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Bibliographic Details
Main Authors: Wickramasinghe, Sithumi, Das, Bikramjit, Herremans, Dorien
Format: Preprint
Published: 2025
Subjects:
Online Access:https://arxiv.org/abs/2512.05402
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author Wickramasinghe, Sithumi
Das, Bikramjit
Herremans, Dorien
author_facet Wickramasinghe, Sithumi
Das, Bikramjit
Herremans, Dorien
contents Bitcoin mining hardware acquisition requires strategic timing due to volatile markets, rapid technological obsolescence, and protocol-driven revenue cycles. Despite mining's evolution into a capital-intensive industry, there is little guidance on when to purchase new Application-Specific Integrated Circuit (ASIC) hardware, and no prior computational frameworks address this decision problem. We address this gap by formulating hardware acquisition as a time series classification task, predicting whether purchasing ASIC machines yields profitable (Return on Investment (ROI) >= 1), marginal (0 < ROI < 1), or unprofitable (ROI <= 0) returns within one year. We propose MineROI-Net, an open-source Transformer-based architecture designed to capture multi-scale temporal patterns in mining profitability. Evaluated on data from 20 ASIC miners released between 2015 and 2024 across diverse market regimes, MineROI-Net outperforms recurrent, convolutional, and attention-based baselines, achieving 83.2% accuracy and 83.5% macro F1-score. The model demonstrates strong economic relevance, achieving 97.8% precision in detecting unprofitable periods and 81.5% precision in detecting profitable ones, while avoiding misclassifying profitable scenarios as unprofitable and vice versa. These results indicate that MineROI-Net offers a practical, data-driven tool for timing mining hardware acquisitions, potentially reducing financial risk in capital-intensive mining operations.
format Preprint
id arxiv_https___arxiv_org_abs_2512_05402
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Smart Timing for Mining: A Deep Learning Framework for Bitcoin Hardware ROI Prediction
Wickramasinghe, Sithumi
Das, Bikramjit
Herremans, Dorien
Machine Learning
Artificial Intelligence
Computational Engineering, Finance, and Science
Neural and Evolutionary Computing
Bitcoin mining hardware acquisition requires strategic timing due to volatile markets, rapid technological obsolescence, and protocol-driven revenue cycles. Despite mining's evolution into a capital-intensive industry, there is little guidance on when to purchase new Application-Specific Integrated Circuit (ASIC) hardware, and no prior computational frameworks address this decision problem. We address this gap by formulating hardware acquisition as a time series classification task, predicting whether purchasing ASIC machines yields profitable (Return on Investment (ROI) >= 1), marginal (0 < ROI < 1), or unprofitable (ROI <= 0) returns within one year. We propose MineROI-Net, an open-source Transformer-based architecture designed to capture multi-scale temporal patterns in mining profitability. Evaluated on data from 20 ASIC miners released between 2015 and 2024 across diverse market regimes, MineROI-Net outperforms recurrent, convolutional, and attention-based baselines, achieving 83.2% accuracy and 83.5% macro F1-score. The model demonstrates strong economic relevance, achieving 97.8% precision in detecting unprofitable periods and 81.5% precision in detecting profitable ones, while avoiding misclassifying profitable scenarios as unprofitable and vice versa. These results indicate that MineROI-Net offers a practical, data-driven tool for timing mining hardware acquisitions, potentially reducing financial risk in capital-intensive mining operations.
title Smart Timing for Mining: A Deep Learning Framework for Bitcoin Hardware ROI Prediction
topic Machine Learning
Artificial Intelligence
Computational Engineering, Finance, and Science
Neural and Evolutionary Computing
url https://arxiv.org/abs/2512.05402