How to Build and Run Bitcoin Mining Farm - get-bitcoins.info
5 Best Bitcoin Mining Hardware ASIC Machines (2020 Rigs)
Bitcoin Farm: How to Create and Buy a Bitcoin Farm in 2020 ...
Bitcoin Mining - 60% RENDITE mit Bitcoin Mining noch ...
How do Cryptocurrency Exchanges Derive Revenue?
https://preview.redd.it/g3r7ndijl8q51.jpg?width=2400&format=pjpg&auto=webp&s=5bcf530de9cb96ced81f1f82ac2ce0da8ca03caf Before going ahead, we would like to share that the top ten cryptocurrency exchanges are getting $3 million per day in profit. From 2009 to 2020, cryptocurrencies have come a long way, and during all these years, it has gone through a roller coaster ride. But, one of the significant development seen in this field was an investment in cryptocurrency. The rise of cryptocurrency exchanges indicates there has been a remarkable growth in this field. The rise in cryptocurrency exchange and investors’ growing interest have made Bitcoin and other cryptocurrencies a popular choice among individuals. In this blog, we will discuss the best cryptocurrency exchanges and how they are performing so well. Best cryptocurrency exchanges Talking about the cryptocurrency exchanges, then Asian-based cryptocurrency exchange platforms are ruling the global crypto trading industry. An example of this is Tokyo-based Binance and Hong Kong-based OKEx; these bring in more than $1.7 billion daily. If we talk about the volumes, then Houbu from Singapore, Bithumb from South Korea, and Bitfinex from HongKong are performing the best. When calculated, Aisa-based exchanges are ruling over 50% of the daily crypto trading. Crypto exchange makes money in the following ways: Commissions- One of the common ways of making money is via commission. It is a fee for facilitating the trade between buyer and seller. The digital exchanges have a commission as low as .01%. If the dealing is in large volume, then the commission is on a higher side. Listing fees- For a new cryptocurrency exchange, getting a more common and large volume of transactions would be difficult. But they can make money by listing fees. They can come up with a token and can list it, and earn revenue from it. Some of the common ways are Security Token Exchange, Initial Coin Offering, Initial Exchange Offerings. With either of these methods, exchange operators may collect a percentage of funds raised. Fund collection- You can equip the platform for IEO and allow others to organize their token sales. In this scenario, your cryptocurrency exchange platform serves as a repository for but tokens. Investing in Bitcoin and information about Bitcoin exchange When we are talking about cryptocurrency exchange, then how can we miss Bitcoin? After all, it was the kickstarter of this revolutionary financial transformation. Bitcoin farming is a way to exchange the value of Bitcoin. Those who wish to earn Bitcoin have to mine it by solving complex programs. These individuals are called miners. And they ensure that the network is secure and free from any threats. Those who wish to invest in Bitcoin also have the option of choosing Bitcoin ATM; it allows you to purchase Bitcoin via cash or debit card. Conclusion- This was the basic information about how you can do Bitcoin farming and some of the common ways the cryptocurrency exchanges generate revenue. All these changes and transformation shows that there is going to be a growth in cryptocurrencies. With more than 5000 cryptocurrencies floating in the market, we can only expect this number to grow in the future. For more such interesting information, connect with Blockchain Council today.
3 months later. How the profitability of mining changed after halving
3 months later. How the profitability of mining changed after halving On May 11, the size of the Bitcoin mining reward fell by half. The next time it will be in 2024. What devices will be profitable by that time, and what to hope for owners of obsolete equipment. In May 2020, a halving took place on the bitcoin network. The cryptocurrency mining reward has decreased from 12.5 to 6.25 BTC. This is a long-awaited event, which, according to the hopes of the crypto community, should lead to a strong increase in the value of the coin. For example, Anthony Pompliano, co-founder of investment company Morgan Creek Digital, predicted that the rate would rise to $100,000 by the end of 2021, primarily due to lower mining rewards. So far, the bitcoin price hasn’t responded to the halving as much as expected. In mid-May, at the time of the reduction in the mining reward, the BTC rate was around $9,000. To date, the cryptocurrency has risen in price by 27%. This year’s high was set yesterday, August 18, at $12,400. The hashrate of the cryptocurrency network showed a different dynamics. Its value fell immediately after the halving from 137.5 to 87 EH/s, according to bitinfocharts.com. Since mining bitcoins has become less profitable, some of the miners probably turned off their equipment. They could switch to mining other coins or completely abandon this activity due to its unprofitability. Later, when the BTC rate began to rise, the amount of computing power in the coin’s network also began to increase. So, from late May to mid-August, the cryptocurrency hash rate increased from 87 to 130 EH/s. But over the past three days, the figure has dropped sharply by 20%, caused by floods in China. Torrential rains in Sichuan province caused power outages that interfered with the operation of mining farms. Changes in hashrate and mining rewards have affected its difficulty. On May 11, at the time of the halving, this figure was at around 16.1 T. By the current moment, this value has increased to 16.9 T, in July rising to a maximum of 17.3 T. The decline in the reward for mining cryptocurrency was partially offset by the increase in fees. Until May, a single BTC transfer cost the user an average of 50 cents. By the current moment, commissions have grown more than 10 times, to $5.5. Mining profitability is now at around 0.114 THash/s. It fell sharply immediately after the halving from 0.16 to 0.08 THash/s. To date, the indicator has grown by 40%. This was due to the rise in BTC prices and higher fees. Development Director at BitCluster Dmitry Shuvaev said that the profitability of the device for mining BTC s17–73Th/s is now about 8 thousand rubles per month (at an electricity price of 3.5 rubles per kWh). The payback period is about 15 months. Old devices, such as the Antminer S9, are now unprofitable to use, they do not bring profit. But this situation may change if the bitcoin rate rises to $15,000. “We recommend our customers to buy the new generation S17 or S19 devices. It is these devices that will provide profitability until the next halving. Their break-even point is at $6,000 per bitcoin”, Shuvaev said. In June, specialists from the research division of the BitMEX exchange announced that in the long term, 2–3 ASIC miner manufacturers will remain in the industry. Canaan’s Avalon devices were the first to hit the market in 2014. Three years later, in 2017, Bitmain took 75% of the market. Subscribe to our Telegram channel
Mining is one of the key concepts in the crypto world. Everyone who comes into contact with this sphere somehow wonders about the mining of coins. How profitable is mining in 2020, and what are the current trends? by StealthEX Crypto mining is a process during which a computer solves mathematical problems, resulting in the release of new blocks of information. This gives its owners a certain amount of coins, which is deposited in the total pot and registered in the public “ledger”, so-called blockchain. Machines in the network are also checking transactions with existing coins, adding this information to the blockchain as well. As for the issue itself, the most well-known algorithm of mining is Proof-of-Work (PoW), used in the networks of Bitcoin, Litecoin, Ethereum and many others. During the mining process, the latest transactions are verified and compiled into blocks. It is usually a series of calculations with an iteration of parameters to find a hash with the specified properties. The node which first solves this problem receives a reward. This approach was specifically designed to encourage those who provide the computing power of their mining machines to maintain the network and mine new coins. It is usually no need for a newcomer to know and understand all the complicated details of the mining process, just how much they can earn with certain equipment and electricity costs. Everything is designed in such a way that the complexity of calculations is steadily increasing, which then requires a constant increase in the computing power of the network. In 2009-2010, for mining bitcoin, miners only had to download and run the software on their personal computers, but very soon the network became so complicated that even with best PCs with a powerful processor, mining became unprofitable. That’s why miners started to use more effective video cards (graphics processing units or GPUs) and join them in so-called “farms”. In most systems, the number of coins is determined in advance. Also, many networks are gradually reducing rewards for miners. Such emission restrictions were built into the algorithm to prevent inflation. Thus, the cost of mining for smaller participants no longer pays off, which makes them turn off their hardware or switch to another coin where they can still make their profit. In particular, on the evening of May 11, 2020, a halving took place in the bitcoin network, the reward for mining was halved, from 12.5 to 6.25 BTC. In June, the revenue of bitcoin miners decreased by 23%, to the lowest since March 2019. However, in mid-June, the difficulty of bitcoin mining showed a record growth over the past 2.5 years. Mining the first cryptocurrency has become 15% more difficult. Although, by the beginning of July, the complexity had stabilized. The growing difficulty of mining the first cryptocurrency indicates that new miners have joined its network. Previously, some of them turned off the equipment, as it became less profitable to mine the coin due to a decrease in its cost and halving. Now the absolute majority of new coins are generated by industrial mining. This is done by large data centers equipped with specialized computers based on the ASIC architecture. ASICs are integrated circuits that were initially optimized for a specific task, namely the mining of cryptocurrencies. They are much more productive than CPUs and video cards, and at the same time consume much less electricity. ASIC computers are the main type of equipment for the industrial production of crypto. So now, after the halving, BTC coin mining has become even less profitable. For beginners, mining the first cryptocurrency is unlikely to be suitable. It is more often earned by large companies that have all the necessary equipment, access to cheap rental conditions, electricity and maintenance. Hence newbies are better off starting with mining altcoins. It is even more profitable to work in a pool, that is, together with other miners. This can help to place farms in one place and negotiate a favourable price for electricity, so you can get a small but stable income dux to the total capacity of the pool. Therefore, it has become much more difficult for regular users who have only non-specialized equipment at their disposal to generate virtual money. However, GPU developers have significantly increased the performance of their devices in recent years, so mining on a video card is still common. Another important event that changes the situation in the mining sphere will be the hardfork of the Ethereum network with the turn to the Proof-of-Stake algorithm. For now, Ethereum is the most popular altcoin for GPU mining, but Ethereum 2.0 will not require using such powerful equipment, so then it switches to PoS, GPU owners will have to look for alternative coins to mine. At the moment the most popular altcoins for mining on GPUs are Ethereum (ETH), Ethereum Classic (ETC), Grin (GRIN), Zcoin (XZC), Dogecoin and Ravencoin (RVN). There are actually a lot of mining programs that automatically determine which coin is more profitable to mine at the moment. In the coming years, the market is waiting for a race of technologies. Manufacturers are investing in finding ways to increase hashing speed and reduce power consumption. Mining pools will play an increasing role. The market will also be affected by applications for mining cryptocurrencies on smartphones that require low computing power, such as Dash or Litecoin. And remember StealthEX supports more than 250 coins and constantly updating the list, so you can easily swap your crypto haul to more popular altcoins. Our service does not require registration and allows you to remain anonymous. Why don’t you check it out? Just go to StealthEX and follow these easy steps: ✔ Choose the pair and the amount for your exchange. For example ETH to BTC. ✔ Press the “Start exchange” button. ✔ Provide the recipient address to which the coins will be transferred. ✔ Move your cryptocurrency for the exchange. ✔ Receive your coins. Follow us on Medium, Twitter, and Reddit to get StealthEX.io updates and the latest news about the crypto world. For all requests message us via [email protected]. The views and opinions expressed here are solely those of the author. Every investment and trading move involves risk. You should conduct your own research when making a decision. Original article was posted onhttps://stealthex.io/blog/2020/07/28/mining-today/
Traditional Mining vs Green Staking: How UMI Cares for the Planet
https://preview.redd.it/fcymiab2fed51.jpg?width=1024&format=pjpg&auto=webp&s=a32e38290d6f8048ba7cc982bc2963369642eb7a Cryptocurrencies are about a major contribution to the transformation of the existing financial system. They can dramatically change the world and be of great benefit to humankind. But looking for benefits mustn't do harm to the environment. We've taken up this theme for a reason. It is indeed possible to do harm. In fact, harm is already being done. Do you want to know in what way? By traditional mining, which is necessary to maintain the Bitcoin network, and thousands of other Proof-of-Work-based cryptocurrencies. Negative impact of traditional mining In order to maintain the Bitcoin network or other PoW-based cryptocurrencies, miners have to solve complex computational math problems — by doing so they verify the authenticity of transactions and add valid ones to the blockchain. This process is dubbed mining and requires extensive computing resources. The need to compete to solve a mathematical puzzle and receive a reward makes people use more and more powerful equipment. This is how new bitcoins are generated. With the cryptocurrency boom, harmless mining on computers turned into an endless race among miners. Today miners not only buy high-performance computers. Some miners create farms consisting of energy-consuming ASIC devices while others use huge plants to mine bitcoins. A mining farm consisting of thousands of ASIC devices. Source. As you know, intensive computing power requires elevated power expenses and leads to air pollution and a waste of natural resources. This poses a serious problem. Nowadays electric power stations, which are thermal power plants (TPP), burn fossil fuel, such as coal or natural gas, to produce electricity. This process causes CO2 (carbon dioxide) emissions which adversely affect the biosphere — mining contributes to the greenhouse effect which heats the planet up. This consequently causes a global warming effect with its associated impacts on the environment and may pose threats to life on the planet. What is more, every minute we are breathing the same polluted air, thereby being at risk of a bunch of diseases and complications. All these factors shorten life expectancy for us and our children. Air pollution cause a great deal of premature deaths The more carbon dioxide gets into the environment, the more harm it does. Carbon dioxide is a harmful by-product of industrial activity. The biting irony is that we use natural resources to generate these emissions, and these resources have limits too. Traditional mining significantly exacerbates the global problem and the situation has been deteriorating in recent years. The effects of carbon footprint are already being felt There are, undoubtedly, a lot of other factors that cause global environmental degradation, but the impact of mining should never be ignored. Bitcoin mining is estimated to produce as much carbon dioxide as that produced by industries of Estonia, Switzerland, the Czech Republic, Jordan, or Sri Lanka. The entire bitcoin network is responsible for 22-22.9 million tons of CO2 per year — just think and try to imagine how much it is. Chinese miners represent about half (47%) of emissions. In China energy is cheap as it's produced by coal-fired thermal power plants. Once we add emissions produced by mining other cryptos, the numbers will double! Powerful mining equipment. Source. Two years ago, Nature Research journal published an article regarding Bitcoin emissions. It said: "We cannot predict the future of Bitcoin, but projected Bitcoin usage, should it follow the rate of adoption of other broadly adopted technologies, could alone produce enough CO2 emissions to push warming above 2 °C within less than three decades." Two years later, we can see the researchers' concerns had the ground — digital gold keeps to be mined with the same enthusiasm as well as the planet keeps to be polluted. "It [Bitcoin] alone could produce enough emissions to raise global temperatures as soon as 2033, " warn a group of researchers. As an alternate solution, miners are encouraged to use renewable energy (wind, solar, etc.) — which can make bitcoin mining more environmentally friendly. Unfortunately, renewable energy sources account for just a small share of global energy which makes them impossible to be used widely. Moreover, in the pursuit of profit, miners don't seem particularly eager to get rid of profitable equipment which cost them a fortune. Nonetheless, the fact that modern cryptocurrencies disapprove environment-damaging mining lets us hope for the early improvement of the situation. UMI is one of these cryptocurrencies. UMI is a green cryptocurrency based on smart contract Not all cryptocurrencies use computing power to generate new coins. For example, there are cryptocurrencies based on Proof-of-Stake (PoS) and Proof-of-Authority (PoA) technology. UMI is just like that. As a substitute for mining and to incite users, UMI uses Staking Smart Contract which allows generating new coins with no energy expenses and powerful equipment. No waste of natural resources. Staking technology is perfectly safe for the planet. This is the latest technological development loop of crypto industry. https://preview.redd.it/wpgh5cmoged51.jpg?width=1024&format=pjpg&auto=webp&s=761dd09821e16924dfeeb7db8e65b6a66e50c5d5 UMI can be definitely called an environmentally friendly cryptocurrency as it has no negative impact on the environment. Today this is of greatest importance for all of us. UMI staking neither endangers human health nor harms the environment. In other words, we are protecting the planet and all the people that inhabit it. This is something we can be really proud of. Because the environment influences our health, and good health is the most important thing in life. As a final note, we would like to say that adhering closely to their ideology, the UMI team collaborates only with environmentally conscious partners who are concerned with the protection of the natural world. This was the main reason for choosing the ROY Club as our partner. We are certain this will be productive cooperation which will make this world a better place. Join in and invite all your friends — together we can create new UMI coins using eco-friendly staking and care for our planet! Best regards, UMI Team!
PoW or PoS: The Difference Between Mined and Non-Mined Crypto
The whole crypto world discusses how Ethereum will switch from Proof of Work to Proof of Stake now. This change can significantly affect the cryptocurrency market. What are the positive and negative sides of PoW and PoS? Cryptocurrencies can be divided into two types: those that can be mined (Bitcoin, Litecoin, Monero) and pre-mined ones (Ripple, Stellar, Cardano, EOS, NEO).
What is the big difference?
Although they differ in the method of generation, the basis of both types of crypto is the same: verification. Every transaction processed by the network must be verified by someone to ensure that virtual money has not been spent twice. Here we are talking about the difference in the verification process. Transaction groups are combined into a block; after verification, the block joins other previously confirmed blocks, and create a chain of transactions, or blockchain.
PoW: Mined Crypto
Mining is a process in which individuals, groups, or companies solve complex mathematical equations to verify transaction blocks using powerful computers. These math problems are part of the encryption process that protects transactions from cybercriminals and third party access. The first who solves the problem and signs a block of transactions receives a reward. The miner, who confirmed the block of transactions e.g. in the Bitcoin network, receives a reward in BTC.
Disadvantages of Mined Crypto
Mining can be very expensive due to the large amounts of electricity consumed. In mined crypto with less capitalization, competition is usually lower than in BTC.
BTC mining requires special ASIC chips, that are combined into huge farms. Electricity is one of the main expenses for these projects. That is why China, where electricity is relatively cheap, has become a home to four of the five largest Bitcoin mining companies in the world.
Mining farms have to spend significant money funds on new equipment, which becomes out of date very fast.
Large projects need additional cooling, as servers and graphics cards heat up to high temperatures during operations.
The Proof-of-Work model is potentially vulnerable to a 51% attack (when a group of people with 51% of the computing power gains control of the network and its participants). For popular cryptocurrencies such as Bitcoin (BTC), Litecoin (LTC), and Monero (XMR) this is not a problem due to their large capitalization. However, minor cryptocurrencies with long block processing times and low daily volumes are risking a lot.
PoS: Non-Mined Crypto
At the other end of the spectrum are pre-mined cryptocurrencies such as Ripple (XRP), Stellar, Cardano, EOS, and NEO. In the PoS model, super-powered computers are not needed, and participants do not compete for the right to sign the next block. Thus, the costs of this approach are significantly lower. Transaction verification is carried out by cryptocurrency owners. The more cryptocurrencies you have, the longer you own it, the higher the probability that you will be selected to check the transaction block. Certain mechanisms are built into the system that prevents the dominance of large cryptocurrency holders over the verification process. There are many random ways to select owners who get the right to sign a transaction block. This ensures that small holders have a chance to participate in the process.
Disadvantages of Non-Mined Crypto
Despite the fact that the costs of the Proof-of-Stake method are lower, PoS has its drawbacks.
Such cryptocurrencies are not threatened by an attack of 51%, however, another trouble replaces it — a person who posses 51% of all tokens in circulation can gain control of the network and its participants. Of course, in the case of cryptocurrencies with high capitalization, the possibility of this scenario is low, but small partners may suffer from this vulnerability.
The Proof-of-Stake model also gives major owners additional votes in determining the future development of the network. Most NEO tokens) belong to several founders, for instance. This helps increase transaction speed and reduces consensus-building time, but also makes cryptocurrency too centralized. In other words, in the PoS model, large players gain significant power, which is theoretically impossible with the PoW model.
Which method is better?
Both methods have their pros and cons. Nevertheless, sooner or later, some of the largest mined currencies (e.g. BTC) will reach their token limit. At this point, they will have to switch to Proof-of-Stake. Since it significantly reduces power consumption and doesn't require powerful computers, gradually all crypto including BTC will switch to a non-mined model just like Ether did.
Antminer T19 May Not Affect Bitcoin Hash Rate but Keeps Bitmain Ahead
The Antminer T19 by Bitmain may not have a big impact on the Bitcoin network, and it comes out amid the firm’s internal and post-halving uncertainty. Earlier this week, Chinese mining-hardware juggernaut Bitmain unveiled its new product, an application-specific integrated circuit called Antminer T19. The Bitcoin (BTC) mining unit is the latest to join the new generation of ASICs — state-of-the-art devices designed to mitigate increased mining difficulty by maximizing the terahashes-per-second output. The Antminer T19 announcement comes amid the post-halving uncertainty and follows the company’s recent problems with its S17 units. So, can this new machine help Bitmain to reinforce its somewhat hobbled position in the mining sector? T19: The cheaper S19 According to the official announcement, the Antminer T19 features a mining speed of 84 TH/s and a power efficiency of 37.5 joules per TH. The chips used in the new device are the same as those equipped in the Antminer S19 and S19 Pro, though it uses the new APW12 version of the power supply system that allows the device to start up faster. Bitmain usually markets its Antminer T devices as the most cost-effective ones, while the S-series models are presented as the top of the line in terms of productivity for their respective generation, Johnson Xu — the head of research and analytics at Tokensight — explained to Cointelegraph. According to data from F2Pool, one of the largest Bitcoin mining pools, Antminer T19s can generate $3.97 of profit each day, while Antminer S19s and Antminer S19 Pros can earn $4.86 and $6.24, respectively, based on an average electricity cost of $0.05 per kilowatt-hour. Antminer T19s, which consume 3,150 watts, are being sold for $1,749 per unit. Antminer S19 machines, on the other hand, cost $1,785 and consume 3,250 watts. Antminer S19 Pro devices, the most efficient of three, are considerably more expensive and go for $2,407. The reason Bitmain is producing another model for the 19 series is due to what is known as "binning" chips, Marc Fresa — the founder of mining firmware company Asic.to — explained to Cointelegraph: “When chips are designed they are meant to achieve specific performance levels. Chips that fail to hit their target numbers, such as not achieving the power standards or their thermal output, are often ‘Binned.’ Instead of throwing these chips in the garbage bin, these chips are resold into another unit with a lower performance level. In the case of Bitmain S19 chips that don’t make the cutoff are then sold in the T19 for cheaper since they do not perform as well as the counterpart.” The rollout of a new model “has nothing to do with the fact that machines are not selling well,” Fresa went on to argue, citing the post-halving uncertainty: “The biggest reason machines probably are not selling as well as manufacturers would like is because we are on a bit of a tipping point; The halving just happened, the price can go anyway and the difficulty is continuing to drop.” Product diversification is a common strategy for mining hardware producers, given that customers tend to aim for different specifications, Kristy-Leigh Minehan, a consultant and the former chief technology officer of Genesis Mining, told Cointelegraph: “ASICs don’t really allow for one model as consumers expect a certain performance level from a machine, and unfortunately silicon is not a perfect process — many times you’ll get a batch that performs better or worse than projected due to the nature of the materials. Thus, you end up with 5–10 different model numbers.” It is not yet clear how efficient the 19-series devices are because they have not shipped at scale, as Leo Zhang, the founder of Anicca Research, summed up in a conversation with Cointelegraph. The first batch of S19 units reportedly shipped out around May 12, while the T19 shipments will start between June 21 and June 30. It is also worth noting that, at this time, Bitmain only sells up to two T19 miners per user “to prevent hoarding.” Hardware problems and competitors The latest generation of Bitmain ASICs follows the release of the S17 units, which have received mostly mixed-to-negative reviews in the community. In early May, Arseniy Grusha, the co-founder of crypto consulting and mining firm Wattum, created a Telegram group for consumers unsatisfied with the S17 units they purchased from Bitmain. As Grusha explained to Cointelegraph at the time, out of the 420 Antminer S17+ devices his company bought, roughly 30%, or around 130 machines, turned out to be bad units. Similarly, Samson Mow, the chief strategy officer of blockchain infrastructure firm Blockstream, tweeted earlier in April that Bitmain customers have a 20%–30% failure rate with Antminer S17 and T17 units. “The Antminer 17 series is generally considered not great,” added Zhang. He additionally noted that Chinese hardware company and competitor Micro BT has been stepping on Bitmain’s toes lately with the release of its highly productive M30 series, which prompted Bitmain to step up its efforts: “Whatsminer gained significant market share in the past two years. According to their COO, in 2019 MicroBT sold ~35% of the network hashrate. Needless to say Bitmain is under a lot of pressure both from competitors and internal politics. They have been working on the 19 series for a while. The specs and price look very attractive.” Minehan confirmed that MicroBT has been gaining traction on the market, but refrained from saying that Bitmain is losing market share as a result: “I think MicroBT is offering option and bringing in new participants, and giving farms a choice. Most farms will have both Bitmain and MicroBT side by side, rather than exclusively host one manufacturer.” “I would say that MicroBT has taken up the existing market share that Canaan has left,” she added, referring to another China-based mining player that recently reported a net loss of $5.6 million in the first quarter of 2020 and cut the price of its mining hardware by up to 50%. Indeed, some large-scale operations seem to be diversifying their equipment with MicroBT units. Earlier this week, United States mining firm Marathon Patent Group announced that it had installed 700 Whatsminer M30S+ ASICs produced by MicroBT. However, it is also reportedly waiting for a delivery of 1,160 Antminer S19 Pro units produced by Bitmain, meaning that it also remains loyal to the current market leader. Will the hash rate be affected? Bitcoin’s hash rate plummeted 30% soon after the halving occurred as much of the older generation equipment became unprofitable due to the increased mining difficulty. That spurred miners to reshuffle, upgrading their current rigs and selling older machines to places where electricity is cheaper — meaning that some of them had to temporarily unplug. The situation has stabilized since, with the hash rate fluctuating around 100 TH/s for the past few days. Some experts attribute that to the start of the wet season in Sichuan, a southwest Chinese province where miners take advantage of low hydroelectricity prices between May and October. The arrival of the new generation of ASICs is expected to drive the hash rate even higher, at least once upgraded units become widely available. So, will the newly revealed T19 model make any impact on the state of the network? Experts agree that it won’t affect the hash rate to a major degree, as it’s a lower output model compared with the S19 series and MicroBT’s M30 series. Minehan said she doesn’t expect the T19 model “to have a huge impact that’s an immediate cause of concern,” as “most likely this is a run of <3500 units of a particular bin quality.” Similarly, Mark D’Aria, the CEO of crypto consulting firm Bitpro, told Cointelegraph: “There isn’t a strong reason to expect the new model to significantly affect the hashrate. It might be a slightly more compelling option to a miner with extraordinarily inexpensive electricity, but otherwise they likely would have just purchased an S19 instead.” Bitmain continues to hold leadership despite internal struggle At the end of the day, manufacturers are always in an arms race, and mining machines are simply commodity products, Zhang argued in a conversation with Cointelegraph: “Besides price, performance, and failure rate, there are not many factors that can help a manufacturer differentiate from the others. The relentless competition led to where we are today.” According to Zhang, as the iteration rate naturally slows down in the future, there will be more facilities using “creative thermal design such as immersion cooling,” hoping to maximize the mining efficiency beyond just using most powerful machines. As for now, Bitmain remains the leader of the mining race, despite having to deal with the largely defunct 17 series and an intensifying power struggle between its two co-founders, Jihan Wu and Micree Zhan, which recently resulted in reports of a street brawl. “Due to its recent internal issues, Bitmain is facing challenges to keep its strong position in the future thus they started to look at other things to expand its industry influences,” Xu told Cointelegraph. He added that Bitmain “will still dominate the industry position in the near future due to its network effect,” although its current problems might allow competitors such as MicroBT to catch up. Earlier this week, the power struggle inside Bitmain intensified even further as Micree Zhan, an ousted executive of the mining titan, reportedly led a group of private guards to overtake the company’s office in Beijing. Meanwhile, Bitmain continues to expand its operations. Last week, the mining company revealed it was extending its “Ant Training Academy” certification program to North America, with the first courses set to launch in the fall. As such, Bitmain seems to be doubling down on the U.S.-based mining sector, which has been growing recently. The Beijing-based company already operates what it classifies as “the world’s largest” mining facility in Rockdale, Texas, which has a planned capacity of 50 megawatts that can later be expanded to 300 megawatts.
China’s Rainy Season Is Coming. This Time Bitcoin Miners Aren’t Investing
Image: Unsplash Spring is usually a welcome time of year for bitcoin mining businesses in China. The upcoming rainy season brings excessive hydropower, making electricity cheap and mining more profitable ... all else equal. This year, however, two key variables have changed, upending the calculus for operators of mining facilities and for miners themselves in the world’s hub for this activity. After recovering from March’s brutal selloff, bitcoin’s price has been stagnating around $7,000. As a result, mining farms that offer hosting services are struggling to find enough customers to fill capacity. Further, the standstill comes just before the network’s halving event, due in less than 20 days, which will put further pressure on revenues in the multibillion-dollar bitcoin mining industry. he situation presents a conundrum for miners: whether to buy new, more powerful equipment; and if not, when to switch off older models, and when to switch them on again. The winning move will depend on how things play out after the halving, which is far from certain. “If bitcoin’s price doesn’t go up post-halving, then who’s going to buy new equipment to fulfill this capacity?” said Huang Fangyu, co-founder of ValarHash, the company behind the mining pool 1THash, which owns facilities primarily for self-mining in Sichuan and sells cloud mining contracts. Read more Originally published by Wolfie Zhao Apr 23, 2020 at 04:30 UTCUpdated Apr 23, 2020 at 16:27 UTC Coindesk
Bitcoin Reaches New All-Time High Hash Rate Just A Week Before Halving
Some Crypto Analysts Consider The Increased Hash Rate To Affect Bitcoin’s Price Positively, As “Price Follows Hashrate” The largest cryptocurrency to date, Bitcoin, is preparing for its third halving, scheduled at block 690,000, or around May 14. Meanwhile, Bitcoin miners are putting even greater push for validating transactions, which is often referred to as a bullish sign. The amount of computer power needed to validate a transaction on Bitcoin’s blockchain peaked with a new all-time high on May 3. Crypto speculators consider the halving event as a catalyst for Bitcoin’s price to explode in the months after the reward cut. Crypto analysis company Glassnode posted a chart on Twitter, marking the bullish exponential curve of hashrate activity. Traders and enthusiasts, who believe in the “price follows hashrate” maxima quickly showed their enthusiasm about the peak. Max Keiser, for example, shared a chart from Bitcoin.com, showing his bullish stance on the future price of Bitcoin. Source: Glassnode The correlation between Bitcoin’s price and the hashrate is still not confirmed, but there are some historical hints that such correlation may exist. However, if Bitcoin’s price increases, miners get a bigger reward for mining a block. The price increase leads to more miners joining the race, which increases hashrate as well. For instance, in September 2018, just moments before the crypto winter, Bitcoin’s network had 56 ExHash-per-second (EH/s) with price per one BTC roughly at $6,500. During the following three months, Bitcoin’s network hashrate fell to as low as 31 EH/s, with a price per BTC around the $4,000 mark. However, the thesis that more miners are entering the computing pool when Bitcoin is approaching its halving may not be entirely accurate. The halving procedure cuts down the reward per mined block in half. Small and mid-sized miners and mining farms may be forced to shut down operations, as they might not clear their costs for operating the rigs. Some experts believe the hashrate push could be a last “attack” towards making a profit before the reward cut. Meanwhile, other crypto experts consider the spike to be because of the possible price increase anticipation. The CFO of Boston Trading Co. Jeremy Britton explained that with the increasing scarcity for mining precious metals (like Gold, for example), its price increases. The same principle may be applied for Bitcoin, also. “When Bitcoin’s price crashed in 2019, its price did not drop below $3,000, because miners didn’t want to sell on loss. The expenses for mining a single block on Bitcoin’s network are around $3,000, without considering the costs for equipment and the Internet”, Britton stated. The next halving, scheduled for May 14, would further increase the costs per mining a BTC block. “The next possible floor for Bitcoin’s price is around $6,000 because miners won’t agree to sell on loss”, Britton concluded. Pricewise, Bitcoin failed to overcome and settle above $9,000, as the weekend rally broke above the psychological barrier, but was quickly corrected to trade at $8,719.97 currently. The hashrate peak, however, pushed trading volumes up from May 3 with over $8 billion.
Representatives of the mining industry believe that only large and effective miners will remain after the halving. F2Pool co-founder Wang Chun said that due to a decrease in rewards from 12.5 BTC to 6.25 BTC, unprofitable operators could be absorbed by larger players. A similar position was expressed by Alejandro de la Torre, Poolin Vice President. In his opinion, miners using old equipment will have to disconnect after halving. The head of New Mine, Ibrahim Alkurd, noted that one should not hope for a rise in the price of bitcoin after halving. “Miners hoping that the BTC price will jump up after halving the block reward, making their operations profitable, are in trouble,” he said. Wang Chun added that after halving, those farms will stay that are capable of mining bitcoin at a cost of $3,500.
Bitcoin Halving: How Miners are Preparing for Lower Block Rewards
As the latest Bitcoin halving approaches, miners are upgrading equipment, optimizing arrangements, conserving power and more in the race to dominate. How are bitcoin (BTC) miners strategizing for the upcoming halving event, in which block reward subsidies will be cut by 50 percent? On this week’s episode of “Bitcoin Halving 2020: Miner Perspectives,” Kristy-Leigh Minehan and Pavel Moravec give an in-depth explanation of what miners are doing to maximize profits and increase operational efficiency. Since October, Minehan explains, bitcoin mining farms have been getting on “the upgrade train” and purchasing state-of-the-art ASIC machines such as the Antminer S17 and S19. Moravec says bitcoin miners have also been looking at creative ways to cut electricity costs by leveraging surplus energy from certain cities’ power grids. What started primarily as a hobby in 2009 has flourished over the years, gained broader adoption and ultimately evolved into a new, professional industry. “We’ve gotten to a point in bitcoin’s history where the government is paying attention and has started to realize bitcoin isn’t going away,” Minehan said. “Mining is not going away. And it’s in their best interest to start working with miners.” Teaming up with local governments and utility providers is another miner strategy both Minehan and Moravec have seen on the increase in recent years. This is why Minehan believes even the geographic distribution of miners, which was discussed in depth in an earlier podcast episode, may further stretch the industry into North America and Europe. (China remains the dominant locale.) Continue Reading On https://www.coindesk.com/bitcoin-halving-podcast-episode-2
What will be your biggest fears and risks to setup mining farm.
https://preview.redd.it/1mc2ilhunwf41.jpg?width=1280&format=pjpg&auto=webp&s=e573bcad9aa13b87ec1a691496268dd1303b70c3 Crypto currency mining is fascinating topic. It is 21st century mining with computer hardware and software. Looking for blocks on the block-chain to be rewarded in crypto currency. To start crypto currency mining business or hobby you have to understand what kind of risks you might face. To start Bitcoin mining you will need and ASIC miner, which is basically bunch of CPUs. This kind of equipment might cost you a lot of capital, so it is a good thing to recognize the risks you might face.
In the early days in Bitcoin mining you could make some profit with your laptop CPU or GPU. These days are long gone, every year new more efficient hardware is been developed. Which makes older hardware obsolete for mining. Meaning that bad timing investment could potentially make your investment worthless.
Hardware failure is very big thing to reduce mining risks. This hardware needs to be run 24/7 to gain the most optimal revenue from mining. Very often these devices/hardware do brake down, asic miners are the worse hardware comparing to GPU. Hashing board failure is common problem on them, which will need additional investment after 6 month from your purchase. If this would happen to your devices.
The one of the hardest parts is not enough profits. Crypto currencies are extremely volatile, one day you could mine in profit the next day you might be at loss. If you are using latest hardware, most important to stay in the game and mine with profit. Is to have cheapest electric rate between all the other miners on network. Electric is everyone biggest OPEX cost, dont even think to start mining as a business large scale if your power costs is above 6-7c a kw/h. It might be profitable to mine with 20c per kw/h today but it might not be anymore tomorrow. Which means you will need to shutdown your mining farm.
Legal risks . Crypto currency is still very new, and it has not been regulated very well. So you might face some kind of crypto currency ban in the country which might affect your mining operation.
Hacking – Use crypto currency safe as possible. You know the good old saying not your keys not your coins. Don’t keep your mined coins on exchange. And use only community trusted mining pools.
And the last of the top 6 is the environmental risk. Choose mining location wisely. Mining hardware most likely will use a lot of power, this is why they will produce a lot of heat. And heat will affect your mining operation. Something like mining container could be an option.
Part 8 (has access to parts 1-7 in it) For some reason it would not post the last day or so. It is early 2017. I have been carrying on my usual playing 10-20 hours a week to survive. Still lethargic is best term I suppose. I just dont get excited to play anymore. I consider getting a job to remind me how shitty working is so it gives me a kick in the teeth to play poker. Then it dawns on me, I hate playing poker now. Poker has been tainted. Everything bad that happened to me I can associate with poker. The rise and fall was poker (the fall part). The oxycontin started as a performance enhancer to log more hours. Everything I consider to be wrong in my life I trace back to poker essentially, even if just a butterfly affect reason that had I done something else I wouldnt be here. Hating poker is not the greatest realization considering its my only means to income outside of grunt labor. I seek a job in a couple places to no avail which was fine, I didnt wanna do that either. Several months earlier I had started playing on SWC (bitcoin site) and became familiarized with bitcoin. Thought nothing of it, it was just the currency I was winning or losing. I dont read a thing about it, I learn nothing of it. I wasnt playing a ton or even big stakes, my intention for playing online was to just stay sharp in case it ever comes back full fledge. I have 5-6 btc on this site at the most (2-3k) and I flush it playing plo and big o not thinking much of it. Back to 2017. Its March/April~ of 2017. I am playing cards one night dicking around probably had a couple drinks and was needling the usuals etc. A guy I do not know is in the game. Looks Russian. I bet he interfered in our election... fucking commies. I dont remember how I got to talking to him but crypto had been brought up. I talk about SWC. Tell him I had a few btc but not anymore. The only other thing I remember well from the conversation was bitching about going from an iphone4 (yes I had an iphone4 from 2010-17, the same one. It barely worked. Many oxycontins snorted off the back of that phone, texts dating back to when I got it in 2010) to the 6 or 7 or wtfever I have now, which is bigger and its harder to text and drive. He just responds by saying “first world problems are the worst”. Amen brother, those Africans and Venezuelans have no clue of our struggle. I end up talking to him a bit and it turns out he mines crypto. Has a website that sells mining equipment. He has a hell of a back story too. I tell him I am interested in mining. I have about 20k to my name at this time and I realized recently that I dont like playing poker so why not? He eventually tells me not to do it. Regardless we become friends and he is ultimately the most important friend I have ever made. I have made more positive strides mentally since meeting him (mostly work ethic, realizations, reality checks and aspirations) As silly as it sounds, when he told me “first world problems are the worst” it stuck with me. He was saying it as a joke but jokes are funniest when true. He is genuinely the smartest guy I have ever associated with also. If you run into him at a poker table youd think he was a high functioning autist. Then you talk to him and go “ohhh hes just one of those Einstein type geniuses”. His hair is usually a mess, he cuts his own hair for or has his girlfriend do it. He wears cheap clothing usually since it all covers your ass or nipples I suppose. He virtually never instigates conversation with people he doesnt know. He is really deliberate with his actions. Talks really calmly and knows exactly what he is saying. He is just on the same level at all times it seems. Meeting him has definitely changed my life for the better. We become friends pretty quickly. I know I went on a downer after meeting him because I couldnt afford to buy mining stuff and remember wanting to (again, he told me not to do it eventually anyways). Which will lead me to another good friend to have. Between 2015 and this point in 2017 I have shot myself in the foot not logging hours a couple times. A friend has bailed me out with a loan or short term stake a few times. He is a well off restaurant owner who loves poker more than just about anything not related to him. Every time I see him we talk about hands he played and he just eats it up, has photographic memory and never butchers a hand history which is nice. He is as good hearted of a guy as I have ever met. (Sorry if this is getting long winded giving praise to people close to me, I intend on sharing with a few people and would like them to know what they mean to me as corny as that is because I suck at doing it in real life. Plus it is kinda gay to get mushy sounding in real life, but I digress. Theyve heard virtually none of the content of this whole thread either, a ton of this stuff I have never shared) In fact he is too kind hearted. He has helped people who wouldnt piss on him if he was on fire, and people have burned him on many occasions. My only complaint about this person is he never kicked my ass and told me to log more hours or fuck off. I needed it. If I just logged hours I wouldnt need the help. Its as simple as that. I have no leaks other than the unwillingness to play (leaks as in drugs/pit games/strippers/wtf ever else) and it has hindered me immensely over the these last couple years. (Ok I do have one embarrassing leak that has been fixed for a year and change, mobile games... I have spent like 30,000$ on mobile games between late 2016 and late 2018, Lords Mobile specifically clocked me for 20k. This definitely hindered my ability to build a roll and got me into a few jams. When youre not logging hours playing youre sitting around gaming and these games arent cheap obviously) It is around May now and my friend who messes with crypto tells me that Bitcoin is going to 10,000$. Its like 800$ at the time iirc. I own a couple from Ignition cashouts. I kind of trust him. I cant argue him on it as I have literally no mental fortitude on the subject, but I essentially shrug it off. I start watching the price on poloniex and am watching prices jump like crazy. Light bulb in head! I can buy the dips sell the peaks and have more BTC! Lets load the 2.5btc I have onto poloniex! Sell peak but it keeps climbing... “FUCK! gotta get it back before it goes to 10k! Whew. Still have 2.45 BTC. FUCK! Its dropping! Get it out before it goes to zero!” Yea I turned that 2.5 BTC into .4 BTC. No joke. I think I ended up throwing it onto SWC and losing it once it was almost gone. I honestly forget. I had nothing when it finally hit 20k other than some shit alts worth about 800$ at most (worth 35$ now but they still reside in my locked poloniex account, maybe I will give poloniex my ID if they ever become worth more than 1k) So I am now annoyed I didnt turn every free dollar I had into BTC. I didnt trust the guy enough and to be fair I would have been using the money I play with. Had I met the guy a year earlier (know what I know of him now) I would probably have just locked it all up and sat around waiting. I never really get my act together in 2017. I continuously log just enough hours to get by. I just dont care. I just want a way out of this. I catch myself saying “I hate playing poker” and sometime around the end of 17 or early 2018 I start trying to censor myself and quit saying that. Saying it will only make it fester deeper. I have to retrain myself to love poker. I remember the days of playing 18-24 hours straight because I love playing. I love watching for everything I can find to get an edge. I love a situation to present itself where I can step out of line. But now I just sit down and count the minutes before I can tell myself “way to go! You put in an 8 hour shift lets pack it in!” I leave good games often times. I celebrate when games break. This is where I am mentally while I play. I cant break out of it. Late in 2017 a close friend of mine passes away. Will call him J. He was the guy who gave me a place to stay after the shutdown in Joplin. I was still doing oxy and he never once touched the stuff knowing what has happened to me. He doesnt judge me, he is somewhat of an enabler I suppose. He just drinks does shitty coke sometimes and has a script of adderol and xanax. Literally never once does he do any with me (ive warned him xanax and opiates will kill you if you mix, which is likely part of the reason he never did it) He was a marginal poker player (relative to modern game, he was just good enough to beat the rake live but he had too many pit leaks) and took great pride in being my friend (I was the slayer in the area for years leading up to this, anyone considered the best in their area can relate, you just have the respect of the local poker community). One of my earlier live poker memories involved him. I am like 18 or 19 playing a 1-2 game at a small casino and he was there with a friend. They were the good players in the game at the time. They were having a few drinks eating nice food and laughing having a good time. I remember thinking that I want this lifestyle. Care free gambling fast paced lifestyle. I had told him this story years later and he just ate it up, constantly tried to get me to rebound, but as I have stated many many times in the last few of these I have basically waved my white flag and accepted the result of my fall. Anyhow after living with him we always talk every few months at minimal and have something to eat when we see each other at the casino. He was somewhat disingenuous sounding he was so nice and honestly it got to a point it started rubbing me the wrong way. I still talk to him of course but less frequently. In December of 2017 I get a phone call from my friend who owns the restaurant and he is distraught. He has been at the hospital and J has passed away. The back story on this is he had gotten a phone call from old friend who was getting out of prison in Arizona with no where to go (a female). J being as nice a guy as he is drives the 20+ hours to get her and gives her a place to stay. Well shes a junky and actually convinces J to do opiates/heroin. He overdoses and dies. I hadnt talked to him in a few months. I regret it. Had I known I would have beaten him senseless and got him to quit before things actually get bad. Going to his funeral hit me up side the head too. The way I started feeling he was disingenuous just got destroyed. I cant fathom as many people showing up to my funeral with as nice of things to say. I wrote something to say but opt out after a few people say everything I had written (except better). I regret not saying them anyways. I think I still have what I wrote tucked away with the card and his money clip that made its way to me. I stumbled across his casino players card in a box one day and it resides in my wallet ever since. This was the first close friend that has passed away in my life, knock on wood. It woke me up a bit and caused a lot of self reflection because I felt I had let him down. I lived a few miles from him and didnt drop in to see him, didnt stay in contact as well as I should have. All because I felt he was disingenuously nice when he was actually just nice, which is actually because I am a cynical hermit who hates social life these days. That was the real reason I didnt stay closer. Him being too nice was just my excuse to blow him off essentially. Only other thing I can add is that chick he helped out didnt even go to his funeral and on top of that had tried to take his truck and clean his house out. Junkies are the worst. I was a junky but I proudly say I never robbed anyone or cost anyone anything other than emotional distress, which isnt much of a brag obviously. 2018 starts and I have been decreasing my methadone every week for about 3-4 months now. I am on a low dose. Makes sleeping at night hard (get restless legs and sneezy). So I am having a few drinks any time I am at the casino playing (still just two days a week for the most part) to help get through those late night sessions when its worn off and I feel crummy. I get down to 15mg then 10mg and in March of 2018 I get asked if I wanna work for a week with my crypto friend. His friend is setting up a farm with 500 miners and needs help. I agree. The pay is in excess of the work (in my opinion) at 3k and I have no expenses, but I dont argue obviously. Before we leave town I have to pick up my week of methadone (at 4mg now) and so I do that. I never take any of them, I have the box still. Never opened it. They remain at my apartment as a reminder, the box carrying the 6 doses and a stack of receipts for every 75$ week that I kept in the box, several years worth, at least 9-10k worth of receipts, and that shits CHEAP compared to oxy. So I am finally off of opiates. I take kratom still but its essentially non addictive in comparison. Ill cede that I am reliant on kratom but if it disappeared tomorrow I wouldnt panic, I would be fine. So I fly to Denver with my friend and meet his friends half brother who was instructed to rent a box truck and the three of us were to drive from Denver to Washington carrying like half a million dollars worth of hardware. Its early March, the roads arent exactly great. Half brother of his friend rents a truck with no middle seat though. Its absolutely miserable. Whoever sat middle was sitting like a fem boy legs closed and knees up high from the drive shaft hump. It was un fucking real how uncomfortable the middle was. So like I stated the roads were not great, we drove on ice for 5-6 hours straight (while my crypto friend did about 30 minutes of it before I decided I value my life and banned him from driving, he was literally doing over 70 on this ice sheet when I checked the gauge. I forget what he said, I will fail to make it sound as good but he said that he is protected and can not die, if we wreck he wont get hurt because of some universe stipulation that protects him. He said we would get hurt but he wouldnt. *** Ok here is what he said. “quantum immortality. if i die in this universe, my conciousness will shift to others where i am still alive” He just couldnt assure us ours would. I end up driving like 18 of the 24 (one shot) hours it took as letting crypto friend drive was out. We make it set up a farm over a couple days then we go to Vegas. Not only do we go to Vegas but we fly a private jet. Not only do we take a private jet but his buddy has all four of us our own room at the Bellagio for 5-6 days. I remember having a 4500$ win at Bellagios 500$ cap 2-5 game... ran pretty salty. I only remember one hand worth bringing up, but I closed action and called 400$ pre with 67o with 3 others all in. Just flop 77X and send me the money. (Was drinking, gamble gamble). I cold called that also, some fish had opened massive and a 300$ stack just ripped a 400$ stack rejammed and I had called out of bb knowing fish will call off his 400~. This is actually a leak I have in poker. I will go over it because it has history. Dating back to online my biggest leak was playing vs short stacks. Everyones biggest leak obv (6m setting). There were a few min buyers on Carbon and I got to the point I put them in pre every time they opened my bb from button, so long as they opened 75%+ from button or close to it. This has carried with me live, if I can gamble 3-4 ways (4 specifically) I will basically do it any time its 100bb~ or less with about 40% of hands if I can close action safely. I am a bit of a degenerate in this sense. I will flip for 1k if I have 10k to my name. It mostly came as a way to loosen up tables (the flipping blind preflop) at my local casino with players who give action. I am pretty snug in general but I cant refuse a flip when it presents itself and I cant refuse a fun gamble with short stacks. I spend the month in Vegas during WSOP and run absurdly bad. Lose every big pot I play it seems. Switch to PLO the last half of the month and go a week straight without tripling my buy in up at any point. Just insane. Looking back I play rather poorly in PLO. I have been spoiled with my PLO games back home (which have been dead for about a year) and could get away with playing 50% of hands and no one ever bet big draws or anything not the nuts basically. I didnt adjust at all is what the issue was. Was just a frustrating month. So I return and take a stake from a friend. I barely play still. Same ole same ole. The last thing I will cover for this section is an incident late in 2018. One of the girls who is the floor at my local casino takes kratom also, we talk about it a fair amount. She has some 10mg percocets (mini oxycontins essentially) she gives me two of them. I havent had one in several years. I have been off methadone for 6-8 months at the time. I am eager to feel what I felt all those years ago, having no tolerance. So I take them home even though I know I shouldnt. I get home and take both of them. What transpires is almost depressing. It frustrates me to no end that I realized that I have no desire for these. It affirms that all the money I flushed wasnt about the high, it was about the not withdrawing. I basically stated this in an earlier post but this is the event that I learned this from. I dont even enjoy it. I just sink knowing that I gave my life away for these. I have never recovered thanks to pain killers. Never once after 2011 have I ever looked in the mirror and said “finally, I have finally recovered what I fucked off”. I am going to finish this thread off on the next post most likely. It will likely be long and take me a while to compose as it will cover my current year, and put a bow on it. The story basically climaxes a couple posts back, these surely have slowly lost their luster but I will finish them anyways. Nothing exciting about hearing about a guy who can beat games but wont sit in the chair to do it. Its a bit more upbeat in 2019 though andd I feel my future is bright and redemption nears though. I dont think I would have written these if not for a change of mentality recently, so look forward to a positive summary next post.
The Convoluted Story of Crypto and Coronavirus (Article; Not a piece of investment advice; Not meant to spread FUD)
Hey, all! The sole purpose of this post is to give an outline of the things happening in crypto during the outbreak of Corona. The article is meant to share information and doesn't support any coin and is not meant to instigate FUD in the community. Please comment your thoughts below and it helps us in delivering better content. Thanks in advance.
The Convoluted Story of Crypto and Coronavirus
The recent Coronavirus outbreak in China has brought businesses to a standstill. It cost hundreds of lives and sent shockwaves to the entire world. On the other hand, the cryptocurrency market witnessed huge gains in early February and took a nose-dive in the last week. These series of events does bug everybody if the epidemic is impacting crypto. In this short post, ChangeHero will reveal what is happening to crypto amid this epidemic. https://preview.redd.it/goqdtfslk9k41.jpg?width=1901&format=pjpg&auto=webp&s=dd48e4f3629ec813f1cd3e2d5700470ab1e329e4 The Outbreak According to the World Health Organization Coronovirus disease (COVID-19), was first reported in Wuhan, China on 31 December 2019. A Bloomberg report suggests that there are 82,302 confirmed cases and 2,802 deaths worldwide, but China has been the most affected. In measures to contain the spread, the Chinese government has locked down cities and restricted the free movement of people which made the factories and businesses to shut the doors. The steep in the factory output has taken a toll on the Chinese economy and also threatened the global economy. Industries such as manufacturing, oil and gas, tourism and supply chain suffered the most. In the same vein, crypto is also not immune to this virus. Miners hammered China has a history of crackdowns on cryptocurrencies and exchanges. On the contrary, they are spearheading the blockchain adoption race and working towards digital currency, quickly go through this article for more info about China and cryptocurrencies. Moreover, the top five mining companies — AntPool, BTC.com, BTC.top, F2 Pool and ViaBTC are based in China. These firms control almost 60% of the hash power in the Bitcoin network. Mining farms are the first to be affected by the outbreak and a few representatives of these firms expressed their concerns on Social Media. Many stated that the government has cut off the electricity, supplies and also drove away workers from mining facilities. It reflected in the difficulty of bitcoin mining, a measure which indicates the effort required to solve the math in finding the block. This measure is adjusted once every two weeks and in the last difficulty correction, the measure rose only by 0.52% which is significantly lesser than the previous corrections of 4.67 and 7.08. Mining may soon turn out to be a not so profitable activity, credits to the Bitcoin Halving. Bitcoin will undergo its third halving event somewhere around May and the block reward will be slashed to 6.25 BTC. It leads to tougher and unfavourable economic conditions. To boost their chances of surviving, miners are gearing up with advanced machines. Yet again, China is one of the largest suppliers of the mining equipment. Coronavirus outbreak has also locked up the doors of the factories and the companies have postponed the deliveries. Although there is a significant impact on the crypto mining industry in China, Bitcoin hash rate has seen a negligible change. Community reflex To restrain the spread of the virus, the Chinese government has halted the distribution of Yuan worth almost a Billion Dollars. Meanwhile, the S&P 500 Index and other traditional markets have also recorded their worst performances due to the epidemic. Crypto community was quick to react and hinted that digital currency can fix this. Big names in the crypto sphere like Binance and Tron have also pledged support to the coronavirus victims. Moreover, the epidemic has spread a sense of terror amongst the community and led to the cancellation and postponing of the conferences and public events. Amidst the crisis, CoronaCoin, an ERC-20 token was launched with the ticker NCOV. Though the website states that the token is meant for charity, it’s approach has shocked the crypto community. The cryptocurrency has a total supply equal to the world’s population and the tokens will be burnt every 48 hours, proportionate to the number of casualties. The concept of investors benefitting with the spread of the virus poses serious moral questions on this project. Impact on the crypto Bitcoin kickstarted the new decade with a massive bull run and crossed the ten thousand dollar mark in early February. Many have contributed this to the upcoming halving and some connected it to the coronavirus outbreak. Things didn’t fare well long for crypto and the whole market crashed and lost a whopping 50 Billion Dollars in the last week of February. The epidemic has indeed affected the people and processes behind the crypto industry but it is still unclear if there is a correlation between the coronavirus and the crypto market prices. Nevertheless, the notion of Bitcoin as a safe haven during the crisis still exists but hasn’t been proven yet, at least for now. We hope the crisis will end soon and peace be restored. Until then, all our strength to the effected, families and businesses around. Upvote if you have liked the article and comment to spark a discussion. Follow ChangeHero for more of such articles and updates in crypto. The article was originally published on our Medium profile and reposting it here for more reach. Thanks for understanding.
According to the official BNC public chain, they will be launching synchronous on 19th March globally in nine countries (China, Malaysia, Thailand, Vietnam, Cambodia, Indonesia, Singapore, Philippines and Brunei) and 30 communities. This cause strong attention within the industry, especially attention to value and ecology of Proof-of-Capacity (PoC) from blockchain experts. Website and forum in Europe, America and Southeast Asia have a hot pursuit of BNC, hundreds of media vying for coverage. At the same time, attention of BNC is rising because of Proof-of-Capacity (PoC) technology development have a worldwide boom. https://preview.redd.it/jcseqh15cem41.png?width=559&format=png&auto=webp&s=cef25e0877980f50d7c565eff679c502be62b163 Easy to say, nature of PoC is mining through hard disk, PoW is mining through CPU (or graphics cards, ASIC, these are stronger computing chips, PoS is mining through the proportion of cryptocurrency holdings, while DPoS is voting to decide super node. https://preview.redd.it/c2kwytw8cem41.png?width=600&format=png&auto=webp&s=169a41f4c4577049ea799b61a14827b2f29fc715 Our main character today PoC has something in common with Bitcoin PoW, but there are some substantive differences. As we know, Bitcoin PoW requires miners to perform hash calculations continuously and repeatedly. miners need to run their computing chips with high intensity and consume extremely high power resources. BNC will change the pyramid situation that BTC facing at present: The high monopoly of the big mining farm caused the increasing centralization of mines leading to monopolization of large households and national policy pressures. Large electricity consumption and noise and heat from mining machines do not meet environmental restrictions in more than 159 countries so the whole mining was ruled by the elite. As a result, ordinary users can't participate in BTC's decision-making at all. BNC's ultimate dream is to focus on the pain of the existing market, achieve low threshold entry mining for everyone! Everyone mining! https://preview.redd.it/r3rl26vbcem41.png?width=436&format=png&auto=webp&s=1c3d1377febf5993b1158c24a8f5a0c961f15d4a Computing power cost is also one of the important indexes of mining revenue. Computing power cost include competition for performance and equipment, mining machine's computing power determined the day's mining earnings. Quality of PoW machine depends on computing power, but the higher the power, the higher the price. The impact of a mining machine worth tens of thousands on the return cycle is also significant. The greater the computing power, the greater the energy consumption. Electricity consumption of mining is staggering, so mining farm have to relocate to low electricity fees area, but a lot of power is wasted. By comparison, power consumption of BNC hard disk is lower, energy consumption is the same as running a computer. https://preview.redd.it/psbezjjecem41.png?width=640&format=png&auto=webp&s=95c88aa9241d184a46fd1a3525bdf2183137614e After the industry goes through the bull bear cycle, heat and cold alternate reshuffle period, PoC hard disk mining direction effect will become more and more obvious. Failure to focus on compliance, lack of quality asset-selection capabilities, lack of technology build-up and business innovation capabilities will be difficult to survive. BNC cling to the front of the times, each time the layout is only for better brilliance. At a time when the mature Internet is combined with blockchain, BNC will create a new wave of wealth, bring more investors to believe that everyone can mining, every investor in cryptocurrency is back at the top of wealth. BNC strive to build PoC hard disk mining, creating unparalleled wealth myths. https://preview.redd.it/f8s7yuogcem41.png?width=531&format=png&auto=webp&s=92785eb07805d4b9f3970f8303eaae81943e7f6a BNC knows that innovation can drive development and create new brilliance. BNC lets you experience the explosion of POC hard disk mining mode! If you have a dream, come to BNC to make your digital assets truly valuable!
Bitcoin is slow because the block size was left at 1MB - 2MB with Witness Data on the SEGWIT network - after throwing the entire "team" developer of GitHub and being occupied by developers of what is now known as Blockstream. This size has been maintained and keeps referring to two issues: Mining in China and the decentralization of the nodes or transaction validators that you point out in the article. Mining in China occupies a good part of the pie that miners distribute - in turn these are the ones that confirm the transactions and undermine the blocks - since 2011 and these Chinese farms are behind something that in the West call "The Great Firewall "that prevents a stable connection and slows down the propagation of the block, its mining and confirmation of the transaction over 3 minutes   causing a large part of the mining coming from China and therefore the power of 'Hash' decreased drastically affecting the security of Bitcoin; The less Hash the greater the possibility of being attacked by the Bitcoin network through a 51% attack that could cause double spending - although this gives rise to many debates since the 51% attack on an already "mature" network like Bitcoin requires a Considerable expenditure on mining equipment to control 51% of the mining power and receiving the block reward and the commissions for confirmed transfer on each block would make it less likely that said miner or mining group would like to make a double expense upon receiving sufficient economic compensation. So only a malicious agent with the intentions of destroying the network and assuming the total losses on the investment of equipment would be willing to carry out such operation. Possibilities exist but these are reduced by being the miner compensated for their activity. In the same references to Chinese mining farms but in another more economical field; Bitcoin has 21 million that are obtained through mining and commissions on transfers. These 21 million are achieved over time and from there it becomes a deflationary element as there is no possibility of printing more coins. The question of the Bitcoin block costly and the influence of Chinese mining goes through the Bitcoin subsidy or, currently called as, block reward: When a miner puts a block in the chain he receives the Bitcoin reward that is "inside" "of that block and which is currently encrypted in 12.5. Every 210000 blocks the reward is reduced by half so in less than a year (312 days from today ) it will be reduced to 6.25 so the miners will see their subsidy fall in half unless Bitcoin's price per coin increases considerably or the mining farms begin to close or reduce mining equipment thus decreasing the power of the network's Hash. If Bitcoin reduces by half every 210000 blocks the subsidy per block to miners will come a time when they can only live and maintain their equipment for transaction fees and in a Bitcoin network with 7 transactions per second and a commission that tends to Increase the higher the number of movements in it makes it unfeasible for miners to continue in said 1MB network and above all that people want to use this payment method that is expensive and slow - more even than gold paper - Because remember that Bitcoin born as Peer 2 peer cash, not gold-. Therefore, if in time the subsidy or reward is going to be 0 or unable to cover the mining equipment expense, it is necessary to find a solution if the developers do not want to touch the block size. And this goes through three issues already raised in BIPs and about the community: RPF (Replace By Fee), Lightning Network and Increase in the number of Bitcoin since the demand for Bitcoin does not rise because it offers a quality service but for security and above all for the manipulation of Tether (USDT) and the large exchange houses: - The RBF consists in the substitution of a transaction without confirmations for another that would replace it with a higher commission eliminating the previous one of the mempool - the limbo of the transactions to be confirmed in Bitcoin -. Although this system seems effective, it does not eliminate the long-term problem of continuing to maintain the reduced block, but rather removes the problem of financing miners, but does not eliminate it and, above all, kills the operation of Bitcoin transactions by not eliminating the increase in commissions that would distance the user from its use. In addition to more easily allowing double spending  . - Lightning Network is a side-chain or second layer, that is, a software development not implemented in the Bitcoin network itself and therefore is not an element of the block chain so this should already be repudiated since being a External and non-auditable element such as Bitcoin gives rise to "blanks" and therefore lack of existence and possibility of auditing accounts  and even the loss of money or cancellation of the transaction  . It also faces the problem of routing since in a network in constant change with the openings and closures of payment channels it is unfeasible to establish a total and rapid diffusion to the nodes of LN - other than those of Bitcoin - so it comes into play Another new element of this network is the watchtowers in charge of ensuring compliance in open channels and over the entire LN network of payments. Obviously it requires an additional cost to hire this service and it is not yet implemented  and taking into account the pace at which Lightning Network is developed, it is doubtful that it will become available . In short, to use properly - which is not successful - LN you need a node valued at $ 300 , a watchtower, have a channel open 24/7 and with sufficient funds to carry out transactions    . - The increase in the Bitcoin offer was raised fleetingly by developer Peter Todd   and will become an open debate in a few years when the mining block reward is low and the price of Bitcoin cannot be sustained only with uncontrolled printing of Tether and the manipulation on the price of the currency   next to the collusion of the exchange houses headed by BitFinex  and personalities of the world 'crypto'  - if he survives long enough to see that moment since they are already behind Bitfinex for money laundering . When that moment arrives I am sure that a BIP - Bitcoin Improvement Proposal - will be launched by Blockstream or directly notified of the measure destroying the essence of Bitcoin and the TRUE DECENTRALIZATION: THE PROTOCOL. This brings us to the second reason for the slowness of Bitcoin. The correct and true decentralization goes through the code and the team of developers and maintainers, not any other. The protocol must be engraved in stone  and that the action of the miners distribute and decentralize the network and they maintain the nodes and the transactions in a completely capitalist economic relationship. Investing in machines and communication improves access, speed and spread of transactions and blocks and makes miners true competitors as well as facilitating the transmission of money and all kinds of transactions . The decentralization of the nodes was the other great reason to prevent the increase of the block and therefore the speed in the transaction. It is based on a false premise to base the decentralization of Bitcoin - which is nowhere on the whitepaper - on the raspberry nodes. The dispersion of the transaction and all the stages of the transaction and the blocks depend on the miner and his team, as well as the search for excellence in communications to avoid orphan blocks - which are stipulated in the Nakamoto consensus and are part of Bitcoin and not they throw no problem in the transactions only in the resolution of the reward of the block that affects the miners and should seek greater efficiency - and reorganizations. The audit on the Bitcoin network can be perfectly performed without there being a Bitcoin node in each house, in fact it would cause the same routing problems that occur / will occur in the LN network. Decentralization should not go through nodes but through developers and to a lesser extent by miners. If a protocol is continually being altered by developers they have the power of the network and it must be in constant struggle by the miners through the commission on transactions. Due to these two factors, the BIP0101 proposed by the developers that Satoshi left in charge  and that originated the creation of Bitcoin Unlimited was rejected, later it was attacked due to its recent creation through DDoS attacks in a statement of intentions of the network Blockstream bitcoin   remaining as a residual element. These two reasons are the cause of the drowning suffered by the Bitcoin network - including many other elements that were eliminated and that corresponded to the initial code completely changing the nature and destiny of Bitcoin that are not relevant and I will not enumerate -, Any other reason is propaganda by those who want to keep Bitcoin drowned in order to enrich themselves with mining sub-subsidies and second-layer software like LN. Bitcoin has a structure similar to gold and can collect certain attributes of it but its destination in efficient and fast transmission as effective - among other transactions. Bitcoin was designed to professionalize miners and create a new industry around them, so mining centers will become datacenters  and they will replicate all transaction logs and even this professionalization will eventually lead to specialization in other types of transactions born new industries around you that will support the nodes according to specialization - Data, asset transfers, money, property rights, etc ... - Bitcoin scales to infinity if they leave the protocol FREE enough to do so. P.D: Core, since the departure of Hearn and Andersen, they know perfectly well what they are doing: The worst breed from the Cyberpunk movement has been combined with the worst breed of the current synarchy; The ends always touch.  https://np.reddit.com/btc/comments/3ygo96/blocksize_consensus_census/cye0bmt/  https://www.youtube.com/watch?v=ivgxcEOyWNs&feature=youtu.be&t=2h36m20s  https://www.bitcoinblockhalf.com/  https://petertodd.org/2016/are-wallets-ready-for-rbf  https://www.ccn.com/bitcoin-atm-double-spenders-police-need-help-identifying-four-criminals/  https://bitcointalk.org/index.php?topic=4905430.0 https://www.trustnodes.com/2018/03/26/lightning-network-user-loses-funds || https://www.trustnodes.com/2019/03/13/lightning-network-has-many-routing-problems-says-lead-dev-at-lightning-labs  https://diar.co/volume-2-issue-25/  https://blockonomi.com/watchtowers-bitcoin-lightning-network/  https://twitter.com/starkness/status/676599570898419712  https://store.casa/lightning-node/  https://bitcoin.stackexchange.com/questions/81906/to-create-a-channel-on-the-lightning-network-do-you-have-to-execute-an-actual-t  https://blog.muun.com/the-inbound-capacity-problem-in-the-lightning-network/  https://medium.com/@octskyward/the-capacity-cliff-586d1bf7715e  https://dashnews.org/peter-todd-argues-for-bitcoin-inflation-to-support-security/  https://twitter.com/peterktodd/status/1092260891788103680  https://medium.com/datadriveninvestotether-usd-is-used-to-manipulate-bitcoin-prices-94714e65ee31  https://twitter.com/CryptoJetHammestatus/1149131155469455364  https://www.bitrates.com/news/p/crypto-collusion-the-web-of-secrets-at-the-core-of-the-crypto-market  https://archive.is/lk1lH  https://iapps.courts.state.ny.us/nyscef/ViewDocument?docIndex=8W00ssb7x5ZOaj8HKFdbfQ==  https://bitcointalk.org/index.php?topic=195.msg1611#msg1611  https://github.com/bitcoin/bips/blob/mastebip-0101.mediawiki  https://www.reddit.com/bitcoinxt/comments/3yewit/psa_if_youre_running_an_xt_node_in_stealth_mode/  https://www.reddit.com/btc/comments/3yebzi/coinbase_down/ https://bitcointalk.org/index.php?topic=532.msg6306#msg6306"
Mining for Profitability - Horizen (formerly ZenCash) Thanks Early GPU Miners
Thank you for inviting Horizen to the GPU mining AMA! ZEN had a great run of GPU mining that lasted well over a year, and brought lots of value to the early Zclassic miners. It is mined using Equihash protocol, and there have been ASIC miners available for the algorithm since about June of 2018. GPU mining is not really profitable for Horizen at this point in time. We’ve got a lot of miners in the Horizen community, and many GPU miners also buy ASIC miners. Happy to talk about algorithm changes, security, and any other aspect of mining in the questions below. There are also links to the Horizen website, blog post, etc. below. So, if I’m not here to ask you to mine, hold, and love ZEN, what can I offer? Notes on some of the lessons I’ve learned about maximizing mining profitability. An update on Horizen - there is life after moving on from GPU mining. As well as answering your questions during the next 7 days. _____________________________________________________________________________________________________
Mining for Profitability - Horizen (formerly ZenCash) Thanks Early GPU Miners
Author: Rolf Versluis - co-founder of Horizen
In GPU mining, just like in many of the activities involved with Bitcoin and cryptocurrencies, there is both a cycle and a progression. The Bitcoin price cycle is fairly steady, and by creating a personal handbook of actions to take during the cycle, GPU miners can maximize their profitability. Maximizing profitability isn't the only aspect of GPU mining that is important, of course, but it is helpful to be able to invest in new hardware, and be able to have enough time to spend on building and maintaining the GPU miners. If it was a constant process that also involved losing money, then it wouldn't be as much fun.
For a given mining algorithm, there is definitely a technology progression. We can look back on the technology that was used to mine Bitcoin and see how it first started off as Central Processing Unit (CPU) mining, then it moved to Graphical Processing Unit (GPU) mining, then Field Programmable Gate Array (FPGA), and then Application Specific Integrated Circuit (ASIC). Throughout this evolution we have witnessed a variety of unsavory business practices that unfortunately still happen on occasion, like ASIC Miner manufacturers taking pre-orders 6 months in advance, GPU manufacturers creating commercial cards for large farms that are difficult for retail customers to secure and ASIC Miner manufacturers mining on gear for months before making it available for sale. When a new crypto-currency is created, in many cases a new mining algorithm is created also. This is important, because if an existing algorithm was used, the coin would be open to a 51% attack from day one, and may not even be able to build a valid blockchain. Because there's such a focus on profitable software, developers for GPU mining applications are usually able to write a mining application fairly rapidly, then iterate it to the limit of current GPU technology. If it looks like a promising new cryptocurrency, FPGA stream developers and ASIC Hardware Developers start working on their designs at the same time. The people who create the hashing algorithms run by the miners are usually not very familiar with the design capabilities of Hardware manufacturers. Building application-specific semiconductors is an industry that's almost 60 years old now, and FPGA’s have been around for almost 35 years. This is an industry that has very experienced engineers using advanced design and modeling tools. Promising cryptocurrencies are usually ones that are deploying new technology, or going after a big market, and who have at least a team of talented software developers. In the best case, the project has a full-stack business team involving development, project management, systems administration, marketing, sales, and leadership. This is the type of project that attracts early investment from the market, which will drive the price of the coin up significantly in the first year. For any cryptocurrency that's a worthwhile investment of time, money, and electricity for the hashing, there will be a ASIC miners developed for it. Instead of fighting this technology progression, GPU miners may be better off recognizing it as inevitable, and taking advantage of the cryptocurrency cycle to maximize GPU mining profitability instead.
Cryptocurrency Price Cycle
For quality crypto projects, in addition to the one-way technology progression of CPU -> GPU -> FPGA -> ASIC, there is an upward price progression. More importantly, there is a cryptocurrency price cycle that oscillates around an overall upgrade price progression. Plotted against time, a cycle with an upward progressions looks like a sine wave with an ever increasing average value, which is what we see so far with the Bitcoin price. Cryptocurrency price cycle and progression for miners This means mining promising new cryptocurrencies with GPU miners, holding them as the price rises, and being ready to sell a significant portion in the first year. Just about every cryptocurrency is going to have a sharp price rise at some point, whether through institutional investor interest or by being the target of a pump-and-dump operation. It’s especially likely in the first year, while the supply is low and there is not much trading volume or liquidity on exchanges. Miners need to operate in the world of government money, as well as cryptocurrency. The people who run mining businesses at some point have to start selling their mining proceeds to pay the bills, and to buy new equipment as the existing equipment becomes obsolete. Working to maximize profitability means more than just mining new cryptocurrencies, it also means learning when to sell and how to manage money.
Managing Cash for Miners
The worst thing that can happen to a business is to run out of cash. When that happens, the business usually shuts down and goes into bankruptcy. Sometimes an investor comes in and picks up the pieces, but at the point the former owners become employees. There are two sides to managing cash - one is earning it, the other is spending it, and the cryptocurrency price cycle can tell the GPU miner when it is the best time to do certain things. A market top and bottom is easy to recognize in hindsight, and harder to see when in the middle of it. Even if a miner is able to recognize the tops and bottoms, it is difficult to act when there is so much hype and positivity at the top of the cycle, and so much gloom and doom at the bottom. A decent rule of thumb for the last few cycles appears to be that at the top and bottom of the cycle BTC is 10x as expensive compared to USD as the last cycle. Newer crypto projects tend to have bigger price swings than Bitcoin, and during the rising of the pricing cycle there is the possibility that an altcoin will have a rise to 100x its starting price. Taking profits from selling altcoins during the rise is important, but so is maintaining a reserve. In order to catch a 100x move, it may be worth the risk to put some of the altcoin on an exchange and set a very high limit order. For the larger cryptocurrencies like Bitcoin it is important to set trailing sell stops on the way up, and to not buy back in for at least a month if a sell stop gets triggered. Being able to read price charts, see support and resistance areas for price, and knowing how to set sell orders are an important part of mining profitability.
Actions to Take During the Cycle
As the cycle starts to rise from the bottom, this is a good time to buy mining hardware - it will be inexpensive. Also to mine and buy altcoins, which are usually the first to see a price rise, and will have larger price increases than Bitcoin. On the rise of the cycle, this is a good time to see which altcoins are doing well from a project fundamentals standpoint, and which ones look like they are undergoing accumulation from investors. Halfway through the rise of the cycle is the time to start selling altcoins for the larger project cryptos like Bitcoin. Miners will miss some of the profit at the top of the cycle, but will not run out of cash by doing this. This is also the time to stop buying mining hardware. Don’t worry, you’ll be able to pick up that same hardware used for a fraction of the price at the next bottom. As the price nears the top of the cycle, sell enough Bitcoin and other cryptocurrencies to meet the following projected costs:
Mining electricity costs for the next 12 months
Planned investment into new miners for the next cycle
Additional funds needed for things like supporting a family or buying a Lambo
Taxes on all the capital gains from the sale of cryptocurrencies
It may be worth selling 70-90% of crypto holdings, maintaining a reserve in case there is second upward move caused by government bankruptcies. But selling a large part of the crypto is helpful to maintaining profitability and having enough cash reserves to make it through the bottom part of the next cycle. As the cycle has peaked and starts to decline, this is a good time to start investing in mining facilities and other infrastructure, brush up on trading skills, count your winnings, and take some vacation. At the bottom of the cycle, it is time to start buying both used and new mining equipment. The bottom can be hard to recognize. If you can continue to mine all the way through bottom part of the cryptocurrency pricing cycle, paying with the funds sold near the top, you will have a profitable and enjoyable cryptocurrency mining business. Any cryptocurrency you are able to hold onto will benefit from the price progression in the next higher cycle phase.
An Update on Horizen - formerly ZenCash
The team at Horizen recognizes the important part that GPU miners played in the early success of Zclassic and ZenCash, and there is always a welcoming attitude to any of ZEN miners, past and present. About 1 year after ZenCash launched, ASIC miners became available for the Equihash algorithm. Looking at a chart of mining difficulty over time shows when it was time for GPU miners to move to mining other cryptocurrencies. Horizen Historical Block Difficulty Graph Looking at the hashrate chart, it is straightforward to see that ASIC miners were deployed starting June 2018. It appears that there was a jump in mining hashrate in October of 2017. This may have been larger GPU farms switching over to mine Horizen, FPGA’s on the network, or early version of Equihash ASIC miners that were kept private. The team understands the importance of the cryptocurrency price cycle as it affects the funds from the Horizen treasury and the investments that can be made. 20% of each block mined is sent to the Horizen non-profit foundation for use to improve the project. Just like miners have to manage money, the team has to decide whether to spend funds when the price is high or convert it to another form in preparation for the bottom part of the cycle. During the rise and upper part of the last price cycle Horizen was working hard to maximize the value of the project through many different ways, including spending on research and development, project management, marketing, business development with exchanges and merchants, and working to create adoption in all the countries of the world. During the lower half of the cycle Horizen has reduced the team to the essentials, and worked to build a base of users, relationships with investors, exchanges, and merchants, and continue to develop the higher priority software projects. Lower priority software development, going to trade shows, and paying for business partnerships like exchanges and applications have all been completely stopped. Miners are still a very important part of the Horizen ecosystem, earning 60% of the block reward. 20% goes to node operators, with 20% to the foundation. In the summer of 2018 the consensus algorithm was modified slightly to make it much more difficult for any group of miners to perform a 51% attack on Horizen. This has so far proven effective. The team is strong, we provide monthly updates on a YouTube live stream on the first Wednesday of each month where all questions asked during the stream are addressed, and our marketing team works to develop awareness of Horizen worldwide. New wallet software was released recently, and it is the foundation application for people to use and manage their ZEN going forward. Horizen is a Proof of Work cryptocurrency, and there is no plan to change that by the current development team. If there is a security or centralization concern, there may be change to the algorithm, but that appears unlikely at this time, as the hidden chain mining penalty looks like it is effective in stopping 51% attacks. During 2019 and 2020 the Horizen team plans to release many new software updates:
Sidechains modification to main software
Sidechain Software Development Kit
Governance and Treasury application running on a sidechain
Node tracking and payments running on a sidechain
Conversion from blockchain to a Proof of Work BlockDAG using Equihash mining algorithm
Rolf Versluis is Co-Founder and Executive Advisor of the privacy oriented cryptocurrency Horizen. He also operates multiple private cryptocurrency mining facilities with hundreds of operational systems, and has a blog and YouTube channel on crypto mining called Block Operations. Rolf applies his engineering background as well as management and leadership experience from running a 60 person IT company in Atlanta and as a US Navy nuclear submarine officer operating out of Hawaii to help grow and improve the businesses in which he is involved. _____________________________________________________________________________________________ Thank you again for the Ask Me Anything - please do. I'll be checking the post and answering questions actively from 28 Feb to 6 Mar 2019 - Rolf
First, let’s look at some of the issues facing Proof-of-Work (PoW) consensus that led to the development of PoS.
Excessive energy consumption — In 2017, many concerns were raised over the amount of electricity used by the bitcoin network (Largest PoW blockchain). Since then the energy consumption has increased by over 400%, to the point where 1 single transaction on this network has the same carbon footprint of 736,722 Visa transactions or consumes the same amount of electricity as over 20 U.S. households.
Varying Electricity Costs — The profit of any miner on the network is tied to two costs, the initial startup cost to obtain the hardware and infrastructure, and more critically, the running cost of said equipment in relation to electricity usage. Electricity costs can vary from fractions of a cent per kWh to over 50 cents (USD) and in some cases it is free. When a user may only be earning $0.40 USD per hour then this will clearly rule out certain demographics based purely on electricity costs, reducing the potential for complete decentralization.
Reduced decentralization — Due to the high cost of the mining equipment, those with large financial bases setup mining farms, either for others to rent out individual miners or entirely for personal gains. This results in large demographic hotspots on the network reducing the decentralized aspect to a point where it no longer accomplishes this aspect.
Conflicted interests — The requirements of running miners on the network are purely based on having possession of the hardware, electricity and internet connection. There are no limits to the amount a miner can earn, nor do they need to hold any stake in the network, and thus there is very little incentive for them to vote on upgrades that may benefit the network but reduce their rewards.
I want to take this moment to mention a potential benefit to PoW that I have not seen anyone mention previously. It is a very loose argument so don’t take this to heart too strongly. Consistent Fiat Injection — The majority of miners will be paying for their electricity in fiat currency. At a conservative rate of $0.1 USD per kWh, the network currently uses 73.12 TWh per year. This equates to an average daily cost of over $20 million USD. This means every day around $20 million of fiat currency is effectively being injected into the bitcoin network. Although this concept is somewhat flawed in the sense that the same amount of bitcoin will be released each day regardless of how much is spent on electricity, I’m looking at this from the eyes of the miners, they are reducing their fiat bags and increasing their bitcoin bags. This change of bags is the essence of this point which will inevitably encourage crypto spending. If the bitcoin bags were increased but fiat bags did not decrease, then there would be less incentive to spend the bitcoin, as would see in a staking ecosystem. https://preview.redd.it/8dtqt6e204c41.png?width=631&format=png&auto=webp&s=065aedde87b55f0768968307e59e62a35eac949d
Different approaches have been taken to tackle different issues the PoS protocol faces. Will Little has an excellent article explaining this and more in PoS, but let me take an excerpt from his piece to go through them:
Coin-age selection — Blockchains like Peercoin (the first PoS chain), start out with PoW to distribute the coins, use coin age to help prevent monopolization and 51% attacks (by setting a time range when the probability of being selected as a node is greatest), and implement checkpoints initially to prevent NoS problems.
Randomized block selection — Chains like NXT and Blackcoin also use checkpoints, but believe that coin-age discourages staking. After an initial distribution period (either via PoW or otherwise), these chains use algorithms to randomly select nodes that can create blocks.
Ethereum’s Casper protocol(s) — Being already widely distributed, Ethereum doesn’t have to worry about the initial distribution problem when/if it switches to PoS. Casper takes a more Byzantine Fault Tolerant (BFT) approach and will punish nodes by taking away (“slashing”) their stake if they do devious things. In addition, consensus is formed by a multi-round process where every randomly assigned node votes for a specific block during a round.
Delegated Proof-of-Stake (DPoS) — Invented by Dan Larimer and first used in Bitshares (and then in [aelf,] Steem, EOS, and many others), DPoS tackles potential PoS problems by having the community “elect” delegates that will run nodes to create and validate blocks. Bad behavior is then punished by the community simply out-voting the delegated nodes.
Delegated Byzantine Fault Tolerance (DBFT) — Similar to DPoS, the NEO community votes for (delegates) nodes, but instead of each node producing blocks and agreeing on consensus, only 2 out of 3 nodes need to agree on what goes in every block (acting more like bookkeepers than validators).
Masternodes — First introduced by DASH, a masternode PoS system requires nodes to stake a minimum threshold of coins in order to qualify as a node. Often this comes with requirements to provide “service” to a network in the form of governance, special payment protocols, etc…
Proof of Importance (POI) — NEM takes a slightly different approach by granting an “importance calculation” to masternodes staking at least 10,000 XEM. This POI system then rewards active nodes that act in a positive way over time to impact the community.
In order to understand how one can earn money from these networks, I’ll break them down into 3 categories: Simple staking, Running nodes, and Voting. Simple Staking - This is the simplest of the 3 methods and requires almost no action by the user. Certain networks will reward users by simply holding tokens in a specified wallet. These rewards are generally minimal but are the easiest way to earn. Running a node - This method provides the greatest rewards but also requires the greatest action by the user and most likely will require ongoing maintenance. Generally speaking, networks will require nodes to stake a certain amount of tokens often amounting to thousands of dollars. In DPoS systems, these nodes must be voted in by other users on the network and must continue to provide confidence to their supporters. Some companies will setup nodes and allow users to participate by contributing to the minimum staking amount, with a similar concept to PoW mining pools. Voting - This mechanism works hand in hand with running nodes in relation to DPoS networks. Users are encouraged to vote for their preferred nodes by staking tokens as votes. Each vote will unlock a small amount of rewards for each voter, the nodes are normally the ones to provide these rewards as a portion of their own reward for running a node.
Aelf’s DPoS system
The aelf consensus protocol utilizes a form of DPoS. There are two versions of nodes on the network, active nodes & backup nodes (official names yet to be announced). Active nodes run the network and produce the blocks, while the backup nodes complete minor tasks and are on standby should any active nodes go offline or act maliciously. These nodes are selected based upon their number of votes received. Initially the top 17 nodes will be selected as active nodes, while the next 100 will stand as the backup ones, each voting period each node may change position should they receive more or less votes than the previous period. In order to be considered as a node, one must stake a minimum amount of ELF tokens (yet to be announced). https://preview.redd.it/47d3wqe604c41.png?width=618&format=png&auto=webp&s=062a6aa6186b826d400a0015d4c91fd1a4ed0b65 In order to participate as a voter, there is no minimum amount of tokens to be staked. When one stakes, their tokens will be locked for a designated amount of time, selected by the voter from the preset periods. If users pull their tokens out before this locked period has expired no rewards are received, but if they leave them locked for the entire time frame they will receive the set reward, and the tokens will be automatically rolled over into the next locked period. As a result, should a voter decide, once their votes are cast, they can continue to receive rewards without any further action needed. Many projects have tackled with node rewards in order to make them fair, well incentivized but sustainable for everyone involved. Aelf has come up with a reward structure based on multiple variables with a basic income guaranteed for every node. Variables may include the number of re-elections, number of votes received, or other elements. As the system matures, the number of active nodes will be increased, resulting in a more diverse and secure network. Staking as a solution is a win-win-win for network creators, users and investors. It is a much more resource efficient and scalable protocol to secure blockchain networks while reducing the entry point for users to earn from the system.
I literally have tens of thousands of dollars in top-shelf hardware, looking to repurpose some before selling on eBay to build a NAS system, possibly a dedicated firewall device as well. o_O
Q1) What will you be doing with this PC? Be as specific as possible, and include specific games or programs you will be using.** A1) This will be a dedicated NAS system for my home network. As such, I'm looking to have it: - Host ##TB's of 720, 1080 & up resolution Movies and TV Shows I'm about to begin ripping from a MASSIVE DVD & Blueray collection I have. - My kids are big on Minecraft. I understand it's possible to host your own "worlds" (or whatever they call the maps you can build) on your own "server". I think it would be pretty neat to offer them (& their friends - if can be done 'safely/securely') their own partition on one of my NAS HDD's. - I also have accounts with a couple diff VPN companies... I understand it's possible (?) to sync said VPN's with a NAS, this might be a more relative topic on the next point/purpose... - I'd like to be able to remotely link to this NAS for when I travel overseas and want to stream at my temp location from my house/this NAS. ______________________ Q2) What is your maximum budget before rebates/shipping/taxes?** * A2) Here's where I make matters more complicated than most others would... I've been an advocate for Bitcoin and crypto-currencies in general since 2013. I invested in a small mining outfit back in 2014 (strictly Bitcoin/ASIC's). One of my buddies is the President of a large-scale mining operation (foreign and domestic) and he convinced me to dabble in the GPU mining-space. I made my first hardware purchase in Q4, 2017 and launched a small-scale GPU-Farm in my house since then. I had the rigs mining up until Q3 of 2018 (not cost-efficient to keep on, especially living in SoFlo) and since then, the hardware's been collecting dust (& pissing off my family members since they lost access to 3X rooms in the house - I won't let anyone go near my gear). One of my New Years Resolutions for 2019 was to clear out the house of all my mining equipment so that's all about to go up on eBay. So "budget" is relative to whatever I "MUST" spend if I can't repurpose any of the parts I already have on hand for this build... (Anyone having something I "need" and is looking to barter for one of the items I'll list later on in here, LMK). ______________________ Q3) When do you plan on building/buying the PC? Note: beyond a week or two from today means any build you receive will be out of date when you want to buy.** A3) IMMEDIATELY! :) ______________________ Q4) What, exactly, do you need included in the budget? (ToweOS/monitokeyboard/mouse/etc\)** A4) Well I had a half-assed idea approximately 1 year ago that it might be wise to build a bunch of 'gaming rigs' to sell on eBay with my intended repurposed mining hardware so I went on a shopping spree for like 6 months. That said; I've got a plethora of various other components that aren't even unboxed yet. 90% of the items I've purchased for this additional project were items that were marked down via MIR (mail-in-rebates) & what-not...
AFAIK, there are only 3X items I absolutely do not have which I 'MUST' find. Those would be - 1) Motherboard which accepts "ECC RAM". 2) CPU for said MOBO. 3) Said "ECC RAM".\*
______________________ Q5) Which country (and state/province) will you be purchasing the parts in? If you're in US, do you have access to a Microcenter location?** A5) I'm located in Southwest Florida. No Microcenter's here. Best Buy is pretty much my only option although I am a member of Newegg, Amazon & Costco if that makes any difference? ______________________ Q6) If reusing any parts (including monitor(s)/keyboard/mouse/etc), what parts will you be reusing? Brands and models are appreciated.** A6) In an attempt to better clean up this Q&A, I'm going to list the items I have on-hand at the end of this questionnaire in-case passers-by feel like this might be a TLDR.* (Scroll to the bottom & you'll see what I mean). ______________________ Q7) Will you be overclocking? If yes, are you interested in overclocking right away, or down the line? CPU and/or GPU?** A7) I don't think that's necessary for my intended purpose although - I'm not against it if that helps & FWIW, I'm pretty skilled @ this task already (it's not rocket science). ______________________ Q8) Are there any specific features or items you want/need in the build? (ex: SSD, large amount of storage or a RAID setup, CUDA or OpenCL support, etc)** A8) As stated in A4; ECC RAM is non-negotiable... RAID seems like a logical application here as well. - This will predominantly be receiving commands from MacOS computers. I don't think that matters really but figured it couldn't hurt to let you guys know.\* - I'd also be quite fond of implementing "PFSENSE" (or something of that caliber) applied to this system so I could give my Netgear Nighthawks less stress in that arena, plus my limited understanding of PFSENSE is that it's ability to act as a firewall runs circles around anything that comes with consumer-grade Wi-Fi routers (like my Nighthawks). Just the same, I'm open to building a second rig just for the firewall.\* - Another desirable feature would be that it draws as little electricity from the wall as possible. (I'm EXTREMELY skilled in this arena. I have "Kill-A-Watts" to test/gauge on, as well as an intimate understanding of the differences between Silver, Gold, Platinum and Titanium rated PSU's. As well as having already measured each of the PSU's I have on-hand and taken note of the 'target TDP draw' ("Peak Power Efficiency Draw") each one offers when primed with X amount of GPU's when I used them for their original purpose.\* - Last, but not least, sound (as in noise created from the rig). I'd like to prop this device up on my entertainment center in the living room. I've (almost) all of the top-shelf consumer grade products one could dream of regarding fans and other thermal-related artifacts. - Almost forgot; this will be hosting to devices on the KODI platform (unless you guys have better alternative suggestions?) ______________________ Q9) Do you have any specific case preferences (Size like ITX/microATX/mid-towefull-tower, styles, colors, window or not, LED lighting, etc), or a particular color theme preference for the components?** A9) Definitely! Desired theme would be WHITE. If that doesn't work for whatever reason, black or gray would suffice. Regarding "Case Size". Nah, that's not too important although I don't foresee a mini-ITX build making sense if I'm going to be cramming double digit amounts of TB in the system, Internal HDD's sounds better than a bunch of externals plugged in all the USB ports. ______________________ Q10) Do you need a copy of Windows included in the budget? If you do need one included, do you have a preference?** A10) I don't know. If I do need a copy of Windows, I don't have one so that's something I'll have to consider I guess. I doubt that's a necessity though. ______________________ ______________________ ______________________ **Extra info or particulars:*\* AND NOW TO THE FUN-STUFF... Here's a list of everything (PARTS PARTS PARTS) I have on-hand and ready to deploy into the wild &/or negotiate a trade/barter with: CASES - Corsair Carbide Series Air 540 Arctic White (Model# Crypto-Currency-9011048-WW) - (Probably my top pick for this build). Cooler Master HAF XB EVO (This is probably my top 1st or 2nd pick for this build, the thing is a monster!). Cooler Master Elite 130 - Mini ITX - Black Cooler Master MasterBox 5 MID-Tower - Black & White Raidmax Sigma-TWS - ATX - White MasterBox Lite 5 - ATX - Black w/ diff. Colored accent attachments (included with purchase) NZXT S340 Elite Matte White Steel/Tempered Glass Edition EVGA DG-76 Alpine White - Mid Tower w/ window EVGA DG-73 Black - Mid Tower w/ window (I have like 3 of these) ______________________ CPU's - ***7TH GEN OR BELOW INTEL's ("Code Name Class mentioned next to each one)**\* Pentium G4400 (Skylake @54W TDP) - Intel ARK states is "ECC CAPABLE" Celeron G3930 (Kaby Lake @ 51W TDP) - Intel ARK states is "ECC CAPABLE" :) i5 6402P (Skylake @65W TDP) - Intel ARK states is "NOT ECC CAPABLE" :( i5 6600k (Skylake @ 91W TDP) - Intel ARK states is "NOT ECC CAPABLE" :( i7 6700 (Skylake @ 65W TDP) - Intel ARK states is "NOT ECC CAPABLE" :( i7 7700k (Kaby Lake @ 95W TDP) - Intel ARK states is "NOT ECC CAPABLE" :( ***8TH GEN INTEL's **\* i3-8350K (Coffee Lake @91W TDP) - Intel ARK states is "ECC FRIENDLY" :) I5-8600K (Coffee Lake @95W TDP) - Intel ARK states is "NOT ECC CAPABLE" :( ***AMD RYZEN's **\* Ryzen 3 2200G Ryzen 5 1600 Ryzen 7 1700X ______________________ MOTHERBOARDS - ***7TH GEN AND BELOW INTEL BASED MOBO'S - **\* MSI Z170A-SLI ASUS PRIME Z270-A ASUS PRIME Z270-P ASUS PRIME Z270-K EVGA Z270 Stinger GIGABYTE GA-Z270XP-SLI MSI B150M ARCTIC MSI B250M MICRO ATX (PRO OPT. BOOST EDITION) ***8TH GEN INTEL BASED MOBO'S - **\* EVGA Z370 FTW GIGABYTE Z370XP SLI (Rev. 1.0) MSI Z370 SLI PLUS ***AMD RYZEN BASED MOBO'S - **\* ASUS ROG STRIX B350-F GAMING MSI B350 TOMAHAWK MSI X370 GAMING PRO ASROCK AB350M PRO4 ______________________ RAM - Way too many to list, nothing but 4 & 8GB DDR4 sticks and unfortunately, none are ECC so it's not even worth mentioning/listing these unless someone reading this is willing to barter. At which time I'd be obliged to send an itemized list or see if I have what they're/you're specifically looking for.\* ______________________ THERMAL APPLICATIONS/FANS - JUST FANS - BeQuiet - Pure Wings 2 (80mm) Pure Wings 2 (120mm) Pure Wings 2 (140mm) Silent Wings 3 PWM (120mm) NOCTUA - PoopBrown - NF-A20 PWM (200mm) Specifically for the BIG "CoolerMaster HAF XB EVO" Case GREY - NF-P12 Redux - 1700RPM (120mm) PWM Corsair - Air Series AF120LED (120mm) CPU COOLING SYSTEMS - NOCTUA - NT-HH 1.4ml Thermal Compound NH-D15 6 Heatpipe system (this thing is the tits) EVGA (Extremely crappy coding in the software here, I'm like 99.99% these will be problematic if I were to try and use in any OS outside of Windows, because they barely ever work in the intended Windows as it is). CLC 240 (240mm Water-cooled system CRYORIG - Cryorig C7 Cu (Low-Profile Copper Edition*) A few other oversized CPU cooling systems I forget off the top of my head but a CPU cooler is a CPU cooler after comparing to the previous 3 models I mentioned. I almost exclusively am using these amazing "Innovation Cooling Graphite Thermal Pads" as an alternative to thermal paste for my CPU's. They're not cheap but they literally last forever. NZXT - Sentry Mesh Fan Controller ______________________ POWER SUPPLIES (PSU's) - BeQuiet 550W Straight Power 11 (GOLD) EVGA - 750P2 (750W, Platinum) 850P2 (850W, Platinum) 750T2 (750W, TITANIUM - yeah baby, yeah) ROSEWILL - Quark 750W Platinum Quark 650W Platinum SEASONIC - Focus 750W Platinum ______________________ STORAGE - HGST Ultrastar 3TB - 64mb Cache - 7200RPM Sata III (3.5) 4X Samsung 860 EVO 500GB SSD's 2X Team Group L5 LITE 3D 2.5" SSD's 480GB 2X WD 10TB Essential EXT (I'm cool with shucking) + 6X various other external HDD's (from 4-8TB) - (Seagate, WD & G-Drives) ______________________ Other accessories worth mentioning - PCI-E to 4X USB hub-adapter (I have a dozen or so of these - might not be sufficient enough &/or needed but again, 'worth mentioning' in case I somehow ever run out of SATA & USB ports and have extra external USB HDD's. Although, I'm sure there would be better suited components if I get to that point that probably won't cost all that much). ______________________ ______________________ ______________________ Needless to say, I have at least 1X of everything mentioned above. In most all cases, I have multiples of these items but obviously won't be needing 2X CPU's, Cases, etc... Naturally, I have GPU's. Specifically; At least 1X of every. Single. NVIDIA GTX 1070 TI (Yes, I have every variation of the 1070 ti made by MSI, EVGA and Zotac. The only brand I don't have is the Gigabyte line. My partners have terrible experience with those so I didn't even bother. I'm clearly not going to be needing a GPU for this build but again, I'm cool with discussing the idea of a barter if anyone reading this is in the market for one. I also have some GTX 1080 TI's but those are already spoken for, sorry. It's my understanding that select CPU's I have on this list are ECC Friendly and AFAIK, only 1 of my MOBO's claims to be ECC Friendly (The ASROCK AB350M PRO4), but for the life of me, I can't find any corresponding forums that confirm this and/or direct me to a listing where I can buy compatible RAM. Just the same, if I go w/ the ASROCK MOBO, that means I'd be using one of the Ryzens. Those are DEF. power hungry little buggers. Not a deal-breaker, just hoping to find something a little more conservative in terms of TDP. In closing, I don't really need someone to hold my hand with the build part as much as figuring out which motherboard, CPU and RAM to get. Then I'm DEFINITELY going to need some guidance on what OS is best for my desired purpose. If building 2X Rigs makes sense, I'm totally open to that as well... Rig 1 = EPIC NAS SYSTEM Rig 2 = EPIC PFSENSE (or the like) DEDICATED FIREWALL Oh, I almost forgot... The current routers I'm using are... 1X Netgear Nighthawk 6900P (Modem + Router) 1X Netgear Nighthawk X6S (AC 4000 I believe - Router dedicated towards my personal devices - no IoT &/or Guests allowed on this one) 1X TP-Link Archer C5 (Router). Total overkill after implementing the Nighthawks but this old beast somehow has the best range, plus it has 2X USB ports so for now, it's dedicated towards my IoT devices. ---- I also have a few other Wi-Fi routers (Apple Airport Extreme & some inferior Netgear's but I can only allocate so many WiFi Routers to so many WiFi channels w/out pissing off my neighbors) On that note, I have managed to convince my neighbors to let me in their house/WiFi configuration so we all have our hardware locked on specific, non-competing frequencies/channels so everyone's happy. :) Please spare me the insults as I insulted myself throughout this entire venture. Part of why I did this was because when I was a kid, I used to fantasize about building a 'DREAM PC' but could never afford such. To compensate for this deficiency, I would actually print out the latest and greatest hardware components on a word document, print the lists up & tape to wall (for motivation). I was C++ certified at the age of 14 and built my first PC when I was 7. At the age of 15 I abandoned all hope in the sector and moved on to other aspirations. This entire ordeal was largely based off me finally fulfilling a childhood fantasy. On that note = mission accomplished. Now if I'm actually able to fulfill my desires on this post, I'm definitely going to feel less shitty about blowing so much money on all this stuff over the last couple years. TIA for assisting in any way possible. Gotta love the internets! THE END. :) EDIT/UPDATE (5 hours after OP) - My inbox is being inundated with various people asking for prices and other reasonable questions about my hardware being up for sale. Not to be redundant but rather to expound on my previous remarks about 'being interested in a bartetrade' with any of you here... I did say I was going to sell my gear on eBay in the near future, I also said I wanted to trade/barter for anything relative to helping me accomplish my OP's mission(s). I'm not desperate for the $$$ but I'm also not one of those people that likes to rip other people off. That said; I value my time and money invested in this hardware and I'm only willing to unload it all once I've established I have ZERO need for any of it here in my home first. Hence my writing this lengthy thread in an attempt to repurpose at least a grand or two I've already spent. One of the most commonly asked questions I anticipate receiving from interested bodies is going to be "How hard were you on your hardware?" Contrary to what anyone else would have probably done in my scenario which is say they were light on it whether they were or weren't, I documented my handling of the hardware, and have no problem sharing such documentation with verified, interested buyers (WHEN THE TIME COMES) to offer you guys peace of mind. I have photo's and video's of the venture from A-Z. I am also obliged to provide (redacted) electricity bill statements where you can correlate my photo's (power draw on each rig), and also accurately deduct the excess power my house consumed with our other household appliances. Even taking into consideration how much (more) I spent in electricity from keeping my house at a constant, cool 70-72F year-round (via my Nest thermostat). Even without the rigs, I keep my AC @ 70 when I'm home and for the last 1.5-2 years, I just so happened to spend 85% of my time here at my house. When I would travel, I'd keep it at 72 for my wife & kids. Additionally; I had each GPU 'custom' oveunderclocke'd (MSI Afterburner for all GPU's but the EVGA's).* I doubt everyone reading this is aware so this is for those that don't.... EVGA had the brilliant idea of implementing what they call "ICX technology" in their latest NVIDIA GTX GPU's. The short(est) explanation of this "feature" goes as follows: EVGA GPU's w/ "ICX 9 & above" have EXTRA HEAT/THERMAL SENSORS. Unlike every other GTX 1070 ti on the market, the one's with this feature actually have each of 2/2 on-board fans connected to individual thermal sensors. Which means - if you were to use the MSI Afterburner program on one of these EVGA's and create a custom fan curve for it, you'd only be able to get 1/2 of the fans to function the way intended. The other fan simply would not engage as the MSI Afterburner software wasn't designed/coded to recognize/ communicate with an added sensor (let alone sensor'S). This, in-turn, would likely result in whoever's using it the unintended way having a GPU defect on them within the first few months I'd imagine... Perhaps if they had the TDP power settings dumbed down as much as I did (60-63%), they might get a year or two out of it since it wouldn't run as near as hot, but I doubt any longer than that since cutting off 50% of the cooling system on one of these can't be ignored too long, surely capacitors would start to blow and who knows what else... (Warning = RANT) Another interesting side-note about the EVGA's and their "Precision-X" OveUnderclocking software is that it's designed to only recognize 4X GPU's on a single system. For miners, that's just not cool. My favorite builds had 8X and for the motherboards that weren't capable of maintaining stable sessions on 8, I set up with 6X. Only my EVGA Rigs had 3 or 4X GPU's dedicated to a single motherboard. Furthermore, and as stated in an earlier paragraph, (& this is just my opinion) = EVGA SOFTWARE SUCKS! Precision X wasn't friendly with every motherboard/CPU I threw at it and their extension software for the CLC Close-Loop-Cooling/ CPU water-coolers simply didn't work on anything, even integrating into their own Precision-X software. The amount of time it took me to finally find compatible matches with that stuff was beyond maddening. (END RANT). Which leads me to my other comments on the matter. That's what I had every single 1070 ti set at for TDP = 60-63%. Dropping the power load that much allowed me to bring down (on average) each 1070 ti to a constant 110-115W (mind you, this is only possible w/ "Titanium" rated PSU's, Platinum comes pretty damn close to the Titanium though) while mining Ethereum and was still able to maintain a bottom of 30 MH/s and a ceiling of 32 MH/s. Increasing the TDP to 80, 90, 100% or more only increased my hashrates (yields) negligibly, like 35-36 MH/s TOPS, which also meant each one was not only pulling 160-180W+ (Vs. the aforementioned 115'ish range), it also meant my rigs were creating a significantly greater amount of heat! Fortunately for the GPU's and my own personal habits, I live in South Florida where it's hot as balls typically, last winter was nothing like this one. Increasing my yields by 10-15% didn't justify increasing the heat production in my house by >30%, nor the added electricity costs from subjecting my AC handlers to that much of an extra work-load. For anyone reading this that doesn't know/understand what I'm talking about - after spending no less than 2-3 hours with each. and. every. one. I didn't play with the settings on just one and universally apply the settings to the rest. I found the 'prime' settings and documented them with a label-maker and notepad. Here's the math in a more transparent manner: *** I NEVER LET MY GPU's BREACH 61C, EVER. Only my 8X GPU rigs saw 60-61 & it was the ones I had in the center of the build (naturally). I have REALLY high power fans (used on BTC ASIC MINERS) that were sucking air from those GPU's which was the only way I was able to obtain such stellar results while mining with them. **\* Mining at "acceptable" heat temps (not acceptable to me, but most of the internet would disagree = 70C) and overclocking accordingly brings in X amount of yields per unit. = 'Tweaking' (underclocking) the GPU's to my parameters reduced my yield per unit from -10-15%, but it SAVED me well over 30-35% in direct electricity consumption, and an unknown amount of passive electricity consumption via creating approximately 20%+ less heat for my AC handler to combat. I say all this extra stuff not just for anyone interested in mining with their GPU's, but really to answer (in-depth) the apparent questions you people are asking me in PM's. Something else that should help justify my claims of being so conservative should be the fact I only have/used "Platinum and Titanium" rated PSU's. Heat production, power efficiency and longevity of the hardware were ALWAYS my top priority.* . I truly thought Crypto would continue to gain and/or recover and bounce back faster than it did. If this project had maintained positive income for 12 months+, I'd have expanded one of our sites to also cater to GPU mining on a gnarly scale. Once I have my NAS (& possibly 2nd rig for the firewall) successfully built, I'll be willing/able to entertain selling you guys some/all of the remaining hardware prior to launching on eBay. If there's something you're specifically looking for that I listed having, feel free to PM me with that/those specific item(s). Don't count on an immediate response but what you can count on is me honoring my word in offering whoever asks first right of refusal when the time comes for me to sell this stuff. Fortunately for me, PM's are time-stamped so that's how I'll gauge everyone's place in line. I hope this extra edit answers most of the questions you guys wanted to have answered and if not, sorry I guess. I'll do my best to bring light to anything I've missed out on after I realize whatever that error was/is. The only way anyone is getting first dibs on my hardware otherwise is if they either offer compelling insight into my original questions, or have something I need to trade w/. THE END (Round#2)
The mining farm which is based in this Asian city sees approximately 750 BTC mined every month and has a massive hash rate of 360000 TH which makes up 3% of the entire Bitcoin network. Mining in China has been made fairly popular owing to ASIC miners which are produced in the country – making the equipment cheaper and also much, much more convenient in terms of delivery. Was ist eine Bitcoin Mining Farm? Als Mining Farm bezeichnet man meist große Hallen von Firmen, die Mining Equipment für das Cloud Mining vermieten oder verkaufen. Mining Farmen befinden sich in für das Mining geographisch günstigen Ländern. Meist sind diese Länder kühl, da die Kälte für die Kühlung der ASIC Miner Hardware benutzt wird. Typische Länder für Mining Farmen sind Kanada ... Bitcoin Mining Equipment. In addition to a Bitcoin mining ASIC, you’ll need some other Bitcoin mining equipment: Power Supply – Bitcoin rigs need special power supplies to funnel and use electricity efficiently. Cooling Fans – Bitcoin hardware can easily overheat and stop working. Buy a sufficient amount of cooling fans to keep your hardware working. Backup generators – You may want ... The farm for mining in 2018 is an upgrade of a conventional computer with connected equipment, thanks to which the output of the calculated capacity is in favor of mining the crypto currency. Contents. 1 How Mining Farm Works in Simple Words; 1.1 Operating principle; 2 How to build and run mining farm (video instructions) The Bitcoin.com mining pool has the lowest share reject rate (0.15%) we've ever seen. Other pools have over 0.30% rejected shares. Furthermore, the Bitcoin.com pool has a super responsive and reliable support team.
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