A New Bitcoin Mining Calculator Aims to Tell ‘Truth’ on Profitability

Story by: Alyssa Hertig

“We joke about it being bitcoin’s ‘unprofitability’ calculator.”

That’s how CEO of RandomCrypto, Josh Metnick, described his newly released tool that calculates the profitability of bitcoin mining – the process of solving puzzles to earn bitcoin, usually only possible with expensive processors called ASICs.

Revealed exclusively to CoinDesk, Metnick hopes the new calculator will improve on other tools out there, which he thinks don’t depict the full truth on whether mining equipment is worth buying and using. For example, using its new measurements at today’s prices, RandomCrypto’s calculator shows that all of the most popular mining hardware is unprofitable.

That includes Bitmain’s flagship S9 and GMO’s new 7nm B2, he claims.

“Our goal is not to show mining as profitable or unprofitable – our goal is to bring more truth, accuracy and transparency to [proof-of-work] mining. Sometimes mining is profitable, and sometimes it isn’t. The bigger picture is to create tools and reporting systems to keep the hardware manufacturers honest,” Metnick told CoinDesk.

Metnick’s quick to point out previous mining scams in the industry as examples of where the industry leaves transparency and honesty to be desired.

“I spent a good portion of my life – years, really, many years – trying to chase down Butterfly Labs, Advanced Miner, and KnCMiner for the millions of dollars I sent them before they absconded with my life savings,” he said.

Because Metnick himself has been actively mining since 2013, it’s a project that’s dear to his heart.

Original story: https://www.coindesk.com/a-new-bitcoin-mining-calculator-aims-to-tell-truth-on-profitability/

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