Wow-what can I say except buying the dip! IMHO… Unreal. Dip. All coins got whacked. Institutions had to get their money to cover their shorts for the week. It was too obvious. All coins at the same time. Gotta love the hedgies.
I can’t afford to buy crypto, I spent all my money on hard drives.
Same here but when it went to 160 I went nuts and I have 16 coins cheaper than what my rig cost months back…LOL!!! Get the dip and HODL!
I think in the long run, every $ or £ spent on hard drives is actually a better investment than simply buying coins unless the network starts growing incredibly fast again.
It really depends on what your goals are. For people who are looking for short-term gains and cash to burn, then investing in coins would make more sense than investing in farms.
It becomes a matter of product (chia coin) vs production capacity (farm size), and traders (people to buy and sell crypto) vs producers (people who farm/mine crypto).
Buying into a farm means you’ll have a higher production capacity, but it’ll take longer to get the actual product, to break even, and to eventually make a profit. But like you said, it should pay more over the long term.
But we still need people to sell to i.e traders, investors.
I would say neither one is better, and both are needed for chia to be a success.
The problem is luck. It is terrible for solo farming. You need a PB to have fair luck. Anything less, you will really need to consider a pool (IMHO) Getting fractions takes time. 100 TiB will get you close to 7- 8 coins per year. But then calculate the overhead for your ROI. If you ever get a chance to buy the coin close to $200, do it (IMHO). Chia the company is on its way to places no crypto has been in a positive manner. It does look that $200 is the floor. Saw it bounce right off of it on the flash crash from earlier this week. So keep in mind, it takes electricity to run our rigs 24/7. The partials are paying your bill, but not much more at the moment. When Chia runs, it will make up for it, but this is a 3-5 year play (IMHO). You have to have the mindset for this as well as quality in your rig to last for the time required to make more back than your costs. Jus tmy 2 cents. However, very bullish on Chia, overall. P.S., I did buy another 18tb Seagate enterprise for $399. Prices have come down.
Trading and mining are two very different things - psychologically speaking. Initially I wanted to do both but I won’t and I will explain why.
I actually tried trading for a bit and from the 2XCH I had, I actually made 3.2 in a fairly short period. My mining rig with 2000 plots wasn’t earning as much but there is also the risk factor to consider. I could of easily ended up with 1XCH or less. Anyway, that’s the trading game and for me it was exhilarating, I really liked it a lot. The only negative thing is… the risk factor which can have a serious effect on your health on the long run. Yes, you can buy the coins and keep them for 15 years to get the maximum return on investment but not many will do that.
From a business perspective however, it makes much more sense to stack up hardware for a steady monthly income. Whatever you invest, you should get back in a year or so. Right now I am at only 500TB and I want to increase my rig to 1PB by the end of the year. Next year however, I am seriously considering making a business from it so I will probably invest £100k to increase my mining rig, I should be at around 6PB+ by the end of next year. 50% of the yearly income I intend to spend of maintenance and to increase the farm, 25% will go in a cold wallet and 25% I will use as income.
I know most people don’t have a lot of money to invest but I would still prefer to earn a steady amount of say $150/month with a 100TB farm than buy coins to hold for many many years.
On a personal level, I would prefer to have a steady income of say… £100k/year (easily doable) and the time to spend it, every minute of every day with my family or travelling or whatever. Crypto mining can get you there but trading won’t, not for me anyway. Does it make sense?
I just wanted to say that steady income is better than holding coins, you just need to get to a point where mining is offering you the income you need for that life you want. How much money would you need for that life to happen? 10k/month? More? Seriously… find your figure and think about how happy you would be when you get there. This is why I am doing it… not to get rich but to have a happier, more relaxed life. Sorry about the long message… I’m just thinking a lot about this freedom I will have a few years into the future -“The law of attraction”
I like what you say and I agree, but not many people can spend the money on more HW as most of us bought at the peak. The same HDD I bought for $699, I just bought last week for $399. I would love the passive income, but to buy another rig, when does the ROI, kick in? It would cost over $11K for 500 TiB. That is just for HDDs. Then the SSD’s you need along with a decent rig, you are at $15K and getting roughly $147 a week return. Help me with the math so it works as many of us would LOVE a nice passive income, but currently, it is a 3-5 year project. People laughed at folks for buying BTC at $20 bucks and holding. I think that worked out just fine for folks. I was one of those on the fence, but life got in the way. Two friends of mine no longer work due to the massive gains they got from BTC HODL. I look forward to your reply.
I don’t think this is a 3-5 year project. I think this is a project that will never end. After the 13th year chia will only award 1/16 of what it does today forever. And forever is a long time :)) PoW is not sustainable, PoS is flawed in many ways and Chia is just better. It will take years to make them see that but they will and when they do I want to have a big enough rig to farm it forever. I will only hold 25% of what I mine, this is my plan.
So, the way I see it, I have at least 13 years to take advantage. Anyway, I believe in chia as a technology and I think it will be here in 20-30 years and 100 years and more… who knows. Until something better will come, this is it. Like the chia dev team said, they studied the problems with the current tech, the market and they made something better. Honestly, there is nothing better than this in the crypto world, not even Bitcoin.
Right now it could be a good idea to buy some coins and to hold them for 13 years maybe for maximum ROI but I would still use most of those gains to build rigs if not for you, for your children and grand children.
In 100 years… hell 1000 years they will look back wishing they were here when it all started to have their own farm. The Bank of England said that in 5 years 10% of all the money in the world will be in crypto. All the money that’s ~120 Trillion, so there will be 12Trillion in crypto in 2026.
in 30 years I’m sure more than half will be in digital coins. Stop thinking in 3-5 years time and think about 10-15 or more. How big is your rig now? Increase it by 30%, year after year (by using 50% of your rigs income). See where you are in 13 years, you’ll be surprised. Like you said, $200/coin is the bottom or close to it. If you don’t have 100k to spend, that doesn’t mean you can’t do what I do to have massive passive income, it will just take a few more years, that’s all.
Like I said, what I want now is to get to a steady income so I can live my life however I want.
So I agree on all things Chia. I would like to know your current rig and what do you plan to get to where you want to get to. Your strategy. I ask as I’m a numbers guy and the math does not add up. Unless you are going to be fortunate enough to have over a PB on your own, but what’s the overhead on that? I currently have only 100 TiB.
We have all seen people with 200 TiB and not win a block. They either pack it in or join a pool. I started with 100TiB in early May and I have not won a block. So, are you planning on farming solo or pool? If you had a PB in a pool, you would get around 70 coins a year. That’s darn good. But, the upfront costs are quite large. Again, not questioning your logic, just trying to understand the math.
When I say 3-5 years, that includes going IPO via a spac (hopefully this year), listed on major exchanges, and eventually get the Intl Banking piece completed. So, I look at the coin as well as the business. I will personally be very interested in the IPO.
Chia has the technical chops as well as the business chops. However, all good things take time to marinate.
I have bought 18 XCH at these prices recently.
Also I have 180TB in poolchia so will keep farming.
5+ year project for me.
To answer your questions, I currently have 500TB and by the end of the year I will have 1PB for sure. If things go well with what I’m planning to do, next year I should have more than £100k to invest in chia (these are personal funds, not a loan). I will certainly farm in a pool because I prefer the consistent payouts. This started as a fun project but right now I want to make a business out of it so pooling it is.
I was born in Romania but I live in the UK now. The rig will stay in Romania because the electricity is only $0.08/kW and for taxing purposes, only 10% of profit needs to be paid. It’s 20% in the UK, plus they don’t exactly see it as a business here. You can’t exactly claim back money for electricity, hardware, etc. In Romania you can claim back all expenses. So I’m left with ~90% of all earnings.
So next year I plan to purchase 5000 x 12tb hard drives, I don’t know yet how I will put the rig together… there are a few options I’m considering. I might go with external hard drives all linked via USB ports. It will be quite something plus everything needs to go in one room. After that I will look for a place to rent so I can do what I told you… to increase the farm by 30% year after year. Right now I’m very optimistic
What would you do with $100K if you had it? Would you buy more coins or build a good mining farm?
Are you creating a buisness or doing it privately? if the latter be careful, doesn’t matter where your hardware is, you have to report your income to the country where you live.
You’re right. I am actually moving back to Romania for a while so I’ll start paying taxes there. I don’t intend to start a business to receive a salary… the taxes are higher. This move helps with my personal life also so for me is the best thing to do right now.
Plus, the taxation is capped at 5000EUR per annum so if I earn more than 50k/year, then I pay no tax on earnings above this figure. This will help me grow the farm faster so, it’s really a no brainer for me. There are probably other countries with better taxation on crypto but I’m ok with what I get in Romania.
If I was lucky enough to have $100k, Farm, no doubt, but that is key. No funds, no Farm. Good for you. Keep us posted on your progress and take pics of the rig as it grows. I wish I could do the same.
Right now my rig is a mess… I just purchased a LianLi D8000 case, I was lucky to win it on eBay for £101. It will hold 50 internal hard drives on one computer (2 power supplies). Here are pictures with my messy setup right now. The red dots on the external drives means I have to replot those to nft!
I have three plotters but I will need more… I have to plot a lot. I am still trying to figure out a lot of things and I also want to get as many TB as I can. Work in progress
If I were you tbh I’d put 100k in an Ethereum mining farm and use the revenues to build a chia farm. At current gpu prices it takes around 8 months to get the 100k back with Eth while it takes 18 months with chia.
Assuming you don’t already have 1 million invested in altcoin mining that is.
Where do the 50 drives fit? There is literally no room volumewise, I have a case of similar size (Obsidian 750D) and I barely managed to fit 21 drives inside. Or do you use the case for HDDs only and keep the motherboard outside?
The LianLi D8000 can hold 20x3.5" in front, the 6x5.25" can hold another 10x3.5" so 30 in total just in the front racks + 20 more can be placed inside on 2 racks each holding 10x3.5" so yeah 50 in total. There is room for 2xPSU and they can both use the same motherboard. It’s probably the best consumer case ever made for chia
oh I misunderstood, thought it is what you show on the picture.