Understanding the Cost of Building a Crypto Mining Rig at Home

Many analysts are predicting a bull run in 2024. This prediction has prompted most crypto users to start considering mining proof-of-work cryptocurrencies at home. Although mining Bitcoin may not be suitable for solo miners due to increased difficulty after halving, there are numerous other digital currencies you can mine at home.

Luckily, platforms like WhatToMine help those interested in mining to select the most profitable cryptocurrencies based on their mining hardware. For instance, a rig of about five MSIC GeForce RTX 3080Ti GPUs (Graphics Processing Units) can be ideal for mining the Ravencoin token, bringing roughly $160 every month. Moreover, you can use the same rig to mine Zcash, generating a mining revenue of about $150.

In this article, we will discuss the cost and the components you need to start mining cryptocurrencies. Keep reading to learn more.

Graphics Processing Units (GPUs)

When building a mining rig at home, selecting the right GPU can be challenging and may require several days of research. Fortunately, numerous sources are available to help solo miners determine the best combinations of GPUs for their rigs based on their budget. A standard mining rig usually requires at least five GPUs. If you source from top manufacturers like Nvidia, one GPU card could cost you around $1,000. However, there are some budget-friendly GPUs, such as the MSI GeForce RTX 3070, which is suitable for mining Zcash. Each goes for $400.

Power Supply

Crypto mining is known for being energy-intensive. Therefore, you need a stable power supply to keep your mining rig running throughout. A standard rig usually consumes roughly 3 kilowatt-hours of energy monthly. So, purchasing a power unit that has a power reserve of 25-35% is recommended.

There are several power supplies you can consider buying. Two of the most popular ones are Corsair HX 1200-watt and Thermaltake Toughpower 1500-watt, which cost $170 and $120, respectively. These power supplies can support a maximum of ten GPUs.

Central Processing Units

CPUs or Central Processing Units play a key role in any crypto mining operation. Solo miners can opt for cheap options like the AMD Ryzen 7 5800X, which retails for $360.

Memory

Although the random-access memory isn’t required directly for crypto mining, it largely affects the performance of the rigs. To run a rig on Windows 10, you can buy an 8 GB RAM card, such as the Tech DDR4, which costs around $40. Furthermore, if your computer runs on Linux, you can opt for a 4 GB RAM card.

Motherboard

A motherboard is a component to which GPUs are connected. One of the recommended motherboards for crypto mining is Gigabyte GA-B250-FinTech. It goes for $350 and allows you to connect ten GPUs. ASRock H100 Pro BTC+ is the cheaper alternative. It retails at $160 and has 12 GPU card slots. Moreover, this motherboard has extra power connectors, which ensure sufficient power supply for smooth crypto mining.

Solid-State Drive and Hard Drive

While a Solid-State Drive (SSD) or a hard drive doesn’t play a direct role in mining crypto, it determines the operating system’s speed. It is wise to opt for an SSD as it is considerably faster than a hard drive. The price of a good SSD can start from $20. A standard mining rig needs a minimum of 120 GB.

Frame

Building a rig on an open frame is advisable since it is vital in mitigating the massive heat generated during mining. You don’t need to break the bank to buy a frame. The cost of an open-air frame ranges between $30 and $200.

Cooling System

As mentioned earlier, crypto mining generates a lot of heat. Therefore, you need a proper cooling system consisting of at least five fans. This will cost around $150. It is even cheaper if you set up your mining rig in a cold area.

Total Calculations

If you choose cheaper options, you may spend approximately $3,500 to build a mining right at home. Factors like the cost of electricity and the prices of the tokens being mined will determine the period it will take to receive your return on investment.