Ethereum mining remains a popular way to earn passive income, but profitability depends heavily on hardware efficiency, electricity costs, and market conditions. This guide breaks down the key factors affecting daily earnings for GPU-based Ethereum mining rigs.
Key Components of an Ethereum Mining Rig
- Graphics Cards (GPUs): Account for ~80% of the rig’s cost. High-performance models like AMD RX 570 or NVIDIA RTX 3080 are common choices.
- Motherboard & Power Supply: Must support multiple GPUs and provide stable power delivery.
- Location: Mining farms often operate in regions with cheap electricity (e.g., $0.03–$0.05/kWh).
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Profitability Calculation Example
Let’s analyze a professional mining setup:
| Specification | Details |
|---|---|
| Model | 8x RX 570 4G GPU Rig |
| Hash Rate | 230 MH/s (ETH) |
| Power Consumption | 1200W |
| Cost | ¥16,500 (~$2,300) |
| Supported Coins | ETH, ETC, ZEC, XMR, Pirl, ETP |
Daily Earnings Breakdown (Theoretical Estimate)
- Gross Revenue:
- Assumptions:
- ETH price: ¥3,166.41 ($440)
- Mining reward: 7.0E-5 ETH per MH/s
-
Calculation:
230 MH/s × 7.0E-5 × 3,166.41 = ¥51.03/day -
Electricity Costs ($0.07/kWh):
1.2kW × 24h × ¥0.5/kWh = ¥14.40/day -
Net Profit:
¥51.03 – ¥14.40 = ¥36.58/day (~$5.10)
Note: Excludes mining difficulty changes, hardware depreciation, and ETH price volatility.
Critical Profitability Factors
- Electricity Rates
- At $0.10/kWh: Profit drops to ¥28.83/day
-
At $0.03/kWh: Profit rises to ¥44.43/day
-
Mining Pool Fees
Most pools charge 1–2% of earnings. -
Hardware Efficiency
Newer GPUs like RTX 3060 Ti offer better hash/watt ratios.
👉 Compare electricity costs by region
FAQs
1. How long does it take to break even on a mining rig?
At ¥36.58/day profit:
¥16,500 ÷ ¥36.58 ≈ 451 days (15 months).
Actual ROI depends on ETH price and network difficulty.
2. Can I mine Ethereum with a regular PC?
Technically yes, but most consumer PCs generate less than $0.50/day after electricity costs—often operating at a loss.
3. What happens after Ethereum transitions to Proof-of-Stake?
GPU mining will become obsolete for ETH. Miners may switch to other coins (ETC, RVN) or sell hardware.
4. How does mining difficulty affect earnings?
As more miners join the network, block rewards decrease. Earnings may drop 5–15% monthly without hardware upgrades.
5. Is cloud mining a better alternative?
Generally not recommended due to high fees (~30% profit cuts) and scam risks in unverified services.