How much does it cost to mine 1 BTC?
Ki Young Ju, CEO of CryptoQuant, said the current cost of mining Bitcoin with Antminer S19 XPs is about $40,000. However, this number will soon increase to $80,000 after the halving in April 2024.
Joe Downie - Marketing Director of cryptocurrency mining service company NiceHash said that mining companies' profits depend on the quality and performance of Bitcoin miners, not the size of the farm. Ethan Vera - CEO of digital currency mining service provider Luxor Technology estimates that about 600,000 S19 series Bitcoin miners in the US have been sold to other places such as Africa and South America. While these devices can still be profitable, they are not affordable in the US.
According to Bloomberg, S19 machines cost 7,030 USD. Instead of selling miners cheaply, some American miners choose to move equipment to areas with lower electricity costs and third-party data centers.
Meanwhile, Laurent Benayoun - CEO of hedge fund Acheron Trading said that Bitcoin mining profits will not decrease after the halving. The decrease in mining rewards will be offset by an increase in transaction fees (Bitcoin network fees). He also predicts fewer mining companies will go out of business this time than in previous cycles.
