These Are the Most Profitable Proof-of-Work Algorithms in 2023

Mining

Eight months in the past, there was a big transformation within the realm of profitable proof-of-work (PoW) mining algorithms when Ethereum made the transition from PoW to proof-of-stake (PoS). Throughout that interval, the prevailing consensus algorithms for mining have been Kadena, Scrypt, and Cuckatoo32. Nevertheless, the panorama has developed, and presently, essentially the most worthwhile consensus algorithms for mining embody Kheavyhash, Scrypt, and Eaglesong.

The Evolving Panorama of Worthwhile Proof-of-Work Algorithms

Whereas mining bitcoin (BTC) stays a worthwhile enterprise, it’s not the foremost crypto asset for maximizing profitability in 2023. As of Might 23, 2023, bitcoin ranks fifth among the many most worthwhile cryptocurrencies to mine this yr, whereas a number of different digital belongings promise larger returns.

On the top of mining profitability stands a lesser-known PoW token named kaspa (KAS). Presently, KAS may be mined using a graphics processing unit (GPU) using the Kheavyhash algorithm. Nevertheless, Bitmain has developed an application-specific built-in circuit (ASIC) particularly designed for mining KAS.

In accordance with data offered on Bitmain’s web site, the supply of Bitmain’s KAS Miner KS3 to most of the people is scheduled for August and September 2023. Archived information from asicminervalue.com as of Might 23 means that if the KS3 have been accessible at current, it might generate an estimated every day revenue of $2,045, assuming electrical energy prices of $0.12 per kilowatt hour (kWh).

The KS3 boasts a hashpower of 8,300 gigahash per second (GH/s) or 8.3 terahash per second (TH/s) particularly designed for the Kheavyhash algorithm. Upon its launch, every unit of the miner can be priced at $49,800, as indicated by Bitmain’s store.

Following KAS, the following noteworthy consensus algorithm by way of profitability is Scrypt, which allows people to mine cryptocurrencies equivalent to dogecoin (DOGE) and litecoin (LTC), together with varied different crypto belongings, using a Scrypt-compatible ASIC system. Bitmain gives a variety of machines which can be a part of the Antminer L7 collection, initially launched in 2021 and subsequently expanded in 2022.

As of Might 23, an L7 system boasting a hashpower of 9.5 gigahash per second (GH/s) is estimated to generate a every day revenue of $13.66. It’s price noting that, on the time of writing, Bitmain’s L7 models are priced at $8,550 per system; nonetheless, they’re at present bought out.

Among the many extremely worthwhile crypto miners, the Antminer K7, an Eaglesong-compatible ASIC, stands out with hashpower of round 63.5 terahash per second (TH/s). Presently, the K7 miner is bought out, however it’s listed with a worth of $4,748 per unit on Bitmain’s sold-out filter. This specific Antminer is designed completely for mining the comparatively lesser-known crypto asset referred to as nervos (CKB).

Primarily based on present trade charges, it’s estimated that the K7 miner can generate every day income of roughly $8.70. Transferring ahead, the Kadena consensus algorithm is noteworthy, particularly utilized for mining the crypto asset referred to as kadena (KDA). As soon as once more, Bitmain takes the lead because the producer of essentially the most worthwhile mining rig for KDA.

With a hashpower of 166 terahash per second (TH/s), the Antminer KA3, suitable with Kadena, is a notable mining system. Contemplating the present trade charges for KDA, this machine is projected to generate roughly $6.79 per day in income. Transferring on to the fifth most worthwhile consensus algorithm for ASIC mining, we’ve got the SHA256 algorithm.

The Bitmain Antminer S19 XP Hydro mannequin gives hashpower of round 255 TH/s. When factoring in electrical energy prices of $0.12 per kilowatt hour (kWh) on Might 23, the S19 XP Hydro is estimated to yield round $4.79 per day in income. Presently, it’s the most worthwhile BTC miner available on the market, however a rival is on the best way. Microbt’s Whatsminer M53S++ claims to supply 320 TH/s, which is 65 TH/s higher than Bitmain’s Antminer S19 XP Hydro. On the time of writing, the Whatsminer M53S++ is at present not obtainable for buy.

The values of crypto belongings are topic to fixed fluctuations, and the profitability panorama has undergone substantial modifications since our information desk final reported on this topic eight months in the past. As beforehand talked about, a KDA-compatible KA3 miner at present generates an estimated $6.79 per day in income. Nevertheless, 248 days in the past, this identical machine was yielding a a lot larger revenue of $69.41 per day, assuming electrical energy prices of $0.12 per kilowatt hour (kWh).

This exemplifies how the profitability of mining rigs can considerably differ over time. By the point Bitmain’s KAS Miner KS3 is shipped, the every day revenue could also be significantly decrease than the present estimate. This sample holds true for all mining rigs ever created, as there have been cases when these machines have been extremely environment friendly and worthwhile, solely to be rendered out of date by both superior machines or risky crypto costs.