Hey folks,
You're going through this text, because perhaps you might have thinking/already planned to have some mining ideas about cryptos e.g, ETH, Sia, etc. But, I believe you should think twice prior implementation of such ideas.
You might have gone through online mining calculators, which picks your hash rates, electricity charges per unit, & gives predictions about your earnings. And, probably you make your mind to follow this & let's plan...
Let's go through simple example & have some calculations.
Suppose, you're planning to rig of graphics cards like, gtx 1060, 1070, 1080, radon series, etc. Have you checked how much going to consume electricity & how much its costing..?
E.g. Gygabyte gtx 1060(~22MH/S), consumes ~120w. Suppose you're planning 9 GPUs nearly (~180MH/S) & it consumes (9*120w)=~1KW. For a month 1KW*24*30=720kw..!!
Thus, it clearly indicates you need o spend considerable amount of penny on electricity & further more expenditure will be expected as amendment in hardwares, if any.
Again, next thing comes when we consider about increasing difficulties of cryptos day by day..e.g. for Ethereum just check with increasing difficulty -
https://www.coinwarz.com/difficulty-charts/ethereum-difficulty-chart
So, you won't be able to stay tuned at particular hardware configuration, of course amending hardware is the only solution to tackle difficulty challenge, to maintain hashrates, as time goes & so electricity consumption...
So proportion profit/expenditure will be decreasing as complexity increases, even raising prices of cryptos. Finally time comes, increasing rate of cryptos will not help you as this fail to maintain this ratio, because consistency in raising difficulty is constant but not same with prices of cryptos. That's what happen when threashold comes & plans of mining game stops, best example - Bitcoin.
Hencd, don't play such game whose rule is stop the game itself, as times goes....!!!
Thanks.