How Bitcoin Mining Payouts Work with Sazmining

Understanding how Bitcoin mining payouts work is essential for any miner. At Sazmining, we streamline the process so you can focus on growing your Bitcoin stack while we handle the technicalities.

This article will break down the payout process based on the image above, highlighting each step from mining rewards to your wallet.

1. Default Payout Threshold

Every miner on the Sazmining platform is subject to a payout threshold. In this example, the default threshold is 400,000 satoshis, the minimum amount of Bitcoin you need to earn before a payout is triggered.

2. Luxor Pool Fee (1.1%)

Once you reach the payout threshold, Luxor automatically deducts a 1.1% pool fee, which is the mining pool used by Sazmining. Pools are essential because they allow miners to combine their computing power, resulting in more consistent earnings. For a 400,000 sat payout, this 1.1% fee amounts to 4,400 sats, which goes directly to Luxor for managing the pool.

3. Sazmining Management Fee (15% for Paraguay Facility)

Next, Sazmining charges a 15% managementfee to cover operational costs, including equipment maintenance, electricity, and the 1.1% pool fee mentioned above. In this example, the management fee equates to 60,000 sats. This fee applies specifically to our Paraguay data center and may vary depending on other operational factors in the future.

4. Remaining BTC (85%)

After deducting the pool fee and Sazmining’s service fee, the remaining 85% of the mined Bitcoin goes directly to you. From the initial 400,000 sats, you would receive 340,000 sats after all fees. This is what gets deposited into your Bitcoin wallet.

It’s important to note that Bitcoin network transaction fees are deducted at current rates before finalizing your payout, so you might see a slight variation depending on network congestion at the time of the transaction.

Summary of the Payout Flow:

• Payout Threshold: 400,000 sats
• Luxor Pool Fee (1.1%): 4,400 sats
• Sazmining Management Fee (15%): 60,000 sats (subject to facility and operational factors)
• Remaining Payout: 340,000 sats (after all deductions)

This structure makes it easy to calculate precisely what you’ll receive after reaching the payout threshold and ensures that all necessary operational fees are transparently covered. At Sazmining, we aim to keep everything simple and automated so you can focus on what matters most—building your Bitcoin stack.

Why This Matters:

By mining with Saz, you're not just stacking wild sats; you're actively contributing to the security and decentralization of the Bitcoin network. With a 100% renewable energy model, you're also mining sustainably and can rest easy knowing your mining activities leave a positive environmental footprint.

Join Sazmining today and stack sats like Satoshi intended!