If we must be sincere, cryptocurrency has really gained a lot of traction around the world. It is no doubt if you are reading this post that you have earned something from cryptocurrency or maybe you are a learner and you are about to start learning cryptocurrency. Among these cryptocurrency, the most recognized is the Bitcoin and I can say that 80% of the people who knew about cryptocurrency today got to hear the name Bitcoin first before understanding the blockchain technology and the finance behind it.
A lot of people have tried making money with cryptocurrency, ranging from trading, earning via bounty or airdrop, blogging, mining and many more. Although this processes are very profitable, one of the most difficult of all is the Bitcoin Mining.
Bitcoin mining is actually a profitable business as the work is to validate a transaction through the solving of arithmetic problems and making sure there is no double spending. With this, the miners are paid for mining blocks but then it is very difficult to mine bitcoins as the chances are very low due to he possibility of mining. With this, mining require super computers with only one function.
With this, a lot of people go buy the ASIC ANTMINER so as to get a chance to mine a bitcoin but they end up not being able to mine because there are other competitors such as Bitcoin mining companies who have a lot of miners such as the ANTMINER S19 PRO. This companies have the financial capacity to invest in buying a Mining machine which can cost up to $8K per unit.
With Bitcoin mining, electricity should be considered as the miners consume a lot of electricity and this could be very expensive to pay leaving the profit margin for individual miners can be very low and this could be worse if the price of bitcoin goes down.
Do you think it is a good idea to mine bitcoin as an individual?
I think is cool if you have the place to put your ASIC equipment.
I had some ASIC equipment a few years ago. I ran it for some time and probably at the type broke even because the electricity supply cost about the same as I made. I have since hodl'd the mined Bitcoin and now it is worth a lot more but I would have been better just spending my money on Bitcoin at the time rather than the mining equipment and electricity. However, I enjoyed the experience.
I would say if you want to mine now. You need to have a cheap electricity supply that probably rules many of us out.
I personally believe that there are other currencies that are profitable since they are in their initial stage, these currencies allow a better return on investment, it is just a matter of searching and evaluating all aspects of the investment.