Bitcoin mining just got easier

Bitcoin mining can be profitable for firms that operate large mining pools with dedicated hardware and facilities. You can increase your chances at profitability by joining a pool, but your rewards are based on your contribution to the mining effort, i.e., how much hashing power you provided to the pool when it won the reward. What will happen with bitcoin mining a year or two from now? While Bitcoin mining has a good track record for reliability, it has also attracted its share of criticism because of the energy needed to run the network. Bitcoin alone uses more electricity than some entire countries. A number of cryptocurrencies have been moving away from mining, though Bitcoin continues to rely on the process.

Not only do rigs take up power, they also generate heat. The more rigs you have, the hotter it gets. If you don't want your rigs to melt, you need some cooling. Many mining rigs have multiple built-in computer fans. But if you have multiple rigs, the room quickly gets hot, requiring external cooling. Small operations, like those run by individuals, can get by with a typical standing fan. Mining centers, however, need a lot more cooling, which in turn requires even more electricity.  Parameters & Assumptions It’s another key factor affecting the profitability of cloud mining. As more miners join the network or increase their computational power, the difficulty of mining, a measure of how hard it is to find a new block, also rises. Higher mining difficulty can reduce the rewards per hash and diminish profitability. If your intention is to mine Bitcoin, consider that the top dog of the crypto space has a notably high mining difficulty compared to many other currencies, and it’s constantly growing. Still, the level of difficulty can increase or decrease over time, depending on the number of miners involved in the network. Here’s the all-time Bitcoin mining difficulty chart.