ElphaPex: Becoming the World's Premier Dogecoin Mining Rig Manufacturer

Original Author: Noc, BlockBeats

Compared to the previous bull run, the voice of the mining industry seems to have faded a lot behind this Bitcoin new all-time high. Apart from last year's Bitcoin ecosystem letting everyone know about the surge in miner revenue, people are not excited about the new global hashrate high. The main reason for this is that the market believes the mining industry landscape is settled, and new players seem to have little room to maneuver.

However, in fact, as a core part of the industry's upstream, mining machine manufacturing is undergoing a new technological upgrade and fierce market competition. On one hand, with global tightening regulations and energy efficiency standards increasing, mining machine manufacturers are continuously investing in research and optimizing chip technology; on the other hand, non-Bitcoin PoW networks such as DOGE and LTC, due to their lightweight asset model and community vitality, are gradually becoming important choices for small and medium-sized miners and the emerging hashrate market.

At this crucial juncture of market transformation and cycle shift, cryptocurrency mining equipment manufacturer ElphaPex successfully held the "Night of the Big Dog • Hong Kong" global sales event on June 27, officially releasing two new Dogecoin mining machines—ElphaPex DG 2 Air-cooled Edition and ElphaPex DG 2+ Air-cooled Edition. As a professional mining machine manufacturer focusing on the DOGE/LTC ecosystem, ElphaPex's release this time is not only a concentrated display of technical products but also signals its continued deep cultivation in the segmented track and strengthening of brand's global layout.

At the live launch event, BlockBeats had an in-depth conversation with ElphaPex's two core executives—Payne Cong, Director of Business Development, and Ben Weng, Vice President of Product, covering topics from product strategy to technical roadmap, from industry cycles to global regulations. This conversation comprehensively showcased ElphaPex's philosophy and layout, bringing a deep insight to global miners and industry observers.

From Silicon Valley Giants to the Frontline of Hashrate: Entrepreneurial Original Intent and Strategic Choices

BlockBeats: First of all, please introduce yourselves and what was the opportunity that led you to join ElphaPex? How did you get into the cryptocurrency mining field?

Payne Cong: My career began 12 years ago when I went to the United States for study, and after completing my undergraduate education in the United States, I spent 8 years in Silicon Valley during the golden age of my career. This experience gave me the opportunity to work in several top tech companies—from world-changing Tesla, to Uber Eats redefining food delivery, to TikTok connecting young people globally.

Within these companies, I have been involved in various fields such as supply chain management, strategic planning, and data analysis. This diverse background has given me a comprehensive understanding of the tech industry. However, what truly convinced me to join ElphaPex was a serendipitous opportunity.

At that time, I had a deep conversation with the founders and investors of ElphaPex, and their enthusiasm and long-term commitment to the Dogecoin ecosystem deeply impressed me. It was not just a business decision but rather stemmed from a steadfast belief in the decentralized future. That pure passion and unwavering belief made me realize that there was a truly worthwhile endeavor here.

During my one and a half years at ElphaPex, I have been deeply involved in the company's journey from 0 to 1. This experience has been not only challenging but has also given me an unprecedented sense of accomplishment. We are not just manufacturing mining rigs; we are building a decentralized future.

Ben Weng: My background has similarities with Payne's, but I have spent more time in the United States—coming from overseas about 20 years ago. However, my career path has been relatively more focused, as I have always been deeply engaged in the software development field of the high-tech industry.

My career trajectory has covered several key points in the mobile communication industry: from Huawei's communication infrastructure, to Nokia's mobile platform, and then to Apple's iOS ecosystem. Especially during my years at Apple's Cupertino headquarters, I was responsible for developing core features of iOS and macOS, giving me a profound understanding of software system security and stability.

My interest in cryptocurrency and blockchain technology dates back to early times. Even during my time at Apple, I frequently organized offline tech sharing sessions with colleagues to discuss topics such as the technical principles of Bitcoin and the POW (Proof of Work) mechanism. I even wrote a simple POW mining program myself, running it on a server, which gave me a firsthand experience of the technical implementation of mining.

When a friend introduced me to ElphaPex developing a brand-new Dogecoin mining rig, I immediately realized it was a fantastic opportunity. Compared to the fiercely competitive Bitcoin mining market, Dogecoin, although originating from a "good-natured joke," has evolved into a mature POW ecosystem since 2013. More importantly, Dogecoin's lighthearted atmosphere and fast transaction characteristics give it a unique advantage in practical applications.

Taking into account technological prospects, market opportunities, and team philosophy among other factors, I ultimately chose to join ElphaPex, focusing on product development and technological innovation.

Rhythm BlockBeats: With numerous mining devices already existing in the market, why did ElphaPex decide to create a Dogecoin mining machine? What is the strategic positioning?

Payne Cong: This is a very fundamental question, and I believe it can be answered from several dimensions. First and foremost, we have a strong belief in the POW mechanism. We believe that POW is the best path to achieve true decentralization, allowing currency to become more decentralized and global. This is our fundamental stance.

But why choose Dogecoin instead of Bitcoin? There are deep strategic considerations here. Although the Bitcoin mining market is the most popular track, as we have seen, it has transitioned from a blue ocean market to a red ocean market with intense competition. From an economic standpoint, the current Dogecoin mining profitability is generally higher than Bitcoin mining, providing miners with a better return on investment.

More importantly, our team has a strong belief in the Dogecoin ecosystem. We firmly believe that Dogecoin will become one of the most important circulating currencies in the world, even possibly on Mars. This may sound a bit "crazy," but this is our vision—to provide the best infrastructure support for this future.

Therefore, our strategic positioning is clear: to become the world's premier Dogecoin mining machine manufacturer, contribute to the global Dogecoin ecosystem's development through continuous technological innovation and product optimization.

Ben Weng: Adding a technical perspective, Dogecoin has a significant design difference from Bitcoin—it has no fixed supply limit. Dogecoin uses a fixed inflation model, with a set amount of new coins issued each year, making its design closer to the real-world monetary system.

This design allows Dogecoin to maintain POW security while having stronger transactional attributes and usability. It combines the security benefits of a proof-of-work mechanism with the liquidity characteristics of traditional currency, giving Dogecoin a unique advantage in practical payment scenarios.

It is based on a deep understanding of Dogecoin's technical characteristics and developmental prospects that we decided to fully invest in the construction of the Dogecoin ecosystem. We believe that as global digital payment demand grows, Dogecoin will play an increasingly important role in diversified payment scenarios.

ElphaPex's Technological Innovation and Market Breakthrough

Rhythm BlockBeats: As a newcomer, how did ElphaPex win its first users in a technically mature and high customer stickiness mining machine market? Have you encountered any resistance?

Payne Cong: In the mining industry, there are indeed several long-standing, large-scale mining machine manufacturers who have made indelible contributions to the industry, helping the mining industry achieve long-term, stable development on a global scale.

As a newcomer, our strategy is to redefine industry standards through innovation. We are committed to setting higher standards for the industry in multiple dimensions—whether it's product quality, technical performance, or customer service experience.

We believe that as a fresh injection of blood, ElphaPex can bring two important values to the entire industry: first, provide miners with more choices. The market needs diversified competition to truly drive technological progress and service improvement; second, help the entire industry set new, higher standards. We hope to use our efforts to push the entire industry towards higher quality and greater professionalism.

This concept is not only reflected in product development but also runs through every interaction we have with our customers. We believe that only by truly creating value for customers can we stand firm in the fierce market competition.

Ben Weng: From the perspective of products and services, our core competitiveness is reflected in several aspects:

First is the absolute guarantee of product quality. Every aspect of the design and manufacturing of our mining machines adheres to the highest standards, ensuring that the product's stability and durability meet the stringent requirements of industrial applications.

Second is our global after-sales service network. We have established maintenance service points in major mining regions worldwide, equipped with professional technical teams to provide 24/7 technical support. Wherever customers are in the world, they can receive timely and professional technical service.

Third is the deep technical accumulation of our team. Although the ElphaPex brand is relatively new, our R&D team, production team, and operation team all have rich experience in mining machine development and operation. It is this deep technical accumulation that has enabled us to develop mining machine chips that set world records in energy efficiency.

Finally, it is our continuous investment in innovation. We are not satisfied with following; instead, we aim to make breakthroughs at the forefront of technology. This spirit of innovation has earned high market recognition for our products early on.

BlockBeats Interview: What are the technical bottlenecks facing the entire mining machine industry? In which directions is ElphaPex focusing on breakthroughs?

Ben Weng: In the mining field, the unquestionable technological high ground is the self-developed ASIC chip. To achieve ultimate energy efficiency, we must constantly push the boundaries of physics, which requires adopting the most advanced process technology, and our chip design team must work around the clock on various optimizations.

During this process, we indeed face significant challenges. Currently, with the rapid development of AI artificial intelligence and other high-performance applications, chip capacity in the most advanced processes has become extremely scarce. This supply chain tightness has put pressure on the entire industry.

But we have several key advantages: first, we have an experienced supply chain management team with deep expertise in supply chain optimization; second, we have established a strong partnership with chip foundry Samsung, ensuring that we can obtain sufficient capacity support in a complex market environment; third, we continuously invest heavily in production process optimization to ensure that our chip yield rate remains industry-leading.

The combined effect of these advantages allows us to maintain a competitive edge in multiple dimensions such as the supply chain, manufacturing, and technical design. Our goal is to continue driving the development of ASIC chip technology to provide miners with more efficient and stable mining solutions. Technological innovation is always our core driving force. We believe that only by maintaining a technological lead can we truly create value for our customers.

BlockBeats Interview: The cryptocurrency mining industry exhibits strong cyclical patterns, and miners face more challenges in bear markets. In addition to hash rate, what qualities should a "great miner" possess in the long run?

Payne Cong: I believe this can be answered from two perspectives:

The first perspective is a commitment to belief. You must have a long-term belief and commitment to the entire cryptocurrency ecosystem and the mining industry. This belief is not blind but based on a deep understanding of technological trends and market evolution. Only with this long-term belief can you maintain composure in market fluctuations and not be swayed by short-term price movements.

The second perspective is the rationality of strategy. Excellent miners need to continuously do the right things. What are the right things? It is the often-mentioned principle of "buy low, sell high" — entering at market lows, obtaining cheaper electricity resources, and purchasing more cost-effective equipment.

There is a significant psychological challenge here. The market often exhibits an anti-human nature: when prices are high, everyone wants to buy equipment, but that's when prices are also high; when prices fall, people are afraid to invest, but that's actually the best time to invest.

Successful miners must possess a contrarian investment mindset, be able to do the right thing at the right time, and consistently adhere to this rational investment strategy. Whoever can obtain cheaper electricity, whoever can purchase equipment at a more reasonable price, will gain an advantage in long-term competition. This requires not only technical judgment but also strong psychological resilience and steadfast execution.

Consensus, Regulation, and the Future: The Value of PoW and the Goals of ElphaPex

Rhythm BlockBeats: Currently, multiple countries around the world are strengthening regulation of cryptocurrency, with particular attention to the energy consumption and carbon emissions issues of PoW mining. How does ElphaPex view the future regulatory trends in the crypto mining industry?

Payne Cong: This is a crucial question. We observe that regulatory attitudes toward mining vary greatly across different regions globally. Some regions are relatively lenient in terms of compliance, with low electricity prices; whereas in countries with more robust regulatory systems like the United States, although mining costs are higher, in the long term, this represents a stable and sustainable path. Many people may question: Why mine in a place with high electricity prices and heavy taxes? My view is that each region has its specific challenges, such as security, electricity stability, or infrastructure issues. From a long-term perspective, the actual costs in different regions will eventually converge.

The United States is a good example. Many large miners choose to deploy their hash power in Texas, and this is not by chance. Although the PoW mechanism is often criticized for being "energy-intensive," in reality, it acts like a "dynamic battery" that can flexibly adjust loads, helping the grid effectively absorb excess energy during periods of surplus electricity. Governments and grid companies can also benefit from this and use the revenue to invest in infrastructure upgrades. Therefore, we should not only look at mining from the perspective of "energy consumption" but should also see its potential as an energy system balancer.

Ben Weng: Exactly, the "dynamic adjustability" of mining machines is a key advantage. Unlike traditional batteries, mining machines can rapidly increase or decrease power consumption in a very short period, achieving second-level response and playing a very flexible regulatory role on the grid.

I live in California, where electricity prices are among the highest in the country, but the government has legislated that new single-family homes must install solar panels, resulting in a severe electricity surplus when the sun is at its peak during the day, precisely the time when mining machines can add value. Many startups are also exploring: How can excess electricity be converted into cryptocurrency by deploying mining machines, enabling a path for the monetization of green energy.

Therefore, the crypto mining industry is not a representation of energy waste but has the potential to become part of the future smart grid. It helps to convert "unused electricity" into valuable digital assets, which is exactly the prototype of the energy internet.

Rhythm BlockBeats: In recent years, the debate around whether POW will be replaced by POS has continued to heat up, especially after Ethereum successfully transitioned to POS. How does ElphaPex view this mechanism evolution? Does POW still hold irreplaceable value?

Payne Cong: Fundamentally, POW is a more secure and decentralized mechanism. To control a POS network, theoretically, you only need to buy 50% of the coins; but for a POW network, you would need to acquire 50% of the global electricity and hashing power, which is almost impossible in reality. Therefore, in terms of censorship resistance and attack resistance, POW is a more defensive mechanism.

Ben Weng: I tend to believe that the two are complementary rather than mutually exclusive. POS does have an advantage in high throughput, low-latency applications, while POW remains the most robust security mechanism. For example, BTC as digital gold has already attained a "nation-state-level strategic reserve" status, and the vast majority of institutions still rely on POW-based networks for value anchoring.

In different application scenarios, the two will coexist in the long term. For instance, financial clearing and smart contract systems may adopt POS, while underlying protocols involving asset security and censorship resistance still need to rely on POW. Instead of debating "who replaces whom," it is better to consider "who serves whom."

Rhythm BlockBeats: What are ElphaPex's next-stage goals? What role do you hope to play in the mining industry in the future?

Payne Cong: We adhere to long-termism, aiming to become the world's premier manufacturer in the global Dogecoin mining industry. In the industry, there are many flash-in-the-pan players, and we hope to provide the industry with stable and trustworthy products and services through continuous innovation and a positive value system. In 2024, we will launch a series of forward-looking and competitive product lines, aiming to expand a diverse range of mining machine categories and serve global users with R&D as the core driving force.

Ben Weng: We will continue to iterate high-performance mining machines on the product end and continuously improve a globalized after-sales service system. Our ultimate vision is to promote the global adoption of the proof-of-work mechanism, allowing Dogecoin to be widely accepted as a truly decentralized form of currency not only on Earth but throughout the entire universe. This is our "ultimate goal."

Rhythm BlockBeats: Finally, if you were to say one thing to miners worldwide, what would it be?

Payne Cong: "Keep doing the right thing and persist with conviction."

Ben Weng: "Stay true to the original aspiration, create value for customers with the best mining machine products and services."