Zcash Mining Rewards Outpace Bitcoin, Sparking Network Growth
Grayscale estimates that Zcash mining rewards are roughly twice those of Bitcoin's per machine and four times higher per unit of electricity. This advantage is encouraging more mining activity, which in turn supports network security, according to Zach Pandl, Grayscale's Head of Research.
The comparison uses the Bitmain S23 Hydro for Bitcoin and the Bitmain Z15 Pro for Zcash, assuming electricity at $0.05 per kilowatt-hour, full uptime, and zero transaction fees. The analysis also notes that pool fees, cooling, other operating expenses, and equipment costs or depreciation are important determinants of an operator's eventual profit.
Grayscale found that Zcash mining activity has grown to more than 2.5 times its level at the start of the year. Despite this growth, Bitcoin still distributes substantially more money across its mining network, with aggregate rewards estimated at approximately $35 million daily compared to roughly $2 million for Zcash.