Datanet hosted a live interactive crypto mining summit in April 2018. It was a successful event and was attended by many well informed and knowledgable crypto miners.
Below I have summarised the main takeaways from the discussion and talks by Mike Ayres from Menzies and Alex Murray from Blockchain Edge.
- How will HMRC look at crypto mining – Is it gambling? “Whether any profit or gain is chargeable or any loss is allowable will be looked at on a case-by-case basis taking into account specific facts.
- The difference between passive and active mining in terms of tax.
- Caveat emptor – In terms of ICO’s watch out for fraud
- The blockchain and Smart contracts can be used to manage anything of value e.g. Maersk are using the blockchain to provide transparency within the shipping supply chain
- Here are a couple of links to an article written by Mike Ayres and a help sheet
- The value of cryptocurrencies have seen peaks and troughs and looking at the trading value trends we could be embarking on a rise.
- There is still indecision and wariness surrounding crypto – George Soros has done a u-turn saying back in Jan 2018 that Bitcoin is a bubble BUT is now set to start investing/trading.
- There are difficulties in setting up a bank account for a company whose sole purpose is to mine cryptocurrencies – none of the mainstream banks seem to want to back it.
- Keeping your crypto wallet safe and secure is of paramount importance. Cloud wallets were not recommended – an encrypted etched metal wallet could be the answer said Matthew Baldock from Orion rigs
- At present the banks provide a trusted third party mechanism to provide settlement for purchasing goods but the blockchain could revolutionalise the way in which we do transactions and eliminate the need for a third party.
- If the use of cryptocurrencies and the blockchain continue to grow and become mainstream – what will happen to the banks and will the high street bank become a thing of the past?
- There are pro’s and con’s between the mining rigs – ASIC or GPU ( open frame or rack mount) – Now Bitmain is releasing a version of the GPU rig.
- Datanet have GPU rigs for sale with attractive hosting options
Please get in touch by calling us on 01252 810010 if you would be interested in coming to one of our crypto mining events or if you would like to talk to us about hosting a crypto mining rig in our data centre.
