FileCoin is in the spotlight, and hard disk mining will continue to be hot

As for FileCoin mining, there are two sides in the market at present. On the one hand, a large number of articles have elaborated such a view: FileCoin mining is a scam in which industry leaders are united to deceive retail investors.On the other hand, big capital groups keep increasing weight on FileCoin’s mining, which makes many investors say that they cannot understand the current situation. Should they get involved or not?

Mining is also one of FileCoin’s most controversial areas right now. Since its mainnet isn’t yet online, many groups are offering cloud computing services, and even exchanges are selling them.It can be seen that big funds are still optimistic about FileCoin.

FileCoin mining requires building data centers, not mines.The difference is that wether there is local government subsidy. There are mines operating under the name of a data centre. .A previous mine in Xinjiang, China was reported to have had its subsidies removed because the local government decided it was not a data center, so electricity prices rose so high that the mine was shut down over a dispute.FileCoin, on the other hand, can legitimately build data centers and get subsidies and preferential measures from local governments.

In addition, the current investment in a more cautious situation.For scale companies, bank money is easier to borrow, and interest rates are much lower.But the problem is that many enterprises do not dare to borrow money, mainly because they do not know what to do with the loan. Arbitrarily expanding production will increase inventory, so they have to operate conservatively.In addition, the domestic demand is very weak now, so once there is a reliable good project, it will naturally attract many teams to do it, which also leads to the reason why many people in China are interested in FileCoin mining.

FileCoin’s mining is actually a competition for computer hardware. Not only hard disk, but also CPU, GPU, RAM and other hardware requirements, which also makes many retail investors criticize FileCoin as a game between major players, and retail investors cannot participate in FileCoin mining.Because such hardware costs at least 1500 US dollars and has to be powered by high-speed broadband, it’s hard for an individual to mine ethereum by adding a few graphics cards at any place with low electricity costs, except in a data center room.FileCoin’s mining partly qualifies major players to participate, excluding many retail investors.

The biggest advantage of excluding retail investors is that major players can control the price of tokens. To some extent, they are the main miners of hard drives, and therefore have an obligation to maintain the price.This is good for FileCoin.

As for many vendors selling cloud computing power to retail investors, in fact, the biggest reason is that they are not willing to bear the risks related to token price, so they need to choose a more stable way of income.Selling cloud computing power as soon as possible would avoid this, and they would have an incentive to maintain the currency later on, so they could continue to build data centers and sell cloud computing power.

Since the popularization of smart phones, there has actually been a relatively large decline in computer sales.Lenovo, the former computer giant, has been tweaking its products but has struggled to break into new markets, largely because computers tend to have long life spans, unlike mobile phones, which have to be replaced every two or three years.On the other hand, most people already use their home computers less.Therefore, this is a new challenge for some computer accessories manufacturers, their performance also received a lot of pressure.

So for hard disk manufacturers, they will not miss this opportunity. Although cloud storage has occupied a large market size, if there is a new growth point, why are they not willing to do it?

Hard disk mining is a long-term business, and competition for hard disk space is bound to intensify as the currency price rises.Here we can refer to the mining of ETH, which has consumed a large number of graphics cards, and even caused the price of graphics cards to rise for a time, showing the hotness of mining at that time. So hard disk mining must be very critical for hard disk manufacturers.

FileCoin is bound to be an ongoing project because it involves too many stakeholders for all of the above reasons, so it’s unlikely to fail too quickly.In the current global economy, FileCoin, which seems to be a relatively small market, is indeed likely to become a point valued by many related enterprises.So overall, FileCoin’s hype is far from over.Then there’s a lot of profit to be made, and that’s the key for some players.Because simply put, without profit margins, data centers, hard drives, and capital could all end up empty, which is obviously not going to happen.

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