In the comments you wished you could do
something about bitcoins. So now I 'm starting an experiment. I want to find out:
Can I make money with Bitcoins myself? So not with the trade, but
by producing them myself , preferably with my own computer. That would
be great if it were worth it, because the Bitcoin rate has gone through the roof in the last few months
. Within 24 hours it went up by around 4,000 euros.
Sometimes you feel the need to buckle up. The accolade was probably the commitment
of Tesla boss Elon Musk. He bought Bitcoin for $ 1.5 billion.
A Bitcoin currently costs almost 50,000 euros. I ask myself, wouldn't it
be worthwhile to mine bitcoins yourself? Something happens. I mine. I
am definitely mining. I know it uses a lot of energy and costs a lot of
money. We currently have an annual electricity consumption that is comparable to Sweden.
First of all, I would like to know how it is technically possible
to produce Bitcoins with your own computer? Because I have no idea about it, I first meet a
computer expert who knows about it.
So you're teaching me to mine
Bitcoin? Exactly. I'm looking forward to it. Thank you! Bene is 22 and the editor
of a computer magazine, has already mined Bitcoin himself
and reported on it. So I can certainly learn something from him.
Yes, let's get started then. So this is my calculator. Yes. Now of course I'm wondering
, is it technically the thing that I can mine bitcoins for? I don't think that
makes much sense. It's not as new as it looks now. He is five years old.
You could have started a few years ago. There are now people who
have specialized in it. Basically, when you say that
you can't mine bitcoins yourself with hardware like this. What do I basically need for a setup,
for a computer, so that it would be technically possible at all ? So, actually you would need the
most sensible thing for Bitcoin mining, a so-called ASIC miner. This is hardware that is specially
designed to be used for mining. Way too expensive. That is out of the
question for me. I want to find out whether I can mine on the side with my normal computer
But if you want to buy hardware with which you can do something different
, basically a PC with a graphics card , then in the end it is important that
the graphics card is one of the newest and also one of the most powerful in comparison. Because if
everyone else has better graphics cards than you, then they make the money and not you.
Tip from Bene: The older the graphics card, the less profitable mining is. But even with
a suitable graphics card, it is not worth mining Bitcoins. Bene recommends other
crypto currencies such as Ethereum, Monero or Raven. Mining is worthwhile even with a
good graphics card. And Bene has one. What would such a calculator be like if I
put it together roughly in the form myself, what does that cost? So around 1,000 euros
. Ah okay. Because the graphics cards alone usually cost a few hundred.
By the way: These graphics cards are really hard to come by right now.
The reason: The
graphics cards are needed for both mining and gaming. That drives up prices.
We all agree that I won't be able to do it. How can you help me there?
Fence post! Oh I see. Because it's you, you can have my computer too. How long can you
do without that? As long as you need, you are also able to earn something with it.
One week? Depends on.
Maybe after a week you will have … Are you already a millionaire?
We will see. So, if so, of course Bene gets a big commission for all his
tips. Anyway, I'm curious. Okay, ciao! It didn't sound too difficult at all
. I hope that I can get all of this installed now. First, of
course, the computer has to be started and connected to the internet
and so on. But I'll manage it! It's already on. Well, he's
quick. Now look for the right software.
There is a lot of it, for
example MinerGate, Salad or NiceHash. As a beginner, Bene recommended NiceHash to me.
You can't go wrong, supposedly. OK! Well, I don't know my way around
yet. And because of that, I think it's best if I use this NiceHash,
which I know is supposed to be easy. At NiceHash, I automatically mine
the cryptocurrency that is the most lucrative with my graphics card. In the end,
I can then withdraw in Bitcoin. Well, it may be that with three
clicks and what feels like four and a half seconds, I've already installed the whole thing.
It's not that fast. Now it only really starts downloading
after I've logged in.
It's all OK. OK. Well, I could really start mining right now
. But first I'd like to do a power check first, because this
huge part certainly consumes a lot of power, especially when I start mining.
I want to find out exactly how much. So, quickly turn off the PC again, remove the plug, put the electricity meter
and plug in and restart the PC. The way I see it, the computer
now levels off at a power consumption of 42/43 watts when it does absolutely nothing.
Okay guys! Now comes the spectacular moment.
I start mining.
Something happens! I mine. I am definitely mining . And it also looks so monster-
like, I think, this other window that opened there. And do you hear?
The computer accelerates. He has to accelerate. Earlier, when the computer did practically nothing
, we were at 42/43. Now we're already at 360. I'm going to look in an
electricity price calculator to see what it will cost me if the computer here is running 24/7.
Now I take the 360 watts that the computer has leveled out at when it is
in mining operation. Then it comes out: Attention! 2.61 euros per day. If I do that for a week now
, it will cost 18.27 euros in electricity costs. If I now calculate that for the
month, if I pay 73 euros for the computer here for the mining alone …
I normally pay 40.
Then I would almost triple my monthly electricity costs.
But now, from a purely financial perspective: I mean, a Bitcoin is worth almost 50,000 euros. What if
the computer really accelerates here and digs one of those Bitcoin for me?
So from now on Benes Computer will automatically earn money for me. Let's
see what comes out of it in the end! People! A very crucial problem here
on Meini's Bitcoin farm. The sound! I have to get a grip on that,
otherwise I can't stand this! Thanks to a groundbreaking design, I was
actually able to solve the problem. Listening times! And how? I put cork sheets underneath here
. Interestingly, only three. Not here. So, the computer is now at an angle and as
crooked as it is, it no longer vibrates. Welcome back to Meini's Bitcoin farm.
It's been going on for a while now.
Oh, I don't know what I've earned so far.
The software, it shows that somewhere relatively easily. But I don't look at it. I
don't force myself to look at it. I just want to keep the tension going.
I have the total beginner Bitcoin farm here. That's why I made an appointment with the professional
, Dominik. He's an entrepreneur in Austria and
started mining Bitcoin on a large scale a few years ago. And he has come
up with something clever for this immense power consumption. Hello to Austria! Hello,
hello! Now please tell me again briefly: What exactly were you doing there? Yes,
I started at a comparatively young time, in 2013, at the end of 2013, actually
for fun, to mine Bitcoins and mine in crypto currencies. And a few
years later we decided to scale it up a bit bigger and
then decided in our hometown that we would go to the power plant owner and say: Hey,
hello! We would like to connect bio-energy with you.
And that's how I came to the fact
that we had many hundreds of devices that mined crypto currencies at the highest time.
Hundreds of Asic miners in a warehouse directly connected to a hydropower plant.
An investment of millions! Dominik mined Bitcoin day and night
and used quite a lot of electricity! What kind of electricity price did you
actually pay per kilowatt hour? 6 cents. But that was already including the tax
and of course including the additional profit that the power plant owner received.
Because of course he had more work with us , in contrast to the public network,
where he already had his contracts. And of course he
wanted to earn more because otherwise he wouldn't do it. I pay 30 cents per kilowatt hour, which means
you only got a fifth of it, so to speak. What is the current situation? Do you
still have this farm? No, we stopped that. With Bitcoin it is the case that every four years the
reward for the miners for prospecting is halved.
That was in May 2020 and about half a
year before that time, mostly new hardware is published by all the
manufacturers. And that would mean investing millions in new hardware again. And
it just wasn't worth it to us anymore. This entire phase, when you made it so great
, with all these hundreds of arithmetic operations , was it worth it on the bottom line
? It's a time occupation that also made money on the side.
Not infinitely now. If you hear that, I'm mine at 30 cents per kilowatt hour …
You clap your hands over your head. Can it work? It can
Yes, it can indeed work. Dominik, thank you very much
! That was very exciting. Gladly, gladly! I upgraded and got myself an
energy cost meter. The difference to my measuring device down there
is: It only shows the consumption, it doesn't record it. With this thing and an
app, I can record my electricity consumption. So, now pit stop like in Formula 1:
stop mining, shut down your PC, change measuring devices, restart your PC and all of this as quickly
as possible! You know: time is money! Well, now my power consumption is
precisely tracked and recorded. So now I know exactly what I'm using.
What I don't really know yet is what this calculator really means for the climate
and what all this mining for crypto currencies means for the climate.
And I'll take care of this aspect now . And here: At the Technical
University of Munich.
I have an appointment with the computer scientist Ulrich Gallersdörfer. He researches and
teaches as a doctoral student on blockchain and cryptocurrencies. Bitcoin is considered to be the blatant power
guzzler, Bitcoin mining. I see it in myself too. I also track my power
consumption and see what the computer is drawing. So is it true that Bitcoin mining is
such an environmental and climate sin? So, the Bitcoin is the currency that consumes the most
energy, the cryptocurrency that consumes the most energy.
We currently have an annual electricity consumption that is comparable to Sweden. So, we
have very, very high energy requirements. Such a simple transaction, how much
energy consumption does it cause? The calculation for individual transactions is always very simple.
We just take the total energy consumption, divide that by the number of transactions in the
same period, done, you have an invoice! I did the math this morning: It
was kind of 800 kilowatt hours, that's kind of a US household for about 25 days.
800 kilowatt hours for a transaction? Yes. Awesome! So much power for ONE
Bitcoin transfer, for example! Why does this Bitcoin use so much energy anyway?
The electricity actually protects the network against attacks.
This means that an attacker who
would somehow attack the network, would somehow try to manipulate something,
would have to generate as much electricity as the rest of the network. Because it's just so much
energy, the bitcoin is very, very safe and simply protects all of this bitcoin and
all of the value that is stored in this system. So, now an attempt to explain the network
: As a Bitcoin miner, I am a member of a decentralized network. In
theory, everyone can take part.
The miners are responsible for checking and
executing Bitcoin transactions. The miner's computers are the witnesses
that transactions from person A to person B are actually taking place. The miners collect these
Bitcoin transactions in blocks all over the world . That is why the whole thing is called blockchain
, translated into German: blockchain. The transactions are stored in these blocks
. In order to protect the blockchain from manipulation, the blocks have to be
secured by elaborate invoices. This is done by the miner's computers: All miners do the math
, but only one actually manages to solve the calculation for
one block at a time.
The successful miners receive a small portion of Bitcoins as a reward
. This is called “mines” or “prospecting”. When the blocks are secured and
distributed across the network, the transactions are approved and completed. Since there are always a large number of
miners calculating at the same time, this consumes a lot of energy, because only one makes it to the
goal at a time. But that's what makes it so safe. Not everything is easy to understand!
Definitely thank you. I want to press stop here after exactly seven days, i.e.
after 168 hours. That will be the case in a good hour . So I invited Bene
and then I want to go over with him what really came out of it.
In the meantime, you can answer the question for me: Do you already have
experience with crypto mining? Or would you like to try it out yourself now?
Write that in the comments.
Bene take a seat. You're almost on time to the minute
. Before we quasi press stop here , we can do the math,
because afterwards it is decisive what electricity I actually used.
On average, your computer has used just under 353 watts per hour for the last seven
days. That is a total of almost 60,000 watts , or 60 kilowatt hours. With my
electricity tariff of 0.3021 euros, that means 17.89 euros. Yes , I had about 18 euros in electricity costs
in a week. That's a lot more than I usually spend on electricity for the whole place, right?
Hopefully it was worth it at all! How, hopefully was it even worth it?
Yes, maybe you paid on it? Yes, wait a minute! So do you think it's possible
that I didn't even earn the 18 euros? I dont know. It may be. What is
the course like? Has the course fallen? Yes, it fell a little.
It was now at 45,000 euros. When I started it was around 50,000 euros.
Ok come on Let's press on the head. Let's stop. Solemn moment! We
finish it now. What did I actually deserve? And now I'm going to click on it.
Is that all now? Is that now, is that all now? Isn't that what I
earned today? So, I think that's all! I don't think you're a millionaire yet!
I am telling you now. Ah, amazing! This is really less than I thought. 23.41 euros.
I have to draw my electricity from this. Well, we were just at around 18 euros in
electricity costs. That leaves a good 5 euros. Yes. Oh, you shit! Did you hope
it will be more? Yes. Yes? Yes. And of my 23.41 euros, I would have
to deduct around 2 euros from NiceHash to pay out in Bitcoin. But quite a long way
from my Bitcoin million! I wanted to know: Can I mine Bitcoins
or cryptocurrency myself, for example with something like this here. It seems astonishingly naive
to me this question, so the answer is "yes and no". It doesn't work with that. It works fine with the right
computer. But hey! You have seen for yourself what comes out of it.
join in now, mine or invest? Everyone should
really decide for themselves whether they consider this energy consumption
to be justified. If you want to see such reports more often
, then leave a subscription here, with a bell if you like!
I also recommend my self-experiment here, where I bought stocks
. Obviously, money is my topic! And we also have good music,
here in the PULS Reportage Playlist..