Coinbase Ventures Backs Home Crypto Mining Startup Coinmine
Coinmine is a new startup that aims to make in-home mining accessible for non-technical users, based in Los Angeles and founded by Farb Nivi and Justin Lambert. The company has reportedly raised about $2 million from VC funds and angel investors such as Coinbase Ventures and Tinder Chief Product Officer Brian Norgard.
Also Read: Kucoin Exchange Raises $20 Million in Series A Funding Round
$799 Plug and Play Miner
Coinmine’s debut device went on sale on Wednesday, featuring a 4 GB AMD RX 570 GPU, Intel Celeron CPU and 8 GB DDR4 RAM. It also consumes just 120 watts, which is less than a Playstation, according to the developers. The Coinmine One retails for $799, but the company takes a 5 percent cut for itself from the mining proceeds.
Aiming for ease and simplicity, users only need to plug the device into a source of electricity, open an accompanying mobile app and choose the assets they want to mine. From there, the Coinmine mobile app controls and keeps track of the device from anywhere. Users can see how much they have earned, change to other cryptocurrencies or add additional devices to their accounts from a centralized dashboard.
“Crypto is not just about buying and selling magical internet coins,” said Nivi, the CEO of Coinmine. “It’s about people combining computation to decentralize the world’s money and information from the hands of a few and into the hands of the many. We made this easy enough for anyone to do.”
Big Investors Swipe Right
Coinmine has raised a combined total of $2 million in funding to date. The company is backed by funds such as Coinbase Ventures, Social Leverage, Wonder VC and Arrington Capital, as well as angel investors including Tinder’s Norgard, Balaji Srinivasan, Anthony Pompliano, Ryan Hoover, Josh Jones, Penelope Linge and Tom McInerney.
“Throughout my entire career, I’ve worked to make complicated ideas simple, fun and useful,” said Norgard. “At Tinder, we removed the pain associated with setting up a dating profile so people could get to the action. When Farb initially came to me with the basis for Coinmine, I knew it was a radically novel solution to a messy problem — it was as they say, a perfect match. The limiting factor to scale in crypto continues to be complexity for the end user. Farb and the entire Coinmine team are one of the first companies attacking this problem head-on through a blend of hardware and software.”
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