Warning. This video is not sponsored by anyone, it doesn’t advertise or encourage to invest in cryptocurrencies. Remember, that every investement comes with risk, so there isn’t any surreptitious advertising here. [Kris] What’s your monthly electricity bill?
[Mine owner] Around 15,000zł. (4000$) In the room that I’m in, there’s around 60 mining bots for cryptocurrencies and around 300 conected graphics cards. We’re in a really shabby building, in the basement and nobody knows that this is here. [Kris] Why is this mine so “hidden”? [Owner] You know, some people don’t know what this is and I already had some experiences, when I was renting some rooms and everything was okay, and later on the owner saw it, and got scared… because it looked weird. And also… this equipment is worth a lot. [Kris] I knew this mine owner for a couple of years now. We met on the stage of interest in video games. [Miner] My name is ***, I’ve been mining since 2013, right now I have three mines, together around 400 graphics cards. Before cryprtocurrencies, I played a lot of World of Warcraft, so now I’m kind of playing a game; creating this character you tried to make it the best possible. You can kuse that in cryptocurrencies, because now I’m trying, so that my bots are the most efficient, so that the will mine the most, but take less elecrticity. [Kris] Just think that in every random office building and in every basement there can be a couple hundred graphics cards, earning tens of thousands of złotys (polish currency) monthly. The vibe of this place reminds kind of this old electronics market, because these electronics are lying around, all these guts outside. [Miner] All the time I’m checking if everything’s okay, if a bot freezes, I’ll get a notification, that it isn’t mining. Our everyday work looks like this: monitoring the mining’s profitability. sometimes changing the bots to something else, chcecking, if a fan isn’t broken, for example, or if a card isn’t overheating. My everyday work is based on making not only bots for myself, but for clients. [Kris] It’s realy hot here, because the main fan is turned off at the moment, so that we can record audio. [Miner] The challenge is making the computer, because it’s not a normal computer, it’s in a special case. Another challenge after constructing the computer is correctly configurating the computer, because these aren’t normal settings. Every graphics card needs to be set correctly, that it takes little electricity and is appropriatly efficient. When there are severeal dozen of mining bots, then proper ventilation is a big challenge, a big challenge is also adequate electrical instalation. [Kris] You know, there are people, who are scared to leave their computer on in their house, when they’re going out, and you have a couple dozen here… a couple hundred graphics cards on and you, for example, go out for a couple of days. [Miner] I’m really scared. (laughter) [Miner] There are mishaps – with mining sometimes cables get burned. There’s never been a fire, because there are protections. I once burned really hard a so called riser, the power supply of the riser, hard enough that it was covered with tar. But my mine has an insurance. [Kris] And this is how the room sounds normaly, when the ventilation is on. [Kris] What is the most profitable thing to mine? What do you mine? [Miner] I don’t want to say. (laughter) I often hear the opinion, that people say, that it isn’t worth it… Technically , I don’t discourage people from it, but really, looking in back, I only remember a couple of months from 2013, when really you couldn’t earn a lot, barely enough for the electricity. In every business you need to reduce costs and it would be better to have electricity for free or for very cheap. So in Poland the electricity isn’t too expensive, in the West of Europe electricity is a lot more expensive, and people still mine. Usually a miner returns its costs in around 6 to 18 months. Generally it’s hard to say, what is the most profitable to mine. Right now, I change based on calculators, what is the most profitiable in the given moment, later I change it into the currency, that I believe in, because in a given moment something may be worth mining, but after a while the currency may drop. From my experience it’s the most economic to mine, because everybody thinks, that it’s not. Then you can keep that currency and its price will rise after some time. [Kris] In what form do you keep your money? [Miner] I keep half in złotys or euro, and half in cryptocurrencies. [Miner] Once someone has told that what takes a year to change in a normal market, takes a day in case of cryptocurrencies. I think it’s true. I had mined 4000 Etherum and sold it for a dollar per one. At that time I was very happy because not only it covered my electricity bills, but also I earned some money. And now 4000 Etherum is worth more than 10 thousand PLN (~3000$), so looking back, selling it for a dollar wasn’t a good decision. An example could be a monitor I bought for 1500 PLN (~450$) and to get the money for it, I sold 400 Etherum. I still have this monitor, it works and is sentimental for me because at the moment 400 Etherum is worth around 1,5 milion PLN (~450000$), so I could say that I bought a monitor for 1,5 milion. (laughter) [Kris] Think about all this computing power working here. [Miner] I guess that if cryptocurrencies will continue to evolve, at some moment there won’t be need to mine them. Computing power I’m producing here is mainly used for so called “difficulty rate”. That many mines in the network aren’t necessary, but as there are too many of them anyway, a so called “difficulty” is made, It is manmade. And it isn’t really necessary so actually I’m producing heat here and this power isn’t used. So there’s a pesimist scenario that cryptocurrencies will be evolved in that way so there will be no need for mining. Nowadays, cryptocurriences aren’t only curriences exchanged for a value, there are Smart Contracts, you can programme the blockchain… You really can do a lot more on cryptocurrencies. We don’t realize how all this computing power can be used, but I optimistically think that in the future, it will be used for these Smart Contracts – apps based on blockchain. [Kris] Think about all this people that can’t play The Witcher because all this graphic cards are used to mine cryptocurrencies. [Kris] Do you still sometimes play WoW here in the mine? [Mine] Yeah, I sometimes do, especially in winter. In summer, it’s too hot. (laughter) [Mine] Cryptocurrencies might be a substitute to the banks in the future, they are a big competitor for its systems. Here, no transaction is controlled. They are all transparent. Maybe it’s worth it to buy Bitcoin or other cryptocurrencies, or maybe not. It’s hard to say. But I think it’s definitely worth it to get some knowledge about blockchain technology and things around it. It can be used in many areas of life. It can be that we’re close to a revolution comparable to when the internet launched. One of the problemes here are spiders. I don’t know why, but a lot of them come to my mine. Today, I was cleaning the basement for one and a half hours, before Gonciarz got here. (laughter)