How Long Does It Take to Mine 1 Bitcoin?
As of 29 September 2023, a single Bitcoin was worth US$27,005. This value can tempt anyone to quit their day job and invest their time and money in Bitcoin mining. So, how long does it take to mine 1 Bitcoin? Bitcoin mining is easier said than done. First, understand how it works to maximize the return on your investment.
What is Bitcoin mining?
Bitcoin mining refers to the transaction validation process using Secure Hash Algorithm 256 (SHA-256). So, the term “mining” is a metaphor. Bitcoin has a unique and airtight security protocol based on the Proof of Work (PoW) consensus algorithm. PoW requires Bitcoin miners to compete to solve complex math problems and discover Bitcoin blocks. A miner earns 6.25 Bitcoin for successfully validating a new block on the Bitcoin blockchain. At US$27,005/Bitcoin, a single block yields US$175,532.50.
How fast can you mine 1 Bitcoin?
It takes 10 minutes to discover a block, yielding a 6.25 Bitcoin reward for the successful miner. But, the entire mining network competes for the Bitcoin block. Here are 3 factors which determine the time it takes to mine 1 Bitcoin:
- Solo or pool mining
Solo miners keep 100% of the 6.5 Bitcoin reward for validating a block. With tens of thousands of miners in operation globally, the probability of a modestly powered solo miner discovering a block or solving a Bitcoin hash is low. Some professionals overcome this challenge by joining mining pools. Pool mining consolidates solo miners’ hash rate, which refers to the computing power needed to mine 1 Bitcoin. They pool their resources to increase the odds of discovering a block. Then, rewards are proportionately distributed to members according to the computing power contributed. For example, a mining pool with a 10% hash rate share mines around 10% of all newly minted Bitcoins, or 90 Bitcoins/day out of the 900 Bitcoins distributed to all miners daily. A miner contributing 1% of the pool’s hash rate would get around 0.9 Bitcoin/day. Joining a mining pool can help you earn 1 Bitcoin faster than working solo.
- Hardware capabilities
Any PC with an average multi-core processor was strong enough to run the Bitcoin software when Satoshi mined the Bitcoin Genesis block in January 2009. As more miners joined the network, professionals adopted graphical processing units (GPUs) and field programmable gate arrays (FPGAs) to outperform the competition. Application-specific integrated circuits (ASICs) replaced GPUs and FPGAs in 2013 and dominated the Bitcoin mining space ever since. Bitmain is one of the most energy-efficient ASIC crypto miners in Dubai. The brand offers the Antminer S19J Pro+, Antminer S19 XP, and Antminer L. You can buy Bitmain in Dubai to increase your chances of discovering a new block.
Crypto miners are noisy and emit heat. Keeping a miner in your house can undermine its efficiency and make life uncomfortable. You can get affordable ASIC miner hosting to avoid inconveniences and the hassle of managing your mining rigs. The best crypto mining hosting service providers charge a small fee of $0.07/kWh for 12 months. Ensure you choose a trusted and reliable Bitcoin miner hosting platform to protect your investment and profits.
- Bitcoin difficulty adjustment
The Bitcoin network uses the difficulty adjustment mechanism to control the hash rate and block production. As of 28 September 2023, the Bitcoin network hash rate was 414.56M, up 76.95% from 234.28M one year ago. This figure represents Bitcoin’s average difficulty of 57.12T. It determines how much work miners need to do to get paid. On average, one new block is created every 10 minutes. However, validating transactions takes less time when more miners join the Bitcoin network. So, the network raises the difficulty, slowing down block creation. This mechanism keeps the production rate at around 1 block/10 minutes. So, it determines the time it takes to mine 1 Bitcoin.
Bottom Line
Bitcoin is a complex but lucrative venture. The (PoW) consensus algorithm requires miners to compete to validate blocks and get a 6.5 Bitcoin reward. Joining a mining pool can help increase your earnings. Other factors determining how long it takes to mine 1 Bitcoin include hardware capabilities and the difficulty adjustment mechanism. You can buy Bitmain crypto miners in Dubai and Bitcoin mining hosting to avoid the hassle of managing mining rigs. Ensure you get an energy-efficient ASIC miner to increase your competitive advantage.
