QTC Markets › Mining economics
Part 4 · Production economics

Mining economics provide a comparison point

Estimate the resources required to produce a coin under stated operating assumptions.

CQTC = Efficient mining cost over period / QTC produced over period

Estimate costs using measured hardware performance, electricity and relevant operating expenses. Include either appropriate hardware depreciation and capital costs or rental charges, without counting the same expense twice.

Disclose hardware models, measurement dates, utilisation, energy tariffs, reward assumptions and the period observed. Use efficient, reproducible benchmarks rather than assuming all spending reflects necessary production cost.

Plain English: Estimate the resources required to produce a coin under stated operating assumptions. Benchmarks and invoices can test those assumptions.
Limit of the calculation: production cost does not by itself establish a minimum market price. Higher expenditure alone does not demonstrate stronger demand or require buyers to pay more. The asking-price rule in Part 1 references network work explicitly, as a published quoting rule, not as a claim about what buyers will pay.
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