The current state of Bitcoin mining may undergone serious changes after the upcoming block reward halving. In terms of mining hardware being used, breaking even after the halving will heavily rely on electricity costs, assuming the BTC value doesn’t go through the roof.
For miners of cryptocurrency, several factors need to be taken into consideration.
The Future of Bitcoin Mining
First of all, they need to try and break even.
Offsetting the investment cost for hardware, as well as electricity fees and maintenance costs is a tough balancing act.
Especially for smaller miners and home enthusiasts, that process will become challenging.
A recent post by the Poolin team further confirms that changes loom on the horizon.
Following the Bitcoin halving, breaking even will require very cheap electricity for virtually all device owners.
Especially older devices will be turned off fairly quickly, as they need a rate of $0.02 per KwH maximum before becoming unprofitable.
Newer generations of devices, such as the Antminer T15, can still break even if rates are slightly above $0.03.
All of this is heavily dependent on the Bitcoin price at that time, however.
If the value drops below $7,000, things are bound to become even more problematic.
A rising price, on the other hand, offers a lot more breathing room for Bitcoin mining outfits.