How We Calculate: Mining Methodology

Complete transparency into our calculation methods, formulas, and data sources. Verify our work and understand the math behind every result.

Mining Profitability Calculations

Our core mining calculations follow industry-standard methodologies used by professional mining operations.

1. Network Share Calculation
hashrate_share = user_hashrate ÷ network_hashrate
user_hashrate = hashrate_mhs × 1,000,000

Your percentage of the total network's mining power determines your share of rewards.

2. Daily Block Discovery
blocks_per_day = 86,400 ÷ block_time_seconds
daily_blocks_found = hashrate_share × blocks_per_day

Based on Ergo's 2-minute block time (720 blocks per day).

3. ERG Rewards Calculation
daily_erg_gross = daily_blocks_found × block_reward
pool_fee_amount = daily_erg_gross × (pool_fee ÷ 100)
daily_erg_net = daily_erg_gross - pool_fee_amount

Gross rewards minus pool fees (default 1%) gives your net ERG earnings.

4. Power & Cost Analysis
daily_power_kwh = (power_watts × 24) ÷ 1,000
daily_electricity_cost = daily_power_kwh × cost_per_kwh

24-hour power consumption converted to kWh and multiplied by your electricity rate.

Cost-per-ERG & Profitability Analysis

Our signature metric: the true cost to produce 1 ERG token.

Production Cost Formula
cost_per_erg_produced = daily_electricity_cost ÷ daily_erg_net
Key Insight: When your production cost is below market price, you're profitable! This metric adjusts automatically as ERG price and network difficulty change.
Profitability Check
daily_revenue = daily_erg_net × erg_price
daily_profit = daily_revenue - daily_electricity_cost
is_profitable = cost_per_erg_produced < erg_price
✅ Profitable: When cost per ERG < market price
❌ Unprofitable: When cost per ERG > market price

Data Sources & Network Parameters

Real-time data from trusted sources ensures accurate calculations.

Live Data Sources
Network Stats: Ergo Explorer API
ERG Price: CoinGecko API (5-min cache)
Block Rewards: EIP-27 Emission Schedule
Difficulty: Real-time from latest block
Network Constants
Algorithm: Autolykos2 (Memory-hard)
Block Time: 2 minutes (120 seconds)
Blocks/Day: 720 blocks
Current Reward: 12 ERG

ROI Analysis Methodology

Comprehensive investment analysis with multiple scenarios and timeframes.

Break-even Calculation
break_even_days = hardware_cost ÷ daily_profit
break_even_months = break_even_days ÷ 30

Time required to recover your initial hardware investment.

Annual ROI Formula
annual_profit = daily_profit × 365
annual_roi = (annual_profit ÷ hardware_cost) × 100

Return on investment percentage based on annual projections.

Ergo Emission Schedule (EIP-27)

Block rewards reduce quarterly: 12 ERG (Jul 2025) → 9 ERG (Oct 2025) → 6 ERG (Jan 2026) → 3 ERG (Apr 2026) → 0 ERG (~2044).

Period Block Height Block Reward Status
Jul 6, 2025 (Current) Block 1,565,661+ (Now) 12 ERG Active
Oct 4, 2025 Block ~1,626,861 (~85 days) 9 ERG Next
Jan 3, 2026 Block ~1,691,581 (~176 days) 6 ERG Future
Apr 3, 2026 Block ~1,756,301 (~266 days) 3 ERG Final Reward
End of Emission Block ~TBD (~2044) 0 ERG Complete
Block Height Estimates: Calculated using 120-second block times (720 blocks/day) from current height ~1,565,661. Reduction dates based on official Ergo emission schedule: Oct 4, 2025 → Jan 3, 2026 → Apr 3, 2026.
Daily New Supply: Current 12 ERG × 720 blocks = 8,640 ERG/day. Next phase: 9 ERG × 720 = 6,480 ERG/day (Oct 2025).

Assumptions & Limitations

Important considerations for interpreting results.

What We Assume
  • Stable network difficulty
  • Constant electricity costs
  • 100% hardware uptime
  • Current pool performance
  • No hardware failures
What Can Change
  • Network difficulty adjusts dynamically
  • ERG price is highly volatile
  • Electricity rates may vary
  • Hardware may degrade over time
  • Pool performance can fluctuate
Disclaimer: All calculations are estimates based on current conditions. Mining profitability can change rapidly due to market conditions, network changes, and external factors. Past performance does not guarantee future results.

Live Example Calculation

See our formulas in action with real-time network data.