Mining Bitcoin — What to Know Before Diving In


 Mining Bitcoin — What to Know Before Diving In

2021-10-20

Is Mining Declining?

Mining bitcoin is still quite popular among entrepreneurs. It’s a good strategy to provide handsome passive income.

Although at the moment it seems to be declining, according to the Statista.com analytical portal. The latest peak for miners was in March 2021, when monthly revenue from mining was $63 million.

As the BTC price keeps on increasing — with some expecting that it will hit a new historic all-time high in December — mining bitcoin does look like a potentially lucrative pay-off.

However, the process isn’t that easy. Setting up a crypto-mining farm is a challenging task on its own. Then, extra factors come into play such as atrocious electricity bills, obstacles set by the local legislation, and so on.

Mine Your Own Business

If explained simply, mining is a process, during which a computer should solve a number of mathematical puzzles, like equations. As soon as a number of those is solved, you will earn a fraction of BTC.

On paper, it looks nice and easy. In reality, these math puzzles are extremely convoluted and require an immense computational power that regular home computers can barely provide.

To mine bitcoin successfully, you will need a crypto-mining rig based on the so-called application-specific integrated circuit (ASIC).

The ASIC architecture was designed specifically for solving hash problems that result in bitcoin-generating — that’s what pro-level bitcoin miners buy.

And even ASIC can’t make mining superfast, as the process is limited by the protocol to 6.25 new BTC every ten minutes. So, getting BTC with the help of GPU becomes even more arduous.

A professional ASIC-mining rig may cost as much as $5-10 thousand — you can check their prices on Amazon. And to make your mining financially successful, you may need a few of those.

Electrical Therapy & Other Obstacles

Another possible reason that home-mining is declining while the BTC rate is going up is the electricity costs.

In certain countries, like Germany, Spain or Portugal, the price per kilowatt makes home bitcoin mining a wasteful enterprise.

In the long run, it may take much more power to earn a fraction of BTC that won’t even be able to even cover the incoming bills.

Besides, in certain countries, mining bitcoin is either punishable by fines or completely banned, with China being the leading example.

Legislative obstacles may render all the enormous effort that the crypto-entrepreneurs go through, to ashes. And state-of-the art, highly powerful gear will become useless junk in a matter of minutes.

The Best Solution for Bitcoin Mining

But even if your country has infernal electricity prices and will fine you for mining crypto at the first opportunity, there is still a way out.

We’re talking about rental mining equipment. With it, you get the following perks:

• Easy process. Stick to bitcoin mining, or buy and sell the hashrate directly. There’s always a demand for it, and you won’t need to struggle with converting crypto into fiat or vice versa.

• Affordability. You can rent the mining powers for as little as 100 euros, which is much cheaper than the price of a mining farm.

• Qualified maintenance. The mining data centers are supervised and maintained by a professional team. You don’t need to set up the gear yourself and do the routine checkups every day — the hard part is already done for you.

• Cheap electricity. Our bitcoin megafarm is located in a special zone, where electricity is sold at preferential prices.

• Comfort. You can enjoy peace and quiet at home, while our ASIC miners are busily buzzing and earning crypto for you.

Luckily, mining can and will be profitable. You just need to make the right decisions and trust the process to the professionals. Hurry up - and join the crypto-investments until bitcoin reaches its next all-time high.