The most obvious and prolific form of generating a “passive” income is through real estate investment. This is a tried and true way to preserve wealth and has been the go-to strategy since practically the start of modern civilization. Unfortunately, this method is not quite as viable these days given the booming housing market and the trickle-down effects it’s had on commercial real estate. These days, it’s officially a “seller’s” market, making it more and more difficult for first-time investors to break into the game.
A few decades ago, this might’ve spelled doom for most people looking to safely diversify their assets. Nowadays, we have modern technology that can either eliminate or significantly reduce the overhead and complications generally associated with real estate investments. These new ventures are genuinely passive, require no landlords or personal maintenance, and have a proven track record to outperform most landholdings year over year for the past half-decade.
What we’re talking about here is cryptocurrency mining. And despite the recent bear markets we’ve all experienced first-hand, Bitcoin mining is still profitable, accessible, easy, and absolutely here to stay. Mining BTC is a great way to achieve a passive income and is similar to real estate investment with rental properties but with fewer challenges and overhead involved. It’s simpler, more efficient, and at times, much more profitable.
To Landlord or Not to Landlord, Mining is the Question
According to Forbes, the median home price in 2022 is about $360k. Now let’s say you find a home to purchase and rent out for $100k. You’ll have to manage a down payment, vacancy loss cost of 5%, average repairs at 5%, property management at 8%, other expenses (insurance, HOA, etc.), mortgage, and unknown costs to add to that. After all of those headaches and unrealized labor expenses, you’re realistically looking at the maximum of $238 pre-tax monthly cash profit from that $100k investment.
Now let’s consider BTC mining with Crypto Knight Hosting. The only additional fee you’ll have is electricity. Your hardware is owned outright and our facilities are managed 24/7 by industry-leading professionals. And you’ll almost certainly find it to generate more wealth per hour expended, making it the truest form of passive income investment available.
At the average KWH/$ rate we’re providing and the state-of-the-art power efficiency methods we’ve employed, you can realistically expect a $100-200+ profit per month even in the current cryptocurrency bear market (as of writing, BTC is at $29k USD). It’s also important to keep in mind that when the price of BTC rises (and yes it will), that profit margin will only increase alongside it. That means an easily achievable $400 a month in profit for a similarly sized investment as that $100k real estate venture within the next couple of years. And that comes completely free of all of those aforementioned headaches and red tape.
To be certain, no one can predict the markets and we are not capable of projecting 100% accurate estimates on your future BTC mining profits. Still, even if we take the current market and the most conservative projections available, a BTC miner might not make as much profit as real estate on paper, but will certainly make much more profit once you factor in the cost of your own labor.
As we alluded to above, a standard rental property requires property managers, maintenance, a certain amount of utilities, insurance, HOA fees, repairs, and mortgages. While all of these expenses can appear as simple line items on a spreadsheet, what those lines don’t account for is the number of hours you’ll need to put in to ensure that these hurdles are overcome and constantly managed. What we’re saying here is that real estate investments are rarely ever passive, unless you can afford to dip into your profit margin substantially to hire others to do the work.
Truly Passive Wealth Protection & Generation
Truly passive protection and generation of wealth require innovation, technology, and an eye toward the future. Investing in Bitcoin mining is a smart way to diversify your portfolio and generate that exact type of long-term passive income. Crypto Knight Hosting is designed to be your one-stop solution for BTC mining investments. We handle everything from installation to maintenance to daily tracking and dashboard-enabled analysis. That means you’re free to generate a truly passive income while we take care of all of the hard parts. The same can never be said of real estate.
This is the passive income generation and all-in-one, labor-free BTC mining solution that you’ve been searching for. Get in touch today to get a quote on our miners and see if our mining solutions are right for you.