What is a coin mining farm? Can I mine at home?

With the rise of Bitcoin, cryptocurrency has received more and more attention from the public, and cryptocurrency mining has also become a favorite of many investors. When it comes to cryptocurrency mining, we have to mention the coin mining farm.

What is a coin mining farm?

Simply put, a "coin mining farm" is a place where mining rigs are centrally managed. Typically, cryptocurrency mining consumes a lot of electricity and generates a lot of noise. Therefore, most people who set up mining farms choose to set up coin mining farms in remote places, close to power stations, and low electricity costs.

Since the cryptocurrency mining rig operates 24 hours a day, the damage rate of the cryptocurrency mining rig is too high in a normal environment, and mining farms generally have solutions such as ventilation, dust prevention, and heat dissipation, which can ensure the operation of the cryptocurrency mining rig. .

At the same time, through large-scale operation, the cost of cryptocurrency mining rig in operation and maintenance can be reduced.

Mine investment cost composition

How much does it cost to set up a coin mining farm? Can ordinary people build their own coin mining farm?

The investment required for a coin mining farm is divided into: site construction cost, mining rig cost, network and maintenance cost, and electricity cost.

1. Site construction cost

The cost of the site includes the approved lease of the land and the construction cost of the factory space. According to different needs, the cost of workshop space varies greatly. Small coin mining farms only need tens of thousands of dollars, while relatively large large mines need hundreds of thousands of dollars.

There are many factors to consider when choosing the location of the coin mining farm: the mining farm needs to be built in a sparsely populated, no natural disaster, and close to the substation; Mining farms need to choose places with lower electricity prices, and getting low electricity prices is the most important requirement for building a coin mining farm.

Depending on the location, the approval cost of a coin mining farm is different and needs to be discussed in detail at the specific location.

2.Mining rig cost

The cost of mining rig includes the purchase cost of mining rig and mining rig power supply. Miners or mine owners can make reasonable configurations according to their own needs. The price of mining rig fluctuates with the currency price. In theory, the best time to buy mining rig is at the end of the bear market or the early stage of the bull market.

3.Maintenance and Network Costs

Network costs include the cost of purchasing network cables, routers, switches, PCs and other network connection equipment, which are relatively small. The maintenance cost includes the cost of hiring a mine maintenance engineer. A small 500-seat coin mining farm also needs to hire two maintenance engineers, which is a lot of money.

4. Electricity cost

The cost of electricity is the core competitiveness of the coin mining farm. The electricity cost includes the electricity bill for the mining rig operation, as well as the cost of the transformer, wiring, etc. used to supply the electricity. Electricity prices vary from cycle to cycle within a year and are mostly not constant.

On the whole, the cost of a coin mining farm is high. Generally speaking, the larger the coin mining farm, the lower the cost allocated by a single machine. Compared with self-built coin mining farms, the mining rig hosting method can save huge costs for miners.

In North America represented by the United States and Canada, the policies are relatively stable and the legal system is relatively sound. Many large mining companies have been stationed there, but the comprehensive cost of coin mining farms in North America is too high. Therefore, mining farms in North America prefer to host mining rigs in coin mining farms such as LLGO instead of building their own coin mining farms.If you want to host your mining rig, you can contact LLGO.