Last year became, without exaggeration, a crucial one for the mining industry. On the wave of an impressive growth, Bitcoin, Ethereum and the other cryptocurrencies jumped in price. High profits made more and more people and companies to get interested in this very promising field of commercial activity. But what will happen next? Is it profitable to start a mining company in 2018, and is it worthwhile to invest in landing?
Money in the sky?
At the end of 2017 – early 2018, after the wave of success, the so-called “correcting phase” has begun. The profitability of the landing has decreased, but smart people still believe in possibility to become rich thanks to digital coins.
First of all, let see how it is possible to mine:
- on video cards;
- on special devices-miners;
- under the contract for mining at a cloud-bonded service.
The first two methods require significant investments in technical facilities, subsequently costs of electricity, cooling, depreciation, etc. In addition, to own one video card or hardware is commercially not very profitable because of the high complexity of extraction. Therefore, for the efficient operation, a cluster of devices – a farm of several video cards or special mines – is required. On average, you may expect profit when using a unit with 4-5 powerful graphics cards and more than two or three “boxes” with high-performance chips.
In 2017 buying own “iron stuff” became rather expensive, so cloud contracts have become popular. Having paid a certain amount for this service, you can start earning (minus the commission) without spending on the purchase, adjustment and placement of hardware. Moreover, since extracting digital coins becomes more difficult and expensive, projects with a lower “entry threshold” for the end users are being developed – for example, BlockCheck for renting disk space.
Cloud mining allows you to enter the market with relatively low operation budget, while at the same time make profit (although smaller than owning a powerful equipment). Thus, by 2018, it is advisable to take a closer look at these innovative solutions, as well as to monitor the development of old but underestimated altcoin. It’s difficult to predict what will be in the long run since the industry lives its own life.
Summary. If you want to start mining company, try to forecast profitability with the help of special resources, f. e. Whattomine. It allows you to calculate the approximate margin of extraction for different currencies according to the parameters of equipment & hardware. It is important to understand: mining of bitcoin, Ethereum on outdated equipment is unprofitable. You should choose other projects that are less complicated.