How much energy does it take to mine cryptocurrencies at home?

How much energy does it take to mine cryptocurrencies at home?


Author: Lana Vain 

Cryptocurrencies have been in the spotlight this past year due to their skyrocketing value.

Bitcoin and Ethereum are the two most popular cryptocurrencies in the world and it is not surprising that people like you are interested in the world of mining to generate profitability.

If you want to start mining cryptocurrencies you need a computer with enough power and know how much energy it will consume to make the investment profitable.

How much power does a mining computer consume?
Using a wall meter is the quickest and most efficient way to find out the power consumption of your computer.

For example: if you have a computer with these specifications it will consume a total of approximately 0.2 – 0.3 kWh.
Processor: Ryzen 5 3600X 3.6GHz
Graphics card: RTX 3070 12GB
Ram: 32GB DDR4
Power supply: 650W
Motherboard: Gigabyte B450 AORUS Pr
The above configuration is the most common for mining ethereum or other cryptocurrencies, except bitcoin unless you have hundreds of computers like that.
Consumption will depend on the characteristics of your computer. Keep in mind that it can vary between 0.1 and 0.6 kWh.

If you want to know the price per kWh in Spain, check this page.
If you want to know the consumption and profitability of your graphics card you can go to this website.

On this website you will also find:
a calculator to know the consumption and mining power of ASICs.
a ranking of the best ASIC models according to their profitability, power, hashrate and cost.
a ranking of the best GPUs.

But is it really profitable to mine cryptocurrencies at home?

Quick answer: Yes, except for Bitcoin. Bitcoin is not profitable if you want to do it at home, unless you have hundreds or thousands of powerful computers to compete against super mining farms.

Other cryptocurrencies might be a good option.

Long answer: It depends on the cryptocurrency.

Bitcoin (BTC): The world’s most famous cryptocurrency is not profitable due to high competition and mining farms all over the world. The more people decide to mine bitcoin, the more complicated the algorithm becomes, so more and more computational resources are needed to obtain a hash.

Algorithm: Proof of Work (PoW)
Reward: 6.25 BTC

Ethereum (ETH): The second largest cryptocurrency in terms of market capitalisation. It is still a good option for mining today but you need a computer with a minimum of power.
Algorithm: Proof of work
Reward: 2 ETH

Monero (XMR): This cryptocurrency has a high level of privacy and decentralisation. The advantage is that you can use both CPU and GPU for mining.

Algorithm: Proof of work
Reward: 2.47 XMR

Litecoin (LTC): Litecoin is an option for mining because it is a fairly stable coin, (although in the crypto world this is no guarantee) and does not require a large investment to make a profit.
Algorithm: Proof of work
Reward: 12.5 LTC

Dogecoin (DOGE): This cryptocurrency was born as a meme but has now become quite popular. Elon Musk and other influencers have promoted this coin with the aim of making it worth USD 1.
Algorithm: Proof of work
Reward: 10,000 DOGE

Use renewable energy to save energy.

If you have a rooftop or balcony where the sun shines for long periods of time or where it is very windy, you can choose to install solar panels or wind turbines.

These options are expensive but in the long run you can save electricity and run your mining computers on clean energy.

Conclusion 

The energy consumption for mining cryptocurrencies ranges between 0.2 and 0.6 kWh depending on the power of the hardware.
Bitcoin is not a profitable currency but there are alternatives such as Ethereum, Monero, Litecoin and Dogecoin that are profitable and with less hardware cost.

If you want to know more about the price of electricity in Spain visit this website.