BitFuFu: Acceleration Cloud Mining Plans Guide
Updated: Sep 14, 2021
In this article, I will help you understand what distinguishes Accelerated Plans from Classic, how to calculate future profit in such contracts and under what circumstances such contacts are worth buying.
Acceleration vs Classic Cloud Mining Plans
When you go to the "Cloud Mining" section of the BitFuFu website, you will see that the Accelerated plans, unlike the Classic ones, have the “Acceleration” sign.
Don't look at the dollar price here. The fact is that this price is for 100 TH/s for the Accelerated plan and only 30 TH/s for the Classic plan. Therefore, such a difference in the final price. Look at the "Hashrate" indicator.
As we can see from the example of 360-day contracts that were sold on September 12, the classic contact has a hashrate fee of $0.1876 T/D, and the accelerated one - $0.1538 T/D.
And since our electricity bill is the same for both types of plans and is $ 0.0499 T/D, then we can confidently say that we will reach the break-even point choosing the Accelerated Plan earlier.
For the accuracy of calculations and in fairness, to the hashrate fee in the Accelerated Plans, you need to add the value of the "Service Fee", which is already taken into account in the price displayed on the site.
Acceleration Cloud Mining Plan Composition
Let's use the example of the Accelerated Mining Plan for 360 days, which was sold on September 12, 2021.
Take a look what it consists of:
The hashrate fee is taken for the entire duration of the mining plan.
By default Electricity bills are charged for 10 days, but you can set up to entire duration of the mining plan by clicking "+" button.
Service charge is taken for the entire duration of the mining plan.
Once you reach the breakeven point of the mining plan, you will receive 60% of the net profit, and 40% will be taken by the miner's supplier. This is your payment for the fact that initially the mining plan is sold cheaper.
You pay 40% of your net surplus profit AFTER you've recaptured your initial investment. Fair deal.
Break-Even Point and Share Ratio
The most important thing to know when choosing Accelerated Plans is how and when the profits will be split between you and your supplier.
The supplier sells you a miner rental at a cheaper rate, but at the same time wants to have a 40% share of the excess profit, which you will receive when you return your initial investment.
Example: Let's understand how the calculation of the break-even point works based on the operation of the Accelerated Mining Plan for 360 days, which we saw above.
As for 12 of September:
Current 1 TH/s Revenue = 0.00000667 BTC BTC rate = $ 46,000
We bought 100 TH/s
Our daily profit: 0.00066700 BTC
Do not forget that we have a minimum amount of 0.005 BTC, upon reaching which the first BTC from the mining pool that we have chosen will be transferred to our account (at the moment, Antpool is the best choice)
Thus, after 8 days, your account or personal wallet will receive the first payment of 0.005+ BTC.
It will look like this:
It turns out that even if you prepay only 10 days of electricity, on the 8th day you will already have 0.005 bitcoins on your balance, of which the system will withhold the payment for the next 3 days of electricity. The mining plan will run smoothly.
For ease of calculations, we will not include in them a periodic change in the Difficulty of the Bitcoin Network, we will take as a rule that the Difficulty of the Network will not change and all 360 days we will receive an income from 100 TH/s of 0.00066700 BTC daily.
So our 360-day Accelerated Mining Plan:
Price = 5,752.3 USD
Daily mining output: 0.00066700 BTC
Daily electricity fee: 4.99 USD
Daily net profit (DNP) after electricity deduction for 1st day:
0.00066700 * $ 46,000 USD/BTC Rate - 4.99 USD = 30.68 USD
Suppose that for the first 50 days the BTC rate will not change, the daily profit will not change, then:
50 days * $ 30.68 DNP = $ 1534,
Plan Price of $ 5,752.3 / $ 1,534 * 100% = 26.67%
This means that we have already returned 26.67% of our $ 5,732 investment.
Suppose that for the second 133 days the BTC rate will be $ 55,000, and the daily profit will not change, then:
DNP = 0.00066700 * 55,000 USD/BTC Rate - 4.99 USD = 31,70 USD
133 days * $ 31.70 DNP = $ 4216
The amount for 183 (50+133) days will be $ 1,534 + $ 4,216 = $ 5,750.
Thus, 184 days will be the Break-Even Point for this example, when you have recouped your investment and the rest of the duration of the plan, you will receive profit from mining. But how much will you get?
BitFuFu's Accelerated Mining Plans are currently being offered for purchase with a 60% share ratio.
This means that on day 184 of our example, after the break-even point is passed, the following will happen:
Suppose that for the last 360 - 50 - 133 = 177 days the BTC rate will be $ 60,000, and the daily profit will not change, then:
DNP = 0.00066700 * 60,000 USD/BTC Rate - 4.99 USD = 35.03 USD
You will receive 60% of the DNP, and the miner supplier 40% of the DNP, then:
177 days * $ 35.03 DNP * 60% Share ratio = $ 3,720.2
It must be remembered that you bought only 10 days of electricity, and for 350 days you paid either from BTC deposit address or from USDT deposit address for $ 4.99 daily, which were deducted in the formulas for calculating DNP. In total, you spent another 1,746.5 dollars for additional 350 days of electricity.
Total spent: $ 7,499 ($ 5,752.3 for purchases and $ 1,746.5 for electricity bills)
Break-even point reached: day 184
With a 60% Share Ratio, in the remaining 177 days you earned: $ 3,720.2 - $ 1,746.5 = $ 1,973.7
This means that the profit relative to the investment would be +26%
BitFuFu Accelerated Mining plans are able to consistently earn profit for you due to the lower cost of hashrate. Yes, after passing the break-even point, you will need to share the profit with the mining provider. But this will already be a profit, won't it?
And if you choose the Classic plan for a higher price, you may not reach the Breakeven Point and lose a few percent of your investment.
Everything is up to you, dear investors, and I wish you a profitable investment and the right decisions!