Chia Investment Return Analysis

In the booming year of 2021, the cryptocurrency world has also seen a blowout. Bitcoin has repeatedly refreshed people's cognition. With the rapid rise of FIL distributed storage and DeFi decentralized finance, as well as the new blockchain model sector based on the concept of NFT, a clearer structural distribution has emerged. This has been a crazy and irrational year!

Blockchain technology is gradually entering the vision of the general public, subverting traditional Internet thinking. Standing at the forefront of the times, blockchain will create an epic legend of Internet 2.0. Any rainstorm must be quiet and gentle. Recently, a project called chia has gradually attracted the attention of more and more people, and more and more people have extended their fangs to the primary market. In the investment field, the primary market has always been a hotbed for investors to make profits. The primary market has lower risks, higher profit margins, greater operational possibilities and more initiative.

As this year's epic green ecological project - Chia. Compared with traditional blockchain projects, Chia fits the current world's demand for green environmental protection. At the same time, it weakens the disadvantages of over-centralization caused by capital and promotes the participation of all people. In terms of project concept, it has achieved the scope of true decentralization. Faced with such an epic project with great potential, many investors who want to seize the opportunity in the primary market can't help but consider issues such as the layout investment and return rate of the primary market.

Chia's model replaces the traditional consensus mechanism with a newer proof of space and proof of time. Compared with traditional mining that relies solely on POW proof of work and POS proof of equity, Chia's model concept is more energy-saving, environmentally friendly and suitable for retail investors to participate in. The proportion parameter of mining income is obtained by relying on the proportion of storage space in the entire network.

Many investors who covet primary market mining can't help but ask: What is the return on investment of Chia mining? How long does it take for the mining machine to pay back? What is the return rate of profit? This article will provide a detailed analysis for investors who are interested in the Chia project through a series of matrices. First of all, the way to obtain Chia is benchmarked against the way to obtain traditional cryptocurrencies. The value of Chia is assigned by the output tokens of mining machines. Chia's mining machines are fundamentally different from traditional projects that rely solely on computing power for mining. Traditional mining machines can only be used for mining. When the market heat of a project fades, the mining machines will only face the end of being sold at a bargain price.

Chia mining machines use hard disk storage space as proof of mining rights and interests, and are closely related to hardware equipment in traditional industries. In other words, even if miners who enter the market want to exit the market one day, they can sell them at a high price and continue to be used by the traditional Internet industry. The depreciation cost is extremely low, the risk is not high, and there is a huge profit margin.

Taking chiafarm miner 112T as an example, each terabyte of computing power can produce 0.04 XCH (chia token) per day, and each terabyte of computing power is equal to 1024T, which can produce 40 XCH. Assuming that a miner enters the market with 250,000 funds to invest in chia, he can buy about 9 chiafarm miners 112T at the same time. In the subsequent mining process, each mining machine can produce 4.48 XCH per day, and 9 machines can produce a total of 40.32 XCH.

According to the current OTC price, one XCH has a price of about 20 USDT. In fact, this miner can produce 806.4 USDT per day. According to the economic model of Chia mining, Chia is more energy-saving and power-saving than traditional mining machines, and the power consumption can be almost negligible. Converted into RMB, this miner can make a profit of about 5402 yuan per day.

Through relevant calculations, we know that: after deducting the rest of the expenses, it is theoretically possible to recover the investment in less than two months and enjoy the profit space in the later period. In the concept of chia, based on this model ecology, chia encourages more miners to participate in this epic movement, while driving the secondary use of wasted storage hardware behind it, which fits the original concept blueprint of chia - green environmental protection. In the outbreak of FIL distributed storage some time ago, countless early miners who entered the market to deploy FIL made a lot of money. The birth of a big cake will involve the common development of countless industrial chains.

As the prices of established currencies, led by FIL, continue to soar, Chia, as a star project from Silicon Valley, may be able to overtake others and break through new possibilities. Chia was born out of the turbulent waves and is bound to win the title of storage mining sector this summer.