Explanation of reduced scrypt earnings

[Steve Sokolowski]

There have been a significant number of tickets submitted about reduced earnings. We believe that many customers are incorrectly confusing the share corrections due to the dogecoin fork with the actual decline in profitability that has occurred over the past few days.

As a reminder, payouts are issued for the previous day's earnings. As you can see at https://www.binance.us/en/trade/DOGE_USD, the price of dogecoins had a dramatic bubble on January 29, so the payouts for January 30 were enormous, with dogecoin merge mining being responsible for over 2/3 the profits. The next day, the price of dogecoins fell by 50%, causing Prohashing's 2/3 of profits from dogecoins to also be cut in half, or 66% of the previous day from price alone.

At the same time, the difficulty of dogecoins increased from 4 million to 6 million (https://www.coinwarz.com/mining/dogecoi ... ulty-chart.) This 50% increase in difficulty reduced dogecoin profits by another third.

Proswitching scrypt miners should expect to earn 40% of what they earned on January 29 in the most recent payouts. Some customers saw the accounting error which reported earnings of 10 times normal be corrected to far below what they earned the previous day, and have submitted tickets about inaccurate corrections.

We are not aware of any error in the calculations for these share corrections; they accurately reflect the dramatic decline in profitability for scrypt mining over the last 48 hours. We always welcome customers to submit support tickets if they have questions, but it is not recommended that you submit a ticket about reduced earnings for this one day, as it is unlikely we will be able to provide a different answer than what is provided in this post.

This post only applies to scrypt miners.

[Lupy]

At the time of the recalculation around 8:11 pm est (when I noticed the update), My SHA-256 miner had mined 90% of my earnings for the day, but the 2x script miners only seemed to have mined 32 cents for the day. I imagine that when I noticed was not the time that you rolled back to and adjusted. This is outside 40%. If the previous 2 days were a bubble that is fine, however, I think that as most of the mining the scrypt devices were doing was litecoin throughout the day this explanation does not account for all the problems as even during the bubble it was still the most profitable. Further, even today my mining has passed yesterday with all my devices running. May want to look into the calculations again.

[Lupy]

8:11 pm 2x scrypt running for 20 hours 11 min (36c) at the time of your recalculation
10:41 am 2x scrypt running for 10 hours 42 min ($2.12).

40% reduction is fine. it does not seem that that is what happened. This is why if feels so incorrect, please don't just assume you guys are right and that we are the ones who don't know what we are talking about.

https://gyazo.com/e6041ec72410b30f4e8bc18622c865ed

Full day of mining (corrected) vs. today in 10 hours and 51 min.

[Lupy]

Sorry I know I'm not a big mining operation, but it matters to me. I just want to get this figured out because as it stands it just feels wrong.

1/25 2.06 L3+

1/26 2.49 L3+, Added T9+ mid-day

1/27 3.62 L3+, T9+

1/28 4.56 L3+, T9+ added 2nd L3+ partway through the day.

1/29 8.71 (L3+x2 and T9+) First Full day mining with L3+x2 and T9+

1/30 8.20 (L3+x2 and T9+) 2nd Day, one L3 when down for about an hour or so.

1/31 3.21 (L3+x2 and T9+) Made less than the day before the price jump with an additional L3+ running? Hmm.

2/01 3.29(As of 11:21 am) Already made more than a full day of mining?

[Steve Sokolowski]

Chris looked into this issue and has resolved it for the customers who submitted tickets. It turns out that some customers who had lower hashrates at some times of the day were incorrectly assumed to have not mined for longer portions of the day than they actually were absent.

Since we don't store every share that is submitted, only every tenth, by random chance it's possible that customers can earn more or less during these share corrections. The effect evens out for people who are larger miners, and for people who mine continuously.