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Cost of mining bitcoins
Although iDrive owns 3,000 servers, they decided to use 600 (each with a quad core processoroperating at 2.8 GHz) for their tests. Their study projected a year of mining at 100% processing power, 24 hours a day and 7 days a week with the difficulty of mining increasing linearly. They also assumed that there would be no additional charge for operating their servers constantly at full power for a whole year. iDrive pays a set rate for a certain amount of electricity which they use to power the servers. The servers usually run at about 5% of their capacity during non-peak times. However, while mining bitcoins, the servers would operate at 100% the entire time. If they paid more for the increase in the amount of electricity used, this increase in energy would naturally cost more. Also coming into play was the potential that additional server usage would wear out the servers faster, as they would be operating at a higher capacity for longer amounts of time. This could shorten their lifespan and require replacing servers more frequently, which is another added cost. Also, it is possible that they could eventually exceed their allowed electricity usage, which would result in their servers being shut down."
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