[Evaluation] Biyin's "Hashrate Hedging" Retest Theoretical and Actual Benefit Comparison

“Profits and justice are more important”

• Mine location

  Wuyuan, Inner Mongolia
  

• Test Date

  2019.10.28 8:00 AM -- 2019.11.11 8:00 AM

  The hashrate hedging function remains enabled during the test.

• Network conditions

Remark:

1. The difficulty of BTC was changed to 602784 blocks at 07:30:36 on 2019-11-08. Therefore, starting from 1108, the theoretical daily PPS income/T changed to 0.00001977 BTC.

2. rate is the ratio of PPS daily theoretical income/FPPS daily theoretical income obtained by counting the BTC network block data for the whole day.

BTC price curve

The logic of calculating the theoretical hedging return of Sir is as follows:

The logic of computing power hedging is that according to the difficulty and currency price data, when the BCH income is higher than BTC, the computing power will be switched to BCH, and then BCH will be sold to obtain higher BTC income.

Calculation logic: Take the hour as the minimum data statistical unit, and obtain the currency with higher hourly returns based on the average mining difficulty and average price of different currencies per hour. Convert the actual mined currency into BTC based on the hourly average currency price, and finally add the hourly hedged BTC price to obtain the final hedging theoretical return.

When calculating, there are five input data (all hourly average data): BTC network block data; BTC mining difficulty; BTC network block data; BTC mining difficulty; BCH/BTC price ;

The calculation steps are as follows:

1. Based on BTC and BTC hourly average mining difficulty, you can get the average BTC and BCH revenue per hour.

2. Based on BTC, BCH revenue and BCH/BTC price, determine the mining currency with higher revenue in that hour.

3. The BCH income obtained when switching to BCH mining will be converted into BTC income based on the hourly average coin price.

4. According to the block data of the entire BTC network, the average hourly FPPS/PPS ratio is calculated.

5. The theoretical BTC FPPS revenue per hour is calculated by combining the BTC mining hourly revenue with the FPPS/PPS ratio.

6. By superimposing the two parts of income, the FPPS income of BTC is hedged with BCH and converted into BTC income.

Data required for daily theoretical hedging return/T calculation:

BTC network-wide block data; BTC mining difficulty; BTC network-wide block data; BTC mining difficulty; BCH/BTC price are all obtained from network-wide data. Click "Read original text" to view detailed data.

In the following table:

The daily theoretical hedging income/T is the daily theoretical hedging income/T calculated by the above calculation logic.

The theoretical daily FPPS income of BTC/T is based on the assumption that computing power hedging is not enabled and the daily FPPS income of BTC is fully mined/T.

The growth ratio is the growth ratio of daily theoretical hedging income/T relative to BTC daily FPPS theoretical income/T. The calculation formula is: Growth ratio = (daily theoretical hedging income - BTC daily FPPS theoretical income) / BTC daily FPPS theoretical income.

The theoretical total hedging income of 1028-1110 computing power is 0.0002743838782 BTC/T.

Computing power hedging increased profits by 2.87093%.

In the following table:

The data are all actual data of Sir mining machines connected to the mining pool.

Computing power income refers to the computing power income paid by the mining pool that only considers the BTC mining part.

Hedging increased income refers to the additional income paid by the mining pool after the computing power hedging function is enabled, in addition to the BTC computing power income.

The total income is the computing power income + hedging increase income.

Total computing power income in two weeks is: 0.03085983 BTC

Total hedging increase in two weeks: 0.00002103 BTC

The total profit in two weeks is 0.03088086 BTC

The total income/T in two weeks is 0.0002568937416 BTC/T

The actual average profit growth rate after computing power hedging is enabled is 0.07%

Remark:

1. This calculation does not take into account the income of joint mining currencies.

2. The hedging increase income is settled once a week. For the convenience of calculation, Sir will divide the weekly hedging increase income equally into daily amounts.

Mining pool screenshot

1. Comparison of total income in two weeks

The total income of 1028-1110 theoretical hashrate hedging is 0.0002743838782 BTC /T. After the mining pool deducts 4% of the mining pool fee, the total income that the miner should get is

0.0002743838782 * 0.96 = 0.0002634085231 BTC/T.

The actual total revenue/T distributed by the mining pool is 0.0002568937416 BTC/T.

The amount of money that the mining pool short-circuited was 0.000006514781496 BTC, accounting for 2.47326% of the theoretical income that should be paid.

2. Comparison of revenue growth rates

Theoretically, computing power hedging can increase returns by 2.87093% .

The actual hedging income growth rate issued by the mining pool is 0.07% .

Tiao Sir found that after turning on the "hash power hedging" function, the income increased greatly, about 2%-3%. However, the actual income issued by the CoinIn mining pool was less than 0.1%.

Since the theoretical hedging income calculation in this article cannot simulate the actual hashrate hedging function switch, and the specific data cannot be obtained with the most accurate value, the following errors may exist:

1. After judging that the computing power is sufficient to mine BCH, Sir will immediately use the hourly average currency price to directly convert BCH into BTC, while the BCH income conversion method and timing of the CoinIn mining pool are still unclear.

2. Select Sir to use hours as the smallest unit to determine the currency mined per hour, while the CoinIn mining pool switches the computing power judgment standard in real time and may judge with smaller accuracy.

3. The details of task processing issued to the mining machine after the mining pool switches computing power are unclear, and there may be computing power delays in actual situations.

Sir Tiao once asked the staff of Biyin, who said that "the hashrate hedging is not activated immediately when it exceeds 100%, so Sir Tiao also calculated the switching scenarios when (bch price/difficulty)/( btc price/difficulty )> 1.05 and 1.1 . The calculated growth income is 2.6% and 0.85% respectively, which is still far from the actual income growth rate of the mining pool.

• Enabling the “computing power hedging” function will indeed bring additional benefits to miners and mining pools.

• The theoretical growth rate is about 2.87093%, and the growth rate of revenue issued by the mining pool is 0.07%, which is a huge difference.

• The data accuracy of the theoretical profit calculation of "computing power hedging" in the previous issue was not enough. When obtaining data in this issue, the data accuracy was increased to 10 decimal places, and the data is more accurate.

• To view the detailed data required for the theoretical "computing power hedging" profit calculation, please click "Read original text" at the bottom of the official account.