Former Apple employee became a millionaire while mining Bitcoin
Eng Taing, 36 years old, currently has 261 “buffalo plows” with the ability to mine 2.8 Bitcoins, equivalent to 110,000 USD, per month although not directly operating.
“I invest in a lot of things, but also believe in the future of Bitcoin. But instead of pouring money directly to buy cryptocurrencies, I choose to mine them because I will earn more,” Taing said about why he bought hundreds of miners.
Taing was born in Thailand and now lives in California (USA). He joined Apple as an analyst at the age of 29 and quit a few years later to found and run Touzi Capital – a company specializing in real estate and venture capital.
Eng Taing outside the factory where the Bitcoin “buffalo plow” system is located. Image: Eng Taing
Taing said he started paying attention to Bitcoin in 2013 but only passively invested. Years later, realizing the potential from cryptocurrency mining, he bought some diggers for testing.
In 2020, he contacted Compass Mining, a service that specializes in providing and operating mining systems for small miners. With this option, Taing does not need a site or a mining factory but still has income from the excavator system.
So far, the machines work well and increase in number year by year. As of the beginning of this year, Taing owned 261 “buffalo plow” rigs with various brands, including Canaan AvalonMiners, Bitmain Antminer S19 Pros and Whatsminer M30Ss. 200 of them are operated by Compass and located in Nebraska (USA) and Canada. The whole thing generates about 2.8 Bitcoins per month, or $111,000.
Besides mining through the service company, Taing also earns money from buying and selling Bitcoin miners over and over to those in need.
He currently owns a fortune of $250 million, according to figures published on the Touzi Capital website.
Service to ‘help’ Bitcoin miner
While most large Bitcoin mining and trading companies usually target corporate customers or those with millions of dollars or more in investment capital, others are starting to hit the niche market. Compass – the service that Taing sends his “buffalo plow” system – is one of them.
Compass was established in 2020, currently providing mining systems for any individual or organization in need. The company allows customers to buy new or used excavators for between $4,500 and $26,000, then ship them to partner data centers, and then take care of logistics and maintenance. .
Jon McClellan, an AT&T employee living in Texas, has a single Bitcoin miner purchased from Compass in 2020 and currently operates in Oklahoma. “I know if I buy Bitcoin from a miner, I will literally buy it whenever. But I want to be part of a Bitcoin secure network, I want to have my own hash rate,” McClellan said. , which refers to the hashrate – an indicator of the computing power of Bitcoin miners around the world.
Return on investment for individual Bitcoin mining varies based on a number of factors such as upfront cost of equipment purchase, number of miners running, cost of electricity and storage…. The “collection” pool” allows a single miner to combine with thousands of other miners in the same factory to increase hashrate, thereby increasing the chances of earning Bitcoin. In McClellan’s case, he makes about $400 a month, but has to pay $150 for expenses.
Eng Taing’s Bitcoin mining system is operated by Compass. Image: Eng Taing
For more than 250 machines like Taing’s, the profit margin is 65-70%, the payback is about 18 months. However, due to the large number of “buffaloes and plows”, he was able to reduce certain fees, as well as join the “pool” to increase mining power.
Whit Gibbs, CEO of Compass, said that the company’s customers are mainly single – people who buy one to five machines with an investment cost of $10,000 to $50,000. “It works for people with little capital but want to join the Bitcoin network. We want 5% of the network to be retail miners this year and will increase to 10% to 15% next year.” , Gibbs said.
The payment company Block (formerly Square) of Twitter founder Jack Dorsey is also trying to support individual users to mine Bitcoin. In a series of tweets earlier this year, Thomas Templeton, Block’s head of hardware, laid out his plan to create full Bitcoin operations from purchase, setup, maintenance to mining.
“Bitcoin mining will be as easy as plugging in a rig of buffalo plows to power,” Dorsey wrote on Twitter earlier this year.
Bao Lam (according to CNBC)
at Blogtuan.info – Source: vnexpress.net – Read the original article here
