Sharing of practical tools for querying mining data

According to on-chain analysis data from Coin Metrics, Bitcoin miners earned an estimated $522 million in November, up 48% from October, with total monthly revenue for the month reaching its highest level since September 2019.

The resurgence of the coin price has opened a new door for the return of small-scale miners who have just entered the mining industry and retail miners with relatively high electricity costs. In addition to choosing the main mining machine, today I will share with you some practical tools related to mining to help you understand the mining industry faster.

1. Network computing power and mining difficulty

Whether Bitcoin mining is profitable or not is influenced by five very critical data: Bitcoin price, computing power, electricity cost, mining difficulty of the entire network, and mining machine cost. The last four factors affect each other and may eventually affect the BTC price. Assuming that the mining difficulty increases, the computing power will be relatively reduced, and the electricity cost and mining machine power consumption will indirectly increase until the income from selling Bitcoin cannot cover the total mining cost. Some miners and mining machines will be eliminated, and the computing power will be reduced, bringing a new round of competition and changes.

On BTC.com (www.btc.com), you can check the current network computing power and recent computing power changes, as well as the amount of coins issued per terabyte of computing power under the PPS and FPPS mechanisms.

On this page, you can also check the current best transaction fee. The best transaction fee means that it is fast and economical, and the transaction fee paid is "just enough" to allow the transaction to be packaged in the next (or the next) block.

Click "More" to see the block height each time the mining difficulty changes and the time of the next difficulty change.

2. Static payback period of mining machine

In order to quickly calculate the payback period, we can also use the calculation software provided by some websites. The following figure takes Wabi.com (www.wabi.com) as an example. The current futures price of Avalon A1246 in May 2021 is 12,600 yuan, and the electricity fee is calculated at 0.33 yuan/kWh. The static payback period of this model is 226 days.

(The static payback period of the mining machine assumes that the future mining difficulty, coin price, basic mining rewards, miner fees for packaged transactions, electricity costs, etc. remain unchanged and the mining machine continues to run at full computing power. The data is for investment reference only!)

3. Shutdown coin price

The shutdown coin price is an indicator that miners pay close attention to. The shutdown coin price represents the safety margin of the mining machine. This indicator can be queried through the Poolin mining pool (www.poolin.com). Enter the mining machine model and the average electricity price in the search box to calculate the mining machine's daily output, electricity expenditure and shutdown coin price. The coin price and related mining difficulty and other factors will change automatically.

Clicking on the mining machine details page, we can see that under the current difficulty and coin price, Avalon A1246 is most profitable when switching to BSV mining mode, with a net profit of 86.5 yuan/day.

4. Handling Fees

The blockchain transfer fee is actually a reward paid to miners for bookkeeping. A transaction (regardless of the amount) is 250 bytes or more, and the fee is generally 0.0001-0.0015 bitcoins. The capacity of a Bitcoin block is 1M, and a block can only process about 7 transactions per second, so transactions on Bitcoin are very congested and slow. In order to obtain priority bookkeeping rights, you can pay more fees.

QKL123 (www.qkl123.com) can query the average daily transaction fee of a single on-chain transfer and the total daily transaction fees of all on-chain transfers.

This page also has a very interesting data - Bitcoin Rich List. From the Bitcoin Rich List, we can see the distribution of the entire Bitcoin. The top ten wallet addresses account for 4.41% of the wealth. However, since the top ten addresses are mostly wallet addresses of the top exchanges, the real wealth distribution of Bitcoin should be more dispersed.

5. Number of active addresses and transactions on the chain

Active (valid) addresses are addresses that have engaged in any form of transaction in the last 24 hours, which is also an indicator of the popularity of a cryptocurrency, meaning that Bitcoin is more popular now than it has been since 2018.

According to data from OKLink (www.oklink.com), the number of active (valid) valid addresses on the Bitcoin network has exceeded 1.02 million this week. The new high in the number of valid addresses may be a confirmation of higher price levels.