KEY MINING TERMS
Hashrate: Speed at which your hardware solves hash functions. Higher = more rewards.
Difficulty: Network parameter that auto-adjusts every ~2 weeks to keep block time at ~10min (BTC).
Block Reward: New BTC awarded to the miner who finds the block (currently 3.125 BTC after 2024 halving).
Pool Fee: Percentage taken by the pool for their service (typically 1-4%).
Break-even Price: The minimum crypto price needed to cover electricity costs.
PROFITABILITY FORMULA
Daily Revenue = (Hashrate / Network Hashrate) × Daily Blocks × Block Reward × Coin Price
Daily Cost = (Power Watts / 1000) × 24 × Electricity Rate
Daily Profit = Revenue × (1 - Pool Fee) - Daily Cost