Top 4 Bitcoin Miner Hosting options in 2020

Are you looking to invest in Bitcoin mining as an alternative to just buying/trading coins? Below are the four most popular ways our clients are getting into Bitcoin mining hosting in 2020.

Option 1) Fully Managed Bitcoin Mining

If you are bullish on Bitcoin and are looking for an easy way to invest in mining without buying gear and hosting, fully managed miner hosting might make sense. Fully managed Bitcoin mining hosting is a step above standard cloud mining packages and allows for 24/7 support, 100% insured uptime, legal/tax & business guidance, and market insights.

Below is sample offer from one of our managed miner hosting providers.

100% Fully Managed Mining Package – Up to 100 Petahash Available
1000TH (1 petahash) minimum
Fully managed & insured.
100% up time GUARANTEED
Pause periods
$25,000 down/per petahash
$2000/month/per petahash
15% management fee from pool

Projected 137% ROI if BTC reaches $20,000
36m term (TH buy back option after month 12)

Pros

• No need to buy gear and deal with shipping costs, delays, tariffs, etc.
• No need to manage gear and the associated headaches.
• Fully managed & insured with a 100% uptime guarantee.
• Get hashing ASAP.

Cons

• High Initial capital cost.
• You do not own anything.
• BTC needs to be over $13k to achieve an ROI.

Option 2) Miner Hosting Buy/Host Packages

Find a miner hosting provider that offers a “buy/host” package for next generation Bitcoin mining machines such as the Antminer S17 or S17. Instead of directly ordering Bitcoin miners via Bitmain or a re-seller and waiting for them, you can purchase the BTC miners directly from a mining hosting provider and get them installed ASAP for no additional cost. The host will install the gear in their hosting racks and get you directly connected to your machine and pool. Below is sample option & pricing from one of our USA based miner hosts (May 2020).

* Please keep in mind that pricing and availability may change from the time of this writing (May 2020)

Pros

• No shipping delays/fees on most units.
• Fast installs to get mining ASAP.
• Cost effective hosting rates from 5.7 to 6.25 kw/h usd cents all in.
• You own the gear.

Cons

• You may pay a small premium versus buying miner directly.
• You are responsible to pay one time fee to fix miners out of warranty.
• You need to find a reliable & trustworthy miner host.
• Some basic knowledge on mining pools, wallets, etc., is required.

Option 3) Mining Colocation Hosting

Buy Bitcoin miners directly from one of the well known manufactures –Bitmain, Innosilicon, etc., or a reseller and host them at a qualified and trustworthy mining facility. The mining hosting facility will unpack your miners, put them in the racks and get you connected directly. Many hosts offer free installs but it all depends on volume.

Pros

• Save time & money using an existing facility with cost effective rates.
• You own the gear.
• You know your costs from the start.

Cons

• Less control versus self hosting.
• Potential delays with install and miner fixes.
• You are responsible to fix miners or you get charged one time fee.
• Finding a reliable & trustworthy host is hard.

Option 4) Self Hosted Mining

Buy Bitcoin miners from one of the well known manufactures –Bitmain, Innosilicon, etc., or a reseller and host them at your own mining facility. This option is the most popular for clients with extensive capital and technical expertise.

Pros

• You own a fixed asset.
• You own the entire process from buying to hosting.

Cons

• Mining hosting infrastructure is complicated & expensive (racks, cooling, cabling & electric) to build and maintain.
• You will need to fix miners when they break.
• Finding cheap electricity is hard.

If you have comments, questions or are interested in additional information, please contact at [email protected] to learn more.