Recently, the crypto market has been sluggish. In light of the uncertain investment trends in the market, a growing number of investors have shifted their focus toward the crypto upstream — mining. Compared to the volatility of the crypto market, mining has emerged as a more prudent investment option, particularly during times of market downturn.
Despite its tempting returns, mining is no easy task. As a crypto miner, you may face many challenges. For instance, miners struggle with how to choose a mining pool, optimize mining machine performance, and fix machine failures. Today, we will go through the five key factors in crypto mining and help you optimize your mining experience. Whether you are a beginner or an experienced miner, these tips are sure to provide helpful insights.
01 Choosing the Right Pool
Choosing the right mining pool is a crucial decision in the mining process, as a good pool consistently offers higher returns. Many seasoned miners have noticed that the mining revenue of different pools could significantly vary even when mining machines with the same hashrate are used. While miners may think that the difference is caused by the varying fees charged by mining pools, compared to the technical strength of the pools, the impact of fees is minimal. In the intense mining race, you might miss a block reward due to a slight delay.
As such, for miners, the ideal pool should come with sound technical capabilities, a large hashrate ratio, and reasonable fees. At the same time, the number of mining nodes owned by the pool also affects the stability of the mining process. In this regard, pools with a global distribution of independent nodes are good options because they can maximize the connection speed and minimize latency.
02 The Right Entry Point
The cost of mining machines directly determines their payback period. The value of a mining machine is primarily subject to factors that include hashrate performance, power consumption, and the market price of hashrates. According to HashrateIndex, the latest mining machine with the lowest power consumption now costs $15 per 1 TH/s. Based on that figure, a Whatsminer M30S++ with a rated hashrate of 100 TH/s is only worth about $1,500.
Source: HashrateIndex
That said, back in early 2022, Whatsminer M30S++ was sold for $7,997, five times higher than its current price. If you bought the model at $7,997, unfortunately, based on the current mining revenue ($0.067 per 1 TH/s), it will take you six years to recover that cost, which indicates the significance of timing.
03 Using the Right Machine
Choosing the right mining machine is another key factor that miners must consider. Different machines come with varying performance levels. For example, some are stabler, while others may suffer frequent disconnections or reboots. When selecting a mining machine, miners should account for such factors as power capacity, electricity consumption, and cooling efficiency according to their individual needs.
Source: https://www.viabtc.com/farms/
04 Maintenance and Upkeep of Mining Machines
For miners, the maintenance and upkeep of mining machines are also very important. During the mining process, mining machines might run into all kinds of problems, including poor cooling conditions or fan malfunctions. Therefore, miners should regularly check the operating status of their machines for timely maintenance and upkeep. Additionally, brand and quality also matter, and choosing high-quality mining machines from a reliable brand can help to reduce the risk of malfunctions and maintenance costs.
05 Tracking Market Movements and Mining Machine Profitability
In the course of mining, miners also need to track market trends and monitor the BTC price and mining machine profitability. Based on those statistics, miners can make prompt adjustments, such as switching to another mining pool or changing their mining machines, to maximize returns.
About ViaBTC
ViaBTC, founded in May 2016, has provided professional, efficient, safe and stable cryptocurrency mining services for over one million users in 130+ countries/regions around the world, with a cumulative mining output value of tens of billions of dollars. As a world’s top all-inclusive mining pool, it provides mining services for dozens of mainstream cryptocurrencies including BTC, LTC, ETC, etc. Backed by the one-stop, all-inclusive services spanning the mining pool, the exchange, and the wallet, ViaBTC is committed to offering global users more abundant supporting tools, stabler and more efficient mining services, and better product experience.
