DEBATE: Buy A Mining Rig or Buy the Coin?

Many people in the crypto market have been internally debating whether they should put up the money to buy a mining rig or to use that money to buy the coin here and now. It really comes down to what will have the higher return on investment (ROI). There are benefits, drawbacks, and a whole lot of uncertainty in this debate.

I'll make this short and sweet: There is no definitive answer to this debate. Either choice could be the right choice depending on a whole lot of variables. These variables include what coin you are looking into, future prices, future mining difficulty, when you buy, and when you sell. Many of these things really can't be controlled for or predicted reliably.

So what are the benefits to both?

To start lets look at the benefits of mining:

• Usually profitable even when prices are down
• Hardware holds some of its value and has other uses
• Regular payouts

The negatives:

• Large upfront fixed costs to buy the hardware
• Produces a lot of heat
• Takes a long time to fully return your investment (Possible that you might not get it all back)
• Requires knowledge to set up and requires upkeep

The benefits of buying the cryptocurrency:

• Liquid investment
• ROI relies on price and not time
• Could appreciate quickly

Negatives:

• Very volatile market
• Could depreciate quickly
• Largely dependent on the market

I have no definite answer as both have their positives and negatives. The choice is ultimately up to the investor and their preferences.

Here is an article on this topic: https://www.reinisfischer.com/mine-or-buy-ethereumzcashmonero-2018