Why are my profitability calculations for Litecoin mining with an Antminer off the chart?

1

Not exactly a Bitcoin question but it's about mining.

I wanted to step into crypto mining, but on a rather low budget. Unfortunately, it is hard to start with Bitcoin when you have a low budget, so I thought about going into Litecoin mining.

I looked up the current exchange rate, the current difficulty and found an affordable S5 Miner with 1155GH for about 250Euro. To calculate the expected reward I used the bitcoinwisdom.com calculator, who told me, with the current exchange rate and difficulty I could mine 46340USD a day, the calculator at litecoinpool.org said it's 23753.54USD a day.

Even though those number are completely different, I cannot trust any of them. What am I calculating wrong?

Thanks in advance!

Marcel M.

Posted 2017-03-05T10:38:43.913

Reputation: 13

Hey Marcel, welcome to Bitcoin.Stackexchange! I've changed the title of your question to summarize the topic and made some slight edits of your post. Please feel free to further adapt the post if I didn't capture your intent properly. :) – Murch – 2017-03-05T10:54:56.713

Answers

1

The Antminer S5 mines SHA-256d hashes as used by Bitcoin.

However, Litecoin uses Scrypt as its hashing algorithm instead of SHA-256d. That means that the S5 cannot be used to mine Litecoin and the numbers are not comparable.

Murch

Posted 2017-03-05T10:38:43.913

Reputation: 41 609

I see, thanks for the quick answer! But nontheless, if I continue my calculations there are options with i.e. the S3 and Peercoin to break even in around 7 months. That seems still to fast.. – Marcel M. – 2017-03-05T11:22:18.907

Asked: 2017-03-05T10:38:43.913

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Active: 2017-03-05T10:53:40.913