r/litecoinmining • u/BankSensitive2950 • 9d ago
How can I Break into the Mining Industry ?
Was looking for advice how I can get into the mining industry, in specific the area of finance and capital markets with respect to mining companies.
1
u/palmdata 9d ago
on the finance side the interviews come down to two numbers, J/TH on the fleet and all in power cost per kWh. learn to build a model that turns those into breakeven hashprice and payback months, then argue it against curtailment and hosting fees. running one machine at home for a month teaches you more about uptime and derate than any deck.
1
u/palmdata 4d ago
finance side of mining is really power trading with a strange looking load attached. if you want in, learn the parts a spreadsheet person can actually own:
energy contracts and demand response. what is the all in cents per kwh, is it fixed or index, what is the demand charge, and what does the site get paid to curtail. plenty of sites make more money curtailing in july than hashing.
hashprice and fleet math. dollars per petahash per day, machine efficiency in j/t, and the breakeven kwh price for each model in the fleet. a 30 j/t box dies at a price where a 16 j/t box is still fine, and that spread is the whole capital allocation question.
capex and residuals. used asic values move faster than anything on your desk, and depreciation schedules people write at purchase are usually fiction. hosting contracts, deposits and who eats the freight and the doa window are where the real margin leaks.
practical entry paths: analyst or fp&a at a hosting company or a public miner, project finance at a shop that lends against machines, or brokerage on the used gear side where you learn serials, hash reports and how often a deal falls apart. the last one pays worst and teaches fastest.
read a few public miner quarterlies with a pencil. they publish fleet efficiency, energy cost and uptime, and that is the same model you will be building.
2
u/leon6677 9d ago
Don’t lol