8 Best Bitcoin Mining Machines 2024 (Expert Reviewed)
In this article, we break down the 8 best Bitcoin mining machines in 2024. We’ll walk through the best options for you — whether you’re looking for low-cost or high-efficiency options!
If you’re not sure how to choose the best Bitcoin mining machine for you, we recommend you skip to the section ‘How do I choose Bitcoin mining hardware?’
How do I choose Bitcoin mining hardware?
There are four factors to consider when choosing the best Bitcoin mining hardware.
Price:
When you purchase your Bitcoin mining hardware, you should aim to strike a balance between affordability and performance.
Remember, the cheapest Bitcoin mining machine may not be the best choice for the long-term. Typically, cheaper hardware delivers lower efficiency and lower profitability.
Hash Rate:
Hash rate is the rate at which Bitcoin mining hardware is able to make intensive mathematical operations.
In simple terms, the higher the hash rate of the hardware, the more likely it is that the miner or mining pool for which the hardware is operating will solve the next block in the Bitcoin blockchain. As a rule, higher hash rate hardware is more expensive.
Efficiency:
Energy efficiency measures how your Bitcoin mining machine converts electricity into BTC. This is an important metric to pay attention to, as the amount of power used has a direct impact on profitability.
You should also consider your unique situation — the cost of power in the region where you will operate your mining equipment can play a major role in the costs of your mining operation.
Noise Level:
If you’re planning to mine Bitcoin at home or at the office, you should be conscious of noise levels. Remember, many Bitcoin mining machines produce a large amount of noise — which can be a distraction to you and your loved ones.
Many of the mining machines listed above have a noise level of 75 db. Meanwhile, most home vacuum cleaners have a noise level of 70 db.
Is cryptocurrency mining taxed?
It’s important to remember that cryptocurrency mining is subject to tax.
When you earn cryptocurrency mining rewards, you’ll recognize income based on the fair market value of your crypto at the time of receipt. When you dispose of your mining rewards, you’ll incur a capital gain or loss depending on how the price of your crypto has changed since you originally received it.
To accurately report your cryptocurrency mining income to the IRS, you should keep detailed records of your income and capital gains from mining throughout the year.
“It’s important to track your mining income throughout the year and keep profits aside in USD that you can use to pay your tax bill. In the past, we’ve seen miners who haven’t followed these best practices get impacted by market downturns right before the tax deadline and end up with tax bills they can no longer afford.” - Jordan Bass, Owner of Taxing Cryptocurrency
Want to estimate your gains and losses from disposing of your mining rewards? Check out our free crypto tax calculator.
How crypto tax software can help
Having trouble reporting your mining taxes? Crypto tax software like CoinLedger can help.
Once all of your mining transactions are imported, CoinLedger automatically retrieves the historical fair market value prices for each mining payout and gives you an income report you can use with your taxes.
Interested in getting started? Sign up for a free CoinLedger account today.
Frequently asked questions
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