November 17, 2021

Development of BitCluster in Russia 🇷🇺

Before becoming one of the leaders of the mining market in Russia and the CIS, we have come a long way, accompanied by ups and downs. We decided to remember this story and share it with you.

1️⃣ It started in 2017, when interest to the crypto market began to grow actively.  Realizing the potential of the mining industry development, we have immediately set a global goal — to take a market share.

2️⃣ Therefore, the next step was a trip to China — the center of the mining equipment production. There we bought 1,500 video cards for a total cost of more than $1,000,000

3️⃣ We placed the first mining hotel in the town named Slantsy, in Leningrad Region, but for a number of reasons, we moved all the equipment to the Ivanovo Region, where the cost of electricity was about 3.5 rubles per kWh.

4️⃣ Having a great demand for the equipment and hosting, in 2018 we opened another mining hotel in Saransk, but soon the unexpected happened.

5️⃣ In February 2018, the cost of Bitcoin dropped from $ 11,800 to $ 3,676. Cryptocurrency mining became unprofitable, and many customers were forced to turn off their devices — the company was on the verge of bankruptcy.

6️⃣ In order to stay afloat, at the end of 2018, all the equipment was placed in the areas of Irkutsk data centers. And this maneuver saved the business.

7️⃣ When in 2019 the cost of BTC and the company's profit began to increase, the founders of BitCluster thought about creating their own full-fledged data center in Norilsk, and by October 2020 they brought the idea to life but, of course, with an incredible amount of effort.

Today the company has a chain of data-centers located in the Ivanovo region, Angarsk and Norilsk — and there are all opportunities for development and further growth.