7 BIG Lessons from my first year of GPU Mining Crypto
Never ask you to add me on whatsapp or telegram and ill. Never ask you to send me money, crypto or your personal information. Alright, so please be careful, use your common sense and dont. Let any of these imposters fool! You alright! Now, back to the video, hey hows, it going gpu heads thanks for clicking on my video seb, hesler here and guys guess what this is. My 100th video and its my one year anniversary on youtube and we just hit 69 000 subscribers, at least, although that would have been true for when i meant to post this video, which was last week, but unfortunately i got the the illness thats going around right. Now so this video is a little bit late. Sorry about that. But that said, thank you guys so much for everything this first year on youtube has been crazy but awesome in so many ways. The mining community really is amazing and im so glad that so many of you are enjoying the videos and finding them helpful. So, thank you and since this is sort of a anniversary, video swords, i figured lets make it about the biggest lessons that i have learned during this first year of mining, so that, hopefully you guys can learn from my mistakes so that you dont have to make The same mistakes that i made so lets get started right. So the first lesson is pretty boring, so lets get through it quickly and that is that gpus can get dirty pretty quickly.
And if you leave it too long to clean them, they can get pretty gunked up. And what can happen is the cooling can actually start being worse because you know the heatsink can get full of you know dirt. Basically, so the air cant travel through properly, your fans can get clogged up, so they cant spin as well and basically what the lesson is is that if you leave it too long to clean them, its gon na be a massive hassle. But if you just go over and give them a good dusting with like an air blower every couple of months, or so you stop that dust and dirt from building up too bad. And you end up having to not put that much effort in to cleaning your gpus, because you dont, you wont, have to do really deep cleans as often because youre dusting them off. You know every couple of months or so all right. So for lesson. Number two were gon na have to do a little bit of story time here, so i started to like scale up my mining farm pretty drastically in like october november december january now recently, and that was all good and fine. When you know, temperatures were really low here where i live, but now when the weather is starting to get a lot warmer outside, my house is starting to get like unbearably hot from all of these gpus mining. In my basement and its even getting to the point now, where im having to start turning off some rigs, just so that i can like survive in my own house and not to speak of like how warm the gpus were getting like to the point where they Were overheating and i was having to shut rigs off just to like not have my gpus like thermal throttle right and like having to turn rigs off just sucks, you know and it it just hurts to watch gpus like turned off while they could be making you Money, but instead you know theyre just standing there doing nothing, and so the big lesson here is that i should really have considered heat management right from the beginning.
When i started to, you know scale my farm up, but i know i said this recently on the mining roundtable podcast. But if i were to start over from scratch, i would probably just go all out octominers like this one from the beginning and build all of my rigs in those and octominer is actually sponsoring this video. So, thank you so much for that octominer and i asked them. Is there anything that you want me to say in this video and they basically said no so im just going to say what i exactly think about the octa miner, but i mean spoiler alert if youve watched my review on it, i really do like the octominers. A lot – and you know for that review. Basically, what i found was that its using less energy than an open air rig like this one, its keeping the gpus cooler than an open air rig, and it actually ends up costing less money to buy. One of these than it would to build a 12 gpu mining rig like this one anyway. So its kind of win win, no matter how you look at it with the octominer, but in regards to just heat, and why? I would really like have preferred to have all optimizers its just because of how a server case like this works. You know it just pulls cold air in from one end like this, and then just pushes it all out the other end, and that makes it just so much easier to handle the heat like you can just point the hot end out towards like a window or Out a vent or whatever and just have it, be removed.
You know in an easy fashion, but with a open air rig. You know like these ones. All of the hot air is just kind of going everywhere and theres no easy way of like containing that air and moving it away effectively from the rig. Like sure you can have fans kind of blow it in a certain direction or whatever, but with a server case like this. It all just goes where you want it to so. Octo miner has two different versions. This is the 12 gpu one. They also have uh. Eight gpu one and normally you have to buy at least five of the 8 gpu 1 or 10 of this 12 gpu one, but octominer is actually lowering the minimum order, quantity to just one for the 30th and 31st of march. So the day of this video being uploaded and the day after so if youve been wanting to get uh octominer, but you dont want to buy five, you just want one or a couple: now is your chance, so yeah just go to octominer.com and youll, be able To buy just one instead of having to buy five now. My third lesson was when i realized just how important mining efficiency actually is – and i know you hear the mining youtubers always going on and on about efficiency, but im actually going to show you with a kind of fun example here, just why it is so important. But just quickly for those of you who might be new mining efficiency is basically how many mega hash.
You know how much hash rate are we getting out of our mining. You know either gpus or mining farms in total per watt of power of electricity that were using right. So you want that to be as high as possible. You want as much hash rate as possible for as little electricity as possible, and i actually have a video on how your mining rig could be wasting electricity in quite a few ways, so ill link that up in the card up there, as well as in the Description of this video, if you want to check that out all right so lets explore a practical example here of why efficiency matters so much so im on the what2mind.com website, which is a website that lets you check. You know mining profitability for different gpus and different coins, so lets make two very similar but at the same time, very different mining rigs here. So lets start with 10 uh 1080 ti gpus and mining ethereum classic, which is a coin. We will be able to mine, for you know at least a few years, looking forward at least thats. What it seems like right now and you can see we get around 500 mega hash at 1800. Watts of electricity and a very similar rig in one way would be 13 82 000, which would also get us around 500 mega hash, but at only a thousand watts. So lets see what that would look like: profitability, wise in todays landscape and just for reference.
Bitcoin price today is around fifty thousand dollars. So if we plug that into our profitability calculator here you can see. I have 500 mega hash, a thousand watts for our a2000s bitcoin price is 50 000. If we hit calculate you can see, profit today would be around 17 and 29 cents per day right. So lets just change. The power consumption to 1800 watts for our uh 1080 tis, and you can see profit today is still really good at 15 and 37 cents. So no big deal right well, the big deal comes in when we start looking at what would happen if crypto prices go down drastically so lets say tomorrow we wake up and all crypto prices are a fifth of what they are today. So bitcoin goes down from fifty thousand dollars to ten thousand dollars, and you can see here with our uh 1080 ti rig. Now, all of a sudden were losing money each and every day on this rig. So you know the only smart thing to do would be to turn the rig off right, but lets have a look at our a2000 rig which, with the same hash rate, but just using a thousand watts. This rig is now making a dollar fifty three per day and what you might say is well a dollar 53 a day, thats, not even worth it well keep in mind. This is because crypto prices have gone down so lets now say that there is a period of two and a half years of low crypto prices, which weve seen multiple times before right.
But lets do some math here right, so were making 1.53 cents in ethereum classic every single day and remember this is after paying for electricity, so ethereum classic price right now is around 50. So remember with it being worth a fifth of that we would get around. That would be a price of ten dollars per ethereum classic, so wed get around 0.15 ethereum classic per day and now lets say we mine for these whole two and a half years of low low profitability right so times 2.5 times 365.. We end up with 1′ ethereum classic after these two and a half years and now lets say the ethereum classic and all crypto prices go back up to where they were before so one ethereum classic being worth 50 again so times that by 50 and now weve Made you know almost seven thousand dollars in these two and a half years now, of course, seven thousand dollars over two and a half years, isnt amazing, but keep in mind thats, seven thousand dollars more than you were able to make with the bad efficiency rig. So, just because you had the same hash rate, but with a much more efficient rig, you were able to make seven thousand dollars. While someone else would have just lost money for that two and a half years, and also lets say that after these two and a half years, you know cryptograph doesnt go back up to what it was before.
It goes up to 10 times what it was before right. So then, all of a sudden, all that ethereum classic you had is now worth you know almost 70 000 dollars, and that is all thanks to you having a very efficient rig that was able to mine profitably. Even while you know, profitability was low and just a bit of like a bonus lesson here for our fourth lesson, and that is that higher hash rate gpus are just better strictly because theyre higher hash rate and the reason for that is what we call hash rate Density, meaning that you can fit more hash rate into a single rig just because each gpu has higher hash rate than lower hash rate cards. So let me show you why that matters and its because of again efficiency, obviously and its because to get the same hash rate, you can use less rigs. So as an example, here we have an 8 30 70 full hash rate rig here, so each gpu gets 62 mega hash and compare that to two eight 6600 xt rigs where each gpu gets 31 megahertz. Roughly. You know this is rough numbers here, but so you know in both scenarios we end up getting 496 uh mega hash right. So just below 500 mega hash and a 30 70 uh mining at 62. Mega hash will usually pull around 120 watts, while a 6600 xt uh doing 31 megahash will pull around 56 watts.
So we can see there immediately. The 6600 xt is more efficient per gpu than the 3070s, because the the 6600 xt gets around 55 percent efficiency versus um 51.7 on the 30 70 right, and so the total uh power drawn by the gpus is 960 watts for the 3070s, but actually below 900 Watts for the 6600 xts, but because you know for the 6600 xts, we need two rigs and lets say each. You know core rig, you know without the gpus, just the computer parts would pull around 100 watts. That means for the 6600 uh scenario that would pull 200 watts, while in the 3070 scenario, just 100 watts. So even though each gpu pulls less power in the 6600 xt scenario, the total power drawn for the same amount of hash rate is actually less. With these 30 70s just because we could fit more hashrates into one single rig and so combined with what we just learned about how important efficiency is in lesson number three, you know density goes hand in hand with that. You know the best you can find is high hash rate gpus that have also got great efficiency right all right. Another quick one for our fifth lesson here and that is, as you start, you know, scaling up your farm, its a good idea to know just whats going on with the electricity in your house and what i mean by that is know, sort of what circuits go To what plugs and how much electricity you can safely draw from those plugs, and the reason for this is because you dont want to start.
You know overloading circuits, blowing fuses or worst case scenario, starting electrical fires in your home right. So just make sure you know what plug sockets and appliances are on, what circuits in your house how many amps those circuits can handle so that you dont end up overloading them alright, so lesson number six is that mining is a marathon and not a sprint, and What i mean by that is that mining isnt a get rich, quick kind of thing, and while it can be awesome to you, know, get your rig up and running and then just have it make you a bit of passive income where you cash in your payments. As you get them every week or every month, thats not really how the people that are trying to make a lot of money from mining do it. But what they do is they mine and they hold the coins that they mine and they do that over the span of multiple years and they just wait and accumulate more and more coin. As the coin price goes up and then when they finally have reached both a big amount of coin and a peak of a coin price where their whole, you know wallet is worth a lot of money, then they sell all of it at once at that high Price and then they make a lot more money in total than they would have if they just mined and sold as they went, and i actually have a whole video about this concept, where you can calculate what it would take to make a million dollars off of Mining so ill leave a link for that up in the card there, as well as in the description of this video and building off of that.
Our seventh and final lesson today is to go into mining with sort of a plan with what youre gon na do so, for example, one plan can be to cash out everything you make as soon as you get it in order to build your farm up, whilst Youre still new to mining or another plan could be to set a specific goal for yourself, like one million dollars, for example, and then just mine and hold all of your coin. All the way up until your whole wallet is worth that big amount or, of course it could be something in the middle. For example, you sell just enough to pay for the electricity that your mining rigs use, while holding most of it, but exchanging half of those holdings into bitcoin, for example, and, of course, its totally fine to change your plan along the way. The point is more that you should just have a good idea of what it is. You want to do with the crypto that youve mined before you started because just like with anything in life, if you go into it with a plan, youre more likely to see better success out of it. Now, if you found this video helpful, then please give it one of these, and if you really liked it, you can now join the channel to help support what i do here. It really does make a difference and it means a lot to me. So, thank you, but what you got ta do now.
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