Announcements, Partnership

Wattum and ViaBTC Announce Global Strategic Partnership

June 3, 2021

Wattum is pleased to announce a strategic partnership with ViaBTC Group, which consistently ranks within the top 10 for total Bitcoin hash power among mining pools.

ViaBTC is a globally recognized Bitcoin mining pool and cloud mining contract provider specializing in blockchain technology. Within the year preceding this writing, they have accounted for 7.14% of global hashrate. Their partnership with Wattum brings together a shared dedication to providing clients with reliable and efficient digital asset management services.

ViaBTC CEO Haipo Yang remarked, “It’s always such a pleasure to work with the Wattum team. Their professional standards and commitment to providing high quality work puts them a step above the rest.”

In Q1 of 2021 alone, Wattum has transformed $1.5 million in funding into $58 million, a 3800% return. With over 720 existing mining pool customers, Wattum is well-established as a trusted, lucrative pool generating significant returns for their customers.

In light of this partnership, Wattum will be offering a new customer rate, reducing Pool Fees to just 1% if the customer purchases equipment and/or management services as well. Wattum also conducts profit testing through monthly pool audits and provides mining pool services to a vast range of clients, from individual miners to large-scale data hosting centers.

With a diverse set of offerings including equipment, hosting, management and mining pools within the cryptocurrency market, Wattum’s comprehensive value proposition is strengthened by this deal. Our company profile anticipates a rise within the cryptocurrency industry in the U.S. and internationally, amid the most significant cryptocurrency mining boom as historic regulatory barriers are being broken down.

U.S.-based crypto mining management company Wattum has recently partnered with data center operator Enegix to expand hosting availability at their Kazakhstan Bitcoin mining facility by 8MW. 

Enegix’s Facility

Based in Kazakhstan, a nation that is home to a whopping 4,000 MW electricity surplus, Enegix’s data center is already one of the largest in the world, with plans to increase its capacity by an additional 500 MW in 2021. Based in an ideal shipping location, the country also presents a low 12% import value added tax (VAT) alongside import options as low as 0%. The fully compliant facility is optimized for safe mining operations thanks to an ideal climate for air cooling, on-site ASIC repair availability, and on-site personnel accommodation. Giving equipment owners peace of mind, the high-voltage infrastructure is protected by video surveillance and armed security. This facility was built to provide premier hosting opportunities for miners, which Wattum customers can now take advantage of.

Wattum’s Hosting Growth

As one of the leading providers of mining equipment hosting and maintenance services, Wattum offers the lowest prices for facilities within the U.S., Canada, Russia, and now Kazakhstan. Boasting a minimum of 99% equipment uptime, uninterrupted network operation, and uninterrupted power supply, Wattum is synonymous with reliability. Monitoring is provided by on-site technicians with 24/7 customer support. To ensure you get the maximum lifetime out of your mining equipment, Wattum’s specialists carry out routine maintenance and diagnostics of mining equipment. They also monitor mining equipment control of current conductors using a thermal imaging device, alongside routine visual inspections by certified technicians.

Declining Global Hosting Availability

With tightening regulations leading to a precarious Bitcoin mining climate in China, the global leader in hashrate production, many miners have looked to other regions with lower risk to host their mining hardware. This has resulted in an increased demand for credible hosting facilities around the world, particularly those headquartered in the U.S. Through this partnership with Enegix to increase available hosting space, Wattum is an American-based company taking proactive steps to ensure that its customers have ongoing access to secure, reliable hosting at competitive prices, even in an ever-changing global regulatory landscape. Wattum offers a variety of services such as new and used equipment sales, hosting, management, firmware, and mining pool opportunities.

An Investment Opportunity that Pays for Itself

With these shifts in the global playground of crypto mining gaining widespread recognition, developments have already been seen in the demand for mining equipment as participants from all over the world recognize the lucrative investment. While the current market price of Bitcoin sits at nearly $40,000 at the time of writing, purchasing a rig for under $10,000 and mining Bitcoin allows you to invest smaller increments every month whilst getting a significant return on your investment. Mining equipment is fully depreciable on your tax returns, and since it’s typically priced at a 12-month payoff from the current Bitcoin price, the period of time that it takes to pay off your equipment will decrease should Bitcoin prices increase, as they are now.

Bitcoin’s recent boom and widespread adoption has many curious about how they can capitalize on the rise of the world’s new form of currency. If your familiarity with Bitcoin is more-or-less limited to what you’ve read in Elon Musk’s tweets, fear not: Wattum has you covered. This guide is your crash course on Bitcoin mining: the what, the why, and the how.

What exactly is Bitcoin?

Bitcoin is the world’s first decentralized cryptocurrency, first introduced in 2009. Free from the control of any central bank or entity, highly secure, and virtually impossible to forge, Bitcoin addresses many of the problems we face with traditional fiat currency. To mitigate against inflation, the total supply of this digital asset is limited to 21 million coins, which can never be increased. Each coin can be divided into a hundred million pieces, named “Satoshis,” after the creator of Bitcoin. Individual Bitcoins are created through a complex yet relatively accessible process called mining, which has evolved into a major industry as Bitcoin’s price has risen sharply in recent years.

Bitcoin is decentralized, meaning there is no intermediary between holders during transactions. Our existing financial systems are centralized, with central banks controlling the flow of capital.

One of Bitcoin’s main value propositions is its decentralization, meaning that there is no intermediary between owners of the currency. This allows individuals to send currency without going through a bank or a central authority, empowering crypto owners. This utilizes Blockchain technology, which is the process of using the same general ledger to track all transactions. Each block of the chain has corresponding signatures that create the chain, irreversibly putting the information in a specific order that cannot be tampered.

Bitcoin utilizes Blockchain technology, which records all transactions onto the same general ledger, meaning people cannot change previous entries. This keeps Bitcoin secure and virtually unhackable.

How does Bitcoin mining work?

Like gold, part of what makes Bitcoin scarce is that it needs to be ‘mined’. In fact, the process of mining cryptocurrency actually bears similarity to mining gold: to mine Bitcoin, people dedicate computing power to ‘chip away’ at complex cryptographic equations, which serve to verify blocks of transactions. These transactions are then documented on a virtually unchangeable distributed ledger. This means past transactions cannot be altered and forgery is impossible. In exchange for their computing power, miners are compensated with a small amount of new Bitcoin. This is the only way to introduce new Bitcoin into circulation.

Bitcoin miners help secure the cryptocurrency through lending their computing power to verify transactions. They are rewarded by earning small increments of Bitcoin.

Where’s the money in Bitcoin mining?

Miners collectively earned more than $1.1 billion worth of Bitcoin in January 2021 alone. The value of Bitcoin is determined by the markets on which it is traded, typically dedicated cryptocurrency exchanges. Like any scarce asset, Bitcoin’s value increases with demand. With Bitcoin’s remarkable ascent to $50,000 from mere pennies, many investors have made fortunes. As Bitcoin continues to breach the mainstream, experts predict that hitting its new milestone of $100,000 is not too far off.

How can you mine Bitcoin?

  1. Purchase a Bitcoin mining rig. To begin mining, you first need the right computing equipment. Purpose-built ASIC mining rigs are special hardware used to mine Bitcoin at an incredible speed. Due to their significant electricity, cooling and maintenance needs, these mining rigs are typically hosted at dedicated hosting facilities.
  2. Get a Bitcoin wallet. Bitcoin wallets allow you to receive your Bitcoin and do with it as you please. Software wallets are optimal for beginners because they are relatively secure, but still easy to manage. For more serious miners, hardware wallets can offer enhanced security, although they generally come with a higher price tag.
  3. Install mining firmware on your mining rig. These mining programs allow you to stay connected to the blockchain and Bitcoin network. This allows you to monitor your miner from a distance and also receive complete information about your mining work.
  4. Start mining. Following these three steps, you are now ready to mine!

ALTERNATIVE: Join a mining pool. With huge mining farms around the world, it can be hard for a single miner to compete to mine Bitcoin. This is mitigated by the use of mining pools, which combine the computing power of numerous miners and then divide the mined Bitcoin amongst the members according to their power contribution. Typically charging a nominal 0-2% of the gained reward as a pool fee, mining pools typically deliver lower, but more consistent profits. There is also a small 0-2% of the gained reward that is paid to the pool as a fee.
Want to make the mining process even easier and lower maintenance needs? Consider Wattum’s professional hosting and management services. With Bitcoin mining operations in the United States, Canada, Russia and Kazakhstan, Wattum is an established player in the industry that will make sure your mining hardware is running at peak performance.

Announcements, Mining

Find Wattum at Mining Disrupt this July!

May 19, 2021

Wattum Management is pleased to announce that we will be attending this year’s third annual Mining Disrupt® Bitcoin & Crypto Mining Expo and Conference. The event will take place in Miami, Florida from July 20-21, 2021, with Wattum attending as a presenter and hosting our own booth. We can’t wait to see you at booth number 46! 

We look forward to presenting alongside fellow industry innovators and discussing current best practices in crypto mining, how developments within the past year have shaped the market, and how the future of Bitcoin could be affected as these developments continue to unfold.

This year’s Mining Disrupt Conference features a virtual experience, allowing vendors and attendees to connect and chat online as a parallel to the available livestream. We eagerly anticipate this opportunity to engage with new and existing clients, as the topics of this year’s conference will offer much room for interesting conversation.

In a time where cryptocurrency adoption has gained more momentum than ever and numerous innovations are emerging, the team at Wattum Management is especially excited for this time of connection with fellow cryptocurrency enthusiasts and leaders. We look forward to seeing the many faces, both new and familiar, that represent this rapidly evolving market.

Tickets for the event can be purchased here.

Support from payment giant Visa and electric car revolutionary Tesla has bolstered the anticipated longevity of Bitcoin, resulting in a projected increase in future prices.

Al Kelly, CEO of Visa, recently discussed the company’s plans to get involved with cryptocurrency through a multi-pronged strategy pushing services related to Bitcoin, stablecoins and, on a more distant time horizon, central bank digital currencies, or CBDCs. Kelly revealed that the company is leaning into the crypto industry in a very big way and feels they are “extremely well-positioned”.

A Vision for the Future as Bitcoin Secures the Trust of Industry Leaders

Tesla Inc. CFO and Master of Coin Zachary Kirkhorn has announced that the company will continue to hold and accumulate Bitcoin, thanks to their sincere belief in the cryptocurrency’s long-term value. Despite concerns surrounding Bitcoin’s role in clean energy and influences on the environment, the digital coin remains on Tesla’s balance sheet as new findings surface regarding its potential positive effects on technology innovation for renewable energy.

Tesla CEO and renowned innovator Elon Musk frequently takes to social media to discuss cryptocurrencies and Bitcoin to his 50 million+ followers. Musk has long been praised for being a visionary leader, driving Tesla to become the first S&P 500 company to invest in Bitcoin, a move other companies are slowly beginning to replicate. Tesla invested $1.5 billion into Bitcoin in early 2021. Despite selling 10% of their holdings, the value of their remaining Bitcoin had risen to $2.5 billion as of March 31.

Scope of Opportunities Presented by Bitcoin are Driving Mainstream Acceptance

The increase in mainstream and corporate support of Bitcoin continues to push the cryptocurrency toward the position of a long-term asset, foreshadowing a significant increase in future prices. There is a growing, widespread consensus that the time to get into Bitcoin mining is now in order to capitalize on these expected gains. 

Corporations such as Visa and Tesla have faith in this process as Bitcoin miners serve as a decentralized co-location for transaction verification, which speaks to the scope of opportunities presented by crypto mining that benefit individual miners and mining farms in more than 10 countries around the world. There’s never been a better time to join in on these opportunities, as ongoing mainstream use and acceptance of Bitcoin and cryptocurrency continues to be elevated by significant industry players.

Mining Bitcoin as a Next Step in Joining in on the Action

Mining equipment is typically priced at a 12-month payoff from the current Bitcoin price, meaning that if Bitcoin prices should increase after you buy, the period of time it takes to pay off your equipment is shortened. If the investments of industry leaders like Tesla and Visa are any indication, locking in mining equipment at today’s prices may set you up for even faster returns than predicted. Buying a Bitcoin miner allows you to mine for the next few years, making back your investment as opposed to buying Bitcoin directly for its market price. A lucrative investment such as this one is fully depreciable on tax returns as mining Bitcoin is parallel to purchasing it in smaller increments over time, further saving you money.

Wattum Management, a Bitcoin mining farm management company, provides new and used equipment sales, hosting, management, firmware, and mining pool opportunities for both individual miners and mining facilities looking to increase their investment in the trailblazing cryptocurrency. With a wide variety of quality miners for sale at nationally competitive rates, now is the best time to buy as increases in Bitcoin price will only increase the value and demand of available mining equipment.

The $1 trillion market capitalization milestone recently achieved by Bitcoin has caused investors to reassess the age-old comparison of gold and the now-famous cryptocurrency. With a market cap of $11 trillion, gold has been used as a timeless safe-haven asset for more than 5,000 years. In contrast, Bitcoin, also known as digital gold, has at times been perceived as a risky investment used only for short-term profit.

Bitcoin’s ascent over the last 12 years has been affirmed by recent investments from Tesla and other influential deep-pocketed players. This is sure to change how the digital coin is perceived, particularly when compared to the declining prices of gold.

Bitcoin Predicted to Surpass Gold in Less than a Decade

The comparison between the two assets is applied to their use in portfolios or hedge funds; they are often used to diversify the fund against fiat currency inflation due to unsustainable fiscal and monetary policies. 

The sentiment of increasing investment into Bitcoin over gold has been supported by many prominent names within the investment industry. “Although bitcoin has increased hundreds of percent in the last few months, it is likely to continue appreciating in US dollar terms over the coming years.” says Anthony Pompliano of Pomp Investments and Morgan Creek Digital Assets, “I suspect that bitcoin’s market cap will surpass gold’s market cap by 2030.”

The decline in gold prices can be attributed in part to Bitcoin hitting the mainstream, with the general public becoming increasingly comfortable with crypto investment. Bitcoin’s ease of liquidity, exchange, and broader use in the modern economy provides a substantial advantage over gold, the primary purpose of which is to maintain its value.

Maximizing Investment Returns with Digital Gold

The principal benefit of investing in Bitcoin or purchasing Bitcoin miners is the high potential for it to continually increase in value, as well as its predicted future role as a mainstream asset class. JP Thierot, CEO of digital money platform Uphold, and Daniel Ives, Managing Director and Senior Equity Research Analyst at Wedbush Securities, have both stated their preference for Bitcoin. The two agree that while the consistent value of gold has made it a reliable asset throughout history, Bitcoin provides too strong of an opportunity to pass capitalizing on.

It is expected that once the capital gains tax increases, as planned to pass by Biden, the wealthy will move their money into cryptocurrency, predominantly Bitcoin, ultimately creating a new ‘gold rush’ for this digital gold. These rich investors are also likely to purchase miners as an investment, as mining rigs are considered depreciable assets in their first year and can generate profits over the course of three to five years. When those mining profits are held as cryptocurrency, increases in coin prices further maximize investment returns.

An Increase in Demand as the Rush Wages On

As cryptocurrency prices continue to rise and more major investors begin to recognize the profit potential of Bitcoin mining, the availability of mining rigs and colocation services is expected to become increasingly limited. Reputable firms like Wattum Management offer sales of new and used mining equipment, hosting and management services, firmware, and mining pool opportunities at nationally competitive rates, with Wattum’s current hosting price being as low as $0.05/kWh. With increasing acceptance of digital currency and low hosting rates, the time for investing with a reputable industry leader is now.

With more than 65% of the world’s hashrate production, China has become the clear cut leader in the market for Bitcoin mining in recent history. However, it appears that the nation’s distant lead is narrowing, as United States miners are expected to gain an additional 10% of the global hashrate market share within the next calendar year, according to Hashrate Index CFO Ethan Vera.

A major reason for China’s hashrate dominance has been lax environmental regulations and low energy prices. While tighter restrictions on carbon emissions are being rolled out across the country, the impacts on cryptocurrency mining capacity are particularly stark in three major hashrate contributor regions – Xinjian, Sichuan, and Inner Mongolia. These three collectively account for more than 53% of the world’s total hashrate.

China Decreases their Cryptocurrency Production

Many Bitcoin mining farms in these regions rely on non-renewable energy sources, most notably coal, which yields the highest carbon emissions among fuels. The Chinese government has pledged to sharply reduce carbon emissions in pursuit of ambitious climate goals. This, combined with concerns about the safety of some major coal mines, suggests that energy available for cryptocurrency mining may be reduced, at least in the short term.

The Xinjiang regulatory body is cracking down on unsafe coal mining practices, already decreasing production by 30% as a result.

The looming 2022 end of a local three-year hydropower policy that favourably affected miners in Sichuan is causing a shift amongst miners who are now hesitating to invest more in the region. Hydropower presents an alternative to coal-fired power plants, as the latter faces more regulatory enforcement. The shift to hydropower over other energy sources is more compliant and cheapest in the rainy season, despite potential power outages in dry months.

Inner Mongolia is facing an ultimatum from their National Development and Reform Commission, which stated on February 25 that all crypto mining operations needed to abandon the region by the end of April due to their high energy consumption.

Increased Regulations Make Room for US Miners

This increased regulation of Chinese mining and hosting is expected to make room for other regions of the world to capture market share in Bitcoin hashrate production. Currently next in line with 7% of global production in April, crypto miners in the U.S. are poised to make a significant push for crypto mining market share in 2021.

While the effects of tighter regulation in China should not be understated, the expected increase in U.S. hashrate production also owes itself in part to increased adoption of Bitcoin by major American financial institutions. Enthusiastic entrants to the American crypto mining market, combined with the gradual arrival of crypto mining activity previously carried out in China, are expected to drive scarcity in the market for crypto mining equipment, hosting and colocation services.

Wattum Management Leads the Way for US Hashrate Dominance

In Q1 of 2021, Wattum Management sold 20% of all North American equipment, grossing a sizable $60 million in sales. Wattum is now offering hosting at $0.05/kWh, giving customers access to reliable services at nationally competitive rates. If the crypto market continues to perform at its current rate, as many analysts are predicting it will, these rates will be next to impossible to beat.

Wattum is a reputable New York-based crypto management firm offering services such as new and used equipment sales, hosting, management, firmware, and mining pool opportunities.

About Wattum Management’s U.S. facility:

  • 99.9% uptime
  • Tax-registered and fully compliant
  • Based in New Mexico
  • 15MW capacity and is built out to 7.5 MW
  • Using 3-Phase 415/240 voltage distributed to 4 containers, and 2 buildings

Wattum is one of the leading providers of mining equipment and maintenance services in the United States and boasts competitive prices for our US, Canada, and Russia facilities. Our reliable management services include production monitoring, equipment optimization, and part replacement that helps save you money.

Bitcoin mining farm management firm Wattum Management has confirmed their purchase of 2,400 AvalonMiner 1166 Pro rigs from Canaan ($CAN). Canaan, a Chinese manufacturer and ASIC mining pioneer, will collect $13 million in revenue from the sale.

Demonstrating both a high hashrate and efficiency, the AvalonMiner 1166 Pro units will be distributed to customers based in the United States. With over 500 units already in stock and ready to ship, Wattum will be receiving shipments containing the remaining 1,900 between June and August of 2021.

Details regarding the purchase:

  • Model: AvalonMiner 1166 Pro
  • Hashing Rate: 81TH/s
  • Quantity: 2,400
  • Power Consumption: 3400Watts
  • Power Efficiency: 42J/TH
  • Total Cost: $13,000,000+

AvalonMiner 1166 Pro Features:

  • Safety and Quality
  • Built-In AI Chip
  • Simple Deployment
  • Easy Maintenance
  • Unique Reinforcement Design

A Mining Equipment Milestone

This sale bolsters Wattum’s position as a leader in the cryptocurrency mining market, as inventory availability from reputable resellers is crucial in a time where mining equipment is sold out well into next year.

Wattum has established its reputation for both competitively priced equipment, dependable management and colocation services, the value of which has steadily increased amidst the soaring coin prices. With many large corporations buying out available miners and looking towards hosting facilities for support, Wattum continues to boast their own fully managed hosting facility in the United States.

Bitmain Technologies Inc have announced that they will be releasing a new Ethereum (ETH) Miner, named the Antminer E9. This new release, which will run on Ethereum’s Ethash algorithm, will join incumbents in the market of GPUs designed for crypto mining, including Nvidia’s Cryptocurrency Mining Processor (CMP). 

However, despite the pending release of the Antminer E9 as the newest application-specific integrated circuit (ASIC) miner, there remains a looming shortage of GPU chips, and it doesn’t look like the situation will be changing anytime soon. Colette Kress, Nvidia Corporation’s chief financial advisor, expects the shortage to continue well into next year, saying that the demand for GPUs continues to exceed the available supply. 

This prediction is supplemented by the fact that production of the Bitmain E9 miners will be limited by an already dry pool. The price of GPUs is expected to rise in light of their anticipated shortage, indicating that the demand for E9 miners will be high. Considering this current climate, GPU prices are more than likely to climb, increasing significantly as demand for them does not appear to be slowing down.

With GPU availability remaining low and demand continuing to remain high, the time is ripe to buy crypto miner units, especially considering that the new year is not expected to bring much change to the global chip shortage. Implications of the current shortage of GPUs have already been felt significantly, so the time is now to invest in miners that remain available through reputable resellers like Wattum Management, whose prices remain the lowest among companies offering both mining equipment and colocation services in the US.

Announcements, Mining, Partnership

Wattum Management Purchases $35 million of Mining Equipment

May 4, 2021

Through a partnership agreement with Integrated Ventures, New York-based Bitcoin mining management and hosting company Wattum Management has secured over 4,800 Antminer S19J units from Bitmain Technologies Limited for $34,047,600.

Delivery installments on the 12-month deal are set to span from August 2021 through July 2022. Wattum and Integrated Ventures are partnered 50/50 in this purchase, with at least 2,000 mining units set to begin operating by December 2021, according to Integrated Ventures. Based on Bitcoin’s price averaging $60,000, early projections suggest a $21 million return on investment within the first 12 months after all units are connected.

As Integrated Ventures has been predominantly operating in mining colocation centers since its entry into the cryptocurrency mining industry in 2018, this partnership with Wattum is a significant step forward in the ascent of both companies to the forefront of the crypto mining market.

Wattum Management continues its emergence as a leading force in both hosting and mining management services, as well as equipment sales. The 12-month agreement has secured significant inventory for Wattum and contributes to the expansion goals of both parties to launch multiple mining farms and data centers.

Wattum will provide management services for Integrated Ventures at a mobile container site located near the INTV facility in Kennerdell, PA. Integrated Ventures has made a further purchasing commitment to obtain 150 units of WhatMiners, valued at over $1,000,000, which will be stored and hosted by Wattum at this mobile mining farm and are expected to begin shipping in May 2021. 

Steve Rubakh, CEO of the Pennsylvania-based tech holdings company, expressed enthusiasm about his company’s partnership with Wattum Management:

“[Integrated Ventures] is very pleased to secure this large scale purchase agreement, especially during a period of scarce supply of mining hardware. Going forward, INTV is committed to deploy any raised capital for purchases of the mining equipment. This purchase effectively doubles INTV’s hash rate and represents a major step in INTV’s strategic growth plan, resulting in significant increase of [INTV’S] projected revenue growth rate.”