Zcash Mining Revenue Surges Past Bitcoin Amid Growing Competition

Zcash mining is currently generating significantly more revenue per megawatt-hour (MWh) of electricity than Bitcoin, nearly four times as much. With Zcash yielding $708 per MWh and Bitcoin earning around $179 per MWh with comparable equipment, the higher gross revenue is attracting new miners and institutional players to Zcash.

The launch of Grayscale's Zcash ETF and a surge in ZEC price above $1,000 have contributed to this trend. However, increased mining activity on the Zcash network has led to growing competition for electricity resources, which may reduce individual miner rewards.

Meanwhile, Bitcoin mining faces margin pressures due to the same competition from AI computing and rising energy costs. The energy allocation decision is becoming increasingly critical for operators as they navigate these market dynamics.