Technology of mining. All about cryptocurrency - Bitcoin

Is Dogecoin mining profitable? No.

I love Dogecoin, and I love the dogecoin community. So I thought I'd take a moment to look at whether it's worth buying mining hardware to get Dogecoin, or just buying Dogecoin itself.
I had another redditor give me some figures to go off of, so I ran the numbers on Coinwarz and this is what I got:
A 280x costs $440 right now on Amazon.
I'm going to assume for the purposes of this calculation that no other hardware would be required other than the card. If someone else can give me an estimate for the accessories, please do.
We're getting 700 KH/s with power consumption of 260W, and electricity prices of $0.10 per KW/hour (the US average right now).
I'm using the coinwarz calculator to determine revenue (I set the equipment cost to $0): http://www.coinwarz.com/calculators/dogecoin-mining-calculato
Where people get tripped up is that they don't account for the difficulty increase. So what I've done is look at the Dogecoin and Bitcoin difficulty increase over the past month, and done a week by week look at the returns, assuming the same weekly difficulty increase as each currency had.
Dogecoin's difficulty went from 472 to 1385. That's a 193% increase in a month. Bitcoin's difficulty went from 1180-2193, an 85% increase.
Assuming a 193% increase, the difficulty will rise to 4058 by the end of the month.
To calculate the difficulty for a week, we use the average difficulty between the beginning and end of the week. The difficulty goes up 664 a week, so we take half of that and that's where we start the first week: (since the week starts at 1385 and ends at 2049, we add a half week's increase to get the average of 1717.
Week one - 1717 Difficulty: $55 Week two - 2381 Difficulty: $39 Week three - 3045 Difficulty: $29
Now i'm being generous because the reward halves in 18 days, but i'm pretending it lasts 3 weeks.
Week four - 3709 Difficulty: $10
Added together, you make $133 your first month. At the end of month difficulty (4058) You'd make $8.27 per week, or 38 weeks (or 9.5 months) to break even. And that's assuming the difficulty stays the same after one month.
Now, running the numbers assuming the 85% increase that bitcoin experienced:
week 1 - 1532: $62.60 Week 2 - 1826: $51.82 Week 3 - 2120: $44.02 the mining reward drops by 50%: Week 4 - 2561: $16.88 = $175.32
Assuming the same difficulty as the end of week four (2562) in perpetuity, it would take you 17 Weeks (4.3 months) to make back your initial investment. And that's assuming the difficulty stays the same, which it won't.
And if you're going to assert that "well, that's based on the fact that the price will stay the same, but part of the reason you mine is cause the price might go up!"
Yes, the price might go up, but you'd make the same amount of money buying $450 Dogecoins. The question is not "are Dogecoins a good investment?" It's "is mining Dogecoins a better investment than just buying them?"
TLDR; buying new hardware to mine Dogecoins is a bad investment when you take into account the rise in Difficulty.
submitted by harddata to dogecoin [link] [comments]

X2 MSI R9 280X mining rig AMD Radeon HIS R9 280X iPower IceQ X² Turbo Boost Clock 3GB Unboxing & First Look! (4K HD) CROSSFIRE R9 280X XFX & UNBOXING MSI Z97-GD65 NiceHash Mining With Two Old R9 280x Graphics Cards MSI Radeon R9 280X GAMING 3G

ZCASH-Miner mit 2x R9 280x. MSI GRA PCX R9 280 Gaming 3G Grafikkarte (PCI-e, 3GB GDDR5-Speicher, DVI, HDMI, 2X DisplayPort, 1 GPU) Wie beim Bitcoin auch, wird es auch beim ZCASH nur 21 Millionen ZCASH geben. Der Block Reward, also die Belohnung für das finden der Blocks liegt momentan bei 50 ZCASH (ZEC) alle 10 Minuten. asus r9 280x matrix: 3 gb ddr5: 557: n/a: claymores gpu miner 9.7: sapphire radeon r9 280x tri-x 3g d5 (1100:6400) 3 gb ddr3: 556: 250 w: claymore cryptonote gpu miner v9.7 beta - pool: msi r9 380 gaming 4gb: 4 gb ddr5: 553: 71 w: claymore cryptonote 9.7 beta: palit 1060 stormx: 3 gb ddr5: 552: n/a: xmr-stak-nvidia: amd radeon rx 470: 4 gb ddr5 MSI Radeon R9 290 Gaming CustomPCReview Gigabyte Radeon R9 290X WindForce 3X OC Hardwareluxx (de) Sapphire Radeon R9 290 Tri-X PC Max (de) MSI R9 290X Gaming 4 GB TechPowerUp NVIDIA GeForce GTX 750 Ti eTeknix NVIDIA GeForce GTX 750 Ti Linux Performance Phoronix MSI GeForce GTX 760 ITX Tweak.dk (dk) VTX3D Radeon R9 280X 3072MB GDDR5 PCI-Express Graphics Card @ £245.99 inc VAT VTX3D R9 280X has the performance to power the latest games with ease but at a very aggressive price point making it incredible value for money. Specification:-- PCI-E 3.0 Ready: Delivers double the bandwidth per lane of PCIe GEN2 for faster GPU- CPU - Hugely Comparison of mining algorithms [] SHA-256 and Scrypt mining []. Due to popularity growth of Bitcoin at the end of 2013, the mining difficulty has increased for many times. This was also caused by the fact that many large investors began to buy ASIC equipment for Bitcoin mining on an industrial scale. It all led to the fact that SHA-256 crypto currency mining without special equipment ceased

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X2 MSI R9 280X mining rig

Testing other models of R9 280X, MSI gives better numbers at lower power consumption compared to my x2 gigabyte rig. Category ... How Bitcoin Works Under the Hood - Duration: 22:25. $970 Gaming Build - i5-4690K / R9 280X / Silverstone TJ08B ... 15:10. XFX R9 280x Box opening bought with BITCOIN at TIGER DIRECT ... MSI Twin Frozr Gaming 3G GDDR5 Radeon R9 280X Video Card ... The other hardware came out of an old Litecoin mining rig. ASUS M5A97 EVO R2.0 motherboard, AMD Sempron CPU and two MSI R9 280x Gaming 3G graphics cards. Buy Bitcoin, Ethereum or Litecoin on Coinbase: AMD Radeon HIS R9 280X iPower IceQ X² Turbo Boost Clock 3GB GDDR5 PCI-E DLDVI-I/HDMI/2xMini DP Unboxing ... XFX R9 280x Box opening bought with BITCOIN at TIGER ... 5:23. MSI Twin Frozr Gaming 3G ... MSI Radeon R9 280X with IC Diamond 7 carat thermal compound - lowered GPU temperature - Duration: 21:52. iPlay4K aka iPlay8K - 4K, 8K,16K - UHDking 11,819 views 21:52

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