electric power into BTC. If you’re not sure about the best bitcoin mining hardware to go for, look for one with a good energy efficiency ratio is the place to start.
Mining efficiency translates to mining profitability. And, you can derive the efficiency of mining hardware by calculating the ratio between accepted and rejected shares.
Mining Efficiency Ratio: Accepted Shares /(Accepted Shares + Rejected Shares)
Efficient mining hardware should give a mining output of almost 100% per Kilowatt/hour of electricity it consumes as anything lower means low profitability.
The graph above shows the return on investment on 5 different hardware between 8-12 months of mining operations.
Usually, mining hardware goes through a depreciating lifecycle of 2-3 years after which it starts losing steam and starts becoming less profitable. Certainly, newer versions of mining hardware would have entered the market to relieve the outdated ones.
Mining Hardware Price
Pricing for mining hardware differ, factors such as longevity, computing strength, working efficiency, and brand stack up to determine its price.
Sometimes, cheap hardware does not necessarily mean that it will underperform, it is just that, it may be deficient in some other areas that may not be a priority to you.
However, electricity consumption should be a major consideration because this alone can raise your overall running cost of the equipment thereby reducing your mining net profit.
SEE ALSO: How to Start Investing in Bitcoin with a 100 Dollars
When performing a commercial analysis on mining hardware, pricing may be tricky as a very expensive one may not necessarily mean that it would serve all your needs.
A cheap one may also be mining profitably but may have a large appetite for power. Bottom-line is that you should examine hardware features while considering your budget as well.
For profitability which certainly is why you are researching on which hardware to buy, see what we found as profitable mining hardware.
Hashing power is the system’s ability to solve a complex mathematical puzzle in less time, and this is measured in hash/Sec (H/s).
1 GH/s is 1,000,000,000 (one billion) hashes per second.
1 TH/s is 1,000,000,000,000 (one trillion) hashes per second.
1 PH/s is 1,000,000,000,000,000 (one quadrillion) hashes per second.
To explain it simply, the greater the hash rate of the hardware, the faster the mining pool/miner will compute the next block in the bitcoin blockchain.
By rule of thumb, mining hardware with a faster hash rate is better and profitable. However, you will have to spend some extra dollars to acquire one.
Picking a durable BTC miner for your operations requires that you assess carefully the hash rate of each of them, power usage & temperature control regulatory requirements.
Most importantly, consider the cost of electricity in the area you plan to use your mining equipment as this will greatly help affect your profits.
In all, the best bitcoin BTC mining hardware is the most rewarding.
The technology behind the ASIC devices has progressed quickly in the last 10 years, with innovative hardware released each year to render the old hardware obsolete.
Mining Hardware Profitability
It’s possible to determine upfront the expected profitability per day of a mining hardware before you purchase. There are just a few more things to lookout for asides the cost of the hardware.
So, in addition to how profitable a mining hardware can be, you can also ascertain the hardware’s mining algorithm, noise output, hash rate, and release date. Usually, they are spelt out on the manufacturer’s site.
But, ASIC Miner Value simplifies these data in a table format where you can view features of a mining hardware at a glance.
The table above shows the mining hardware that are already in stores/market and the ones that are still in development with a scheduled release date.
Beyond the data that ASIC have provided, you can also determine the profitability of your mining hardware independently, make use of a BTC mining profitability calculator.
SEE ALSO: 4 Cryptocurrency Mining Methods and Mining Calculator
When calculating, ensure to factor cost of electricity as your mining project may seem rewarding until you calculate your expenses on electricity.
To determine electricity costs, research the price of electricity consumed per hash on the mining hardware label. This factor is vital and must be ascertained before you purchase a piece of mining equipment. Else, you could be chasing the wind.
Let’s narrow this down and consider a few mining hardware that are profitable in terms of daily profitability, hashing power and low electricity costs.
5 Best Mining Hardware for Bitcoin
Bitmain AntMiner S5
Even though the Bitmain AntMiner S5 is not a recent release from the Beijing-based ASIC producer, this miner is still very efficient.
Unlike earlier models (ranging from S7 and S9), the AntMiner S5 consumes low electric power of 115 volts, drawing an average of 590 W to power the entire system.
The low power usage of the S5 sets it as the perfect preliminary BTC mining ASIC that delivers maximum efficiency of 1.155Th/s. This also means that the ASIC produces a hash rate of approximately 1GH/s for every 0.51 watts which equals 0.51J/GH.
Bitmain AntMiner S5 can be used for both casual home mining operations and hobby miners owing to its low weight of just 2.5kg.
You can visit Door2Door to view the Bitmain Antminer S5
Bitmain AntMiner S7
Bitmain AntMiner S7 is another ASIC hardware from Bitmain’s very prominent line of ASIC units and currently stays very relevant amongst other mining hardware online.
The Antminer S7 astonishingly takes in lower power than the S5. This mining hardware is available in all Chinese-based mining farms and claims to have remarkable adaptability when used together with a power source of about 1600 W APW3 power supply unit.
While the Bitmain AntMiner S7 can give considerable returns based on power costs, the effectiveness of the unit relies on the the ambient temperature and electricity supply used.
It is very sensitive to regions hotter than 27°c. Therefore, the ASIC unit is very suitable for miners residing in cooler regions as cooling expenses can cut significantly into the expected rewards in warmer regions.
Bitmain AntMiner S7 has a high 4.73TH/s hashrate and efficiency ratio of 0.25J/GH/s. It is fairly priced from $250 inclusive of shipping for new ones. S7 is also a prominent miner that has many parts and guides.
The Power Supply unit of the AntMiner S7 is very efficient and loses about 7% of electricity between the source and miner.
The AntMiner S7 can also run any ATX PSU with sufficient power. The APW3++ power supply needs nothing less than 220 Volts, 1200W to operate. Its estimate dimensions of the cord is 13 x 7 x 5 Inches. It does not transfer energy with the required 16 ampere power cord.
It is a suitable choice with regards to its potential upgradability as it can also operate the power consuming AntMiner S9.
Visit Amazon for Bitmain AntMiner S7
Bitcoins or Month (Profitability)
Aside mining difficulty and the possibility of fractionalizing Bitcoin profits, the S7 is getting close to being unprofitable for those who don’t have access to affordable electricity.
Though if the exchange rate of Bitcoin goes to a sufficient high, the S7’s profitability may well go beyond presupposition.
Visit Amazon for Bitmain AntMiner S7
Bitmain AntMiner S9
Bitmain AntMiner S9 is said widely to be the most powerful and effective miner in the market, offering miners a very impressive hash rate of 14TH/s at an astonishing low power intake.
The remarkable hashing power of the AntMiner S9 emanates from three different boards with 189 chips in between when used with an AntMiner.
At a power supply of 1600 W, it gives twice the efficiency of the AntMiner S7 it can yield at 0.1 joules per Gigahash with a power usage of just 300 Watts above the last model.
The only disadvantage of the AntMiner S9 is its blaring operational volume. it is not recommended for home applications as the bulky 4.7kg frame has the capacity to intensify its noise when running.
Another remarkable feature about the AntMiner S9 is that its power needs vary. Power Supply units most suitable for S9 are:
The AntMiner APW3 1600 W Bitcoin Miner PSU.
The EVGA SuperNOVA 1300 W GPU PSU.
Note that this power supply unit may require you spend some extras as it is a bit more expensive than a similar one from the AntMiner.
Bitcoins or Month (Profitability)
The Bitmain Antiminer S9 provides better hashing power than any former device integrated into its silicon. It can deliver as much as 14 Th/s.
Like the S7, 189 chips in number is laid over three circuit boards integrated to produce this massive hashrate.
Neglecting the 15 brief TH/s spike that occurred in 2011, one unit of S9 features a hashrate equals the maximum capacity of the whole Bitcoin network from its financing stage until June or July, 2012.
Visit Amazon for Bitmain AntMiner S9.
Bitmain Antminer T9
The Bitmain AntMiner T9 was released to the public in August, 2017 and it remains one of the most sturdy as well as the costliest ASIC unit currently in the market.
A closely compared mining hardware to it is the AntMiner S9 on the basis of effectiveness and functionality. But, it features a few remarkable upgrades in chip quality which improves the hardware’s stability.
The last batch of AntMiner T9’s use up about 1576 W of power, producing roughly 12.5TH/s and an efficiency ratio of 0126 J/GH.
Profitability analysis based on only its performance positions T9 underneath the S9 with regards to mining returns but stability improvements makes the T9 a more suitable choice for low-scale mining activities.
Visit Amazon for Bitmain AntMiner T9
The AvalonMiner 741 is an ASIC unit that was issued to the public in April, 2017. It offers low-scale and hobby BTC miners a considerably sturdy miner at a fair price.
AvalonMiner 741 was produced by Canaan and is a major improvement over the earlier Avalon 721 model, incorporating a latest cooling design and a sturdier chipset.
The miner features 88 chips and a latest cooling system that improves the efficiency of air-circulation within the device in addition to multi heatsinks hoisted close to the PCB.
AvalonMiner 741 generates a hash rate of 7.3TH/s and an efficiency ratio of 0.16J/GH (much more efficient than other ASIC units at a power intake of 1150W
Visit Parallel Miner for AvalonMiner 74
Taxes on Cryptocurrency Mining
Taxes on mining are usually overlooked. All mining activites are taxable, so, it is crucial you oversee your tax mining liabilities. When you consider your mining operations and region, taxes may apply. So, check this upfront before arriving at your profits.
Bitcoin Mining Hardware Companies
There are several mining hardware manufacturing companies but we will examine three:
Bitmain is the leader of AntMiner’s line of BTC miners. It has headquarters in China and also runs a mining pool.
BitFury is among the biggest manufacturers of Bitcoin mining hardware & chips. Its hardware is not sold in the market.
Halong Mining is the latest mining hardware setup with an array of top-performing mining hardware in the market. .
BTC Mining Equipment
Apart from a Bitcoin mining ASIC, there are some other piece of equipment required for Bitcoin mining.
A generator will be needed as backup in the instance your only source of electricity is down or runs low.
BTC rigs require enormous power supply to channel and use electricity effectively.
Bitcoin mining hardware easily overheats due to the enormous power it consumes. A poorly regulated system can cause a breakdown.
But a cooling fan keeps the temperature at required levels, your hardware will also receive adequate air-flow.
Bitcoin Mining Without Hardware
You can mine Bitcoins without bothering about exclusive mining hardwares.
Though, you receive less than a penny each month. Mining Bitcoin on your computer device will damage it and won’t earn you anything.
So, you can make use of your computer only when you just want to get a hang of the mining process.
The best option is to purchase an exclusive hardware like the AntMiner S9.
Other alternatives are to buy a buy a mining plan where the mining enterprise rents out mining quotas for a period. With this option, you focus on the mining business and forget about purchasing a hardware, electricity cost, fire or burglary.
SEE ALSO: How to Join Mining City and Earn Coins Daily
Mining Bitcoin from home these days is almost impossible.
Not only are mining machines costly, but they also produce enormous heat and noise as well as enormous electricity consumption.
This renders mining tasks unrealistic and unrewarding as you’re not likely to make profit.
So, endeavour to get the best mining machines as they will not consume much electricity and overall repair costs.
Image credit by macrovector
Buy Pancat Cryptocurrency – (Read This)
The rate of universal adoption of cryptocurrency is increasingly on the rise as the day goes by. To this effect, there are approximately over 420 million crypto users worldwide, which equates to about an average of 4.2% of crypto ownership rates on a global scale. More cryptocurrencies are being unveiled with time and one such ...
How Will Cardano Change The Crypto Landscape in 2023
Cardano is a decentralized PoS blockchain founded in 2015 and has positioned itself as a viable alternative to Bitcoin’s PoW which makes it energy-efficient (0.01% of Bitcoin) while shunning the crypto-mining algorithms. Cardano presents more opportunities for hodlers and investors through staking which makes the PoS mechanism sustainable and environmentally friendly. Exploring Cardano Future The ...
How Do I Fund My Bybit Bitcoin Wallet?
How to fund your Bybit wallet is simple. But first, signing up with ByBit automatically gives you access to a Bitcoin wallet which also comes with a wallet address that is automatically generated. Key Takeaways For Funding Your ByBit Wallet A Bitcoin wallet address is made up of 27 to 34 alphanumeric characters and usually ...