If you’re currently reading this, then you’re likely already familiar with the device shortages within the Helium Hotspot miner market. For those of you that don’t know, the Helium Network’s explosive growth over the last few years coupled with manufacturing slowdowns due to the pandemic has created a tremendous gap between hotspot miner supply and a continuously increasing demand. While there are some distributors that have managed to get handfuls of devices directly to new hosts, the average wait time for a LoRaWAN Helium Hotspot miner is still 3-6 months as of Spring 2022.
On the other side of the coin, JAG has access to leasable Helium Hotspots that are immediately available and entirely free to order and install in your home. While we do charge a flat shipping rate on all hotspot orders (typically less than $20), there are no additional upfront fees associated with installing the device and becoming a part of our network. In exchange, we share in the HNT rewards through an 80-20 (JAG - You) split as soon as the device is online and activated.
We get it. Many of you are probably reluctant to share that much of your HNT earnings when you could potentially order your own hotspot and keep 100% of the rewards. That would probably make more sense if it weren’t for the fact that an average hotspot can set you back at least $600 and you likely wouldn’t receive it until several months from now. Still, even if you were able to get that $600 device today, how long would it take for you to make a profit on your investment?
As of Feb 2022, the average amount of Helium tokens mined by each Hotspot per day is around 0.11 HNT. That average daily earning will likely decrease over time as more and more active hotspots enter the network. Of course, with upgraded antennas, outdoor enclosures, and the appropriate wiring, you could potentially see 2-3 times that amount. However, there’s truly no way to tell for certain how much your location would earn until your hotspot setup is installed.
Given that the average Helium miner costs around $600, it would take a little over 6 months to break even on your investment with an average daily earning of 0.11 HNT at an exchange rate of $30 USD to 1 HNT. It’s also entirely possible that your unique location and setup would earn even less than that amount or that the average daily earnings would decrease for the entire network over that period of time.
When we factor in the average waitlist periods for most distributors, purchasing your own Helium Hotspot miner would mean spending $600 today to potentially break-even within 9-12 months. Sure, you’d then be keeping 100% of the HNT you earned, but you’d be “in the red” for the bulk of the year until that point.
None of this is meant to deter you from joining the Helium Network, whether you do it alone or by becoming a JAG host. Our intention is to be as transparent as possible about the reality of the current Helium Hotspot climate and to propose a couple of solutions for those of you that are interested.
Let’s say you’re set on buying your own Helium Hotspot miner, paying the $600 for the device, and waiting several months for it to arrive. Why not join with JAG today, receive a device for free (excluding shipping), order any necessary upgrades, and start testing the waters while you wait? Nearly all JAG hosts start making a profit (i.e. recouping shipping costs plus more) within the first month of earning HNT. We also make it easy to bundle industry-leading upgraded antennas, outdoor enclosures, essential wiring, and all other accessories when you decide to order a complete JAG Indoor or Outdoor Kit.
The key ingredient to all of this is that JAG has no cancellation fees and you can return your device to us free of charge at any time. That means you can immediately start to earn HNT in your home or building while fine-tuning your hotspot setup and then return your device to JAG as soon as you’re ready. Essentially, we’re offering the perfect stopgap solution to those of you that are eager to dip your toes into the Helium Network pool but are still planning to purchase your own hotspot and wait for the supply to meet up with demand.
Another option for those of you that are ready to enter the profitable world of Helium mining is to use JAG as a means for testing your location. Of course, we’d encourage all of our JAG Hosts to remain in our network for as long as possible. That being said, if your location ends up being too oversaturated or isn’t able to earn a viable amount of HNT, then it makes sense for both of us to discontinue the partnership.
Let’s take another look at the profitability question when it comes to leasing a Helium Hotspot with JAG versus purchasing your own. On average, our flat rate shipping costs within the U.S. are less than $20. At the average reward rate of 0.11 HNT per day with an exchange rate of $30 USD to 1 HNT, you’d recoup your total investment after the first month of earnings. That means, by the time you’d have reached a break-even point after buying your own device, you would’ve likely made at least $100 in profit with JAG. And that’s not even considering the 3-6 month wait list periods for most distributors.
So what if your location isn’t great for earning HNT regardless of your upgrades? Again, there’s simply no concrete way to predict this until you install your hotspot setup. Still, even if you end up earning a fraction of the average daily HNT, you’d be able to at least break even on the shipping costs within 2-3 months of receiving rewards. If you decide to risk it and buy your own hotspot, that break-even point might be 2-3 years away. In an uncertain market like this, it’s usually best to choose the option with the least financial risk. That’s what JAG is offering.
If you’re simply hoping to make a bit of passive income while becoming a part of the fastest-growing wireless communication network in the world, then joining with JAG in a more permanent sense is most likely your best bet. On the other hand, if you’re feeling more serious about purchasing your own hotspot, fine-tuning and upgrading your device, and earning the maximum amount of HNT possible, then joining with JAG in the interim period will almost certainly increase your overall ROI. Not to mention, you’ll have the opportunity to purchase upgrades and accessories, adjust and optimize your hotspot setup, and get a better understanding of how much your location can potentially earn.
For example, if you decide to purchase our Outdoor Bronze Kit including a free Helium Hotspot, an outdoor enclosure, a coaxial cable, and a weatherproof antenna, then you’d be spending about $100 with shipping included. After a few months of earning with JAG, you could easily recoup all of that cost while you wait for your personally purchased hotspot to arrive. Basically, we’re offering you the opportunity to earn a profit prior to even receiving your separately bought device. You can have your HNT cake and eat it too!
Regardless of your long-term strategy, joining with JAG today makes logical and financial sense for anyone interested in becoming a part of the Helium Network. Our hosts receive exclusive deals and access to industry-leading upgrades & accessories, an abundance of customer support and care, and a free Helium Hotspot to start earning immediately. Click below to shop our pre-built upgraded kits or simply select our free hotspot option to become a JAG host and earn HNT ASAP!