One of the most common questions and one of the fears of users who intend to enter this field is whether it is cost-effective to extract chia due to the increasing difficulty of the network?
In this article, we want to explain about the worth of Chia Coins completely.
Chia is the currency code that is promoted because of its green approach and greater stability. As mentioned, this currency code is one of the newest, so before we decide to invest in it, we must see what the supply and demand will be in the future. It remains to be seen whether more exchanges will support it.
In answer to the question of whether the Chia currency is worth farming (mining) or not, we can say yes, because the more complex the network, the more the value of Chia Coin units decreases. Experience has shown that when something harder is achieved, it becomes more valuable. You may get fewer coins, but more value will make up for it.
In answer to the question of whether the Chia currency is worth farming (mining) or not, we can say yes, because the more complex the network, the more the value of Chia units increases. Experience has shown that when something harder is achieved, it becomes more valuable. You may get fewer coins, but more value will make up for it.
Although the XCH currency is still cheap, many investors will invest in it. Following this demand, its extractors will also increase. However, according to the supply and demand mechanism, our forecast for the price at the end of 2021 may be slightly different.
Enjoy Mining in your PC
Chia Coin's special method of extracting digital currency has caused the investment market of this cryptocurrency to grow significantly.
Mining digital currencies has many problems, initially due to the need for powerful hardware equipment such as processors and graphics cards, the cost of setting up a mining farm is very heavy and unpaid for many investors, on the other hand extracting digital currencies consumes a lot of electricity.
It is estimated that the amount of electricity consumed to extract Bitcoins worldwide in one year is higher than the total electricity consumption in Sweden or Argentina in one year.
Some forecasts indicate that the price of this currency will reach 1250 or 1500 by the end of the year, and some forecasts indicate the price of $ 2700 Chia in 2025.
Bitcoin, like other base cryptocurrencies, uses a very sophisticated "currency extraction" or mining system. You need hardware that is constantly mining and sending tokens and exchanging traffic. This consumes a lot of energy. Bitcoin mining has caused a shortage of processors, graphics cards, and other hardware, and of course it has a big problem called energy.
The Backblaze website found in its research that having 150 petabytes of storage space can generate $ 250,000 a week. But due to the steady growth of the Chia Netspace network, which has become exponential, this revenue will reach almost zero after 16 weeks. Even if we assume that the growth of the Netspace network is linear, the decline in revenue will continue, but may not be as rapid as the exponential growth rate.
In addition, the situation worsens when we add the cost of extraction centers to the equation. If we assume that maintaining one terabyte of storage space costs $ 5 a month, that figure would be $ 175,000 for 150 petabytes. Now, if we consider the exponential growth scenario, the figure of expenses in the seventh week will be higher than the figure of revenues. The same situation occurs in the linear growth scenario in the twenty-eighth week. These calculations do not seem promising at all for those who are currently looking to enter the field of chia mining.
Chia Coin involves your HDD or SSD
The Backblaze website also mentioned in its report how costly the plotting process can be, as it requires fast multicore processors and high-speed SSDs. This component is often overlooked by those who promote chia mining, and it is erroneously stated that you only need storage space to extract these ciphers.
The cost of buying a hard drive in Chia has increased due to the supply of Chia virtual currency. A 12TB hard drive rose more than 59 percent in February.
Countries like Vietnam have also faced a shortage of storage products due to the news and enthusiasm for using chia. If the value of Chia money increases, we will probably see a shortage of hard drives in other countries as well.
According to Iranian technology activists on social media, it seems that due to the high income of farming in Chia, hard disk drives have become more expensive in Iran.
Jadi Mirmirani, a well-known programmer and technology activist, is one of those people who points to the sharp rise in the price of hard drives due to chia mining.
Also he says a 4TB hard drive could currently generate $ 150 a month in chia mining, although that revenue may decline in the future.
The sudden spread of chia mining in recent months has reduced the availability of HDDs and SSDs on the market. Cryptocurrency claimed that, unlike bitcoin, it did not require high processing power to extract, and this attracted many users to the Chia network.
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