ProfitMax: Optimizing Blockchain Mining for Energy Efficiency and Profitability

Many blockchains rely on Proof-of-Work mining for ensuring security and decentralization. The current mining ecosystem faces declining profits and increasing energy demands, raising sustainability issues. Existing approaches to address this challenge focus on energy or profit in isolation. This paper presents ProfitMax, which jointly considers profit and energy to optimize blockchain mining for energy efficiency and profitability. ProfitMax stands out by integrating dynamic energy pricing, adaptive reward mechanisms, and energy-efficient mining strategies to maintain an optimal mining performance. Through real-time analytics, ProfitMax allows miners to navigate the volatile landscape of mining costs, revenues, and profits. The implementation of ProfitMax promises a paradigm shift towards a more sustainable and economically viable blockchain mining practice, ensuring the technology’s adoption and success across various sectors. Our approach not only addresses the immediate concerns of profitability and energy consumption but also sets the groundwork for future innovations in blockchain sustainability.