Despite the occasional, valiant run for some cryptos, overall, we’re in a bearish market and that’s taking its toll on everyone. Yes, even crypto miners. A new solution is trending for these miners through and it involves putting up their mined coins as collateral in return for a loan. Not only with this help miners survive the bitter “crypto winter” but will help them prosper as well.
ARE CRYPTO MINERS DEAD?
Whether you’re running a large scale mining operation or it’s just a private, personal hobby, it’s no easy task. Every miner has overhead that they must pay (electricity, hardware repair, rent, etc). Now, there have been a number of helpful additions to this industry to cut costs like more efficient mining hardware, the use of renewable energy sources and government subsidies but it’s still getting increasingly hard for miners to stay afloat. If you’re one of these miners and nodding your head in approval, then there is a solution you should consider.
CRYPTO MINERS CAN USE CRYPTO AS COLLATERAL TO PROFIT
For this segment, let’s take out the history books and step back in time. You see, loaning is nothing new. It’s as old as the invention of society. Take farmers for example. Farmers have had to put their land up as collateral as a method to receive loans and stay in operation. These loans buy supplies, seeds, equipment and pay the bills. Then, once the harvest comes and the farmers can sell their product, they pay back the loan and keep whatever is left. This same process can work with crypto miners today.
Seeing as crypto mining is not as sustainable as it used to be due to the current market conditions, miners can use a crypto-backed lending platform to put their mined crypto up as collateral. In return, they receive funds to cover their expenses, stay afloat and cash out when the time is right. This method is far superior to a bank, which takes more time and requires credit checks. Furthermore, miners can avoid selling their cryptocurrency for a loss and also avoid a taxable event in many countries. Lastly, when the miners get their crypto back, the price has the potential to go up so it’s bonus profit.
WHAT LOAN PLATFORM IS THE BEST FOR MINERS?
There are a wealth of options out there to choose from but for miners, YouHodler is likely the best one to due to its speed, efficiency, and accessibility. Miners who have a variety of coins in their stash will love this platform because they offer the most collateral options to choose from. Most other platforms focus solely on Bitcoin and Ethereum but YouHodler has Litecoin, Bitcoin SV, Bitcoin Cash and more just to name a few (visit their site to see the full list). On top of that, users can sign up and receive a loan in a matter of minutes, meaning miners can freeze their assets as quickly as possible to prevent further depreciation during a bear market.
So if you’re a miner wondering how you’re going to make ends meet and still stay in the game, consider this unique option. Take a page out of the history books and follow in the footsteps of the world’s great farmers before you. Come harvest time, you’ll be glad you did.