Valuation of Crypto-Currency Mining Operations

Traditionally, the Net Present Value method is used to compare diverging investment strategies. However, valuating crypto-projects with fiat-based currency is confusing due to extreme coin appreciation rates as compared to fiat interest rates. Here, we provide a net present value method based on using crypto-coin as the underlying asset. Using this method, we compare HODL vs. mining, we also provide a sensitivity analysis of profitability