Due to the sharp jump in the cost of popular cryptocurrency, many users thought that it was more profitable to mine coins than to buy them. However, if more people will mine the coin, is it not profitable to sell mining equipment? As they say, during the gold rush, earn not on gold, but on shovels.
Sale of equipment for mining: what to buy?
Is it really possible to make money by selling mining equipment? What are the risks associated with this way of earning? Where to look for the product, how to buy it and to whom to sell? All this is in our article.
Of course, equipment is in high demand. This indicator directly depends on which coins grow in price and which ones are the most profitable to mine. The most popular are Asiki and powerful video cards among all the mining equipment. System units, motherboards, coolers and other hardware can be easily bought in a regular store.
Costly equipment has the only purpose to extract cryptocurrency according to a given algorithm. Now, when ASIC mining is popular, this is a winning option, where you can make good money. The only minus of ASICs is that they are highly specialized. That is, for mining Bitcoin and, for example, lightcoin, different settings are used.
So you need to clearly understand which cryptocurrency are mined most, buy equipment for their production. Leadcoin, lightcoin and dash are leading at the moment.
GPU mining is the only option for the extraction of ethereum and other cryptocurrencies with the ethash hashing algorithm (for example, expance). In addition, most of the popular cryptocurrencies can be profitably mined on the cards (except for Bitcoin, for which it is not profitable).
The entire farm GPU is used most often for the extraction of coins. Most users collect them on their own, because it is much cheaper than buying a ready-made installation. However, to build a farm, you need powerful graphics cards, so the demand for them is constantly growing.
The advantages of cards compared to ASICs are obvious: they are cheaper and more universal. If a powerful asyk from a manufacturer (for example, Antminer S9 from Bitmain) costs $ 1600-2000, then a good video card can be taken for $ 200. The same card can be used to mine different coins, for which the miners love them. However, due to the difference in cost, the sale of Asiki will bring the greatest profit.
All described models are in high demand among users. On the one hand, this is a plus – they will definitely be bought. However, on the other hand, you are not the only ones who will sell them, which means you will have to set prices for equipment taking into account the pricing policy of competitors.
In any case, before purchasing a product, you need to study in detail the market who and what sells, what they buy best, which items are too many, and which are not enough to cover consumer demand. Having decided on the future range, you can search where to buy the goods.
Sale of mining equipment: where to buy?
Based on the fact that selling ASICs is much more profitable than video cards, in this section we will focus on the features of purchasing equipment for ASIC mining. However, you can use all the methods below to purchase a video card.
The easiest way is to find an online store selling equipment for mining and buy a large batch of Asikov at wholesale price. However, all the shops put a huge cheat, so buying from them for resale is simply unprofitable. It is better to choose another option.
This is the only way to buy equipment without extra charge. For comparison, in specialized stores, the popular Antminer S9 asik sell for about $ 5,000, and the manufacturer sells it at a price of $ 1,600! Unfortunately, not everything is so rosy.
Which manufacturers offer the best quality mining equipment? First place is Bittfury. However, the company does not work with individuals – all products go to the corporate segment of the market. Then how about iBelink? No, because it is indicated that all ASICs have already been sold on their website and new orders are not accepted yet. Only the well-known Chinese company Bitmain remains sells its products to regular customers.
On the Bitmain website, you can buy equipment delivered by the DHL postal service. However, if you live in Russia, Kazakhstan or Belarus, this option is excluded – Bitmain does not deliver its products to these regions. Residents of other CIS countries can receive their order by mail, but pleasure is not cheap. For example, the delivery of the Antminer S7 ASIC costing $ 1,200 will cost about $ 780 for Ukrainians. Where does this figure come from? $ 300 is the cost of delivery by weight, and another $ 480 is the customs charge for transporting goods with an estimated value of over 150 euros (40% of the price of the goods). Please note $ 780 is the cost of shipping only one ASIC. However, you will order a large batch of goods and you will have to pay much more.
An alternative is to fly to China and pick up the goods at the company’s warehouse. If you spend time searching for a profitable flight, a resident of any CIS country has a chance to buy a ticket to Beijing for $ 200 (which is cheaper than paying for the delivery of DHL). However, you still have to go through customs. If you can safely enter Ukraine in Ukraine, then the citizens of the Customs Union risk running into a fine with confiscation of cargo. The fact is that only those goods that have received special notification are allowed to enter the CU countries. Most ASICs do not have such notifications and at customs they are classified as “prohibited listening equipment”.
You can find a complete list of devices that have received a notification on the website of the Eurasian Economic Commission – among them there are several names of Asiki. Unfortunately, these are not very popular old models, the purchase of which does not promise big profits. However, even if you find and purchase legitimate ASICs that are suitable in terms of characteristics, they will still need to be sent through customs. If you have not experienced this procedure before, things can move very slowly. So sometimes it is better to look for another way.
Taking into account the high demand for mining equipment and the difficulties with its delivery in the CIS, there are many companies that implement ASICs from manufacturers with delivery to the buyer. Of course, they charge for their services, but they order, arrange and transport your goods by themselves. By the way, many companies manage to circumvent customs restrictions and import asiki even in those countries where they are prohibited.
Another option is to contact the Chinese cargo. These companies are also intermediaries, but they do not order goods for you, but only issue them at customs and deliver them to their destination.
Find a reliable broker will help forum bitcointalk.org. Advertisements from logistics companies regularly appear in the “Business” section. You can also find reviews from other users or ask them for advice.
Yes, it is possible to buy a large batch of ASICs at a wholesale price. The main thing is not to go to the lowest price and make an order only from sellers with a high rating. However, on the payment of postal services it is quite possible to save – for this choose offers with free shipping.
Video cards are much easier to buy. They are not as voluminous and heavy as asiki, which means that their delivery will be much cheaper. In addition, they are not prohibited in the DNS, so there will be no problems with customs clearance. AMD and Nvidia video cards are manufactured in the USA, but the first company has already opened its subsidiary in China and the second has an official representative office. Delivery by mail from China will be cheaper than from the USA and powerful cards can be easily found on Chinese Aliexpress.
It remains to enter the market, to find buyers and interest them with your offer when you picked up the right equipment and found a way to buy it.
Mining equipment sales: where to sell?
With some effort or paying for the services of a specialist, you can quickly create an online store. It is noteworthy that the easiest business card site or one-page website would be suitable for this purpose. It has long been believed that reliable sellers make simple websites in the cryptocurrency community and only fraudsters bother with the design.
Your own small online store is a good start to start a mining equipment business. However, in order for it to generate revenue, you need to spend money on advertising. In general, for the creation, promotion and promotion of the site in its most basic form will have to pay a minimum of 200,300 dollars. However, with a serious intention to achieve quick results, this amount may increase tenfold, especially in the context of advertising expenses.
The ideal option is to create an offer in the commercial section of bitcointalk.org. It’s free and the forum is visited daily by thousands of users. In addition, if you are able to build good relationships with customers, they will advise you to other users.
Any popular resources like Avito or OLX will do. For more effective promotion, it is advisable to order a paid placement with advertising and periodic uplifts in the TOP. The method is extremely simple, but on thematic forums you can “catch” a lot more customers. The lion’s share of visitors to the same bitcointalk.org is your target audience.
If all items are observed, the business quickly pays off and brings a good income. For example, a batch of 50 Antminer S9 asics, including customs clearance and delivery, will cost you about 100 thousand dollars. Even if you sell them for 2500 dollars, the net profit from the sale of the party will be 25 thousand dollars. With a favorable set of circumstances and a well-thought-out promotion strategy, the entire batch can be sold out in a few months.
However, experts warn that the level of sales of equipment for private mining may soon fall. First, the complexity of mining the most popular cryptocurrencies is complicated and their mining brings less and less income. Secondly, there are large corporations selling equipment on the market and it will be very difficult for single entrepreneurs to compete with them. Third, cloud mining is becoming increasingly popular and in a year or two it can completely replace mining coins on Asiki or GPU farms. If this happens, they will not be needed.
So the business of selling mining equipment is an option for quick profit in the short term. However, for beginners and those who can not invest several tens of thousands of dollars in the purchase of iron, this option is not suitable.