Topic: What will be your biggest fears and risks to setup mining farm. - page 2. (Read 395 times)

There are more risks to mining at home as to say some dedicated warehouse. One of the issues that I was always worried about was burning the house down. It never happened but the amount of exploded capacitors, melted PCIe cables, melted SATA cables and exploding PSU made me very cautious.

Another issue I had was security, especially during late 2017 and early 2018. Back then most ETH mineable GPUs were going for maybe $500 each, and if someone saw that you got 100 of these in your place you could easily get robbed. Hence you had to do it stealth and with the huge heat and loud noise, it wasn't always easy.

The last was obviously the fear of massive difficulty jumps and massive price crashes, however even farms have to deal with this issue. And most GPUs will always hold some value so you won't lose everything, just will be a pain in the butt to sell like right now where there is a lack of demand for GPUs and gamers nickel and dime you constantely.

Sorry I was thinking anything under 6-7 cents, otherwise you would get burned in bear market. Currently mining isn't that bad  profit on some Asics about 6 month for ROI, ofcource if nothing changes .

I've been mining at home in a detached garage since the beginning of 2017, 120 gpus, a couple ASICs and some FPGAs on a 100 amp 240 line.  For me its all about overhead which is electrical cost I have 6 cent power and its ok.  If I wanted to mine to make a living I would have to rent adding to cost and I would want cheaper power.  If you wanted to make a decent full time living the operation would have to be very big and expensive to start.  Currently I do not see much gear worth buying, BTC having and waiting for new 5nm chips from bitmain and new fmaily of GPUs coming from AMD and NVIDIA.

I think 6 to 7 cent power is meh.

I think 4 to 5 is a better hedge number.

I think home mining is next to dead 💀 but that if you want to mine at home 🏠 you can do so small scale.

If it's a farm it usually means ASICs. ASICs are the biggest risk for several reasons,
including HW quality.

- limited flexibility, usually only one algo supported per device

- short lifespan, ASIC miners become obsolete very fast with no secondary usage (unlike GPUs)

- there are a lot of unethical ASIC peddlers that sell crap, provide no support or are just scammers.

- International borders, most ASICS come from China exacerbating other issues.

- market volatility, 2018, need I say more.

A mixed farm (ASIC, GPU, CPU) would mitigate some of those risks.

Crypto currency mining is fascinating topic. It is 21st century mining with computer hardware and software. Looking for blocks on the block-chain to be rewarded in crypto currency. To start crypto currency mining business or hobby you have to understand what kind of risks you might face. To start Bitcoin mining you will need and ASIC miner, which is basically bunch of CPUs. This kind of equipment might cost you a lot of capital, so it is a good thing to recognize the risks you might face.

✔️In the early days in Bitcoin mining you could make some profit with your laptop CPU or GPU. These days are long gone, every year new more efficient hardware is been developed. Which makes older hardware obsolete for mining. Meaning that bad timing investment could potentially make your investment worthless.
✔️Hardware failure is very big thing to reduce mining risks. This hardware needs to be run 24/7 to gain the most optimal revenue from mining. Very often these devices/hardware do brake down, asic miners are the worse hardware comparing to GPU. Hashing board failure is common problem on them, which will need additional investment after 6 month from your purchase. If this would happen to your devices.
✔️The one of the hardest parts is not enough profits. Crypto currencies are extremely volatile, one day you could mine in profit the next day you might be at loss. If you are using latest hardware, most important to stay in the game and mine with profit. Is to have cheapest electric rate between all the other miners on network. Electric is everyone biggest OPEX cost, dont even think to start mining as a business large scale if your power costs is above 6-7c a kw/h. It might be profitable to mine with 20c per kw/h today but it might not be anymore tomorrow. Which means you will need to shutdown your mining farm.
✔️Legal risks . Crypto currency is still very new, and it has not been regulated very well. So you might face some kind of crypto currency ban in the country which might affect your mining operation.
✔️Hacking – Use crypto currency safe as possible. You know the good old saying not your keys not your coins. Don’t keep your mined coins on exchange. And use only community trusted mining pools.
✔️And the last of the top 6 is the environmental risk. Choose mining location wisely. Mining hardware most likely will use a lot of power, this is why they will produce a lot of heat. And heat will affect your mining operation. Something like mining container could be an option.
Recognize your risks before starting a mining operation.

Please comment down bellow with any more risks you might think it is worth to mention.
Video HERE