bitcoin mining has seen exponential growth since the first ASIC miner was released in 2013, improving hardware efficiency from 1200 J/TH to just 15 J/TH. While these advances were driven by better chip technology, we are now reaching the limits of silicon-based semiconductors. As efficiency improvements plateau, the focus should shift to optimizing other aspects of mining operations, particularly power settings.
Three-phase power has emerged as a superior alternative to single-phase power in bitcoin mining. As more ASICs are being designed for three-phase voltage input, future mining infrastructure should consider adopting a uniform 480V three-phase system, especially given its abundance and scalability in North America.
Understanding Single-Phase and Three-Phase Energy
To understand the importance of three-phase power in bitcoin mining, it is essential to first understand the basics of single-phase and three-phase power systems.
Single-phase power is the most common type of electrical supply used in residential settings. It consists of two wires: a live wire and a neutral wire. The voltage in a single-phase system oscillates in a sinusoidal fashion, providing power that peaks and then drops to zero twice during each cycle.
Imagine you are pushing a person on a swing. With each push, the swing moves forward and then backward, reaching a maximum height and then descending to the lowest point before you push again.
Like oscillation, a single-phase power system has periods of maximum and zero power supply. This can lead to inefficiencies, especially when constant power is required, although this inefficiency is negligible in residential applications. However, it becomes significant in high-demand, industrial-scale operations such as bitcoin mining.
On the other hand, three-phase power is commonly used in industrial and commercial settings. It consists of three live wires, providing a more consistent and reliable flow of power.
Using the same swing analogy, imagine that there are three people pushing the swing, but each pushing at different intervals. One person pushes the swing just as it begins to slow down from the first push, another pushes it one-third of the way through the cycle, and the third person pushes it two-thirds of the way through the cycle. The result is a swing that moves much more smoothly and steadily because it is continually being pushed from different angles, maintaining a constant motion.
Similarly, a three-phase power system ensures a constant and balanced flow of power, resulting in greater efficiency and reliability, particularly beneficial for high-demand applications such as bitcoin mining.
The evolution of power requirements for bitcoin mining
bitcoin mining has come a long way since its early days, with significant changes in power requirements over the years.
Prior to 2013, miners relied on CPUs and GPUs to mine bitcoins. The real paradigm shift came with the development of ASIC (application-specific integrated circuits) miners as the bitcoin network grew and competition increased. These devices are specifically designed for the purpose of mining bitcoins and offer unparalleled efficiency and performance. However, the increased power requirements of these machines necessitated advancements in power delivery systems.
In 2016, a top-of-the-line miner was capable of processing 13 TH/s with a power consumption of approximately 1,300 watts (W). While considered highly inefficient by today's standards, mining with this rig was profitable due to low competition on the network at the time. However, to generate significant profits in today's competitive landscape, institutional miners now rely on rigs that demand around 3,510 W.
The limitations of single-phase power systems have come to light as ASIC power requirements and efficiency demands of high-throughput mining operations increase. The transition to three-phase power became a logical step to meet the industry’s growing energy needs.
480v three phase in bitcoin mining
Efficiency comes first
Three-phase 480V power has long been the standard in industrial environments across North America, South America, and other regions. This widespread adoption is due to its numerous benefits in terms of efficiency, cost savings, and scalability. The consistency and reliability of three-phase 480V power make it ideal for operations that demand increased operational uptime and fleet efficiency, especially in a post-halving world.
One of the key benefits of three-phase power is its ability to deliver higher power density, which reduces power losses and ensures mining equipment operates at optimal performance levels.
In addition, implementing a three-phase electrical system can lead to significant savings in electrical infrastructure costs. The reduction in the number of transformers, smaller wiring and reduced need for voltage stabilization equipment all contribute to lower installation and maintenance costs.
For example, a load requiring 17.3 kilowatts of power at 208 V three-phase would require a current of 48 amps. However, if the same load is supplied from a 480 V source, the current requirement is reduced to just 24 amps. This halving of current not only reduces power loss, but also minimizes the need for thicker, more expensive wiring.
Scalability
As mining operations expand, the ability to easily add more capacity without having to make major upgrades to the power infrastructure is crucial. The high availability of systems and components designed for 480V three-phase power makes it easy for miners to efficiently scale their operations.
As the bitcoin mining industry evolves, there is a clear trend towards the development of ASICs that are more compatible with three-phase power. Designing mining facilities with a 480V three-phase configuration not only addresses current inefficiencies, but also future-proofs the infrastructure. This allows miners to seamlessly integrate newer technologies that are likely designed with three-phase power compatibility in mind.
As shown in the table below, immersion cooling and water cooling techniques are superior methods to scale up bitcoin mining operations in terms of achieving higher hash rate. But to support much higher computing capacity, three-phase power configuration becomes necessary to maintain a similar level of energy efficiency. In short, this will lead to higher operating profit with the same profit margin percentage.
Implementing Three-Phase Power in bitcoin Mining Operations
Transitioning to a three-phase power system requires careful planning and execution. Here are the key steps to take to implement three-phase power in bitcoin mining operations.
Evaluating power requirements
The first step in implementing a three-phase power system is to assess the power requirements of the mining operation. This involves calculating the total power consumption of all mining equipment and determining the appropriate capacity for the power system.
Modernization of electrical infrastructure
Upgrading electrical infrastructure to support a three-phase electrical system may involve installing new transformers, wiring, and circuit breakers. It is critical to work with qualified electrical engineers to ensure the installation meets safety and regulatory standards.
Setting up ASIC miners for three-phase power
Many modern ASIC miners are designed to run on three-phase power. However, older models may require modifications or the use of power conversion equipment. Setting up miners to run on three-phase power is a critical step in maximizing efficiency.
Implementation of redundancy and backup systems
To ensure uninterrupted mining operations, it is essential to implement backup and redundancy systems. This includes installing backup generators, uninterruptible power supplies, and redundant power circuits to protect against power outages and equipment failures.
Monitoring and maintenance
Once the three-phase power system is operational, ongoing monitoring and maintenance are critical to ensuring optimal performance. Regular inspections, load balancing, and proactive maintenance can help identify and address potential issues before they impact operations.
Conclusion
The future of bitcoin mining lies in the efficient use of energy resources. As advances in chip processing technologies reach their limits, focusing on power configuration becomes increasingly critical. Three-phase power, particularly a 480V system, offers numerous advantages that can revolutionize bitcoin mining operations.
By offering higher power density, increased efficiency, lower infrastructure costs and scalability, three-phase power systems can meet the growing demands of the mining industry. Implementing such a system requires careful planning and execution, but the benefits far outweigh the challenges.
As the bitcoin mining industry continues to evolve, the adoption of three-phase power can pave the way to more sustainable and profitable operations. With the right infrastructure, miners can harness the full potential of their equipment and stay ahead in the competitive world of bitcoin mining.
This is a guest post by Christian Lucas, Strategy Specialist at Bitdeer. The opinions expressed are solely his own and do not necessarily reflect those of btc Inc. or bitcoin Magazine.
