Why is it so important to mine the first Filecoin?

Filecoin officially announced that the mainnet will be launched from March 23 to April 24, 2020. On the one hand, various mining service companies are racing against time to optimize technology, and on the other hand, they are also promoting and attracting funds and deploying their own systems in full swing.

It is understandable that everyone is racing against time to optimize their technology, because everyone wants to have a good start when the mainnet is launched and build their reputation in the industry, but why are everyone trying to raise funds and speed up the expansion and deployment of their systems? Because everyone is trying to find a way to dig up the precious first mine in this field.

What is "first mining"? This is a popular term, referring to the initial period of time after the Filecoin mainnet is launched, especially the first six months, to mine as many coins as possible.

Anyone who is optimistic about the Filecoin project generally believes that once the project's mainnet is launched, due to the mortgage demand, the need for the coins participating in the private placement in the early stage to be gradually released after half a year, and the optimistic expectations for the coin price, there will not be too many coins circulating on the market in the first half year or even a year after the mainnet is launched. Everyone will try to hold and hoard coins, which will cause the Filecoin price to remain strong during the initial period.

In simple terms, the price of coins mined in the early stage is relatively high, so it is most cost-effective to sell the coins mined at this time.

The stronger the currency price, the more intense the competition will inevitably be. Not only will existing competitors increase their investment and layout, but the huge commercial interests will also prompt an influx of off-market capital, prompting new mining service providers to rush into this field, further intensifying competition in this industry.

In fact, there is still a considerable amount of off-market funds that are in a wait-and-see state. Although they have expectations for the project, they have not yet entered the game due to risk considerations.

If Filecoin goes online and the situation improves, the first to rush into this field will definitely be these coveted off-market funds. Not only that, new mines and new competitors will also continue to pour in.

However, the layout of mining equipment and systems is not something that can be done overnight. It involves the purchase of equipment, installation and debugging of the system, and the selection of a high-performance computer room. Therefore, even if the funds are in place, it is impossible to have a cycle from the investment to the completion of the mine deployment and formal operation.

According to the current operating data of various mining service providers, it takes at least two to three months to complete the layout of a mining farm. Therefore, if the mining farm is deployed after the main network is launched, it will take at least two to three months to officially and stably put into operation. These two to three months are a waste of opportunity.

Therefore, if you are optimistic about Filecoin, it is very important to mine the first mine.

This history has already happened once in Bitcoin.

Now 18 million Bitcoins have been mined, and the remaining 3 million will take 100 years to mine, and there will be competition from many mining machine companies and mines. It only took 10 years to mine the 18 million Bitcoins, and early miners could mine them with ordinary computers. There is no doubt that early miners enjoyed amazing first-time mining bonuses.

Filecoin mining may also repeat the history of Bitcoin mining, so the competition for mining the first mine is so fierce.

In this case, early investors who participated in Filecoin mining all hope that the mining service providers they invested in can mine as many coins as possible. In order for mining service providers to mine as many coins as possible, they must have strong technical strength on the one hand, and on the other hand, they must have a mining farm of sufficient scale and deploy as many equipment and systems as possible.

Therefore, mining service providers are also doing their best to attract investment, hoping to make arrangements as early as possible and mine as many mines as possible.