In a rare and extraordinary event, a solo Bitcoin miner has hit the jackpot, successfully mining a block and earning nearly $200,000.
This incredible feat took place on August 29, 2024, when the miner processed Bitcoin block number 858,978 at 4:21 PM UTC, securing a reward of 3.27 bitcoin (BTC), worth approximately $199,094.
This event is noteworthy not only for the substantial reward but also because of the tiny fraction of hash rate that the miner used.
Operating through the Solo CK Pool, this miner contributed an average hash rate of just 38 petahashes per second (PH/s), which represents only 0.00543% of the average network hash rate, currently at 665 exahashes per second (EH/s).
The summary from the pool log reports reads:
[2024-08-29 16:22:22.139] BLOCK ACCEPTED!
[2024-08-29 16:22:22.146] Solved and confirmed block 858978 by 36AisvWi1UiwLTeTZxLzindAkorqeUc3tT.v32
[2024-08-29 16:22:22.146] User 36AisvWi1UiwLTeTZxLzindAkorqeUc3tT:{"hashrate1m": "37.7P", "hashrate5m": "37.4P", "hashrate1hr": "36.4P", "hashrate1d": "40.1P", "hashrate7d": "22.8P", "shares": 18236962498882, "authorised": 1720833873}
[2024-08-29 16:22:22.146] Worker 36AisvWi1UiwLTeTZxLzindAkorqeUc3tT.v32:{"hashrate1m": "28.4P", "hashrate5m": "27.5P", "hashrate1hr": "26.3P", "hashrate1d": "20.2P", "hashrate7d": "6.41P"}
[2024-08-29 16:22:22.198] Block solved after 81681463735017 shares at 91.3% diffTo put it simply, the miner was using an almost minuscule share of the total computing power available on the Bitcoin network.
The hash rate is still substantial for a solo miner. Newer bitcoin mining machines provide about 200 tera hashes per second, while older models like S9 are able to calculate 13 tera hashes every second.
38 petahashes per second means that the miner — if using newer model machines — commanded more than 190 miners and consumed about 1 mega watt of electricity.
That is a great feat for a solo miner, and is close to industrial scale operations.
Mining a Bitcoin block is no easy task. It requires immense computational power to solve complex mathematical problems, which confirms and records transactions on the Bitcoin blockchain.
Currently, large companies with vast resources and specialized hardware dominate this field. However, this recent success story highlights that even small-scale miners, armed with a bit of luck, can still make their mark.
Solo mining is extremely rare, especially in today’s competitive landscape.
This statistic underscores just how uncommon it is for a solo miner to validate a block, particularly given the dominance of major mining firms like Riot Blockchain and Marathon Digital, which control a large percentage of the network’s total hash rate.
The Solo CK Pool, where this successful miner is registered, operates differently from traditional mining pools.
Unlike typical pools that distribute rewards among all participants based on their contributed hash rate, Solo CK combines the power of small miners but awards the entire block reward solely to the miner who successfully solves it.
This unique setup offers smaller players a chance to compete against much larger, more powerful mining operations.
The Solo CK Pool has mined 14 blocks in the past year, earning a total of 59.3 BTC, which is around $3.5 million at current prices. This achievement shows that smaller miners can still find success despite the challenging conditions in the mining industry.
The recent success of the solo miner comes at a time when Bitcoin mining has become more difficult and less rewarding.
In April, Bitcoin underwent its halving event, which reduced the reward for mining a block from 6.25 BTC to 3.125 BTC. This has made it harder for miners to maintain profitability, especially given the growing competition and rising costs of electricity and hardware.
Related: Immediate and Long-Term Effects of Bitcoin’s Fourth Halving
Yet, despite these challenges, some miners are still finding ways to strike it big. This event shows that Bitcoin’s decentralized nature allows even small participants to play a meaningful role. It reminds us that in this network, anyone can win, regardless of size.
Bitcoin’s network hash rate recently hit an all-time high of around 700 EH/s on July 23, reflecting the growing computational power dedicated to securing the blockchain.
As the network becomes more secure and competitive, solo mining success stories like this one become even rarer. However, they also serve as a beacon of hope and excitement for smaller players in the space.
Meanwhile, the Bitcoin market itself is showing signs of potential growth.
Analysts are keeping a close eye on bitcoin’s current price movements, with some predicting a bullish trend. As of now, bitcoin is trading around the $60,000 mark, which is a key resistance level.
According to analyst Gaah from CryptoQuant, the reduced supply of bitcoin on exchanges is a positive sign.
Gaah noted that this reduced exchange supply could lead to a bull market if demand continues to grow. Investors moving their bitcoin to cold storage reflects a commitment to holding long-term, suggesting less selling pressure and more market resilience.
The recent solo mining success story highlights the unpredictable nature of Bitcoin mining, where even a small fraction of the network’s computing power can sometimes yield substantial rewards.
It also draws attention to the risks and rewards associated with solo mining, a practice that has become increasingly rare as large mining firms dominate the landscape.
While it’s rare for solo miners to validate a block, events like this demonstrate that it’s not impossible. It provides a much-needed boost to the morale of smaller miners who continue to participate in the network despite the odds.
As Bitcoin continues to navigate its price fluctuations, the network remains robust and decentralized, allowing participants of all sizes to contribute.
