What are the risks of Bitcoin mining?

Here are the 4 biggest risks when it comes to Bitcoin mining and how we mitigate them.

Risk #1: Fire.

There have not been any fires in our data centers for the past 8 years. Since we have over 80.000 machines spread over different datacenters in the world, we have taken many measures to mitigate our risks. We have special cooling systems to control the temperature at our facility. Each of the machines has temperature sensors that will trigger the machine to switch off and cool down when it hits a certain temperature. On top of that we have special monitoring software installed on each of the machines which will flag issues before they can even arise. In case of a fire the machines are not insured. If you still wish to insure your machines that is possible. We can connect you to a 3rd party insurance provider that will charge around 3-4% of the purchase price of the machine(s).

Risk #2: Theft.

Our facilities are in remote locations. Each of our sites have armed guards and over 200 cameras.

Risk #3: Defect.

Every machine comes with 1 year of factory warranty. If the machine has a defect within its first year it will be fixed or replaced under warranty. If anything happens after the 1st year the repair costs are for the customer. However, it is important to know that these machines are meant to work 4-5 years with minimum maintenance. Statistically 1 out of 100 machines can have a defect. Typically a repair ranges from $80 for a fan to $200 for hashboard. Still, this is nothing compared to the earning potential of the machines.

Risk #4: The Bitcoin price.

Ultimately the profit of mining is dependent on the price of Bitcoin.