Cryptomining thoughts?

Discussion in 'Off Topic' started by hertzian56, Feb 11, 2021.

  1. hertzian56

    hertzian56 Notebook Evangelist

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    I was just kinda curious about cryptomining which of course won't be a subject associated with positive feelings here lol

    My conception of this is that it's just for very low cost energy situations and black market type of operations where they know in advance they can get something in the real world for it. For everyone else it's like the old gold rush, there may be a few outliers to parade, but the real winners were those who sold the equipment for the mining to the prospectors ie sears, levis etc At least those miners got something in the hand they could go get real things for, cryptocurrency seems iffy. I've heard you can buy a Tesla with it so you could resell the car for hard cash. The privacy aspects I would think appeal to mafia type of transactions too. It helps if you can get the necessary equipment for relatively low cost, mostly where it's made ie China.

    Sure you can run your system 24/7 but you have to cool it, cool the ambient, power it, have/pay for the space, make sure it's maintained otherwise etc So other than that it sits there and does it so you can do other things. Free money once you payoff the equipment and factor in power/space/your time benefits so it's a long term type of thing.

    These commercial setups look like they are spending huge amounts to get back a good return earlier to minimize the chance of systems failing and getting to the profit point as quick as possible. Maybe taking advantage of extended warranties or return periods for the equipment to minimize losses due to systems failing. But with the fluctuations in value of cryptocurrency it seems all pretty iffy even at that level.
     
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  2. Tenoroon

    Tenoroon Notebook Evangelist

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    Being the "tech guy" of the family, I have had many family members call or sit down with me to see if crypto mining is worth. I have always told them no, especially in the climate right now. Parts are hard to find and scalpers are winning. I have told them all that unless your willing to spend an absurd amount of money, breaking even will take too long, and because it will take too long, stability is a big issue. In the climate right now, it seems stable for a while, but not for about a year or so. I'm not the best at explaining the crypto situation, but this is what I have told family and friends who have wanted to hop in the mining train. I have been offered money to build family/friends rigs to mine, but again, I feel its too unstable right now unless you're willing to spend 10k+ USD for a mining rig (and actually obtaining parts is quite difficult too.) This is just my take on this, and I will say I'm not the most knowledgeable in this area.
     
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  3. hertzian56

    hertzian56 Notebook Evangelist

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    Another thing is that even if you get enough to buy a tesla, you cannot really buy it anonymously, at least from tesla it all has to be on record etc Whatever else you can buy I have no idea, maybe some other sort of virtual wealth like stocks?
     
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  4. etern4l

    etern4l Notebook Virtuoso

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    This year will probably be the last for mass mining on a GPU for individuals. The only coin which could be remotely considered worth mining is ETH: one could make a "whopping" $3-12/day using a single 1080-3090 GPUs and assuming cheap electrics, mining 24/7, no transaction costs etc. This would mean running the full crypto client, downloading a 300GB blockchain etc. Profits from any online "easy mining" schemes would be much smaller, if any at all. I'm also optimistically assuming no security risk involved in running the various pieces of software involved.

    So for most individuals this really means mining could just be a fun project to learn about crypto at best. Moreover, Ethereum network will soon do away with traditional mining. It will be replaced with staking, really meant to cut out minor miners. The cost of entry is 32 ETH, so about $64k today. They are also claiming it will be much more efficient/environmentally friendly due to sharding and thus much less hardware will be required to run the network (they are claiming 99% more efficient, whatever that means, I guess the current compute costs involved in running the network will be just 1% of the waste going on today).

    Worth noting that if everyone who physically can started mining crypto, the aforementioned profits would decline, and eventually the commercial mining operations would be out of business, likely improving availability of latest GPUs on the market. Unfortunately, I don't see that happening due to the moderate, but still, complexity of mining alone.
     
    Last edited: Feb 13, 2021
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  5. hertzian56

    hertzian56 Notebook Evangelist

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    Yeah it's such a small ROI per day that it only makes sense to do it with a lot of mining setups full speed or like some sites do on sly, mining by every computer that visits the sites. I could see a virus being just a mining asset and I include Norton, kaspersky etc in that category. Remember that SETI UFO project that you could sign up for and have them use your computer as a part of the search. Ultra low level usage over millions of computers.
     
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