CHAIN PULSE
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Production Cost

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In plain English

Miners spend electricity (and more) to print new bitcoin. This ribbon is an estimate of that cost per coin: the bottom edge is electricity only, the top edge is an all-in cash cost.

When spot falls into the ribbon, miners are around break-even — historically nearer to ugly lows, not a timer. The ribbon jumps up at halvings because the same watts are spread over half as many new coins.

Math and metrics

Hashrate: blockchain.info weekly. Efficiency: log-interpolated network-average J/TH. PUE 1.1, $0.05/kWh (Cambridge CBECI). Elec-to-total 70% (Capriole used 60% in 2019). 4-week SMA on both edges. Fees omitted.

watts = hashrate_TH/s · J/TH · 1.1. kWh/day = watts·24/1000.

BTC/day = 144 · subsidy. electrical = (kWh/day · $0.05) / BTC/day. production = electrical / 0.70.