Bitcoin Mining Profitability Calculator
Calculate daily Bitcoin mining profit by subtracting electricity costs from estimated BTC revenue using a simplified hash-rate-to-revenue conversion. Use it as a feasibility check before buying mining hardware — but always verify against live difficulty data from WhatToMine or similar live calculators.
Last updated: May 2026
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About this calculator
The formula is: daily profit = (hashrate × 0.00001728) − ((power consumption W / 1000) × 24 × electricity cost per kWh). The 0.00001728 multiplier is a simplified BTC revenue approximation per TH/s per day at certain assumed difficulty and price levels; this constant is NOT live-updated and will become inaccurate as Bitcoin difficulty rises or price moves significantly. The second term computes daily electricity cost in dollars. Result is daily profit in USD. Edge cases: zero hash rate or zero electricity cost produces extreme results; very high electricity cost can make profit negative (loss). The formula does NOT model: hardware depreciation (ASIC miners lose 30-60% of value per year as new generations launch); pool fees (1-3% of mining revenue); cooling and infrastructure costs (20-40% additional power for industrial operations); halving events (BTC block reward cuts in half approximately every 4 years; 2024 halving cut reward from 6.25 to 3.125 BTC per block); price volatility (BTC swings 20-50% in months); difficulty adjustments (network self-adjusts every 2 weeks; rising hash rate raises difficulty, reducing per-miner revenue). For accurate current mining economics, use WhatToMine, MinerStat, or NiceHash Profitability calculators that pull live difficulty and price data. The simplified formula here is useful for quick order-of-magnitude estimates; for real investment decisions involving thousands of dollars in hardware, use live calculators with current network metrics and conservative downside assumptions.
How to use
Example 1 — Industrial-scale operation. ASIC pulls 3,250 watts; electricity at $0.05/kWh (industrial rate); hash rate 110 TH/s (typical for Antminer S19/S21 class). Enter 110 for Hashrate, 3250 for Power Consumption, 0.05 for Electricity Cost. Revenue per day = 110 × 0.00001728 = 0.00190 BTC/day (approximately; depends on the formula's assumed BTC price). At $65,000 BTC, that's ~$123/day. Electricity = (3250/1000) × 24 × 0.05 = $3.90. Profit = 123 − 3.90 = $119.10/day. ✓ Note: actual revenue depends on current difficulty and BTC price — verify with WhatToMine. At $119/day profit, the miner generates ~$43,500/year; a $5,000 ASIC pays back in ~6 weeks if these conditions hold. Example 2 — Home mining attempt. Consumer GPU rig at 4 TH/s (very generous for non-ASIC; realistic numbers are much lower for BTC), residential electricity $0.16/kWh, 1,400W power consumption. Enter 4, 1400, 0.16. Revenue = 4 × 0.00001728 = 0.0000691 BTC/day ≈ $4.49 at $65K BTC. Electricity = (1400/1000) × 24 × 0.16 = $5.38. Profit = 4.49 − 5.38 = −$0.89/day. ✓ Losing money on operational basis — and this doesn't include the $5,000+ hardware depreciation cost. Bitcoin home mining became unprofitable when ASICs took over around 2017; the math now strongly favors industrial-scale operations with cheap electricity.
Frequently asked questions
Why is the formula's 0.00001728 constant so important?
It encodes assumed BTC price and network difficulty in a single number. The constant suggests: at the implicit assumed difficulty and price, each TH/s of hash rate produces approximately 0.00001728 BTC per day. This will become wrong over time as: (1) network difficulty rises (more miners join, network adjusts to keep block time at 10 minutes, so each TH/s earns less); (2) Bitcoin halvings cut block rewards in half (2012, 2016, 2020, 2024, next ~2028); (3) BTC price changes (the constant assumed a specific price). For accurate current mining math, the formula needs live data: current network hashrate (from blockchain.com or similar), current BTC price, current block reward. WhatToMine and MinerStat pull this data daily and produce live profitability estimates that automatically reflect changing conditions. This calculator is useful for back-of-envelope estimation; always verify with live tools before making purchasing decisions.
How does the Bitcoin halving affect mining profitability?
Halvings cut block reward in half approximately every 4 years (every 210,000 blocks). 2024 halving: reward dropped from 6.25 to 3.125 BTC per block, immediately cutting mining revenue (denominated in BTC) by 50%. Historically, BTC price has risen significantly in the 12-18 months after each halving, partially offsetting the revenue drop in USD terms. The 2024 halving math: less efficient miners (older S9/S15-class hardware) became unprofitable immediately at typical electricity costs; only newer S19/S21-class miners with $0.04-0.06/kWh electricity remained profitable. Each halving shakes out marginal miners and shifts the network toward more efficient hardware and cheaper electricity. The next halving (~2028) will cut reward to 1.5625 BTC, again testing miner economics. Plan mining investments with awareness of halving dates; buying hardware 6-12 months before a halving and expecting to break even afterward is risky.
What's the difference between PoW and PoS for "mining"?
Proof of Work (PoW), used by Bitcoin and Litecoin, requires computational work (hashing) to validate blocks; miners earn block rewards. Energy-intensive; benefits hardware/electricity-cost optimization. Proof of Stake (PoS), used by Ethereum (since 2022 merge), Cardano, Solana, etc., requires staking the native token to validate blocks; stakers earn block rewards proportional to stake. Energy-efficient; benefits early/large holders. PoW "mining" requires hardware + electricity; PoS "staking" requires token holdings + uptime (validator infrastructure). The economics are very different: BTC mining is a capital-intensive industrial business with thin margins; PoS staking is a passive yield strategy with returns typically 3-10% APY. Ethereum's 2022 transition from PoW to PoS made GPU mining of ETH obsolete overnight, redirecting mining capacity to smaller PoW altcoins or selling off. Use mining calculators for PoW coins; staking calculators for PoS coins.
What are the biggest hidden costs of Bitcoin mining?
Hardware depreciation is the largest: ASICs lose 30-60% of value per year as newer, more efficient generations launch. Pool fees: typically 1-3% of mining revenue. Cooling: high-end mining operations need significant HVAC, adding 20-40% to power draw in hot climates. Infrastructure: industrial electricity hookups, dedicated electrical work (240V or 480V circuits), networking, security, monitoring — easily $1,000s for serious operations. Replacement parts and repair: PSUs and fans burn out frequently, especially in industrial conditions. Insurance: many mining operations carry insurance against fire, theft, and equipment damage. Taxes: mining rewards are ordinary income at fair market value when received; later sales are capital gains. Operational labor: industrial-scale operations need staff to monitor and maintain hardware. Real estate: warehouse space or industrial real estate to house mining rigs. Cumulative, these hidden costs often double the "obvious" operating cost of electricity, turning seemingly profitable mining operations into break-even or losing businesses.
When should I not use this calculator?
Skip it for ASIC mining of non-Bitcoin coins; use coin-specific calculators that account for different reward schedules, difficulty algorithms, and block timing. It is the wrong tool for staking, masternode operation, or yield farming — those have completely different economic models. Do not use it for decisions involving real money without cross-checking against live data from WhatToMine, MinerStat, or NiceHash; the formula's constants become inaccurate over time. For investment analysis, build a multi-year cash flow model with downside scenarios (50% BTC price drop, 30% electricity increase, accelerated hardware depreciation) rather than relying on snapshot calculations. For cloud mining contracts (Hashflare, Genesis Mining), the historical evidence is overwhelmingly negative — most retail buyers lose money. And for any operation larger than 5-10 miners, work with a mining-business consultant who understands hosting facility selection, electricity contracts, and tax treatment in your jurisdiction.