ViaBTC recently announced its support for merged mining of Bitcoin (BTC) and Fractal Bitcoin (FB), a scalability solution on the Bitcoin network. Merged mining allows BTC miners to participate in FB mining seamlessly, potentially increasing their earnings. In this article, we will analyze the expected increase in earnings for BTC miners through merged mining with FB, providing a clear understanding of the recent earnings composition.
Bitcoin has a block generation time of approximately 10 minutes, with a block reward of 3.125 BTC following the fourth halving. This translates to a theoretical daily output of 450 BTC. With the price of Bitcoin at $63660.23 on September 23, the daily value of BTC is around $28.65 million. The hashrate for Bitcoin is 635.44 EH/s, resulting in daily earnings of about 0.0000007 BTC per TH/s of hashrate, valued at roughly $0.0451.
FB has reduced the block generation time to one block every 30 seconds to enhance scalability. FB mining involves permissionless mining, where BTC miners switch their hashrate to FB, and merged mining, allowing BTC miners to earn additional rewards from FB simultaneously. The block generation ratio for permissionless mining compared to merged mining is approximately 2:1, with a block reward of 25 FB. The current theoretical daily output for FB is 72,000 FB, with merged mining contributing 24,000 FB. As of September 23, FB’s price is $13.28, resulting in a daily value of $318,700 from merged mining.
BTC miners can choose to participate in FB merged mining to increase their earnings without additional costs. By adding FB to their mining activities, BTC miners can potentially increase their earnings by 3%, leading to an overall rise in profits. For example, with the Antminer S21 and an electricity cost of $0.04 per kilowatt-hour, the theoretical daily earnings for BTC without FB merged mining are $9.02, rising to $9.28 after incorporating FB merged mining. This reflects a 5% increase in profits for BTC miners.
While the earnings from FB merged mining are promising, miners should closely monitor FB’s coin release schedule to manage any potential impact on the price. With only 50% of FB’s total supply coming from PoW mining, a significant influx of coins from other sources could dilute the price in the short term. Despite the release schedule, early engagement in FB merged mining can lead to substantial benefits for miners, especially considering the considerable BTC hashrate that has yet to participate in FB merged mining. ViaBTC is offering support for BTC merged mining with FB and a 30-day fee-free promotion for the FB mining pool, providing an excellent opportunity for BTC miners seeking higher returns.
In conclusion, BTC miners have the opportunity to increase their earnings through merged mining with FB. By incorporating FB into their mining activities, BTC miners can boost their profits without additional costs. Early engagement in FB merged mining can lead to substantial benefits, especially with the support provided by ViaBTC. Miners should closely monitor FB’s coin release schedule to manage any potential impact on the market price.Overall, merged mining with FB presents a promising opportunity for BTC miners looking to maximize their earnings in the cryptocurrency mining industry.
