Mining Over By Middle October

ResonanceResonance Member Posts: 57
That's my estimate based on difficulty and ETH price. It makes no sense to be building new rigs today unless you get the stuff for free. Mining calculators are stupid because they assume no increase in difficulty, which increase daily.

Comments

  • kentankentan Member Posts: 85
    edited July 2017
    Well, I did try to warn folks here a week or two back but they keep buying overpriced components and building rigs hoping to not only breakeven but even turn a profit. Based on the rate of increase in difficulty and price of ETH holding around current levels, even the prospect of breaking even is going to be a very long drawn affair. Once they can't even meet electricity cost, then it won't even make sense to turn on their rigs since they'll be losing money. The ultimate gainers in this equation would be the PC component suppliers and your friendly electricity supplier

    The problem is the euphoria of seeing a bit of ether being credited to their account. Once they see their mining returns drop, they try to upgrade or add more components to shore up their hashrate not realizing that they just can't outrun the increase in difficulty PLUS it becomes a self-fulfilling prophecy because by their adding more capacity, they are, in turn, also contributing to the increase in difficulty rate. The old adage of "pumping in good money after bad" rings true
  • wcryanwcryan Member Posts: 157
    Or You could be like me and continue to mine no matter what because I believe that eth is going to akyrocket in the future years. I'm not using it to pay my bills at the moment so I'm able to do that
  • ResonanceResonance Member Posts: 57
    If you believe that ETH is going to skyrocket, you would make far more money buying it instead of mining it. By mid October, it's likely that mining ETH will produce less than the cost of electricity for most people. As mining becomes unprofitable, they will be forced to do POS as miners drop out.

    A lot of people think they can just simply move on to the next coin. Most of the newer ones cannot be mined with GPUs. The biggest new ones, EOS and XTZ, will never be mined. I believe most new coins with real potential will follow that path.

    It simply makes no sense to be building new machines at this time.
  • wcryanwcryan Member Posts: 157
    Most of our thoughts are future predictions in which we will never know. So In all essence we are just trying to take one route or the other. Ie: mining or buying. If we could all predict the future we would all be billionaires but we can't. So the end goal for anyone for whatever route they take will just a finger crossing game and hope that you took the "lucky" route and made the right decision.
  • ResonanceResonance Member Posts: 57
    Wrong! It's not a guess that the difficulty will reach a threshold soon. That's a calculable trend that's quite evident. It's also a certainty that if you think ETH will go up in price, you will no doubt make more money buying directly instead of mining. These are simple facts.
  • wcryanwcryan Member Posts: 157
    Not wrong. Of course the difficulty is increasing. With a price increase in the coin there is still money to be made. We've have seen this countless times over and over again. But anyone sitting here saying that before PoS ethereum will not be mineable is truly a prediction of the future. Yeah your making less in a day right now than you were 2 months ago but if the price increases there is still money to be made. When eth was at 10$ and 40$ I'm sure people were thinking the same thing. Then it went to 80. Then 120. And it is at where it is now. At the end of the day we all know it's going PoS at sometime. But to sit behind your computer and state that it's not gonna be profitable sometime before that is just a pure prediction.
Sign In or Register to comment.