Those who are mining for cryptocurrency, and who want to make the most profit possible need to consider just how much they are paying for their electricity usage. Many people who are just getting started in this field do not understand exactly how important it is to find the cheapest rates for electricity if they hope to make a profit. After all, mining a Bitcoin, even a single coin, takes a lot of energy. The same is true for the other cryptocurrencies out there.
It is important that you take the time to find some of the cheapest power rates for mining around the world. This is going to help you to reduce the amount of money that you are spending, meaning that you can make a greater profit faster. Even if you are not living in these countries, it does not mean that you can’t have your machines in those countries thanks to colocation.
The cost can vary substantially when it comes to the amount of money it will cost in terms of energy usage to mine just a single Bitcoin. Naturally, you want to choose a country that has the lowest prices possible. The current value of a single Bitcoin is about $6,550. Therefore, if you want to make a profit, you want to find a country that has power rates that are lower than the value of the coin. The bigger the difference, the greater the profit you will make.
Countries to Consider
First, let’s look at the countries that you will want to consider for your colocation hosting. The cheapest country in the world right now when it comes to power is Venezuela. In this country, it will cost $531 to mine a single Bitcoin. This is dramatically lower than all of the other options out there, but there are some other choices that are still on the low end and that can allow you to make a nice profit.
Trinidad and Tobago have a cost of $1,190 for the energy needed to mine a single Bitcoin. The cost in the Ukraine is $1,852, and the cost in Uzbekistan is $1,788. In the United States, the cost is $4,758. This is still profitable, but it is far less profitable than what you will find in other countries.
Countries to Avoid
There are many countries in the world where it is simply not profitable to mine for cryptocurrency. You are not going to be able to make a profit with the current value of the currencies. In South Korea, for example, the cost for mining a single Bitcoin is $26,170. It is half that at $13,482 in Belgium, but this is still going to be a drastic loss if you were to try to mine in Belgium.
Choose the Right Company for Colocation
If you find a country that has some great rates that you want to take advantage of, you will need to find a colocation company that offers services in that country. There are many companies around the world that can provide these types of services. Make sure that they have the capability to host your machines, or that they can provide machines for you to use. Be sure that they have a great uptime, and that they are capable of setting up the machines and keeping them in good working order. After all, if the host is in another country, you are not going to be able to get out and take care of the machine if there is an issue. They need to take care of this for you.