In this blog post, we will talk about the local and actual profitability that is displayed in the NiceHash Miner and in the NiceHash Rig Manager online dashboard. You can switch between local and actual profitability by clicking on the orange text.

Note that only NHM, QuickMiner and NHOS rigs will be able to show local profitability as 3rd party miners do not send the local hashrate to our servers.

To understand local versus actual profitability you will need to understand how a miner gets paid and how do we keep track of it.

How does a miner (seller of hash-power) get paid for his work?

On NiceHash every miner is getting paid based on the number of valid shares that he submits. In other words, if you were to send 10 valid shares and 1 invalid, you would get paid for 10 valid shares.

NiceHash uses a RTPPS or Real-time-pay-per-share reward system. You can read more about reward systems here.

What is the difference between actual and local profitability?

Actual Profitability

Actual profitability is calculated based on the number of valid shares submitted in a certain period. Based on that, we can assume the profitability of the rig. The approximate formula for calculating profitability is the last N of valid shares in the last 5 minutes. This is a simplified formula and it is used just for easier presentation.

This can result in very uneven current results as the miner can submit 10 valid shares in the first 5 minutes, but later on, it can submit 15 or just 5 valid shares. This is the reason that sometimes you see your profitability jump up and down. The best way to predict future profitability is to assume it based on past profitability. To check past profitability navigate to the NiceHash Rig Manager > History & Stats and look for AVG. PAYRATE FOR SELECTED TIME FRAME.

Local Profitability

Local profitability is based on the hashing speed of your miner and it can be only observed in NiceHash Miner GUI or NiceHash Rig Manager as only NHM and NHOS send hashrate data to the web. UNMANAGED rigs like ASICs or 3rd party miners will not send hashrate data to the NiceHash Rig Manager dashboard. Local profitability is calculated based on the current hashrate. Therefore it can sometimes not be as accurate as looking at actual past profitability. Hashrate in the miner can sometimes show higher or lower speeds, there could be rejected or invalid shares. This means that we cannot solely rely on this information.

Note that actual profitability is generally more accurate than local because of the reasons explained above.