On the eve of the next Friday meeting of Ethereum developers, the founder of Atlantic Crypto announced the cost of mining one ether.
Based on the average price of electricity of $0.12 per kWh, it costs $152 to mine one ETH, said Brian Venturo. According to his calculations, the energy consumption for the extraction of one ether is 1.27 MWh. Thus, in the Ethereum market rate, its cost is 51%.
This is not a stable figure for miners and, depending on the cost of electricity in the region, it will fluctuate. So in some American states the price of a kilowatt is 8 cents and mining one Ethereum costs only $100, three times lower than the market value. And mining in China is even more profitable; due to excess electricity, the price of one kilowatt is only 4 cents, or three times lower than the average American price.
Considering the costs of coin mining, Ethereum mining remains a profitable activity with high profitability, even with a decrease in miner rewards per block.
Last week at a developer meeting, some miners supported reducing the block reward to 2 ETH. However, no final decision was made. Today's meeting will again begin with a discussion of the issue of remuneration for miners. The developers plan to discuss reducing the reward from 3 to 2 ethers per block.
An online vote conducted the day before showed that about 66 percent of those surveyed agreed to reduce the reward to 1 ETH per block. About 33% consider it appropriate to reduce it to 2 ethers. And oddly enough, there are almost no supporters of maintaining the reward at the current level of 3 ETH.
If we consider the issue from the point of view of industrial mining, then it does not cause catastrophic losses to large market participants. But for small coin miners, the consequences will be quite noticeable and their number will most likely be reduced.
In general, this procedure for reducing remuneration is caused by the need to counter coin inflation. If such an automatic reduction is inherent in the BTC protocol from the very beginning and does not lead to disputes and protests, then the Ethereum network postponed the introduction of this mechanism due to the upcoming transition to the PoS protocol. At the same time, today the cost of mining one BTC fluctuates around $3,000.
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