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5 Nov 2021
Which Factors Affect Your Bitcoin Hosting and Bitcoin Mining Cost the Most?
If you have had a level of success mining bitcoin, and you continue to expand your operation, chances are that you will soon need a place that can offer space, power, and cooling. This is called Bitcoin hosting.Despite all the likely benefits of renting space in a data center, not every data center is the same and colocation may not be the best option for you as a cryptocurrency miner. In the article below, we show you how to choose the best hosting option for your Bitcoin mining operation.What To Expect From A Colocation FacilityMost colocation providers ensure that their data centers have a redundant network, power and cooling equipment. While redundancy ensures that all IT equipment is operational throughout the year, it could add up to $650 per square foot to the cost of a data center that lacks redundancy. If you are okay having your equipment offline for around 36 hours annually, consider going for a data center with no redundancy.It is important before contacting a colocation provider to first understand your power requirements. Other than the kilowatts needed for mining, you also need to determine the necessary space in terms of racks. Speaking with an expert advisor is a good first step in ensuring that all of your technical needs are well understood and nothing crucial goes overlooked.Some colocation providers charge based on power, others on space and others on a combination of both. It will be impossible to get a price estimate without having an idea of the space and power you require.Another important factor in bitcoin hosting to keep in mind is the colocation budget, which depends on the amount of money you can spend and still remain profitable. Most colocation providers ask for a deposit as well as a twelve-month minimum contract.In case you find that colocation is not for you, there are a number of hosting providers that offer the best mining solutions including Mining Colocation that is situated in Canada that charges $100 per kilowatt.Frontline Data Services, headquartered in New York, also offers collocation services. Similarly, Enhanced Mining offers a number of premises in Canada and the US for mining Bitcoin.Why Mining Bitcoin is Profitable despite Fluctuations in ValueMining bitcoin allows you to make money. If done correctly, mining bitcoin can be a very profitable endeavor, allowing you to even quit your full-time job. The biggest benefit in mining bitcoin is in the money you make through mining.Mining bitcoin ensures that you always hold something valuable. It is very important to remember that the value of cryptocurrency can at times plummet. Some cryptocurrencies have declined in value by more than 20% in a day.Heres the deal:Cryptocurrency mining operations require high-end equipment, which tend to maintain their value. Therefore, even if the cryptocurrency that you mine crashes in value, the mining equipment you use would still be valuable.Another benefit of mining cryptocurrency is that it is theft-proof. From a theoretical perspective, it is impossible to steal cryptocurrency, which cannot be said for conventional currency. As such, the coins you mine will always be safe in your account.Cryptocurrency is safer than faucets. Faucets refer to the apps and websites that help people run mathematical equations. Faucets save miners them the trouble of using their own equipment for mining. While there are many good faucets online, there are also many scams. As such, mining cryptocurrency is a lot safer than faucet scams.And heres the best part:As soon as you become very good at mining cryptocurrency, you can easily quit your day job and occupy yourself with the mining process. You get the benefit of becoming your own boss, setting your own schedule and rules.Mining cryptocurrency allows you to avoid centralized monetary regulation. Cryptocurrency trade is largely unregulated. Even in the countries where cryptocurrencies are regulated, the regulation is not as strict as regular currency.Moreover, cryptocurrency remains largely untraceable. This gives you, the miner, a lot of privacy with regards to the amount of money you make and how you spend the money.As such, mining cryptocurrency is a financially rewarding endeavor, which explains why so many people are getting involved.Using NiceHash to Calculate RevenueThe NiceHash profitability calculator allows you to check the potential earnings of your hardware. You should use the profitability calculator with recognized high-quality products. It is also vital that you tweak your equipment in such a way that they offer the best combination of performance and efficiency.In case your hardware produces different results, it is important to tune them in such a way that they offer maximum efficiency.The sample profitability listed in the profitability calculator is based on past data and cannot be used to predict future profits. Moreover, it is not possible to multiply a days profitability by 30 to get the profitability for the month because profit changes over time.In case your hardware is not on the profitability calculator list, you can manually calculate the profitability. Some of the metrics you would need include the purchase cost, electrical consumption and the speed measurements for the algorithms. Then, click on Calculate for custom settings on the profitability calculator webpage.Finally, it is important to remember that all profitability calculations on NiceHash websites are only for information purposes.Be advised:The information is based on hashing power rigs that meet certain test parameters.NiceHashresults do not guarantee that your hashing power rigs will achieve the same earnings as indicated on the NiceHash website.You can only determine the true profitability when your rigs are connected to the system and linked to the NiceHash calculator website.Why Power Costs are Most Important Despite Being VariableWhy would you want to host your server at a data center rather than at your own house? The answer is because hosting your server at a data center gives you more scalability than at home.At first, keeping mining servers in a residential or small commercial setting may appear cost-effective. As the mining operation scales up, however, so do the diminishing savings. Why is this a big deal?People tend to ignore significant costs when they start Bitcoin Mining. As a result, electricity and other hidden costs quickly add up.Cost Item 1: Electrical InfrastructureMost new constructions provide for an allowable consumption of 38,400 watts, which is equivalent to 34 Antminer S1s or 20 Cointerra Terraminers. 38,400 watts does not factor the electricity required to live or work on the premise. Another cost item that is often left out of the calculation is the cooling cost.Even if you decide to install twenty 20-ampere power outlets, you will spend a considerable amount of money.Cost Item 2: Cooling Infrastructure40% of all the electricity consumed by a miner will be used to cool the space it occupies, in case mechanical cooling is required. Deducting 40% from 38,400 watts means that only 23,040 watts are left for actual mining.This also means that there will be a 40% increase in the net mining cost. With the national average energy cost in America being $0.12 per KWh, cooling costs bring this figure up to $0.16 per KWh.Besides, the net consumption of 23 kW adds up to 6.5 additional tons of cooling. With the average house requiring around 6 tons of comfort cooling, the mining operation will raise this figure to 12 tons of cooling. Installing an extra air conditioner is expensive.Cost Item 3: Long-Term Opportunity CostsAs it gets increasingly difficult to mine Bitcoin, it is important to think whether installing twenty 20-ampere plugs and six extra tons of air conditioning is a worthwhile long-term investment.When mining cryptocurrency, remember that time is money. You must to choose a data center that will understand the importance of guaranteeing uptime for your mining operation.And thats not all...The data center should also offer battery backup, a secondary power source, and network redundancy. Rather than worrying about power consumption, electrical consumption or downtime, collocate your mining equipment.ConclusionAt Datacenters.com, our provider agnostic approach allows us to partner with hundreds of different data center operators, offering the widest selection of solutions possible. As a result of this, were uniquely positioned to know which hosting providersare accommodating of bitcoin miners and which arent. As most miners know firsthand, not every data center is willing to allocate the space and power necessary to operate a successful mining operation.Datacenters.com is the leading technology platform, directory, and online marketplace for data center solutions. Our portfolio consists of 340+ providers with 2,900+ facilities in 85 countries, allowing users to search, compare, and contact industry leading solution providers with the click of a button.Our team of expert advisors are available to guide you along the path free of charge. Schedule time today to speak with our team so they can connect you with providers eager to win your business. Datacenters.com are the experts in crypto hosting solutions. Contact us today to find out why.
27 Oct 2021
A Blockbuster or a B-movie? How to Design a Smash Hit Data Center
Back in the day, when personal computer technology was starting to emerge following the rise of the mainframe, computer data centers became the subject of everything from movie scenes to amusement park rides to comic books. From films like 2001: A Space Odyssey to Skyfall and The Matrix, to the Spaceship Earth ride at Walt Disney Worlds EPCOT Center, to the 1966 edition (Vol. 1, #52) of Marvels comic book Fantastic Four, data centers have played a key role in depicting the way technology has influenced society, the military, government, business, and life in general.The image of a sprawling room full of racks stacked high with computer servers on raised floors, connected by a labyrinth of colorful cables, and bathed in darkness save for tiny flashing lights makes you think of the fabled machine rooms of the past. But in reality, data centers are changing, and today, Gartner says data centers older than seven years are practically obsolete.Why do we even need data centers if we have the cloud? First, its important to know the difference between the cloud and a data center. A data center is the physical place where data is stored. For many companies or organizations, the data is often stored on the premises of their workplace. Some data centers may be in locations not owned by the organization. In this instance, a data center is collocated, but not in the cloud. The cloud which is made up of servers in data centers all over the world is completely off premises, in which case data is accessible from anywhere via the internet.Moving to the cloud can save companies money and bring much-needed convenience for its users. But the cloud also brings other concerns with it, such as security, reduced latency, and other limitations such as real-time visibility for such applications as graphic rendering or air traffic control. Fortunately, partners like Sungard Availability Services can help companies transform their IT environments to ensure they are resilient and recoverable. Sungard AS leverages 40 years of experience across a broad range of IT landscapes to align the right workloads with the right infrastructureswhether hybrid cloud, legacy or something in-between.In short, whats an easy decision for some businesses is a carefully studied and orchestrated dilemma for others. And choosing a data center whether constructing your own or searching for a partner who matches your needs can be just as overwhelming as creating a cloud infrastructure. Fortunately, there are expert brokers and consultants who can help you build your IT infrastructure and connect you directly with top data centers, network, peering and cloud providers.Here are a few things to consider when searching for a cloud partner or data center:Compliance checklists whether you need to comply with HIPAA or HITECH regulations, the right broker can help you find a partner who understands all these requirements and ensures youre covering all the bases for your own companys needs, not to mention your own customers requirements.Cybersecurity controls your chosen vendor will need to identify and document the existence of a basic set of cyber security controls (such as policies, standards, and procedures) for your organization. Security controls are designed to reduce or eliminate the identified threats and vulnerabilities that place could place your organization at risk.Data center selection selecting the right data center the first time is critical. Once your gear is in a data center, its very time consuming, complicated, and expensive to move it to another facility. You need to consider everything from power to network, redundancy, data center facility, location, SLAs, technical support and even their company profile.Disaster recovery plans a solid DR strategy includes plans for the recovery of your people, infrastructure, and internal and external needs not directly relevant to the technical recovery of your business.Data center migration these are the tasks that are critical but easily forgotten and can reduce risk and downtime in a data center migration. Once a new site for your data center has been selected, youll need to plan a successful transitionbefore, during, and after the migration.Cybersecurity checklist this is a system of technologies, processes, and practices designed to protect your computers, networks, applications, and data from an attack, catastrophic damage, or unauthorized access.Architecting the perfect data center isnt as easy as designing a flashy Hollywood set or drawing a comic book depiction of futuristic tech toys. It takes deep knowledge of technology, awareness of risks, assessment of physical locations and capabilities, and detailed cost analysis. Not to mention staying on top of new developments, both in terms of technology and compliance. Weighing all the options and having the assurance that your consultants know the landscape can provide peace of mind when considering the perfect data center. After all, when youre the star of the show, your set could mean the difference between being in a B movie or a blockbuster.
22 Oct 2021
Cryptocurrency is changing the Data Center Market
Bitcoin is the current buzzword in technology circles nowadays. The potential for making fast money is there for investors and the blockchain technology which underpins bitcoin has a wide area of potential uses. Even though bitcoin remains wildly popular in investing and technology sectors, its not neccesarily something that everyone is excited about. Recently, changes to the cryptocurrency market have stranded bitcoin miners as some governments are taking the step to make bitcoin mining illegal.However, the United States remains one of the more bitcoin friendly governments on the planet. Which means that a lot of miners who have previously set up shop in countries like China are now making their way stateside. How does this sudden influx of bitcoin mining, and the equipment necessary to perform it, affect data centers in the United States?Cooling MethodsBitcoin is a computation heavy activity with the need for ever more electricity and computing power. This puts on strain on data center resources and the space and power they have to allocate to other clients. As a result, data centers have had to become better equipped at accommodating and cooling this type of equipment.Bitcoin requires highly specialized equipment. In order to run a successful mining operation, you need to have high performance hardware thats capable of solving computational algorithms at high speeds while remaining efficient and accurate. Not an easy task at all. The demand for the hardware necessary to mine bitcoin is constantly increasing, making this infrastructure hard to come by.In addition to high demand for hardware, the demand for data centers to accommodate this equipment is also rising exponentially. The biggest issue facing data centers when it comes to hosting cryptocurrency clients is ensuring that theyre equipped to handle the cooling demands of this type of hardware. As bitcoin mining equipment grows more sophisticated, the amount of heat generated by the hardware also increases. Many data centers that specialize in cryptocurrency hosting are turning to liquid cooling to accommodate their clients.In addition to supporting extreme power density, liquid cooling has the potential to slash the cost of data center infrastructure, allowing users to operate servers without a raised floor, computer room air conditioning units or chillers. It also allows ASICs to operate without fans, which are typically among the largest components of a bitcoin mining rig.Data Center ConstructionThe data center construction market, of which Bitcoin mining operations are a subset, is expected to book a compound annual growth rate of 9% in the U.S. and 11.2% worldwide between 2020 and 2025reaching $34.5 billion, up from $22.6 billion in 2019, according to Research and Markets.As bitcoin mining operations in the U.S. continue to surge, we can expect a large portion of the new data centers being brought online in the next few years will have plans to accommodate big players in the crypto sector. This will have an impact on how new data centers are planned and the approach providers take to alternative cooling and power sources. The data center construction boom will continue into the future, with bitcoin mining being a driving force.PowerSince bitcoin mining is such an extremely computing intensive activity, the need for both electric and computing power increases over time. Data centers that support bitcoin mining are usually in the range of 1 megawatt to 5 megawatt facilities. As many bitcoin miners know firsthand, the data center industry has not initially been friendly to bitcoin miners as their equipment requires large power draws 24 hours a day, 7 days a week.Due to the large power draw of cryptocurrency mining operations, data center providers have to get creative with how they allocate power in their facilities as well as looking to alternative sources of power to help bring down overhead. This is a difficult task which leads many hosting providers simply deciding not to accommodate these kinds of clients. In fact, data center space for bitcoin mining equipment is in such high demand right now that in some instances miners are offering bounties for referrals to crypto friendly data centers.Bitcoin Hosting ProvidersAt Datacenters.com, our provider agnostic approach allows us to partner with hundreds of different data center operators, offering the widest selection of solutions possible. As a result of this, were uniquely positioned to know which hosting providersare accommodating of bitcoin miners and which arent. As most miners know firsthand, not every data center is willing to allocate the space and power necessary to operate a successful mining operation.Datacenters.com is the leading technology platform, directory, and online marketplace for data center solutions. Our portfolio consists of 340+ providers with 2,900+ facilities in 85 countries, allowing users to search, compare, and contact industry leading solution providers with the click of a button.Our team of expert advisors are available to guide you along the path free of charge. Schedule time today to speak with our team so they can connect you with providers eager to win your business. Datacenters.com are the experts in crypto hosting solutions. Contact us today to find out why.
13 Oct 2021
Changes in the Cryptocurrency Market Strand Bitcoin Miners
For many years now, cryptocurrency has been a hot topic of conversation. Most people are familiar with cryptocurrencies, and may have even purchased Bitcoin in the past. However, in the last few months data center providers have been inundated with bitcoin miners desperate for more space and power. What changes has the cryptocurrency market undergone that have increased demand?In the article below, well review everything you need to know about cryptocurrency, the current state of the market, and where you can turn to in order to procure services for your mining equipment.What is Cryptocurrency?Cryptocurrency is best described as a type of digital currency because you can only use it on computers.Cryptocurrency is a type of online payment that you may use to buy and sell products and services. Many businesses have created their currencies, known as tokens. You can exchange those tokens for the companys goods or services. Consider them arcade tokens or casino chips; you will need to convert actual money for cryptocurrency to use the good or service.Moreover, Blockchain is the technology that underpins cryptocurrency. Blockchain is a decentralized technology that handles and records transactions across numerous computers. The security of this technology is part of its attractiveness.Why are Cryptocurrencies so Popular?For several reasons, cryptocurrency enthusiasts get drawn to it. Here are a few of the most well-known:Cryptocurrencies Do Not Link to International GovernmentsCryptocurrencies have no ties to international governments. This disconnect means that cryptocurrencies can remain steady even when a country is in upheaval. Some investors consider cryptocurrencies as a viable way to secure their assets. This benefit is one of the reasons why the value of cryptocurrencies has risen and continues to rise over time.Fees Are Incredibly LowOne of the main reasons cryptocurrency is so popular worldwide is that it has very low transaction fees. When you use other online payment methods, you will frequently get charged a lot of money. Thus, the extremely low fees associated with other cryptocurrencies will be a far better deal for you.Cryptocurrency is Getting Simpler to UseAs cryptocurrency becomes more widely used, it will reach an ever-increasing number of people. As a result, there is a rise in awareness and overall popularity. More individuals are becoming aware that this is a viable choice, and many of the issues surrounding cryptocurrencies are getting addressed.Profitability is a Great PossibilityPeople get involved with cryptocurrencies for a variety of reasons, including the possibility of profit. Many people who invested in cryptocurrencies before they became extremely popular profited handsomely. Because the market has not cooled in recent years, investors are still benefiting from cryptocurrencies today.Cryptocurrency Market ChangesBitcoin mining has long been an industry that offers high profit margins but now is as good a time as any for miners. Why is that? For one, a crackdown in China on bitcoin mining has taken out an extremely large number of machines in the global network used to verify transactions and create new bitcoins. As a result of there being less miners in the market, profitability is soaring as the amount of energy needed to solve for a bitcoin block is plummeting.Unprecedented OpportunityThe dropping cost of power needed to solve for a bitcoin block is great for people that already have their machines up and running. But what if youre currently looking for a home for your equipment or looking to expand your existing network of machines? Data center space for bitcoin mining equipment is in such high demand right now that in some instances miners are offering bounties for referrals to crypto friendly data centers.Miners that have previously hosted their equipment in China are now in a mad dash to secure a home for their equipment and get back into the game. It used to be that finding machines to mine bitcoin was the greatest hurdle in the cryptocurrency market. Now, the bottleneck has moved to finding hosting facilities.You cant simply build a massive data center in a matter of months, so miners are left trying to find providers that are willing to allocate the space and power needed to mine for bitcoin. The data center industry has not initially been friendly to bitcoin miners as their equipment requires large power draws 24 hours a day, 7 days a week. This leaves many bitcoin miners unsure of which providers to turn to for services. However, there are several providers who are poised to accommodate cryptocurrency miners and their equipment.Crypto Friendly Hosting ProvidersAt Datacenters.com, our provider agnostic approach allows us to partner with hundreds of different data center operators, offering the widest selection of solutions possible. As a result of this, were uniquely positioned to know which hosting providers are accommodating of bitcoin miners and which arent. As most miners know firsthand, not every data center is willing to allocate the space and power necessary to operate a successful mining operation.Datacenters.com is the leading technology platform, directory, and online marketplace for data center solutions. Our portfolio consists of 340+ providers with 2,900+ facilities in 85 countries, allowing users to search, compare, and contact industry leading solution providers with the click of a button.Our team of expert advisors are available to guide you along the path free of charge. Schedule time today to speak with our team so they can connect you with providers eager to win your business. Datacenters.com are the experts in crypto hosting solutions. Contact us today to find out why.