Chia Profitability

General Chia Discussion
1

Hi Everybody,

Just wanted to share my thoughts about the price and future of the Chia.

I am in Chia since day 0 of mainnet launch. I was lucky that I earned a few on the first days before the network boom.

However, today I did a simple calculation to see whether Chia is profitable right now to join or not. Because I am observing many people nagging about the price on social media.

Facts:

  • I have 128 TBs of space which are holding 1282 plots.
  • I am not considering expenses for NVME, or to build a system. I am simply assuming you have a decent system to RUN Madmax plotter on ram.
  • I am making approx 6.5$ in a day from Spacepool from today’s price.
  • I am assuming the standard ROI is 10 months from mining ETH.

10 month * 30 days * 6.5$ = 1950$

1950$/ 128 TB = 15.23$/TB

So simply with today’s price if the cost of storage is more than 15$ per TB for you, you are not meeting the return of expenses in 10 months.

My understanding is the team trying to make a fundamental move rather than a price hype from listing on Binance or Coinbase.
These efforts are introducing the Chia network, Chialisp to big financial systems since other blockchains like Ethereum are not capable of that.

The verdict is up to you to join leave or stay on the network.

2

I had to upgrade my RAM from 16 GB, to 32 GB. I had to update my processor from Ryzen 3 2200G, to Ryzen 7 1700. I had to buy a cheap graphics card due to integrated graphics, and buy an NVME. Overall I have probably $500 in system upgrades. On top of that, I have 94 TB (83 TiB?), mostly all under $20 / TB. If I get ROI in 16 months, which is what I am expecting, I’ll be happy.

Honestly, after 6 months, and turn around and sell my equipment used, I’m sure I would even make a little profit. This isn’t an instant ROI hobby… Expect it to take a little time.

I’m not even interested in the price right now. I’m glad network space has been stable enough to where I can still earn a little coin… When price goes up, so will network space, and then it will be harder to earn. Get it now while it’s cheap, because when it’s expensive, it will be harder to get.

1 Like
3

Yes, I feel quite the same. For us farmers at least it is a good thing that netspace had leveled out or at least not growing fast anymore.

If I had spent my +/- 8K on GPU 's instead of Chia back in May, I would have more money right now.

But that was not possible. First because buying a product a scalper price annoys me too much. More importantly, in my apartment I cannot have that much noise, heat and also I don’t have the power available for it so would need to get a new main fusebox first at something like 1500 Euro.
So for me Chia was a good option.

Furthermore, nobody really knows what’s gonna happen with GPU mining after december when ETH suddenly becomes un-minable.

Also I think Chia has a lot more room to grow but we’ll just have to wait and see.

As for investing in it right now, no I would not. Maybe only if I come across some sweet deal on a bunch of storage but other than that getting in to it today, I would not recommend spending too much money on it anymore.

4

U didnt consider electricity cost at all…

1 Like
5

100% agreement!

With Chia under $300 USD we are not seeing the huge network growth that we were part of with Chia over $1000 USD. At present prices, most peeps can expect an ROI in under two years.

The only decision I am left with now is how much I am willing to continue to bet on added storage.

2 Likes
6

Electricity with Chia, to my understanding, is very little. Maybe for mining, but not for farming… To be honest, I haven’t noticed a jump in my electric bill, so I doubt it is doing much of anything considerable.

7

People tend to overestimate what they can achieve in 1 year and underestimate what they can achieve in 10.
Same for technology. Once your farm gets to certain size, you can hit the reinvestment curve that allows it pay for own growth (e.g. buy new hdd from proceeds of the farm)

8

Dude, that triggers me so hard :sweat_smile:

Lets see,
My 64TB-setup with raspi and 8x8TB consumes about 65Watt.
Thats 5w per HDD, 9w for my raspi and 6w for the external enclosures.

64TB generate 100$/month
65Watt cost me 17$/month

Now, lets assume, i could get my hands on 64 cheap used 1TB-drives and managed to connect them all to my raspi…

That would be at least 320Watt (64*5w) for the drives only.

64TB would still generate 100$/month
but 320Watt would cost me 84$/month

Feel free, to add power consumption of a real PC/server with HBA and stuff :grin:

PS: did a lilttle miscalculation for my setup, so drives could draw 6-7w, but I think that doesnt change my argument :innocent:

9

Using 1TB drives for your example is ridiculous. Most peeps use 4TB minimum, mine are all 8TB, and some are using up to 18TB drives.

While your underlying point is quite valid I have some issues with your numbers.

I farmed other things before Chia that required I figure out my consumption per circuit in detail, lolz!

Maybe your rates are high, but I come up with $25.92/mth for 300W.

I also question your consumption. How did you measure this? If you just took the watt ratings from the drives then I believe your consumption numbers would be high. Though Chia farming drives must always be on, their actual usage is extremely low. Chia farming drives do not use the full rated wattage.

I have my 3 powered arrays, 12 HDDs, my Chia plotter/farmer, my gaming PC, two LCD TV monitors, two powered USB 3.0 SS 4 port hubs, all my network and internet connection gear, a couple of lights, three fans and some chargers, etc, all on one 15 amp circuit. I have everything plugged into two UPSs, plugged into the two sockets of one plug box. I have never tripped the breaker.

A 15 amp circuit breaker will trip at 1800 watts so my total usage for the above list is comfortably under 1800W. At worst, The Chia farming part of this usage is around 600 watts by my educated guess, or just above $50/month, and this usage will go down when I am finished plotting.

My avg earnings for these plots is (dropping as we speak, lol) close to $200/mth.

So your point that electricity cost is not negligible and should be considered is good, but I believe this cost still allows for a good profit.

Lucky for me, I do not pay for electricity in my apt! :sunglasses:

10

Im measuring the total consumption directly at the wall.
Currently its 57Watts for 7 disks, the rest is partly measured partly calculated.

I then used an online-calculator, which used 33c/kWh as a default, which is common in my country.(Euro-Cent)

Maybe im wrong, but I think ive read about cheap 1TB-sas-drives being used by some ppl here, thats why I chose this example. I think, at the beginning of chia, farming with a few hundred GB spare space, was the vision :grinning_face_with_smiling_eyes:

11

I have a combination of 6 and 8 tb drives. 15 total. I’ll just go with your numbers of 8 watts per drive, even though I thinkk that might be high.

That puts me at 120 watts. For 30 days, that is 86.4 KwH. I pay .$09 a KwH. That’s $7.77 a month for me… on what I believe would be the high side. Again, haven’t even noticed it on my bill… Also, if that triggers you… ya got problems and should get off the internet.

EDIT: I see where you say 5w per HDD, so that would make it around $4.86 per month to run the drives… again, not enough for me to worry about

12

shit that’s expensive, where is that?

13

I recall people shutting down their bitcoin miners because they were only getting about a coin a month and it wasn’t worth it to them… I was one of those idiots. Today’s XCH price has little to do with the arithmetic that I’m using now.

2 Likes
14

The return from my farm is dropping. I wondered where people have the “line” for profitability?
$1 per TB month? Less?

15

Right now it should be above the $1 per tb per month. I’m not worried about the price right now, I’m focusing on what it will be in 6 months to a year. When I lose confidence in the future of Chia, thats when I’ll worry about the current price.

16

It is not the chia price so much as the increasing difficulty that is hitting me. Haven’t had a win in a few weeks now

17

That’s why I like pooling. More consistent earnings.

18

I haven’t won a single block while pooling. That’s only 4 weeks so far though

19

Not gonna tell my electricity bill with 30 antminers running 24/7 (lucky 70% is solar powered)… CHIA is cheap and ROI is as fast as mining with ASICs imho. Just a different investment scheme compared to ASICs which cost a ton more …

Cheapiest for me is actually Helium HNT but limited only consumes 5W

Anyway , anyone expecting ROI within 6-12 months needs re-education whatever cryptocurrency …

1 Like