The current crypto winter makes people surprised if mining continues to be profitable. Is crypto mining alive at all? Let’s assess how relevant mining is within the fall of 2022. Is it worth entering the market now?
What affects mining profitability?
Mining is a method guaranteeing the operation of the crypto network, which needs computing power. Miners ensure the process of transactions and shield the network from unauthorized access and changes. For that, they receive cryptocurrency.
The profit depends on a variety of factors:
- The number of mined coins. It depends on the equipment, the network difficulty and the reward quantity.
- The rate of cryptocurrency. The market regulates the rate of cryptocurrencies.
- The cost of mining rigs and electricity.
Mining profit is calculable just for a brief term. The longer the investment period, the more difficult it is to predict. The factors on which the financial benefit of cryptocurrency miners depends dynamically change over time.
What miner should I use?
The times once it had been probable to mine crypto on home computers are gone.
Now it is mined by ASICs. They’re loud and consume heaps of electricity. If you’ve determined to begin mining and can invest from $5 000 – then choose ASICs. If you would like to make a $150–$5000 investment, you should rent mining hash power.
How much am I able to earn today?
If we are talking about mining profit in fall 2022, it depends on the model of the device you bought. Let’s think about Antminer S19 J Pro: with the value of $5000, it will earn up to $250 daily. However, the profit would rely on the electricity costs you’ll have.
The situation in the ASIC market directly depends on the crypto market typically. All the most recent models of mining devices from leading data centres were purchased through pre-orders. Current drop by demand permits you to shop for ASICs directly from stock. So long-term investors will use the instant to maximize their profit by getting high-quality instrumentality at reasonable costs.
Should I enter the market now?
If you’re considering getting into the mining market, you must understand what goal you would like to realize. If you would like to earn a lot of money very fast then mining isn’t your investment type.
If you concentrate on mining as a long-term investment, then it’s worth it.
Is there any future for mining?
Many times throughout the history of cryptocurrencies, mining was believed to be dying. However, as we can see, it still exists and even generates income for the miners. In comparison to five years ago, the entry threshold has significantly increased, but the pace has also changed considerably.
Look for clever and trustworthy cloud mining providers to avoid mining cryptocurrency in your garage. Over the past five years, there have been many mining service providers, but not all of them have endured the crypto winters.
However, there are exceptions, for example, the legal operator of the largest mining hosting farm ECOS, located on the territory of the free economic zone in Hrazdan. The company celebrated its fifth birthday last week. State support, such as exemption from taxes and VAT, import and export duties, and property and land tax for twenty-five years, allows ECOS to operate steadily and keep fees low.
The crypto winter may soon come to an end. Now could be the best time to maximize long-term profits and acquire mining equipment or hash power at a discount.