Rising Computing Power Blunts Zcash Mining Windfall

Zcash, an cryptocurrency, has broken above $1,000 for the first time in its trading history. However, this milestone is not translating into increased mining profitability due to rapidly increasing computing power on the network.

According to analysis by TheEnergyMag, a Z15 Pro miner, manufactured by Bitmain, generates an estimated $708 in gross revenue per megawatt-hour of electricity. This figure represents a 3% decrease from August 24th's record high of $727.30 per MWh, when the token was trading below $900.

The increase in computing power, known as solrate, has reduced the share of network rewards attributable to each machine. Solrate has risen by over 20% since August 24th, from around 25 GSol/s to more than 30 GSol/s, according to Zcashinfo data.