Why to mine Minereum token?

By Potaball | Minereum | 5 Jul 2020


Introduction

We all need a reason to mine a coin. Some people purely want to secure the coin's network. While some are just want to make a profit by selling the coins that they mined. Nevertheless, that is a different story for Minereum.

First of all, Minereum isn't a coin, but an ERC-20 token that built on Ethereum network. So, the miners don't actually play the role to secure the blockchain. Secondly, the miner will not get a quick profit for mining Minereum token. As they have to buy/upgrade the virtual mining machine, so-called genesis address. That is a one-time payment rather than instalment. As a result, the tokens that people mine at the beginning is just used to recover their principal investment thus there will not a profit in short-term.

So, what is the reason to mine this token and what is the utility of it?

 

Reason?

(Disclaimer: I'm not an investment advisor. All investment opinion is just based on my personal research. You should do your own research before investing.)

For me, there is no reason to mine MNE other than making a long-term investment. By buying or upgrading a genesis address (or more), people will take months or even years to recover their principal investment and the pure profit will be around 40 years after that (since the self-mining process will last for 100,000,000 Ethereum blocks (around 50 years)). The only risk that involves is the drop in the value of MNE. If its price drop, then it will take longer to reach that "pure profit period". 

Somebody may say: "100,000,000 Ethereum blocks are too long, so I need to teach my child to sell my tokens from now?" Actually, if compared to Bitcoin, "100,000,000 Ethereum blocks" isn't that long. Bitcoin will take around 120 years more from now to completely mine all Bitcoins (until around the year 2140). If you really doubt with the mining process and want to stop it, you can simply sell your whole genesis address to people. So, no need to worry about how to handle it in case you lack of money or for other reasons.

Nonetheless, there are still some people who think this is a bad project to invest in as they think it is too risky and scammy in their opinions.

 

Utility?

I mined a lot of them. Then?

You can:

  • trade them against BTC, ETH, USDT and any other ERC-20 tokens (More info about the exchanges, see this)
  • create your own ERC-20 tokens without coding knowledge
  • pay fee for buying Minereum fee share
  • transfer your Minereum fee share (in case you have it)
  • stake them (coming soon)

 

Final thought

As said before, mining MInereum will not profitable in short-term (at least at the time I wrote this). If you're willing to wait and you see the opportunity to get profit with mining, it will not be bad idea to upgrade some though.

 

 

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