Mining hotel – history, cost in Russia, operating principle, advantages and disadvantages, a plan for creating a mining-hotel
The popularization of cryptocurrency, its relevance and the increasing relevance of cryptocurrency mining contributed to the emergence of curious, interesting earning options. Relatively recently, the audience interested in virtual currencies got acquainted with the possibility of obtaining a place (rent) in specialized centers for the production of crypto money – mining hotels. This type of business projects is beginning to emerge in Russia today, and according to the foreign experience of similar enterprises, one can assume its good success, as well as profitability.
Mining hotels on the current crypto market are a new phenomenon. Opening establishments of this type are in demand. They make it possible to quickly and conveniently organize a modern business involving the production of various virtual currencies.
Consider and analyze the current issues related to mining hotels. Let’s analyze the positive aspects, distinctive features, and also disadvantages of such projects.
The history of the emergence of mining hotels
The emergence of the first mining hotels, providing ready-made areas for blocks of special devices, was officially recorded in the spring of 2017. The growth of user interest in cryptocurrency assets, earnings on digital coins was unusually high. The excitement was fueled by the rapidly rising bitcoin price, which quickly “pulls” up the rest of the altcoins. Naturally, earning by mining crypto coins could be quite simple.
However, a solid profit is impossible when mining without powerful computing equipment, a well-organized place and high-quality system maintenance. Before the global popularization of cryptocurrency mining, such nuances were solved by a simple investment of large capitals, but then the complexity of mining began to increase. This required updating working devices (elements of mining farms) to more expensive and more advanced ones. Also, these circumstances forced to look for better quality premises in terms of the stability of high-speed Internet and the relative cheapness of electricity. Ordinary premises have become unusable due to skyrocketing overhead costs. The equipment used in mining overloads the electrical grid, causing a fire hazard. Added to this was the inconvenience of modern ASIC devices that require intense cooling.
The whole complex of factors complicating earnings on home mining led to the tendency of renting separate premises, in which farms for the production of crypto coins were organized. Many inconveniences of this way of development of the crypto business quickly emerged – the need for complete arrangement of other people’s areas for work (cooling, Internet connection, electricity, security, etc.). Mining hotels have become a good alternative that removes most of the negative aspects. This is the newest round in the direction of making money by mining digital coins.
Features of mining hotels
Today, the mining hotels that are being created are actually multi-room complexes, where optimal conditions are created for the extraction of crypto money. Each room meets a number of specific requirements.
- An electrical network of sufficient power, providing a stable voltage. Voltage surges and current interruptions should not occur. Nuance! Roughly, a mining hotel for 18-20 farms should have cables that can withstand power loads over 20 kW!
- Uninterrupted high speed internet connection. Any millisecond loss of connection can interrupt or disrupt the mining process. This is fraught with some losses for the owner of the farm, renting a place or room in the hotel.
- Ideal microclimatic conditions that meet the requirements of the operation of special devices. In the premises, the air, first of all, must be cooled and dry.
- Absolute cleanliness. Any contaminants (dust, microfibers, pollen, etc.) will quickly damage equipment or cause a power short.
- A high-quality ventilation system capable of continuously maintaining air circulation. This contributes to the efficient cooling of blocks mining ethereum, bitcoins, litecoin or other crypto coins.
- Reliable fire protection. The premises of a mining hotel, especially during periods of full load, will experience severe overheating due to the operation of mining farm nodes or ASIC blocks. Of course, in these conditions, the risk of ignition of various materials will be extremely high. A high-quality fire extinguishing system will be able to save the entire complex in case of force majeure.
- Transport accessibility and the absence of “questionable” or unwanted neighbors. For example, clients will probably be scared away by the excessive remoteness of the mining-hotel from the city, as well as its location near some landfill, favored by criminals and homeless individuals.
In addition to meeting the basic criteria, hotels for mining cryptocurrency differ in the following features:
- clients are mainly provided with only premises equipped with the necessary communications and conditions necessary for the functioning of mining farms;
- often accompanying (additional) services are provided for maintenance, configuration and monitoring of the crypto money mining process;
- often there is the possibility of renting additional capacities. You can improve your crypto farm with a large number of devices that generate blocks for the blockchain of the desired virtual currency.
Mining hotel advantages
The creation and use of mining hotels is undoubtedly beneficial to all project participants – the organizers of the case, as well as the miners of crypto coins. The most significant advantages are:
✅ savings on consumed electricity;
✅ there is no need to create your own premises for farms. There are no accompanying expenses for additional equipment;
Important! The client, having concluded a contract, transferring equipment and configuring it, in fact, only chooses a virtual currency for production, withdraws profits, and also pays rent. Additional services generally minimize the direct involvement of the client!
✅ the mining farm is guarded and professionally monitored around the clock. In the event of force majeure, technicians will quickly resolve problems;
✅ there are no unpleasant questions with neighbors;
✅ a preliminary study of the location of devices that extract cryptographic money is feasible. In advance, customers can find out the terms of service, inspect the premises, control the parameters of the microclimate, etc.;
✅ the home electrical system is not overloaded;
✅ always a stable level of expenses;
✅ the efficiency of making money on crypto mining improves due to the stable, high-speed Internet;
✅ the ability to work remotely. It is not difficult to mine bitcoin and other altcoins by remotely controlling the process.
The mining-hotel has many advantages. This organization of cryptocurrency mining is promising, profitable and convenient.
Among all the negative points related to mining hotels, the following aspects should be highlighted:
✅ huge risk of losing expensive equipment by the miner! Specialized ASICs, powerful processors, and high-performance graphics cards are incredibly expensive today. One day the “hotel” can instantly disappear, and the organizers with the stolen farms will disappear without a trace. Customer losses will be colossal;
✅ frequent deception and fraud. Due to the great popularity of mining and the desire for stable, large earnings, often clients (especially beginners) do not thoroughly study the nuances of contracts, looking at the clever tricks of the landlords. As a result, hidden legal nuances turn into losses;
✅ dishonest fulfillment of contractual conditions by the hotel owner, fraudulent advertising, etc. dr.
There are many dangers and negative aspects of mining-hotel.
How a mining hotel works?
In general, the principle of operation of hotels for the extraction of crypto money is simple:
- legal registration of business;
- organization of a complex of premises or a large, closed area, zoned into sections. Providing sites with optimal conditions conducive to safe and reliable mining;
- development and implementation of additional programs for clients;
- leasing places or individual premises to people who want to mine digital coins;
- protection and control of uninterrupted operation of systems (electricity, internet, microclimate).
Thus, the simplest mining-hotels bring profit to the owners, as well as to the clients who mine digital money.
The cost of hotel services for mining in Russia
Initially, the most important nuance should be determined – the price of the services of the institutions in question is directly determined by their location (country, region). Let’s analyze the generalized cost of mining-hotel services operating in Russia. For guidance, examples of average price tags in different cities should be given:
- Moscow and St. Petersburg – here you will have to pay monthly for a standard set of conditions of the order of 8100 rubles;
- Chelyabinsk and Nizhny Novgorod – approximately 4200 rubles / month;
- Ufa and Samara – about 1,700 rubles.
It is not difficult to determine the dependence of the cost on the region and the size of the city.
Feature! Regarding the rent, the importance of the performance indicator of the devices used to generate new blocks of the cryptocurrency blockchain should be emphasized. Powerful computing equipment consumes a lot of electrical energy and
Creation of a mining hotel – general nuances
Everyone who is fired up with the idea of opening their own mining-hotel for making money should carefully calculate the aspects of this business. Here, even a minimal omission of a relatively small cost item can result in significant losses.
To create a modern mining hotel, designed for the long-term placement of someone else’s equipment that extracts crypto coins, it is necessary to go through the following stages:
- creating a solid financial foundation. Amounts for organizing a business, starting a business, running costs, as well as a good supply of money for 5-6 months of unprofitable mining hotel operation;
- legal registration of business;
- purchase or rent of spacious premises;
- contracts with reliable suppliers of electricity and Internet connections;
- buying, leasing or renting equipment necessary for the formation of optimal microclimatic conditions and cooling;
- equipping security systems (security, alarm, fire extinguishing);
- laying of all communications and optimization of all systems;
- creation of a company website, organization of additional services and hiring specialists;
- testing, system optimization and active advertising (customer acquisition).
These are basic points that an honest organizer of a mining-hotel cannot neglect. There are still many associated costs, however, they are less tangible. The essence of such a costly but potentially very profitable event is clear. It is important to realize here a significant fact – the payback of a mining hotel is entirely determined by the place of its organization. If there are many clients in the region and the services provided are attractive, then a solid profitability will come very quickly.
Despite the natural decline in the market value of cryptocurrencies and the complication of mining top coins, it is profitable to mine them today. Because of this, miners wishing to expand their own business will look for new opportunities for this. It is the mining-hotel that provides them with optimal, almost unlimited opportunities for earning money.
The formation of your own mining hotel is objectively determined by investment opportunities, as well as the potential of the region where this business is organized. A large premises in the property greatly simplifies development and speeds up the transition to an advantageous level of functioning. A competent organization, together with good intentions, will provide income for miners and, of course, for the most modern entrepreneur.
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