Topic: £16,000 ($23,209) for profitable Bitcoin Mining farm? (Read 2544 times)

It was a good sales tactic no doubt about it.  The PSU is rated pretty well as far as efficiency.. so hard to complain on that.   I would like to see how many they have sold. 

I think it was likely a huge sales boost as a lot that order a S7 order one PSU.  So means even more profit for them.  There are some other good server PSU's out there to but bitmain provides convince of all in one place.

I think their PSU is quite good value as well. That is the reason why it is being sold quite a lot of units.

The even number have all been big miners with PSU's attached.  I agree I have heard 0 about next gen bitmain they are pretty good at keeping secrets.   But I don't expect a S8.  I think day's of even ones are over.  I am still wondering if we will see a S7+.

Most likely will be a S9 I'm guessing.   And I think they keep 3 hashing board design as I think they made good money off of PSU sales.... was really smart of them on that as far as business decision.

there is no info at all about this, nor that it will be called s8, nothing is telling us that they will continue with the next number, in fact the s6 does not exist

based on some other thread it seems that there is the possibility of an increased efficiency of 75%+, 750 watt instead of 1200 for something that is as fast as one s7

When do you think the S8's will be released? What are the next gen miners? SP50s and S8's?

Also depends on where you go with it.  Ebay at start can bring HUGE premiums, but it can have scammers and be a pain.   I was doing great on all my sales of last gen.

But a week later... get the dreaded email they say they cant mine with a S5+.   Had trouble getting a anwser back from them for 3 day's on what was going on.   Not sure what changed but they then said they switched PSU and worked.     But it appeared for a few day's I was going to have to deal with a "bad  buyer"

it was the same for s7 it was very high at launch, but there was people willing to buy it at even higher price

so if you can do the same trick of trading directly your miners after a few week of mining before any other, it will be worth it

Solar is to expensive though in most cases.  Look at the price and how it's a drop in the bucket for some hobby miners.   It's just hard to have a lot of watt's of gear let's say even 10k watts.... you have quite the investment in solar.

And this not a quick investment your talking 10+ years likely to pay off if everything runs right.  Which is very long term compared to bitcoin mining.  Some will do solar yes... but that initial cost is hard to do.  Compare it to cheap electricity those with very cheap electricity almost always win.

I literally can only think the only way of breaking even and making profit in a year is to get a business grant, which is non re-payable for a business start up, using that to buy second hand S1's or S5's on Ebay and then installing solar panels for summer and wind turbines for Winter. That's ASSUMING you get full electricity provided by the renewable energy devices and assuming you are not renting the land/property to do it. You would then make approximately 20% profit. hahahahaha. I would consider it, but my dad won't let me put the solar panels on his roof! what a chode!!!!!!

I think the price of the 16 nm will be very high. They will be priced slightly better than S7. Even if you can ROI, it will take long time.

Wait for how long?  What will price be on these?  Will smaller miners have to wait for a while to actually get them after big operations?  And how close to having do we have to wait till?

So many questions and no answers.  Waiting till 16nm sounds good but in reality there is just to much unknown to say what is best.  And really some people are always waiting on the next gen, and they never seem to buy. 

Wait for the 16nm Chips..

I consider GPU mining dead already.  Most will spend more in electricity then it brings in, so that is not good.  The ones that do profit will not ROI on the card, which again is not good.

So unless you bought card got lucky on coin, and sold cards I don't see a true ROI happening.  Just too pricey on gear for what it makes.

well it's only mining, gpu does not become obsolete like asic, if the alt that you were mined die, for example, you can always re-direct it to another alt(not bitcoin or the one with high diff, but still plenty of choice)

or simply leave the mining scene without any damage on your pocket, because gpu can also be used for gaming

BTC vs Ethereum is like apples and oranges.  BTC is being mined by huge asics, and other is more GPU miner territory I believe.  So your comparing the main currency to a alt.

Yes alt coin's can go up fast, but they can go down just as fast.   Maybe suggest OP to try a few altcoin's for fun.  But I HIGHLY suggest keeping BTC as main currency unless you like risk.

I hate that I can only reply every 30 minutes or something! Anyway, you know nothing Jon Snow! (joking). Yes, it seems small miners to be not profitable. I am still going to draw up a business plan and see if I can get any banks interested though for a large mine. But yeh, I don't think I will invest really.

It is quite profitable to mine Ethereum at the moment. But the price is dropping at the moment. Mining is a risky business.

Yeh, that's quite true. As I said before, I need to research it more.

95 percent I'm guessing of these threads don't ever lead to a investment. It's like "Here I might spend X amount go do my research".  It does seem he realizes it's hard from other posts.... but now he's going even bigger in calculation. 


So I predict we can leave this thread alone as I don't think OP will invest.

dude, if you are interested about bitcoin and new to all this, buy them directly from some reputable exchange.

mining is not for guys like you anymore, unless you are not in China and you don't know ASIC manufacturers. if you really want to mine, buy raspberry pi as controller and some cheap old ASIC and play with it but my honest advice: don't buy any mining gear for thousands of dollars..

Whilst a water cooled submerged container is an interesting idea  I think you will find that the boards are in tanks of Novec Fluid and that the Container is just a rendered concept.


Rich

Oh my god. Bitfury is the one where they utilize water cooling by submerging the "containerized data center"? I saw an article about a Bitcoin mine in China using water cooling and the miners were submerged completely under water!

You got any idea how much they costs? Their specs?

I'm not even sure I would count of SP50 at this point.  Bitfury beat them to the chip dev it seems.  So SP team has a chip that uses twice as much as bitfury.... and they have not shown a single chip that I know of.   So they might have lost the war before SP50 comes out, unless they can beat bitfury's price by a lot. 

And keep in mind they went head to head with bitmain during sp20 and S5 day's.  They reported loss twords end of it.  So I don't see them trying to go head to head with another company's price again.

Yes, you are right, the SP50 are only available to large well funded projects (just confirmed with the website). Perhaps by September there might be one second hand, but as you say there is no price available, and the official sales team wouldn't give me one either haha! So I guess I am stuck with the S7's for now, unless a new miner comes out by September.

Also, I have no idea why the S7 with power supply are being sold for so much by other companies? In UK average price is around 1500-1800 pounds per  S7 unit with power supply. BUT, if I ordered from the official Bitmain website, it would only cost $986.34/655.92 pounds (batch 9) and even with VAT and duty import charges that is still only around 200 pounds extra (855.92 pounds) and they only charge 52 dollars for shipping! With the pound to dollar conversion, I would be saving a lot of money.

THAT IS LIKE 644.08 POUNDS CHEAPER! People on ebay are literally outbidding each other well into the 1000 + pounds area. Lol, people really over estimate the prices from the official company. Although for some reason the batch 9 is cheaper than the batch 3. 

Looks like India would be cheapest electrcity! I'm going to email energy companies there for quotes and research just how unstable the supply is and in general how corrupt it is.

BTW - if the recent rate of difficulty increases continues, even at 3 cent/KWH an S5 will be UNprofitable probably in late May possibly sometime in June, the S7 and Avalon 6 will be bloody near unprofitable as soon as the halfing happens - and at higher electric costs it just gets worse fast.

 Have to find a NEW SP50 around somewhere first - so far as anyone knows outside of Spondoolies themselves or possibly someone under NDA, they seem to not be in existance or production yet.

 There has been NO announcement on price on the things anywhere public that I'm aware of (I've looked), just quite a bit of speculative guessing.



 While 7 cents/KWH (US) is fairly cheap, it's not VERY cheap or even close. 5.54 is getting close to the VERY cheap range, but definitly is not VERY VERY cheap 3 cent/KWH or less like most of the major farms seem to have access to - and if you expect to be profitable for the long term you've got to get at least fairly close to their ballpark.

Sounds like you found a deal for 6 cent's if that is correct and a good hosting center.    Might look into it more spending on VAT there.  I'm hoping after having some good one will offer .05.... but we will have to wait and see.

On 3rd world countries its just a lot easier then it sounds.  Your talking about places that a lot have corruption, not stable electric grid, theft, etc.   So HUGE possible profit's but just as big problems and possible risks.   Some have done it in countries such as Venezuela is a great example.  As long as it goes smooth huge profits.  If you have a issue... hard to tell how bad it can go.

i would suggest you spend money to purchase the coins rather than investing for a farm ,difficulty is increasing with passing time and its high time a new ASIC machine will be released by bitmain which will be twice faster than S7 . do take these things into consideration while investing into mining at this juncture of time.

I confirmed with Bitcoin Miners UK that they have a fixed rate of 4 pence kwh in Iceland, which is 0.06 dollars? Is that 6 cents? At least that's what an online conversion calculator said. I'm surprised no one is biting their hand off for their miners, 10TH/S for something like £3500 and they are water cooled and have low power rating! I just figured with the SP50's coming out 10TH/S will be too small/out of date.

I'm even more surprised, that no one has looked into 3rd world countries for electrcity, have you seen India!!!!?? It's ridiculously cheap, or tehran.

I will have to clarify with Spondoolies Tech, before confirming that :p. I was hoping one SP50 costs £13,970! Most likely you will correct me! :/

Where would you plan to buy the SP50?  They are not likely to be available via the normal channels.  Nice if they were.

As well what price did you assume for the SP50 when working out your profit?   It would be interesting to know your assumptions.

Our starting price for S7s is $52/kw, which is roughly 7 cents/kwh. To my knowledge, no one is hosting in Iceland for less than 9 cents/kwh, except on a multi-MW basis.

Great North Data, $52/kW is the price for new reliable gear like S7s. E-mail me at [email protected]. Given you're talking about a bulk order we may be able to work something out.

I know it's not the best source.  But wikipedia shows average of  5.54 us cent's/kwh for Iceland - https://en.wikipedia.org/wiki/Electricity_pricing

Are you saying you can beat 5.54 cents per kwh?

What's the name of your company, what's your kwh price?

Thanks

Hi,

Yes, the difficulty could indeed grow exponentially by September. Regarding the halving of the bitcoin reward, I was gutted to hear about by the way, I will still be making profit according to the calculations with an SP50 110 TH/S. I would have to buy two though to be making decent money (220 TH/S). But as you say the difficulty could grow, which would reduce profits, but I DO NOT want to rush into anything, I need to plan, research and be well prepared before investing. Smart investment.

We're located in Canada and far cheaper than Iceland.

We would need to know how cheap before we really recommend such a big investment.  Difficulty is just going crazy so I would want a really cheap electricity.

At this point I have my hobby mining area set up.  Wiring, cooling, a decent amount of PSU's.   These are things I have ROI'ed on already.  But for someone new they need to ROI on these things.... which add up so need pretty cheap electricity with current difficulty jumps.   They will have cost's besides miner on first setup.

Could you link or PM me the firms you are e-mailing?
I'm looking for something similar myself!

Thanks!

Sept?  You can email them for curiosity sake, but I'm going to suggest that you rethink this.  Reward reduces by 50% in July and the difficulty is nowhere near done growing.  You simply cannot make solid market predictions that far out.

Hey,

Thanks for your reply. I aim to start in September. So plenty of time to shop around for miners and best rental spaces in Iceland and paper work regarding taxation etc. I am currently emailing data centers in Iceland to see their monthly renting prices.

V.

IIRC electricity there is very cheap, so that would be the ideal thing to do if your after having your own mining farm. I would advise on Antminer S7 only but If I were on your situation, I would wait until the halving is done before starting to order these miners as their price will surely go down and maybe even new miners pop out that would be more efficient. IIRC Bitfury introduced a new chip that would probably be the first choice once released so don't buy yet.

Hey guys,

I am quite new to this, but I was considering starting a bitcoin mining farm. I was considering investing 16k. Do you think it is worth buying the hardware and setting it up in a data center in Iceland?

I know the difficulty is going up for Bitcoin reducing profits by $100 per month? Anyways I was thinking about buying the s7 antminers. Perhaps a second hand SP50!?

Anyways, any help would be great.

Thanks


V