They have hired programmers to work on their cryptocurrency called Flifer Coin, Ishaan said.
“We wanted to make a difference because we were mining other coins like Bitcoin and Ethereum. We wanted to make our own cryptocurrency because other people were making it and thought we could do so too,” the 14-year-old said.
The siblings, who say they make about $35,000 a month by mining Ethereum, Bitcoin and Ravencoin, also want to spread more awareness about cryptocurrencies in general.
Cryptocurrency mining uses sophisticated computers that solve complex computational maths problems, according to Investopedia.com. Mining has a magnetic appeal for many investors interested in cryptocurrency because they are rewarded for their work with crypto tokens, the website says. For instance, Bitcoin miners receive Bitcoin as a reward for completing “blocks” of verified transactions, which are added to the blockchain.
“I am proud of what I am doing because I spent the whole summer learning how to mine cryptocurrencies instead of playing games,” nine-year-old Aanya said.
After their father Manish Raj, a former Wall Street investment banker, told the siblings about alt coins in February, they were intrigued about mining cryptocurrencies and converted their old gaming computers to mine for Bitcoin.
The brother and sister watched YouTube tutorials and read Reddit posts to learn how to mine. They made $3 on their first day of mining. Today that has grown to $74,000, which they have reinvested in their business, called Flifer Technology.
“We reinvest whatever we make from mining back into the business so we make more money,” Ishaan said.
Some profits also go towards buying graphics cards and computer processors for mining, Aanya explained.
The siblings have hired technicians at a data centre in Dallas to monitor their mining operation while they attend school. The duo visit the data centre every day after they finish their homework.
Bitcoin, the world’s largest cryptocurrency, hit a record of about $65,000 in April, driven by a tide of liquidity, fast-money bets and optimism about growing demand from institutional investors. But critical commentary about the energy consumed by mining rigs and a cryptocurrency clampdown in China soured investor sentiment. Bitcoin fell below $30,000 during a rout in May. On Wednesday, Bitcoin surpassed $55,000.
“Sometimes, we worry that the value of popular cryptocurrencies may rise and fall. But it’s not that big a deal for us because we haven’t put in as much money as other people,” Ishaan said.
“We have only spent money to buy equipment to mine for cryptocurrencies. If we had purchased cryptos instead of mining them, we would stand to lose more money because of the volatility.”
Cryptocurrencies are the way of the future, according to the teen, who foresees people using digital tokens to buy regular items like groceries in the near future.
“It’s great that I can inspire other people. My friends come up to me and ask me how to mine for cryptocurrencies. It feels good,” he said.
“Anyone can do it if they spend the time.”
Updated: October 8th 2021, 5:00 AM