Starting a farm, what to build or get?


#1

Hey all! Great to be here with you.

I have about $100K in capital readily available and want to start a long-term farming operation. We do have a space available with an electrical rate of 0.07c/kWh. My questions are as follows:

1.) Would you recommend buying a bunch of ASCI (different kinds) and/or build GPU rigs?

2.) Since a lot of money is being spent right away, which of these would provide the quickest ROI?

I understand that this is very complicated and that the difficulty and whatnot is constantly increasing.

Feedback is very much appreciated!

Thank you.


#2

What is your main intention for wanting to start a mining op?


#3

I read farm, not mine. Where are you located? I believe you will get a better ROI with farming and not mining.


#5

I believe you will get a better ROI with farming and not mining.

LOL!

ASICs are going to have the fastest ROI. However, you are going to run into the issue of availability an convert your $100K capital into BTC, LTC, or DASH to buy them from China. You can get them from Ebay but you will pay much more for the units. Don’t forget to get power supplies as well. You may run into a customs issue too. Some of the concerns Peter and I have about ASIC miner purchases are listed here:

With GPU mining, you will currently run into a similar issue where retail stores are limiting the purchase of GPUs.

ASIC ROIs are changing rapidly but probably looking at 1 to 2 month ROI. GPUs, you are looking around 1 year ROI.

I’ll tell you, like I tell everyone else, Look at mining as a hobby.

Peter and I have started an experiment like you are thinking about doing. Check out our progress here:


#6

That is quite a bit of money to be throwing at something that you seem to know very little about. I know you are coming here for information but it seems if you have that kind of money you are ready to throw at something you would be a bit more educated on the subject in order to say hey I am going to jump into this. Not trying to be harsh it just seems odd to me to have the questions that you have and it seems like you are putting the cart before the horse in a manner of speaking.

Why not just invest it?
What made you come to the conclusion to set up a mining rig farm?
What coins are you going to mine that ultimately will decide between ASIC’s and GPU’s?
How often do you want to change out hardware that can play a roll between ASIC’s and GPU’s?
How often do you want to change coins?

Honestly after setting up my mining rigs if I have 100k I would just slam it all into BTC and be done with it.


#7

Yes, sir. Or, just start a nice little Alpaca farm.


#8

Purchase wind turbines maybe? You’ll have to run the figures to see if this less expensive than paying 0.07c/kWh. Also, what kind of climate are you located in? A lot of mining operations are located in cooler climates to cut down on cooling via HVAC.


#9

Located somewhere where it gets really cold! That sounds like a good plan. Perhaps a combination of both Solar and Wind? I hear that 0.07c is rather cheap however with the increase in difficulty, it gets harder and harder to maintain stable profits. The only stable long-term solution would be to have a system in place whereby energy costs are dramatically reduced.


#10

Thanks for the awesome post!

I’m looking at this option for long-term profits. I also find it cool that this is even possible. Looking to make this into a full-time endeavor. I hear it’s best to get A LOT of GPUs and mine a few different coins? The good thing about it too is that you can switch to other coins and are not stuck with only one (under ASCI).


#11

If your energy is already cheap (same price in my community down south :D), I think investing in miners is a good idea, as opposed to overpriced energy producing infrastructure. I worked for a company that installed 1/3 of wind turbines in the U.S. and 1/20 solar photovoltaic cells worldwide, and I think that those big wind turbines cost more than 100k. It would be cool to research cheaper ones for homesteading, though. I am somewhat of a solar nut so that would be super cool to me to have photo voltaic cells powering all of your mining rigs as long as you you have ample sunshine where you are located. In fact, PV cells are proven to run more efficiently in cooler temperatures as opposed to high heat, as long as you are still getting sun. If you don’t mind getting your hands dirty, farming can also be quite profitable and there are many subsidies available from USDA.


#12

I would select the most profitable to start with. Get your ROI back as fast as possible. Then diversify if you want. In your diversification, you will search for minable coins that have huge potential.

Let us know if you need any help.


#13

hey hey
so…?
let us know


#14

You should look to a location near hydro plants.