Nothing has been both more profitable and more risky than investing in cryptocurrencies in the last few years.
As any experienced investor knows, past performance may not be indicative of future results. No one should assume that the future performance of any specific investment, investment strategy, or product will be more profitable or equal to past levels of profitability.
Bitcoin – Price in USD
However, Miner One is not aimed at speculation in bitcoin. It is aimed at mining it (as long as costs do not exceed value created). Therefore, to a large degree, Miner One can serve as a kind of “cushion” that absorbs fluctuations in bitcoin exchange rates.
Electricity prices are usually stable, or at least predictable over the long term. The parameter that is hardest to predict is mining “difficulty”. Difficulty is a measure of how difficult it is for a computer to find the so-called “hash” below a given target and, thereby, receive bitcoin rewards. The lower the target, the more difficult it is to generate a block. Difficulty is adjusted regularly based on how much “hashing power” is deployed by the network of miners, in order to keep the rate at which new bitcoin is generated steady.
Bitcoin – Difficulty
How does this impact value?
At long-term average bitcoin prices in the range of USD 3,000–26,000, after 24 months an MIO Token should be worth 182–306 percent of its initial value, whereas purchasing bitcoin may leave you up, may leave you down, or may leave you right about where you started (think of recent BTC price volatility). Even given fluctuating BTC prices, MIO Token Holders could receive nearly 1.82–3.06 times more than they put in.