How to calculate the recovery period of mining machines?

The recovery period is an important consideration when miners select mining machines. As cryptocurrency prices are highly volatile, the shorter the recovery period is, the less the risk will incur.

The calculation of recovery period of mining machines is affected by various factors, such as currency price, electricity price, price of mining machines, hashrate and power consumption of mining machines, total network hashrate, increase of difficulty, development prospect of cryptocurrency, and more. These data tend to fluctuate dynamically and the recovery periods we can calculate are static ones. The calculation formula is as follows:

Recovery period = price of mining machine/(daily revenue - daily electricity price)

Daily revenue = (hashrate of mining machine *86400/total network difficulty /2^32) * (Block reward + miner fee reward)

The market is intricate and variable. Due to the adjustment of currency price, the change of block reward and other factors, the actual recovery period may increase or shorten. Therefore, when making actual investment decisions, the static recovery period can only be regarded as a reference basis rather than as the actual recovery period of mining machines.

At present, there are professional tools for calculating static recovery period of mining machines on the market, and miners can use these tools to review the relevant data before buying mining machines.