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2021 ends with mining difficulty at new record

2 min read

 

BTC network mining difficulty ended 2021 breaking another record. So mining 1 BTC has never been as difficult as it is now.

The amount of BTC generated by each mining hash is in constant decline. This has recently led him to hit a record low of 501 satoshis per terhash of energy per day (SAT/TH/D).

The referred record was registered last Sunday. However, to date, BTC miners average a hash price of 542 SAT/TH/D.

The hashprice is a value that reflects a miner’s productivity according to their rate of hash per day. It can be calculated in US Dollars or Satoshis (SAT). Therefore, it is usually represented as USD or SAT, per hash, per day.

The USD hashprice is a value heavily influenced by the cryptocurrency market and its ups and downs.

The SAT hash price is a value that depends, above all, on internal aspects of the network, such as its hash rate, mining difficulty and halvings.

The sustained decline in the price of hash reflected in satoshis in BTC mining has logical reasons. Every four years or so, halving occurs which halves the rewards per mined block.

Halving must be compounded by the increase in mining power caused by an increasing number of miners and the development of more powerful hardware.

The direct consequence of the increased BTC hash rate is a greater difficulty in mining the network.

The set of reasons mentioned plays an important role in the drop in BTC hash price, as it makes miners get less satoshis relative to their mining power.

However, thanks to the increase BTC experienced in the market during the last quarter of 2021, mining is still profitable.

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All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.

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