Just wondering if anyone else has looked at the numbers on this and considered switching or have experimented with it. For instance right now if I were to plot XCF instead of XCH right now according to the calculators, with my 5000 plots and $500 staked, my farming earnings would immediately jump from $298 a month to $500 a month. If i were to say invest and stake another $500 and skip buying a couple hard drives, I would then be earning $622.68 / month which is more than double the earnings with the same plots farming XCH.
If I took the money im going to spend on the next 10 hard drives I buy to continue to increase my revenue with chia and instead staked it and farmed XCH I would then be earning TRIPLE the amount I would earn farming chia with the same plots for the price of a few hard drives.
And these numbers have recently become less drastically different since the recent rally with chia being close to $50 now. I have been watching this for a while and the difference in earnings was much more drastic than it is now between chia and coffee when chia was stuck at right around $30 for months. When I was watching it then the calculators were telling me that I could stake even just a couple hundred and earn nearly double what I earn from the same plots. To me that is proof that even if chia continues to go up, yes it will close the gap a little bit but it wasn’t enough of a factor to destabilize XCF and make it no longer mor profitable to farm XCF. Even with chia nearly doubling in price it is is still far more profitable to farm XCF once you stake some funds.
Is there something I’m missing because financially, on paper looking at this as and investment, it’s obviously a no brainer yet I don’t see anyone discussing. So what am I missing? Or is everyone just not comfortable staking any funds in a fork? I think that is relatively a minor risk with the massive investments we make in adding more and more hard drives just to earn an extra few pennies a day for each TB added. Wouldn’t staking the same $2000 that I am going to spend on hard drives to add more plots be a much better investment? I mean at $20 or so a TB that $2000 investment is only going to earn me an additional $45-$50 if I’m lucky whereas staking that same $2000 and farming XCF would earn me an additional $400 a month. And if I were to continue staking a little bit each week while also adding more plots consistently after the initial $2000 staking to get started with a big earnings boost, I would be looking at significant exponential growth. I didn’t take the time to run all the numbers to project the exponential growth but obviously staking more XCF leads to a lower staking factor which makes every single plot earn more which would also include the plots I consistently continue to add which in this scenario, I would be earning enough to make a significant monthly investment to accelerate the exponential growth. According to the numbers this could take this from some type of hobby or addiction or wte it is with a laughable return on the massive hardware investments we make to an actual significant income source and give us opportunities to further invest and create some real wealth.
This doesn’t apply to everyone of course I know there are people with massive data centers earning an insane amount of money farming chia but they are the exception. The vast majority of us don’t have the funds to make the massive investment that would be required to really make good money farming chia. We slowly grow and invest what we can periodically and over long periods of time we slowly start to earn enough to maybe make a car payment but if these calculations are correct, staking and farming XCF with the existing equipment and plots that many of us currently have could allow us to relatively quickly begin to earn enough to actually significantly improve our quality of life and our financial stability and with the right investments lead to early retirement or whatever it is that we want that we may not otherwise be able to accomplish with our regular income. I would love to here what everyone else has thought about this and if anyone has experimented with it and found some issue that I am unaware of or if everyone is just loyal to chia and content sticking with chia with the hopes that someday the earnings per plot somehow grow high enough to justify not taking a risk on another opportunity.
I personally have been doing a lot of research and a lot of thinking and I really believe there are other opportunities besides just the XCF to really start making some serious money of the hardware we have already invested in. Obviously the most profitable opportunities are in WEB3 but the most lucrative of those opportunities require close to 6 figures between the massive investment in a new enterprise grade servers that require a lot more computing power and a really solid high bandwidth WAN connection and requires battery backups or systems similar to the tesla power walls to ensure that the servers will never go down and then on top of that they require you to stake a certain amount for each TB of data you seal and store which serves as collateral to incentive storage providers to ensure that they provide the best possible storage solution for the people paying for it and you do also earn significant returns on the staked “collateral” funds and they are returned to you with the extra earnings from the staking at a reasonable rate that allows you to recover part of your investment with all the growth from the staking earnings and then it becomes easier to add more storage and have the funds on hand which will quickly be all profits that are just being reinvested. And this is of course on top of the actual earnings from storing the data which is 100 times higher than the earnings per TB for storing chia plots and running farming nodes. I am not trying to degrade chia or anything that anyone has achieved with farming chia and continuing to grow their farms through dedication and a willingness to invest in their future but I think there is a whole other level that we could be playing on and its going to be the people who already have most of the hardware needed and are willing to take action to make some new investments before its too late. There will always be more new opportunities of course but I think the coming growth we’re going to see in the web3 decentralization of pretty much everything which is creating huge opportunities for miners to adapt and utilize the skills and equipment and foresight that we already have to get in at the ground level of the right project that’s going to explode and is going to make a lot of people rich in a short period of time. I personally think its going to be filecoin and I think becoming a storage provider for them now is going to lead to massive profits in a short period of time. But I also think for those of us that can’t finance $60,000-$80,000 to go all in on filecoin and get the hardware that’s recommended and then to have the funds to stake for each TB of data we were to seal and store after the investment in the enterprise grade server equipment, the best route might be to invest in some of the other projects that have a low barrier to entry and use that revenue to help fund the transition to a project like filecoin which is a big commitment and will become a fulltime job that will be well worth it for those who can get to that point. They have an api integrated file in sheets that allows you to enter every detail including the cost of equipment, interest paid on any loans that are required to get started, the amount of data the server we plan to invest in will be able to seal per day, the amount of storage we plan to fill over a period of time, etc. And it accounts for the required collateral staking and the earnings from the staking as well as the exponentially growing earnings from the storage as we are able to fill more and more storage and when I ran the numbers, unless something were to drastically change which is unlikely based on the stability of the coin and the viable and profitable service that the platform provides with what appears to be a really well designed architecture and a very proactive team who are constantly developing new programs and systems and creating opportunities for people to participate in training programs and get connected with companies that are willing to finance people who wouldn’t normally have that opportunity with conventional financing. I love seeing them give individuals the tools and the opportunity to become financially stable and eventually independently wealthy because of the decentralization versus the massive multi-billion dollar corporations controlling the handful of cloud storage services that currently dominate the industry and many of them are content and don’t even try to improve their data storage access speeds anymore since they don’t yet have the competition putting pressure on them which they will very soon be facing and the demand for cloud based storage and computing is only going to keep growing and evolving now thanks to the competition and innovation the decentralization will propagate.
Which I am one myself sometimes.