Misery loves company so is crypto done?

KioskAdmin

Active Member
Jan 20, 2015
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Biggest correction in a long time. Monero had been holding up ok but now it's in the toilet too.

How's the rest of STH feeling?
 

pyro_

Active Member
Oct 4, 2013
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Well it is still doing better than it was a month ago so not all bad.
 

RBE

Member
Sep 5, 2017
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Neither cryptocurrencies nor the blockchain technology on which they are based are 'done'.

If you are a miner, then the current price drop should only be of concern if it is not followed by a commensurate drop in mining difficulty. Given the positive correlation between the two, I would be quite surprised if a change in one were not followed by a change in the other, even if there is a delay.

The daily profit from my mining cluster remained about the same as the XMR price went from $40 USD to $150 USD, and I fully expect this to remain true as the price drops. The only way to significantly affect the amount of profit I make would be to add or remove nodes.
 
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Klee

Well-Known Member
Jun 2, 2016
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Just look at the history of crypto-coins, its a roller coaster ride.

But there is one BIG difference with this bubble, WAY more people and WAY more money in it this year than ever before.

I don't think the bottom is here yet but it will not be too much lower.
 
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Davewolfs

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Aug 6, 2015
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You are better off buying Tulips. How is anyone making money mining this with retail hardware? The cost of hardware + electricity exceeds the required investment by an order of magnitude.
 
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RBE

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Sep 5, 2017
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@Davewolfs Blanket statements are easy to make but hard to defend. Whether or not you are able to make money mining XMR depends on a vast number of things - how much you paid for the hardware, its efficiency in terms of H/s/W, the cost of electricity in your region, the price of XMR, the current difficulty etc.

It also depends on what your money-making strategy actually is. Are you mining and holding in hope that XMR follows XBT and ends up being worth thousands of dollars? Or are you exchanging all the XMR you mine for fiat on a periodic basis to pay for the electricity that your mining hardware consumes? Or maybe doing a combination of both? What is your timeline, expected ROI?

If you have access to free hardware, then that certainly improves the chances of being able to make a profit - free electricity even more so. But even if neither of these apply, you still have the option of treating the capital and running costs of your mining hardware as a business expense and claiming against them for tax purposes. You can also sell the hardware at any time between now and when its book value is zero.
 

Davewolfs

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Aug 6, 2015
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@Davewolfs Blanket statements are easy to make but hard to defend. Whether or not you are able to make money mining XMR depends on a vast number of things - how much you paid for the hardware, its efficiency in terms of H/s/W, the cost of electricity in your region, the price of XMR, the current difficulty etc.

It also depends on what your money-making strategy actually is. Are you mining and holding in hope that XMR follows XBT and ends up being worth thousands of dollars? Or are you exchanging all the XMR you mine for fiat on a periodic basis to pay for the electricity that your mining hardware consumes? Or maybe doing a combination of both? What is your timeline, expected ROI?

If you have access to free hardware, then that certainly improves the chances of being able to make a profit - free electricity even more so. But even if neither of these apply, you still have the option of treating the capital and running costs of your mining hardware as a business expense and claiming against them for tax purposes. You can also sell the hardware at any time between now and when its book value is zero.
So assuming you have 100k of modern retail hardware dedicated to mining. You sell as the coins ar generated and assume that the returns over time are flat vs today's prices and you are paying for electricity like everyone else - how long before my returns can pay for the hardware?
 

poutnik

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Apr 3, 2013
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Even the "make money" is variable - what to include in the equation? Cold season is nearing, so should I include the electricity used by the miner as expense, or should I add it as a saving for heating? ...
 

Davewolfs

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Aug 6, 2015
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Even the "make money" is variable - what to include in the equation? Cold season is nearing, so should I include the electricity used by the miner as expense, or should I add it as a saving for heating? ...
lol it's an expense!
 

Patrick

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Dec 21, 2010
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With Monero, there is a ton of competition from "free" mining. People that are using botnets, spinning up cloud instances on someone else's dime, and other nefarious miners. That is going to be true of any CPU algorithm.

New retail hardware, you want EPYC over Skylake for mining. You can get better numbers using other miners, but this is a relative list using the exact same setup Monero Mining Performance

My sense is the 7451P is going to be a monster at $750.

The other side on making money with it is that it requires that Monero or other crypto currencies go up. There is a lot of speculative mining. People at STH have been doing it so long that they have seen ups and downs. The hard part is that people with 0 marginal cost are not as price sensitive to when it goes down.

From the last 9-10 months, it has been profitable.
 

Davewolfs

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Aug 6, 2015
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So say dual 7451 with board and memory costs about $2500 to put together.

How much can it make a day at today's prices. How much energy would that setup uses 24/7 at 30 days?
 

talsit

Member
Aug 8, 2013
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I CPU mined BTC five years ago, it was worth pennies. I had about .385 BTC. That's worth a little now (or would be if I hadn't lost my wallet.dat). Profit depends on the timeframe.
 

Jeggs101

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Dec 29, 2010
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So say dual 7451 with board and memory costs about $2500 to put together.

How much can it make a day at today's prices. How much energy would that setup uses 24/7 at 30 days?
With what STH published on 7601s maybe 300w? Can plug that into calculators. 7301 is cheapest with 64MB L3 and from single results that is the cheapest 2 socket mining.

2650h/s and 300w and you'll be close if you plug it into a calculator
 

Davewolfs

Active Member
Aug 6, 2015
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So basically takes at least 2 years to pay off initial investment. And a single system produces enough income to pay for my internet and cable per month.

Like a non fat decaf latte - why bother?
 

spfoo

Member
May 23, 2017
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So basically takes at least 2 years to pay off initial investment. And a single system produces enough income to pay for my internet and cable per month.

Like a non fat decaf latte - why bother?
No. it would take 2 years if all the parameters would be the same in 2 years from now. But they change over time. Difficulty and reward change. XMR price doesn't necessarily follow. So you are attached to a rubber band, but the rabbit is not...
 

Marsh

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May 12, 2013
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My name’s Forrest Gump. People call me Forrest Gump

“My mama always said, ‘Life was like a box of chocolates. You never know what you’re gonna get.'”-Forrest

I learn many life and investment lessons from Forrest Gump.

Forrest Gump is one of my favorite idol.
 
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Klee

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Jun 2, 2016
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So basically takes at least 2 years to pay off initial investment. And a single system produces enough income to pay for my internet and cable per month.

Like a non fat decaf latte - why bother?

New high end server hardware is not the most cost efficient for mining. Efficient yes, cost efficient no.
 
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mstone

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Mar 11, 2015
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So basically takes at least 2 years to pay off initial investment. And a single system produces enough income to pay for my internet and cable per month.

Like a non fat decaf latte - why bother?
I guess if you think it's fun and you're a true believer and you manage to find some sucker to give you real money for the bits, it's a hobby? The trick is getting out before the suckers move on to some other worthless investment and this all ends up on the rubbish pile. I thought people were nuts investing in gold, then this happened.