Alydian, a Bitcoin mining startup of grand scale, announced its launch August 7.
The company, the first launched by Bitcoin incubator Coinlab, is offering outsourced Bitcoin mining to big-ticket customers.
The model works like this: Alydian sells mining rigs and hosts the operations. Customers pay a subscription fee for the service.
And those fees are around $65,000 per Terahash.
The rigs will use 65 nm ASIC chips to power mining operations.
Alydian is looking to simply beat other mining companies using ASIC capacity to market. Most other ASIC rigs will only ship to customers in the fall.
Competitors in this space will eventually offer cheaper mining, so it is in Alydian’s interest to lock customers into that year-long subscription. For $350,000, customers can get a year of mining at 5 TH/sec.
That works out to $70 GH/sec, which is two and a half times more expensive than what the KnCMiner mining rigs’ rate will be when those become available.
But that is still some time off — and time is money.
And, so, Alydian is trying to move as quickly as possible. CoinLab CEO Peter Vessenes has said supply chain management is a strength Alydian’s team possesses, and this will allow them to move swiftly and outmaneuver competitors still waiting to come to market.
Meanwhile, this arms race for miners is just going to make the mining activity itself all that much harder and take longer.
Alydian is betting now on finding people who can afford the company’s offer of enterprise-scale mining and can recognize the advantages of moving well before those other ASIC rigs power on.