Bitcoin Mining Profitability Calculator
Calculate daily Bitcoin mining profit by subtracting electricity costs from estimated BTC revenue from your share of the network hashrate. 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: September 2026
Formula below · 3 sources (whattomine.com, bitcoinmagazine.com, Wikipedia) · Updated Sep 2026
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About this calculator
The formula is: daily profit = (hashrate TH/s ÷ (network hashrate EH/s × 1,000,000)) × 450 BTC × BTC price − ((power consumption W / 1000) × 24 × electricity cost per kWh). Your hashrate divided by the whole network's hashrate is your expected share of blocks; the network mines 144 blocks a day at 3.125 BTC each (post-April-2024 subsidy), or 450 BTC/day. The network hashrate (about 950 EH/s in late 2026) and BTC price are inputs because both change constantly; transaction fees, which add a few percent to the subsidy, are ignored. 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. A modern ASIC delivers 200 TH/s at 3,500 W; electricity costs $0.05/kWh (industrial rate); BTC is $65,000 and the network runs at 950 EH/s. Enter 200, 3500, 0.05, 65000 and 950. Revenue per day = 200 / 950,000,000 × 450 = 0.0000947 BTC ≈ $6.16. Electricity = (3500/1000) × 24 × 0.05 = $4.20. Profit = 6.16 − 4.20 ≈ $1.96/day. ✓ Under $720 a year before pool fees, so a $4,000+ ASIC needs years, a higher BTC price, or cheaper power to pay back. Example 2 — Home mining attempt. An older 110 TH/s, 3,250 W miner on residential power at $0.16/kWh, same price and network hashrate. Revenue = 110 / 950,000,000 × 450 = 0.0000521 BTC ≈ $3.39/day. Electricity = 3.25 × 24 × 0.16 = $12.48. Profit = 3.39 − 12.48 ≈ −$9.09/day. ✓ Losing money on an operating basis before any hardware depreciation; at today's network hashrate, Bitcoin mining only works with efficient hardware and very cheap electricity.
Frequently asked questions
Why do network hashrate and BTC price matter so much?
Your revenue is your share of the network hashrate times 450 BTC/day, priced at the current BTC price. At 950 EH/s each TH/s earns about 0.00000047 BTC per day; that figure goes stale 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. 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 network hashrate and price you enter go stale within weeks. 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.