There are pieces of software online that allow you to calculate potential profits from mining / mining bitcoin and other cryptocurrencies.
One of the best known is WhatToMine.com, which allows users to calculate the potential earnings or potential losses of various cryptocurrencies.
In particular, the website is divided into two sections, one dedicated to mining with GPU and the other dedicated to mining with ASIC. It is precisely in this section that it is possible to simulate the results that can be obtained by mining / mining Bitcoin with the SHA-256 algorithm.
Three data in particular are required to perform these simulations:
- the computing power available to the miner, expressed in Gh / s,
- the electrical power of the ASIC expressed in watts
- The price of electricity expressed in $ / kWh.
The software will use power to calculate energy consumption and the price of energy to calculate costs.
It will then use the computing power of the ASIC to calculate potential earnings in BTC based on the total hashrate used worldwide at that specific time, and the current price of BTC on various exchanges to calculate earnings in dollars.
The difference between income and costs will determine the profit or loss.
Actually it's just a estimate, valid only at the time the calculation is made, and in particular does not take into account depreciation or equipment rental costs. However, this calculation can be done by the users themselves based on the price at which they bought or rented the equipment.
It should be noted that these estimates tend to lose reliability over time. In fact, the mining industry is evolving quite fast, and after a few months these estimates may no longer be true. Therefore, it is very difficult to calculate the actual net final earnings also considering the maintenance costs of the equipment, since the equipment tends to age quite fast and will no longer be particularly competitive in a few months or at most in a few years.
Other Bitcoin mining software
CryptoCompare.com also includes simple software to calculate the profitability of bitcoin mining, with the ability to include the percentage retained from the group used.
Other software is BuyBitcoinWorldwide.com. This particular one estimates an average daily increase of 0.4527678% of the hashrate, which allows us to forecast the earnings estimate for the next 12 months.
However, these calculators are not only inaccurate, due to the fact that they can only assume estimates based on what happened in the past, but they can also stop taking into account possible future hashrate developments.
Actually, no alternative because it is not possible to proceed in any other way. However, these estimates should not be considered as 100% reliable.
If anything, it is quite plausible that the actual situation is inevitably different from what these estimates suggest, so it is better to use these instruments with some caution, perhaps maintaining a certain prudential margin when considering a mining project.
Finally, it should be remembered that Bitcoin can now be successfully mined / mined only with ASICs and that these come at a substantial cost. Also, they age very quickly, which means that used ones that can be bought at much lower prices are not necessarily competitive.
These machines consume a lot of electricity, and the older and less efficient machines have an undoubtedly less competitive performance / consumption ratio.