Estimate your annual returns based on current market conditions
Click to expand and learn the basics
1. You Buy Mining Hardware
Purchase Bitcoin miners (ASIC machines) that run 24/7 solving mathematical problems to secure the Bitcoin network.
2. Miners Earn Bitcoin Weekly
Your machines earn Bitcoin rewards based on their computational power. At current rates, expect ~8% annual yield — but here's the magic: as hashprice and Bitcoin price rise, your returns increase while your expenses stay fixed, improving your breakeven and accelerating payback.
3. Dollar-Cost Average Automatically
Instead of buying Bitcoin at today's price, mining spreads your investment over time — you accumulate BTC weekly regardless of price.
Why mining? Mining lets you accumulate Bitcoin at a discount to market prices while benefiting from potential price appreciation. It's a passive, automated DCA strategy.
Annual Return
Upfront Cost
$1.13M
Monthly Cashflow
$17,163
Miners
116
Base Return
18.31%
Cost per PH
Electricity Rate
Power Consumed
0.65 MW
Efficiency
13 J/TH
at BTC price of
Deeper analysis to inform your investment decision
How long until your investment is fully recovered
Annual Recovery
$205,952
Monthly Recovery
$17,163
With BTC Appreciation (50% of 7-yr CAGR)
Flat Price Payback
66 mo
BTC at today's price
Appreciation Payback
21 mo
BTC at ~31.6%/yr (50% of 7-yr CAGR)
Appreciation scenario uses 50% of the 7-year CAGR (~31.6%/yr).
Minimum BTC price to remain profitable
At current hashprice ($41), BTC can drop to $37,017 before you hit breakeven. Below this, you'd need hashprice to rise to stay profitable.
Downside Cushion
38.3% drop to floor
Raw Breakeven Hashprice
$25.29/PH/day
Minimum hashprice to cover costs
Your BTC earnings — denominated in Bitcoin
Daily BTC
â‚¿ 0.024249
Monthly BTC
â‚¿ 0.7275
Annual BTC
â‚¿ 8.7296
Miners last 7 years. Annual return starts at $205,952 (base case at current BTC price). Scenarios show BTC price appreciation/depreciation impact.
| Year | BTC Earned | Bear (cum.) | Base (cum.) | Bull (cum.) | Base ROI |
|---|---|---|---|---|---|
| Year 1 | â‚¿ 8.7296 | $175,059 | $205,952 | $271,068 | 18.31% |
| Year 2 | â‚¿ 17.4592 | $319,226 | $411,904 | $627,840 | 36.61% |
| Year 3 | â‚¿ 26.1887 | $453,095 | $617,856 | $1,097,413 | 54.92% |
| Year 4 | â‚¿ 34.9183 | $576,666 | $823,809 | $1,715,450 | 73.23% |
| Year 5 | â‚¿ 43.6479 | $700,237 | $1,029,761 | $2,528,893 | 91.53% |
| Year 6 | â‚¿ 52.3775 | $823,809 | $1,235,713 | $3,599,522 | 109.84% |
| Year 7 | â‚¿ 61.1071 | $947,380 | $1,441,665 | $5,008,653 | 128.15% |
| Total Investment | $1,125,000 | ||||
7-year projection (mining hardware lifespan). Hashprice held constant at current value. BTC price path drives scenario differences. Not a guarantee of future performance.
IRS §168(k) 100% Bonus Depreciation — full write-off in year of purchase
| Tax Bracket | Deduction | Tax Saved | Net Cost |
|---|---|---|---|
| 32% bracket | $1,125,000 | $360,000 | $765,000 |
| 35% bracket | $1,125,000 | $393,750 | $731,250 |
| 37% bracket | $1,125,000 | $416,250 | $708,750 |
| 39.6% (proposed top) | $1,125,000 | $445,500 | $679,500 |
Consult a qualified tax advisor. Assumes full business use, active participation, and no passive activity loss limitations.
Annual return and cash-on-cash across different market conditions
| Hashprice | Annual Return | Cash-on-Cash | Payback |
|---|---|---|---|
| $30below floor | $72,453 | 6.44% | 186mo |
| $40CURRENT | $193,816 | 17.23% | 70mo |
| $50 | $315,178 | 28.02% | 43mo |
| $60 | $436,541 | 38.80% | 31mo |
| $70 | $557,903 | 49.59% | 24mo |
| $80 | $679,266 | 60.38% | 20mo |
| $100 | $921,991 | 81.95% | 15mo |
| $125 | $1,225,397 | 108.92% | 11mo |
| $150 | $1,528,803 | 135.89% | 9mo |
| $200 | $2,135,616 | 189.83% | 6mo |
Grayed rows are below breakeven. Current hashprice highlighted. All figures before BTC price appreciation.