Earn bitcoin online

 Bitcoin has risen 1,100% in a year. How does this business work and how much do miners in St. Petersburg earn?

In February, bitcoin crossed the $48,000 mark for the first time. This is how the market reacted to the $1.5 billion purchase of bitcoins by the company Tesla. The cryptocurrency attracts space yields: from 15 to 80% per annum in the currency. However, tragedies and bankruptcies in this market are also present. "Soba.ru" found out how many mining farms and large computing centres are located in St. Petersburg, and why the Leningrad region is more attractive for crypto miners.

Litecoin, Ethereum and Bitcoin gold cryptocurrencies

The cryptocurrency market is closed and its participants do not want to draw attention to themselves. Meanwhile, Russia is the world's third-largest mining country. The largest digital currency mining companies, BitRiver and BitCluster, founded by Russians, are located in the Krasnoyarsk region and Irkutsk region. Electricity is cheap there and the climate is cold, which makes it easier to cool the premises, as these are the main cost items.

Until the end of last year, this area was not regulated in any way. On January 1, 2021, the Digital Financial Assets Act came into effect in Russia, which allows buying, issuing and selling cryptocurrencies and making transactions with them, but payment is not allowed. Advertising for digital money payments is also banned. In addition, tax returns must now be filed to reflect the ownership of the digital currency and transactions with it.

Bitcoin was invented in 2009 by a man or group of men under the alias Satoshi Nakamoto. At the time, 1,300 bitcoins could be bought for one dollar. The system was limited to only 21 million bitcoins, so as the popularity of the currency grew, more and more power was needed to mine it. Already 18 million have been mined.

Mining centre in the Leningrad region

Mining centre in the Leningrad region

"In five years, investing $20-30 million, I got a return of up to 80% per annum. This is cosmically a lot. You don't earn that much on the stock market.

Suicides and bankruptcies

A businessman from St. Petersburg, Alexei T. (hero asked not to disclose his last name - Ed.) - owner of a retail chain and industrial production, has been mining and buying cryptocurrencies for more than five years. He assures that it is a long-term investment market. It only makes sense to invest in mining or buying cryptocurrency if you have spare cash. "In five years, investing $20-30 million, I got a return of up to 80% per annum. This is a cosmic lot. You can't earn that much on the stock market. However, in 2018, when the bitcoin exchange rate dropped drastically, I had to pay out of my own pocket for a year to maintain the centre: electricity, staff salaries, and room rent. After a year, the exchange rate went up, and I made up for it. But I know people who were unable to subsidise their business for a year and had to sell the equipment for next to nothing: they invested 300 thousand roubles in one farm and sold it for 30 thousand," said the entrepreneur.

There have been more tragic stories among St. Petersburg entrepreneurs, going as far as suicide and squabbling with people in authority over debts. In 2017, the value of bitcoin was on the rise, reaching almost $20,000. "Back then, many people wanted to capitalise on the rise: they took out loans, sold their assets and invested in mining equipment. There was one story when a businessman borrowed $2 million at 50-60% interest and bought bitcoin for $18,000 per unit, then the rate dropped to $4,000 and the man hung himself because he didn't know how to pay back. And there were many such stories in 2018. There was hardly any press coverage of it," said Alexey.


How much does it cost to open a mining farm

The times when cryptocurrency was mined in your kitchen at home are a thing of the past. About eight years ago, many people tried to mine it, some for the sake of trying to earn free money, and some for curiosity's sake. Later, when the complexity of the calculation began to grow and more powerful equipment was required, which could not be put in the kitchen, those who could afford to open a mining hotel or a computing centre, in the opening of which it is necessary to invest at least a million rubles, began to mine.


There are two ways to make money from cryptocurrency. The first is to mine it using blockchain computing. The second option is to buy it to make money on the exchange rate. The principles are the same as in the stock market. Investors today are pouring millions of dollars into mining and buying crypto.


Mining requires powerful video cards or ASIC-miners (a specialized computer for mining cryptocurrencies, much more powerful than ordinary computers), a room with good internet and, most importantly, cheap electricity. The electricity tariff must not exceed 5 rubles per kilowatt per hour, otherwise the economy will not work out.


earn bitcoin online

Популярные сообщения из этого блога

How to make money from cryptocurrency

Make bitcoins

Earn interest on bitcoin