A few days ago, I posted about an opportunity to mine a crypto called $PKT (PKT cash) by running mining deployments on Akash. Since then, a number of people have been playing around with deployments and testing set ups. Check this post to see all the details of my first experiences in this.
Update...
So, after running and testing various set up's, my outcome was similar to a number of other community members. Running the mining set up with 10CPU cores, 1Gi memory and 1Gi storage has been the most cost effective method. The cost to run one of these deployments is 22.992 AKT per month, or around 0.77 per day. For reference, AKT is currently on the way up, and has just hit $3 each at the time of writing this post.
During the last couple days, I ran several different configurations, ranging from 1 core up to the 10 core deployments. Generally, the obvious conclusion that the 10 core deployment would be most profitable turned out to be accurate. Here is how my current set up is performing, with 6 seperate 10 core deployments:
For this analysis, I have assumed a PKT price of $0.025 each. The actual price is hard to determine, with trading only currently available via telegram and peer to peer, or via an escrow agent. However, according to the last update from the PKT community, both CEX (on Binance Smart chain) and DEX options will become available in the not too distant future. For now, I have seen trades hovering recently around the 2c range, but for now I have kept the estimate at 2.5c.
As you can see from the above data, my mining deployments are currently producing PKT at an average cost of $0.0166 each. I can also report (without having specific data to prove it) that the yield has dropped, with the initial 10 core deployment starting off producing around 150- 160 PKT per day, at a lower cost than I am currently tracking.
My plan:
In a nutshell, my plan is basically to keep mining PKT while it is still profitable to do so. The difficulty has increased over the last few days, and returns overall have dropped since these guides have been published. Akash deployments have jumped in the last few days, and much of that short term growth is likely due to PKT mining:
If I keep my PKT price target at $0.025, I estimate that these miners will be profitable up to an AKT price of $4 roughly. This is assuming that the yield does not drop as more people get on board. With that said, I am using my daily AKT staking rewards to fund these deployments, so I don't need to put my hand in my pocket to pay the deployment fees. This is why I have stopped at 6 miners, because I can comfortable keep this many deployments running purely from staking rewards.
Obviously, I'll keep an eye on the returns, and shut down the mining if it flips unprofitable. However, I'm not selling the PKT any time soon to recover the costs, I'm building a bag for now. The plan is to move the mined PKT onto BSC once the bridge and wrapping process occurs, and use them to add to LP positions and farm extra rewards when those options become available.
So, in a nutshell:
- Use AKT staking rewards to fund mining.
- Stack PKT till LP options become available.
- Add to LP when the time comes.
- Farm with that pool and use that income to buy AKT.
Instead of just staking and compounding AKT, I'll be using AKT income to build a PKT LP position, which will grow over time and use the income from that to build AKT position. One income stream building up 2 seperate assets over time, and feeding each others growth.
That's how it works in my head anyway, whether it will work like that in reality remains to be seen.
Further Resources:
- My first post about mining PKT on Akash: link
- Official guide from Akash blog post: Link
- Upcoming Livestream featuring PKT cash and Akash insiders:
Twitter link I'd highly recommend this as a great way to learn how to get on board, or for more information on either project.
Thanks for reading, let me know if you have had a go at this, and if your results are similar to mine.
Cheers,
JK.
Tagging @hykss as they are a fellow Leofinance community member giving this a go.