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April 29, 2018, 12:59:20 AM |
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I've reached the point with mining where I would like to scale up from my hobby operation into a small dedicated facility. I'm not looking to make this my full time job, but certainly have enough time to dedicate to building it. I'm looking at under 100 units, likely starting out around 40 or so and reinvesting profits. Not looking to build a huge farm at this time. I understand now isn't the best time to start this in many ways, however I've spent some time on risk/reward and it seems worthwhile to me.
The state I am located in has high power costs, so I'll be renting space in a neighboring state for better power rates. As such, I want to make sure I have all my bases covered so I don't have to make more trips out than needed. I understand the basics of what I'll need in terms of permits/licensing from my other businesses, but mining has higher power requirements than what I do now, so I just don't want to miss a step in my planning stage that I wind up paying for later.
The steps I have, in chronological-ish order. This doesn't include obvious things like buy miners, shelves, fans, form LLC, etc...
1. Reach out to power company to determine exact rates and availability, make sure the use is permitted in the area I'm looking at and that adequate power is available.
2. Contact the city I'm planning to locate this facility in, ensure that there will not be licensing issues. - Not sure if there is anything special I should be looking out for at this step. Some cities I have businesses in have been very problematic with licensing for various operations. On the fence as to whether I should present it as a bitcoin mining operation, or a datacenter.
3. Find/rent a space. Looking at industrial flex space-type properties. Most of what I am familiar with is typically equipped with ~ 200A/220V power. This probably is sufficient to start, barely, around 40,000W of power for miners and 1500W of power for cooling. As far as scaling beyond this, is there anything specific to look out for as the ability to bring in more power?
4. Set up skeleton of facility. Racks, PDUs, etc. Schedule inspections, fire marshal, etc... while property is in the process of being set up, before the installation of additional outlets or modifications to the building.
5. Install 30A outlets, start up units.
I figure this initial setup should take around 3 months, and cost somewhere around $50K all in. Planning on running the current gen bitmain hardware, mixed units. I don't really intend to sell anything I mine other than what is absolutely needed to cover expenses. Break even should be somewhere around 180 days with a 15% avg difficulty increase monthly and 2% increasing coin prices monthly according to mycryptobuddy calc. Power cost should be around ~.06/kw
Any constructive criticism is greatly appreciated.
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