When crypto was slowly emerging from a long time of puttering around and began climbing the chart ladders in the 2017 bull-run we (and I guess many others :-)) had the ingenious idea of opening a mining farm. A calculable invest and certain return – that’s what we thought. Easy peasy – that’s what we thought. And what better place to do so than Iceland, where water power came at a reasonable price and a rather cold climate would save us having to waste lots of money on air conditioning.
Our Mining Farm in Iceland
So began our mining operation in Iceland and after consulting whattomine our rigs were diligently mining away. So far so good, until it wasn’t… Because let me tell you this, coin volatility can be such a bummer and it turned out to be so much more difficult to maintain reasonable profit levels than we had estimated.
Not as easy as we thought
We would start out mining seemingly profitable coins to then suddenly watch them plummet in value after we mined them, again and again. It felt a bit like we had taken our operation out to the open sea where sometimes we were bobbing along on softly rolling waves to suddenly finding ourselves running around desperately, trying to keep from shipwrecking.
What coin to mine?
More often than not we were quite insecure with regards to what coin to mine, not speaking of the incredible amount of time we were investing in trying to find out which coins would be most profitable. So here we were spending our nights scouting new coins on reddit, twitter, telegram and discord and still overlooking too many opportunities.
And all of this while we actually, really had no time to spare with being a new parent and trying to take the Start Ups we were involved in to the next level. So what we naively thought would be a side hustle, generating a passive income, became a full time job in addition to our already full time jobs (and full time lives).
Another unforeseeable problem we encountered, was not only missing profitable coins (because hey, a day only has 24 hours!), but also finding reliable pools. We had put our hashing power to pools that payed out much too late or a lot less than we initially thought. We also joined pools which didn’t pay at all. And because we were trading manually and not automatically, prices were dropping faster than estimated. Slowly (but surely) the question arose, whether we were actually generating a profit and whether the time invested would be much more valuable in forwarding our businesses than monitoring the mining farm.
Luckily right before our mining farm endeavor was added to the list of “lessons to be learned from failure”, we had that long overdue light-bulb-moment. If we were experiencing these difficulties, other mining farms were experiencing them too! And because we are experienced software wizards it occurred to us that all of these problems can be solved with a software. So the MiningOptimizer idea was born.