Last day of Obelisk Siacoin Preorder – is it worth it?
Last week the team behind the Siacoin and Sia Network announced that they would be following in the footsteps of Bitcoin and Litecoin by developing their own dedicated ASIC miner for Siacoin. There is just one caveat, anyone interested in buying the unit today, will have to fork out $2,499 for the pre-order while they get to wait 9 months or more for the unit to arrive. In the cryptocurrency world that is a very long time. But before we pass our judgement, let us have a look at the details of the miner and just how interesting we think it would be to acquire one of these (or more for that matter).
Obelisk ASIC Miner
The power/speed of the Obelisk ASIC Miner
The Siacoin team has named their miner Obelisk, which is rather appropriate given its advertised speed. The team behind reports the miner to have a power equivalent to 100 GPUs. This is not entirely incorrect nor completely correct either. Taking a GTX 1080 GPU as an example (admittedly the vast majority would not acquire mining rigs with GTX1080s in it due to its high cost and limited adaptability for optimum performance of mining other coins). The speed of the unit is advertised to be at least 100 GH/s. Comparing this to the GTX1080 which does roughly 2.1 GH/s, it is fair to say that is a substantial increase in hashing power.
Winner: Obelisk ASIC Miner
Obelisk Power Consumption
Obelisk will consume just 500w of power while 47.6 GTX1080 GPUs would require 4,046w (if we manage to decrease the power consumption to just 85w per card). At a $0.12 per kW/h the Obelisk ASIC miner would cost you just $1.44 to run each day or just about $43.2 per month. The 47.6 GTX1080s would set you back $11,66 per day or roughly $349.7 per month (these are very rough estimates of course).
Winner: Obelisk ASIC Miner
Cost of the Obelisk
This increase would be equivalent to 47.6 GTX1080 GPUs nd set you back £23,800 / $30951 / €27052. This is of course not factoring in the number of motherboards, PSU (power supply units), hard-drives, CPUs and rams you would need to match the speed of that one ASIC miner. Not to mention the cooling, power consumption and storage needed for all these mining rigs.
Winner: Obelisk ASIC Miner
However, having said all of that, we should expect that many other miners would be keen on getting hold of the Obelisk miner, which would mean that the difficulty level of mining would increase exponentially too, probably extremely fast. However how fast specifically is at the current time just guesswork, as it depends on how many would be mining Siacoin up until the launch of the Obelisk ASIC miner as well as how many of the ASIC miners would be pre-ordered and shipped in March-June time-frame.
The Obvious Risks and uncertainties
There is no guarantee that the Sia company would still be operating come March-June 2018. There is therefore the risk that you would have invested $2,499 per Obelisk ASIC miner, which you would never receive your product for nor get a refund of, in the case the company closes or successfully files for bankruptcy before the launch of the ASIC miner. Remember, there is still at least nine months before the product is expected to land on the market.
The current difficulty level is increasing fast, most recently people were able to mine 500 coins per day with the GTX1080, which has since late last week already dropped to around 250 coins per day for this GPU. We are likely to keep seeing these crazy decreases in coin return and increase in difficulty level, as more and more start to mine the coin (also impacted by the increased popularity of the Ethereum as people can dual mine the two coins together). How fast the difficulty rate would increase by in the future, is therefore anyone’s guess. It depends on a number of factors, most importantly by how many more people get their eyes up for the Siacoin as a mining option. Currently the company behind estimates that the ASIC miner would be able to mine 60,000 coins per month, which at the current price point of $0.015 would mean you would be mining for $900 worth of Siacoins per month (taking no price increase into consideration), which would mean it would take you 2.7 months to break even on your investment, if we assume there is no price increase between now and launch date. However, this all depends on just how many units get sold, and also as highlighted just how popular the coin will become to mine before and therefore how high the difficulty level would be once the Obelisk ASIC miner hits the market.
One thing is for sure, anyone looking to mine Siacoin needs to take advantage of it already now, while the difficulty level is bearable, and there are no ASIC miners on the markets. Once the Obelisk ASIC miner hits the market, this would almost certainly render GPU mining of Siacoin useless.
Are you going to invest in the AIS Miner pre-order?
I thought about this for a long time and finally came to the conclusion that given the uncertainties and risks involved that I am not willing to put up $2,499 for a unit that I first of all don’t know if it will actually ship and secondly I have no way of knowing whether the difficulty level will be acceptable or for how long after the miner is launched that it would be for. I will therefore be looking out for this after launch instead to see its performance as well as how popular one expects it to become.
Should you however still want to pre-order the Obelisk ASIC miner you can do so here.
Any support for hosting costs as well as hopefully being able to provide my dad with a handicap friendly car one day, is so much appreciated, but not a requirement. Thank you for reading!
Siacoin Address: b0c20e62a112e6f1f999abf1b2f55cf29ef4890e9abc9cdc4c0e6efea2d772560269994025be
Ethereum Address: 0xE76959889F2086e1Ad835F2e8C2bF8A12176beaa