A few words about unscrupulous manufacturers of equipment for mining / New Year’s sale / industry news and a few words about the upcoming halving.
Hello everyone, Bemine is in touch! As you can see from the headline, there are a number of questions on the agenda of today’s post on our Blog, so we won’t be weary, but let’s get down to business immediately:
How Ebang tricked and continues to trick miners around the world.
Sowe all know the Chinese manufacturer of ASIC miners — Bitmain. They have been on the market for a long time, their cars are often better than bad, the company has been since the cryptocurrency boom in 2017. trying to get an IPO and get an influx of external investors (I’ll tell you a secret, the whole market is looking forward to it), and users are mining on the old S9 and S9i to this day. Not so long ago, the company updated its line of miners, while updating the obsolete S9 to the S9k model. These machines have maintained production efficiency, while moderating their appetites for energy consumption.
At the same time, there is a certain monopoly in the market of manufacturers of equipment for mining on SHA-256, in the sense that there are not so many companies as famous as Bitmain. Of course, there are Obelisk from the USA and Innosilicon, as well as Bitamin from China, have seen several attempts by the Russians to break into the ASIC miners’ production market (all are unsuccessful, the reasons are unknown). However, a really competitive organization on the horizon for a long time was not visible. And here comes Ebang with its flagship Ebit, promising unprecedented low power consumption with comparable mining capabilities. It wasn’t there :) The situation was as follows:
E10 consumes 1800–2100 watts of electricity against the claimed 1650, despite the fact that production floats by 12–18% on average per day.
The boards of the power supplies fail. This is a plus and a minus. The fact that the boards come out usually once a month, with the exact observance of the temperature regime, of course, is not very pleasant. At the same time, half of the power supply boards can fail, which means a 50% reduction in production and energy consumption. Which, of course, gives an advantage over S9. There, if the block went out, it went out. ASIC is non-functional, no coin is mined. On Ebit you stil get up to 9TH / s per kilowatt.
In the bottom line, we have little competition with S9, also if ypu talk about S9k. Although the S9k does not consume the declared 1,100 watts of light (instead, we have ~ 1250), it began to produce as much as the S9, and has more potential for firmware updates (can be rised up to 17–18 TH / s) than the E10. Our clients had to feel the deception on themselves with the number of Terahash they got at the end and consumption of light. At the moment, we are trying to dissuade people from these machines :)
Market Events Digest
Autumn turned out to be descending for the whole market. A downward movement followed the exit from the flat, as a result of which we touched the $ 7300 area. But there are also a number of discorrelations. I suggest you to think a little bit over the question. In the spring of 2019, the wholesale cost of equipment was at the level of 25–35 thousand rubles. when purchasing from 50pcs. We will call this value of the variable “A”. At the same time, the price of the First cryptocurrency was in the range of $ 4500–5500. We call this value of the variable “B”. What do we have in mid-November 2019 A = 25–35 thousand rubles. when purchasing from 50pcs. At the same time, the price of the first cryptocurrency — B, is at the level of $ 9000 (the peak value for this period is A = 65–75 thousand rubles, B=14,000$).
What could this mean?
There is an opinion that the machines from the S17-T17 line will be the most liquid from the point of view of investing in mining, will happen after a halving, when it will become more expensive to mine a block. This should play their high power. How will actually remains to be seen.
Perhaps the disproportion is the so-called “last purchase.” Judge for yourself when the price of Bitcoin increased from $ 4k to $ 14k and adjusted up to $ 7.3k, and then returned to $ 10.3k (in good volumes) again in 24 hours, we saw a specific reaction to the level.
Selling a price lower (at least for now) is not possible, and hamsters who bought again for $ 14k (those same enthusiasts who are slowly returning to the market) were recently shaved in 2 directions. We see that trading volumes since June 26 have steadily declined until October 8. Then the jump on October 25 broke the downtrend. Now the average trading volumes are higher than the average values that they have taken since the beginning of the year, and are growing, which may mean that interest remains in the market.
UPDATE 12/17/2019: The price has dropped below. Still bearish. Currently, the variable B = $ 7000. The price went down even lower, we saw drawdowns up to $ 6,800, however, purchase volumes continue to increase. The scenario has not changed globally, despite minor price changes in favor of a damping (?) Trend.
Thus, interest in the currency is maintained, while as interest in secondary products ASIC miners in this case. On the one hand, the statement about the secondary nature of miners may sound controversial, but if you think about it, Bitcoin’s idea was in distributed participation in network life. It was assumed that the owners of the GCD would be ordinary citizens, not mining a farm.
falls. At the same time, the payback of mining, as an instrument of investment activity, has increased approximately 1.5–1.8 times (if we are talking about models of the outgoing generation, such as S9) compared to the spring of 2019.
Thus, we have a unique combination of the low cost of the device and the actual payback of the project over the past 1.5 years. That is, a springboard for attracting a “hamster investors” to mining and the cryptocurrency market has been built.
There is another point of view. Perhaps (and this is not an unfounded point of view, just when we talk about it, we mean the fact that mining is more important than Bitcoin itself) the movement of the cost of equipment for mining Bitcoin may precede the movements of quotes on exchanges. Then this is a negative call. Then, this may mean that we are going back to the $ 4k area.
How events will unfold, we will see in the near future. And now we all have the opportunity to purchase ASIC miners with a discount in the region of 35% of their peak value and get a payback of 1.8 times more than it was half a year ago.
At Bemine, we prioritize the idea of preparing a springboard for a private investor to enter. Many factors indicate this, the main ones we have already discussed.
New Year’s sale at Bemine!
Against the background of the above, Bemine begins the New Year sale with discounts up to 46% of the cost of equipment.
Now, we are ready to offer our users the prices BELOW than they were in the spring! The best offer for cloud mining and retail in the country has become even better :)
Profitability from production has become even greater, and we, in turn, have made the service even more reliable and convenient.