#Crypto
Mining News: Integrated Ventures (OTC: $INTV) Recent Deal: Energy + BTC Making
Mining Profitable Again
May
13, 2019 (Investorideas.com Newswire) Wallstreetpr.com Reports: Integrated
Ventures, Inc (OTCQB: INTV), currently
trading at lower levels of its 52-week price range, is a pure play on bitcoin
mining, but market forces have pushed it to evolve and adapt to extreme bear
market conditions in the price of Bitcoin. Bitcoin mining is literally becoming
a story of the survival of the fittest.
The biggest variable in a mining
operation boils down to the cost of the mining rigs and the cost of
electricity. The players that can adapt and survive in the coming boom and bust
cycles are the best of breed companies. INTV fits the mold because not only
does it mine but its involved in other activities that generate cash flow.
These activities include; hosting, co-location, mining pools and mining
equipment sales.
The most important variable cost in
mining is the cost of power and INTV has come up with brilliant strategy to
secure its place as a mining powerhouse with signing of a multi year hosting
and marketing agreement with PetaWatt, LLC, located in upstate NY. By gaining
access to the lowest price for power (under $.05/kwh), the company have procured
a solution to become the lowest cost cryptocurrency player in the Northeast and
possibly the nation. Most bitcoin miners are paying anywhere between $.06-12
kw/h. The PetaWatt's capacity of 120 MW has the capacity to power up to 100,000
mining rigs. It rivals the prices paid by miners, located in Wenatchee with
very cheap hydroelectric power. In the volatile space of cryptocurrency, INTV
came up with the most grounded and cost-effective model in the sector, which
again not only allows them to survive a unpredictable crypto market but to
deliver much higher profit margins relative to the market fluctuations. That
upward shift is potentially happening as we speak.
Crypto Winter Signs of Thawing
Nigel Green, the CEO of UK-based DeVere
Group discussed the state of the
crytptocurrency market and declared that the recent upward break in bitcoin
confirms the markets have found a long term bottom and that the “Cypto Winter”
is finally over. Cryptocurency traders are buzzing about Bitcoin and pointing
to the historical RSI and how that is signaling an imminent bull run.
These are just some empirical examples that the overall bearish mood in
cryptocurrencies is starting to change and turn bullish. On December 15,
2018 the CoinMarketCap was $101 billion off from its January 7, 2018 high of
$813 billion. More recently the market
capitalization has been moving over $180 billion which is essentially an 80%
bounced off the lows in the past 4 months. It’s great to look at these
technicals, but the essence of the story always traces back to the
fundamentals. The hash rate and
difficulty level are designed to throttle the bitcoin rewards was going up at
an unsustainable pace last year and peaked in October 2018. It was taking
an incredible amount of computing power to mine a bitcoin for very little
reward. Eventually miners turned off
these machines and the difficulty level and hash rate dropped for the first
time in a very long time. Too many
mining rigs entered the market at once and that led to the correction.
Now difficulty levels and hash rates have bottoms and bitcoin is starting
its new ascent. Overall, Bitcoin mining
in 2018 hasn’t been as profitable as in 2017 despite an increase in overall
revenue. With the network hashrate continuing to increase astronomically,
miners now pay higher electricity tariffs severely affecting their
bottom-lines.
Will BTC $6000 Bring on the BULL MARKET
for Crypto?
There is tremendous upside if bitcoin
can get traction. Right now, $BTC is sitting around $6000 holding its nearly
$1500 rise since April 1, 2019. Bitcoin’s ability to maintain this trading
level will bring confidence to crypto traders, especially the ones that went
into retirement after a rough 2018.
Yes, BTC was nearly $20k in its prime,
where hindsight is 20/20 by saying it moved up too fast, too quickly. Even
though bitcoin struggled throughout the year, declining from the $9000 range to
the $6000 range, the biggest dagger for both crypto traders and miners came
late in 2018. On November 13, 2018, BTC was $6282 and sunk an additional 50%
over the next month where it hit a bottom of $3194 on December 15, 2018.
At these dismal trading levels, the
cost of mining was too much and almost every bitcoin miner had to flick the
power switch leaving their power hungry hightech rigs to collect dust. With BTC
recovering to $5000+, miners are near a breakeven point again, while those,
like INTV that can control their energy costs are profitable again.
We’d like to think $6000 is the next
benchmark that will kick start the BTC bull market. We think the sideline money
is increasingly gaining confidence in the crypto market again. The strong CBD,
cannabis market has unfortunately become oversaturated and most seasoned
investors welcome a sector to become hot again--thus the crypto market. If we
can see $6000, don’t be surprised to see traders of old jumping on the
bandwagon again, inflating stocks and coins to new 52 weeks highs as the money
shifts from sectors like cannabis back into crypto.
How long will the bull-rush last is the
question, but we do know that investors are ready to pounce on the opportunity
when it arises, which many are betting will be sooner than later.
5 Ways INTV Can Survive the BITCOIN
Bear Market
- Securing Competitive
Electricity Rates. By partnering with PetaWatt, Integrated
Ventures will have access to reliable power source and low pricing
structure.
- Generating Cash Flow via
Hosting, Mining & Revenue Share Services. Integrated Ventures
intends to generate significant revenue through hosting and revenue share
services.
- Locking-In Record Low
Hosting Rates on Long-Term Contracts. Integrated Ventures’ access to low cost power
will allow the company to offer the most competitive hosting rates in the
industry, spiking demand for long-term contracts.
- Implementing “Plug-and-Play”
Container Solutions. Integrated Ventures will offer access to
mobile mining containers for ASIC and GPU miners, creating a “WeWork”
-style mining option for those seeking hosting space. Initially, this
modular structure will be used in-house to control ramp-up and ramp-down
as coin prices fluctuate.
- Purchasing
Discounted Mining Rigs from Secondary Markets. Integrated
Ventures will keep costs low by purchasing equipment on the secondary
market, a strategy that was not possible when the market was in its
infancy.
Long Term Power Contracts
Without a long-term supply of cheap
power, a miner cannot sustain operations through the lean times. Luckily
for INTV, with newly signed agreement, power expense will represent
approximately 40% of the overall mining cost while those at .09 KWh its nearly
95% of their cost. For those miners with rates at .10+ they cannot continue to
mine even at the current rates of over $5000. This again is where INTV has such
a huge advantage while they can gain 225% vs power, someone at .095 is breaking
even, thus in a bear market where bitcoin is $3-$4000, INTV can still mine for
profitability while others have to stop mining to avoid losses.
For INTV this is a blank slate for them
to build the ideal mining operation. No existing miner is better
positioned than INTV. Low power costs allow them to lock in long term hosting
contracts creating that all important stream of revenues.
|
Public Company
|
Ticker
|
Capacity
|
O/S
|
Rig Capacity
|
Price
|
Market Cap
|
Revenue est
|
|
Integrated Ventures
|
INTV
|
80 MW
|
20.5 mil
|
52,000
|
$.08
|
$1.64 mil
|
$400,000
|
|
HIVE Blockchain
|
HVBTF
|
44.2 MW
|
314 mil
|
10,000
|
$.56
|
$175.8 mil
|
$33.3 mil
|
|
Riot Blockchain
|
RIOT
|
12 MW
|
13.4 mil
|
7,800
|
$5.30
|
$71.0 mil
|
$7.7 mil
|
|
MGT Capital
|
MGTI
|
10 MW
|
195.8 mil
|
6,500
|
$.082
|
$16.0 mil
|
$2.02 mil
|
|
Marathon Patent Grp
|
MARA
|
2.0 MW
|
6.4 mil
|
1,300
|
$3.15
|
$20.16 mil
|
$1,562,373
|
The Competition
For Integrated Ventures, many of little
mining companies have shut down or adapted to the bear market by shifting
company focus into a different sector such as gaming or cannabis. For the big boys
that weathered the storm as INTV did, when looking at the grid above, we find
just how much potential Integrated Ventures has versus its peers.
Its Megawatt capacity sticks out like a
sore thumb, as HVBTF (Hive Blockchain) worth in excess of $175m has just a
little over half of INTV’s power potential and 19% of their current rig
capacity, yet Integrated Ventures is only 1/100th the valuation of HIVE.
If you continue to compare and contrast
INTV’s potential to the other competitors, one can see, that if crypto gets hot
again, not only are they undervalued amongst their peers in this sector, in
conjunction with the biggest upside potential, is a recipe for success
investors may want to jump on.
Investment Summary
The recent market
pressure is related to the conversion of 128k convertible note and stock sales
by investors, related to two M&A transactions, that occurred in summer of
2018. The stock is extremely oversold and represents minimal risk at these
levels. Management clearly has a unique vision, a wealth of experience, and is
executing their business plan. INTV is poised to expand operations at the
perfect time in the business cycle using the ideal bitcoin mining model of
purchasing discounted mining rigs, hosting, and locking in long term collocation
contracts as the price rises. INTV is morphing into the lowest cost
producer of cryptocurrency with the greatest capacity. They are poised to become the market leader
by the end of this year if they simply operate a just one fifth of their
capacity. Their business model is designed to survive a bitcoin meltdown
yet profit handsomely if it rises. Relative to their peers their market cap is
extremely undervalued, and investors are simply not pricing in what the new low
cost power structure will look like with
newly signed deal.
Source :
WallstreetPR.com By Andrew Klips https://www.wallstreetpr.com/integrated-ventures-otc-intv-recent-deal-with-petawatt-is-a-gamechanger-cheap-energy-6000-btc-making-mining-profitable-again-41459
Wallstreet PR
disclaimer
“Please note that this article was provided to Wallstreetpr.com by Falcon
Strategic Research. Please note that Falcon Strategic Research has been
compensated compensated 10,000 restricted shares for ongoing coverage of the
company. Please note WallStreetPR and its associated have not received any
compensation for this content posting nor have checked on the content to make
sure its true.
Original company news:
Integrated Ventures Signs A Multi Year Hosting And
Marketing Agreement With PetaWatt Properties, LLC
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