F2Pool founder publishes list of crypto miners and estimated mining prices
Bitcoin miners are shutting down their companies. Bitcoin’s hashrate has fallen by 50% from 60 exahashes to around 30. Ethereum’s hash rate has also dropped in the wake of the recent bear rally. This has caused mining difficulties among the crypto miners with some shutting down their establishments due to heavy losses.
Recently, Mao Shixing, the founder of F2Pool, published a list of prices at which cryptocurrency mining would be unprofitable. The list contained the names of different mining rigs and its corresponding mining prices at which mining would be unprofitable. According to the list, if mining rigs operate at an average cost of 0.4 yuan per kWh and Bitcoin prices are trading below 22,438 yuan (about $3,261), this would imply that mining BTC on an Antminer S9 would be unprofitable.
Shixing, in a recent interview, said that between 600,000 to 800,000 miners have shut down since mid-November due to mining difficulties coupled with hefty losses. His evaluation was based on the Bitcoin network’s hashrate plunge and the average hashing power required by older mining machines. Reportedly, the mining rigs that used older mining models like Bitmain’s Antminer T9+ and Canaan Creative’s AvalonMiner 741 are selling their mining equipment by kilos. Apparently, these mining equipment are no longer reusable therefore they are just resold as scrap metal.
F2Pool is one of the largest miners of Bitcoin. It currently holds around 9.8% mining activity of the total network. F2Pool indicated that they cannot accurately estimate the mining rigs that have left their mining pool owing to the fact that numerous mining rigs have left on account of increasing costs and decreasing profits.
According to BTC.com, data shows that the mining difficulty has plunged to 15.14%. This implies that mining rigs that shut down because of the plunge in the hashrate can restart their businesses. However, regulatory authorities have shut down multiple mining organizations in China. Coupled with the increased cost of electricity, Chinese mining rigs will have hard time mining cryptocurrencies.
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