@alanfreestone thanks for the article! Does "passive" not include keeping a mining rig running? It seem a tad under represented on Steemit - just a suggestion (unless you don't categorize this under "passive", if so all well and good :3).
You are viewing a single comment's thread from:
Hi
Thank you for commenting. Yes sure, I'd consider mining passive....but does it meet the 'income' part? AFAIAA it's not currently profitable to mine any coin with normal hardware (i.e without spending thousands on hardware that will become devalued rapidly as the tech advances), after accounting for electricity costs. I had an ETH miner for about 6 months last year & I earned a profit from it, but gradually the difficulty went up & my returns got less & less until I turned the thing off. Of course since the ETH surge I wished I'd kept it running, but I would have got the same benefit simply putting the cost of the rig & 'lectric directly to purchasing ETH in the market. I'd love to be proved wrong though :-) Here's a link to help people compare: https://whattomine.com/coins
Yes, I would say there is certainly "income" part. Though, this is much better defended by others than myself - though I'll make a couple comments.
"it's not currently profitable to mine any coin with normal hardware (i.e without spending thousands on hardware that will become devalued rapidly as the tech advances), after accounting for electricity costs. "
Thankfully, this statement is likely not true (note how I took off the AFAIAA - if that was there it would, of course, be true as I would be telling you are mistaken of what you think you are aware of :3). You're likely thinking about ASIC miners in this case (Bitcoin etc.) and you are likely not going to make much profit (or even negative) without super cheap electricity.
GPU mining where it might be more fruitful, and becomes CONSIDERABLY more interesting in the profit department if you resell your equipment (non of these are "specialized hardware (like ASIC miners)" they are ordinary GPUS that have other intended uses) when you want to upgrade. Entry can be had for far less then "thousands of dollars" (see peoples rigs on this forum). My current small mining rig can be assembled (with the same parts) for <1500 USD and I should pull in something that resemebles 250 USD (worth) running it for the next month (using ~65 USD of power per month). It is important to mention (in case a seasoned miner sees this and laughs) I am NOT running the most efficient way possible / set up and may undershooting a tad on how much I expect to earn (I'm actually hoping for 3XXUSD worth - a tad more than 4 ETH and hopefully 6+ DECRED).
Now, with ETH going PoS it may not be the best time to start mining, however there are plenty of things to mine (though ETH is probably the best in terms of $/w).
Anywho - the literature and arguments are plenty on the net. You know, if you are considering trying to generate passive income beyond a 1% savings accounts, CDs, or something with extremely low risk (which you are :3). I would considering a mining (unless consider building and maintaining a rig something that is too "active" which I would totally understand) - especially if you are mentioning running nodes with a 76kUSD just as an entry AND the risks of coins become "shitcoins" (nice part about mining is that you are somewhat flexible!).
Yerp - that's my 2c haha! Good luck with your pursuits. I'm also interested in PoS type income - my intention is to hold a portion of my cryptocurrency that I mine in forms that generate PoSish profit. I'm currently holding some ARK (outside of the what I mine) as I like their ideas and generate a very tiny profit from their the DPoS system. I think I will also consider holding and PoS-ing DECRED as well in the future maybe.
I'll be looking forward to your articles! Right, back to your point - I think your perspective of physically mining would benefit from some research into the profitability (just so you have a working knowledge of the different ways generate income in the cryptosphere) - whether you decide to consider it for yourself or blog about are totally up to you!
Sorry if this is a bit disorganized haha :3
P.S.
I also enjoy actually the doing the hardware thing so for me its ideal as I get gain much more than just passive income (pleasure) from it which definitely influences my enthusiasm. And, I'm still very new to mining (thankfully I have experienced colleague to consult). So yeah take my 2c as my 2c - check the googles (that are backed by figures).