30 Aug Is it possible to use an ASIC miner at home? What will you need before you go for it?
If you think or have been made to believe that you cannot mine Bitcoin at home, let us tell you otherwise. ASIC miners entered the crypto market and made the network’s difficulty rise. However, that doesn’t mean cryptocurrency cannot be acquired through a setup at your home. In fact, if you’re a cryptocurrency enthusiast and want the Bitcoin network to remain healthy, we recommend you go for it.
Before you make up your mind, let’s jot down some basics you should consider and keep in mind.
Why mine Bitcoin?
The obvious reason would be that you’ll earn hefty rewards. However, what’s stopping you from purchasing one from your favorite exchange? That surely is a way to acquire Bitcoin, however, you would have to purchase it at a higher price. If you mine Bitcoin, it would be more profitable as you could sell it at the market price. The market keeps on fluctuating and you could make more profit than you thought you would.
Moreover, the Bitcoin network is clear from any attack. The only way someone can potentially harm it is if they dominate 51% of the network. The more users on the networks, the harder it gets for anyone to damage it. If you contribute and fire up a rig, you will be contributing to making the blockchain decentralized.
How do I mine Bitcoin?
Theoretically, you are able to mine Bitcoin with a CPU or GPU setup. However, with the difficulty level rising on the network, you will probably not be making any profits with this setup.
You will need an ASIC miner.
The first decision to make is whether you want to build a machine yourself or buy one. Building an ASIC miner would require a lot of technical knowledge and expertise. It will be time-consuming and would require you to remain patient. There will be a lot of tests and trials in this process. Unless you’re up for it, we recommend you go with a built, ready-to-use ASIC machine. In terms of expense, it more or less will cost you the same amount. The components of an ASIC machine are expensive, so it’s unlikely you’ll be saving much by going that way. It really depends on how much you’re willing to spend and how sophisticated you want your machine to be.
Your second decision will be deciding how much are you willing to spend on the ASIC miner. The value of these machines depends on the speed they provide in TH/s. The more speed you have, the more Bitcoin you will earn.
Many resellers put new and used equipment on sale. The used machines will appear tempting because of their lower price. We advise that you do in-depth research on whether the machines are actually credible. A lot of times used ASIC miners are not fully functioning.
Which ASIC miner should I go for?
There are many trusted manufacturers gaining popularity in the ASIC market. The leading ones are Bitmain, WhatsMiner, and Canaan.
The top three picks for your home setup are:
- Antminer S19 Pro 110 TH
- Antminer S19 95 TH
- WhatsMiner M31s+
The prices for these machines are high, however, due to the crypto crash, this is the ideal time to get them for discounted prices. These machines are new, and high-performance. No better time than now to consider all your cards.
Consideration for a home setup
Before you bring an ASIC miner home, you would need to know where to put them. This machine is loud and produces heat. Think of it as 10 hairdryers running at full speed, all the time. You definitely cannot keep them in your bedroom or the kitchen.
To deal with the heat that is produced, you will need a thorough ventilation system. You would need to direct the heat outside through vents and exhausts and intake fresh air from the outside. This can easily solve your heat issue. You may also utilize the heat to keep your home warm. Many home miners have done this, and it works quite well for them.
If you plan on scaling up and using more than two machines, you may want to look into Igloo coolers or air conditioners. We would suggest you invest in high-speed fans and calculate with experience how much cooling your machines require.
To manage the sound you would need a dedicated space which is particularly for the ASIC machines. You may make your garage noise canceling and place your mining setup there.
These machines are sturdy and heavy. You might be surprised at how they can withstand a hot and dusty environment. This means you don’t necessarily have to clean up. However, we don’t imply that you may throw them around. If you drop them, they’ll break.
As long as you have something solid, like a metal rack to place them on, your machines are safe.
Connection to a Network
WiFi is not an option for ASIC miners. As they are specialized to mine Bitcoin, they don’t even have a power switch or USB compatibility. You would need to connect it with wired internet. ASIC miners don’t use much data. If you have a decent connection, you can run several machines smoothly.
Most ASIC machines require 240 volts plus and consume 15 amps or more. In some parts of the world, this is the standard number, however, in the US the typical plug is 120 volts.
You may need to get some electrical work done before you plug in your machines. Otherwise, there is a chance of a short circuit.
Setup your Miner
Once you have everything in order, it is time to set up your machine. You might find it difficult to figure out the IP address of your miner. The easiest way to do it is to check your home network’s DHCP server. This is usually connected to your router.
Once you find the IP address and enter the username and password, you would be taken to a webpage for ‘Miner Configuration. This is where you enter your mining pool URL, name, and password.
Bitcoin Mining Pools
There’s not much to know about the Bitcoin protocol to operate an ASIC. it’s pretty simple once you have everything in order. If there is something you would need to keep in mind is the mathematical probability of solving those complex puzzles through your ASIC machine. Bitcoin is harder to mine, especially now with so many users on the network hunting for rewards. The global hash rate i greater than 100 ExaHashes per second (EH/s). Your ASIC miner offering 95 TH/s is 0.000095% of the total hash rate required. If you go by this, it might take you years to mine one Bitcoin, with the bills coming in every month.
The solution is to join a mining pool. This is a group of miners working with one another to solve the blocks and share profits. They are free to join. You would only require an email address to sign up and then select a username.
Profits at Home
The biggest recurring expense would be the electricity bill every month. The newer ASIC miners use 3.2 to 3.5 kW. You’re approximately spending USD 7 every day, by this calculation. This also depends on the electricity rates in your country. Some areas have cheaper electricity than others. After you pay these bills, whatever you make on top of it is your profit.
A quick Checklist
Now that we got everything covered, and you’re still with us, it’s safe to say you’re strongly considering mining at home. Here’s a checklist of the to-do list for your setup:
- Plan the heat and sound for your machine.
- Get electricity work done, if your home requires it.
- Get a wired internet, a switch, and a couple of CAT-5 cables.
- Purchase your ASIC machine.
- Select and join a pool.
By covering everything in grave detail, you can get an idea of what a home crypto setup truly entails. It’s a great way for a passive income, and to make your humble contribution to the Bitcoin network. If you’re all set, go for it!