# What is the cost of the mining of the bitcoin, if the electricity is counted only?

The price of bitcoin by intrinsic (internal) value and external value. Here, we define the mining cost to its lowest value inherent in each bitcoin energy consumption (lower boundary value, external and inherent) value is the value produced by speculation.

The basic situation of bitcoin mining

First, we first understand the basic situation of the current bitcoin mining. According to trinsicoin.com data, the bitcoin network of the whole network is currently in the 40.419EH/s block, reward 12.5BTC, per hour from 6 blocks. This paper selects Ebang Ebit E10 as the highest energy efficiency ratio of mining equipment, the capacity is 18TH/s, power consumption is 1.65kW/h. Then according to the average value of industrial electricity tariff, electricity for 0.07kW/h mining is defined in this paper.

variable

This paper includes the following variables calculation:

= the whole network finally force (TH/s)

M = a single machine operator (TH/s)

EM = a single machine energy consumption (kWh)

C = electricity (kWh USD)

How many blocks per hour = beta

R = block Award (BTC)

The total number of mills M = simulation

CMB = each machine each block the consumption of electricity (USD)

V = bitcoin intrinsic value (USD)

Calculation

First, find the best case (all use the highest energy efficiency ratio and its simulation of the total number of M miners).

Secondly, the energy consumption of a single machine (in kWh) to find the number of blocks divided by one hour, and then the results are multiplied by the per kilowatt of electricity costs, find out each machine per hour energy costs cmb.

Finally, the lower limit of the intrinsic value of bitcoin is the amount of energy cost divided by the total system per block per block of bitcoin.

The input data, calculated in accordance with the current situation, a total of 2245508 units per vehicle, its energy consumption is \$0.019 kW/h, a block to compute the energy cost required for \$42670. Considering the current block reward for 12.5 BTC, so each BTC mining cost is \$3413.62.

If only considering the internal cost (ie mining cost), calculated in accordance with the current bitcoin price of \$3618, the external value of \$204, the speculative rate was 6%.

According to this calculation, similarly we can get ETH minimum mining cost is \$92.6, the speculative rate was 2%; Bitcoin ABC for \$293.23, speculative rate of -183%; BSV for \$346.10, the speculative rate is -248%.

Of course, as a new generation of its launch, other conditions remain unchanged, the new energy efficiency ratio improved, bitcoin will continue to reduce the cost of mining. This paper uses E10 and E11 is also about to launch market, that can provide 44TH/s computing power, energy consumption for 2.0kWh. According to data, in the best case, bitcoin mining costs can be reduced by half, only \$1692.71.