Solo Bitcoin miner strikes gold, earns $180,000 reward for solving block

In a remarkable and rare achievement, a lone Bitcoin (BTC) miner has managed to solve a block independently, earning a substantial reward of approximately $180,000. This event stands out due to the enormous computing power typically required to mine a block on the Bitcoin blockchain.

On 10 September, Block 860749 was successfully mined, containing a total of 5,935 transactions. The miner was rewarded with 3.169 Bitcoin, which was valued at around $182,505 at the time. According to data from Bitcoin block explorer Mempool, the Solo CK mining pool collected the reward.

Who won the big prize?

While the concept of a "solo" miner might suggest an individual working alone, Solo CK is actually a group of miners called a mining pool. These pools combine the computing power of numerous miners, significantly boosting their chances of securing the block reward. Bitcoin blocks are generated approximately every 10 minutes, with mining pools typically having the upper hand. Currently, the reward for successfully mining a Bitcoin block is 3.125 BTC, following a recent halving event earlier this year.

This is an efficient model for mining productivity that is adopted by large-scale mining firms. However, unlike most pools that distribute rewards among all participants, Solo CK allocates the entire reward to the individual miner who manages to solve a block.

In this particular case, the successful miner contributed 629 petahashes per second (PH/s) of computing power when the block was mined. This is a minuscule fraction — just 0.098% — of the total power that secures the entire Bitcoin blockchain, which at that time was running at an astounding 644.91 exahashes per second (EH/s), as per data from Bitcoin transaction tracker YCharts.

Bitcoin's overall hashrate has been climbing steadily, recently reaching an all-time high of 742 EH/s on 1 September. This represents a significant increase of 62% from the same period a year earlier when the network's hashrate was 395.70 EH/s.

As the network's hashrate increases, so does the difficulty and cost of mining, which requires miners to use even more computational power. This situation generally favours large-scale mining operations, making it increasingly more challenging for solo miners to successfully validate a block.

The rise of mass Bitcoin mining

Since Bitcoin's inception in 2009, only 290 of the more than 859,000 blocks mined have been solved by solo miners. Major mining firms like Bit Digital, Riot Blockchain, and Marathon Digital tend to dominate in this space due to their massive hash power, enabling them to mine more blocks and secure greater rewards. Two major pools, FoundryUSA and Antpool, dominate the sector, accounting for a combined 53% of the total Bitcoin network hashrate. According to data from Hashrate Index, FoundryUSA has a reported hash rate of 202.8 exahashes per second, while Antpool follows closely with a hash rate of 160.3 EH/s. To put this into perspective, an exahash is a unit of measurement that is one billion times greater than a gigahash, underscoring the vast scale of computing power wielded by these mining giants.

Despite these challenges, the Solo CK pool has managed to solve 14 blocks in the last year, earning a total of 59.3 Bitcoin, which is valued at around $3.4 million. Notably, on 30 August, another miner from the Solo CK pool solved a block, earning nearly $200,000. Similarly, on 25 July, a solo miner from the same pool earned a reward of around $210,000 for solving Block 853,742.

Can solo miners compete with the big players?

While it is uncommon for a solo miner to solve a block, it is not an impossible feat. Historically, solo miners have had a slim chance of solving a block due to limited computing power. However, the advent of new solo mining rigs, like BitAxe, which boasts speeds of 500 gigahashes per second (GH/s), has given individual miners a fighting chance. Nevertheless, for a solo miner to successfully mine a block is often likened to winning the lottery, especially given the current all-time highs in network hashrate and mining difficulty, coupled with fierce competition from institutional miners wielding immense computational power (remember, an exahash is a billion gigahashes).

The recent success of this solo miner and the development of more advanced solo mining rigs indicate a potential shift in the mining environment. While large mining pools continue to dominate due to their sheer computational power, more accessible mining technology may offer opportunities for smaller players to participate and potentially win big. However, given the rising costs of electricity and the ever-increasing difficulty of mining Bitcoin, the path for solo miners remains challenging.

Cloud mining: an alternative for crypto traders

While Bitcoin mining can be daunting given the significant investment in hardware and electricity, even for solo operators, there are accessible ways for individuals who want to profit from mining BTC.

Cloud mining is a method of cryptocurrency mining where individuals can participate in the mining process without owning or managing any physical hardware. Instead of purchasing expensive mining rigs, paying for electricity, and maintaining equipment, users rent mining power from a remote data centre. This service provider operates large-scale mining farms with powerful hardware and high computing power. Users pay for the service and receive a share of the mining rewards based on the amount of hash power they rent. Cloud mining offers a convenient way for people to get involved in cryptocurrency mining without the technical complexities and high initial costs.

StormGain's Bitcoin miner is a perfect example of how cloud mining can be both easy and accessible for anyone interested in earning passive income from Bitcoin mining. With StormGain, you don't need to invest in expensive equipment or worry about electricity costs. The miner is integrated directly into the StormGain platform, allowing you to mine Bitcoin from your phone or computer with just a few clicks. It's a hassle-free way to participate in Bitcoin mining, with all the mining power managed by StormGain's infrastructure.

By using StormGain's cloud mining service, you can start earning Bitcoin rewards without the typical barriers associated with traditional mining. It is a fantastic opportunity for both newcomers and experienced traders looking to diversify their income streams. Simply sign up, activate the miner, and watch your rewards grow while you continue trading or exploring the platform's other features.

Take advantage of StormGain's unique features for smarter crypto trading

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