Should You Mine Crypto In 2022?
There are a few factors that you should consider if you think that mining is the best crypto investment. Investing in crypto has changed a lot in the past decade and some things are not as common as before. One of the things that changed a lot is mining because a lot of people stopped doing it from home because it’s not profitable point spread.
Some of them spent what they mined on crypto betting platforms by playing on the point spread and others found a new way to mine. It also matters where you are stationed because the electricity bill will be huge after the war is over. Some countries don’t have this problem but global economics is at stake.
Cryptocurrencies are affected by what’s going on in the world but that’s a common thing in these situations. Some fear that the collapse will happen but crypto had worse days than what’s happening now.
Is Mining At Home Still Profitable?
Your electricity bill is the biggest enemy when it comes to mining because it will determine how much you will make. CPUs and GPUs have become very expensive compared to the last decade when mining wasn’t so popular.
Back in the day, the most expensive GPU was around $450 and now you have the GTX Titan Z which costs around $3000.
Even with the prices this high and the electricity bill on the rise, you can still make some profit if BTC doesn’t keep dropping. In some countries, it’s not even profitable to start at home if you don’t have the right equipment.
Hardware companies are now making special equipment for mining which is far more expensive than an average GPU.
Number of BTC Mined Is Getting Lower
This is nothing new and in 2022, the number of Bitcoins that will be mined is 328 500 which means that 900 are made per day. The number of BTC that you get as a reward for mining a block is getting lowered every 4 years.
In 2022, you will get 6.25 BTC as a block reward and that will be split among all mines in the pool.
Joining a great mining pool is very important because gathering a lot of hash power is the goal. You will have better chances to solve the block and get the reward. Things that you should look at when joining a pool include the fees, pool size, and safety.
Are There Any Other Options For Mining BTC?
Cloud mining is the only option that is left if you don’t want to buy equipment and maintain it in your home. There are many advantages this type of investment has over home mining but many people fear that they won’t get what’s expected. This happens because people generally have big expectations when it comes to crypto.
You don’t have to maintain the equipment or buy hardware like ventilators because everything will be done in their facility. There are two options you have when using cloud mining services. The first one is to rent hash power and be a part of their mining pool which means that you won’t buy the hardware.
The second option is to buy the equipment yourself which is more expensive but you can do whatever you wish with it. You can rent the hash power it can pull or use it for a while and sell it. Both options are great and everything depends on your preferences so do your research before making a decision.
What Cryptocurrencies To Mine?
BTC is still the best option because it is on the top and most stable out of all, without mentioning stable coins like USDT. A large portion of the community thinks that ETH has a bigger potential than BTC, especially after ETH 2.0 is released but that is still a gamble. There’s not a lot of information about what it will be like.
If you want to keep your investment safe because the prices have dropped, you can buy stable coins. This is a great thing to do while you are waiting for the right investment.
