As readers of my blog know, I will only promote products and/or services that I myself use or put money into. I wanted to provide an update to the cloud mining contracts that I recently purchased. Cloud mining works differently than traditional mining in that you do not purchase any hardware to do the mining for you. Which means you do not incur large electricity expenses related to owning your personal machine. It is all performed by others and you are simply buying into a pool. When I started them on May 23rd I wasn’t really too sure what to anticipate.
Since 2 weeks have passed I was thinking I have a good level of data and info to provide a solid report. The initial contract I began was with Hashing24. They merely offer Ethereum Bitcoin Trade Btc USD EUR. The actual way it works with them is you buy whatever hashing power you would like (for additional on that see my post “mining”). They may have plans which are as low as 100 GH/s and cost less than $18. Simply because they offer indefinite contracts, you have to pay a tiny daily maintenance fee of $.033 per 100 GH/s.
The upside to Hashing24’s model is the fact when you pay your upfront amount it is possible to theoretically collect daily payments forever. In that manner it is similar to buying an instant annuity.
Inside the interest of full disclosure I purchased 4500 GH/s ($800). Right after the daily fees are subtracted and, depending on the price of Bitcoin, I make around $7 per day. If we extrapolate that out it would be about $210 per month using a break even point of just over four months. That’s not very bad a good investment because everything after month four would be pure profit. One important thing to also remember is that the mining difficulty will increase in the future that will eat into your profits.
On May 25th I chose I wanted to begin an agreement to mine Ethereum. The Ethereum blockchain technology will be embraced by all the major crypto companies and I actually believe that it can some day pass the price of Largest Bitcoin Mining. It currently about half its size having a market cap of $20,505,000,000 in comparison to Bitcoin’s $41,888,000,000.
I purchased my Ethereum cloud mining contracts through Hashflare.io. In the beginning I purchased 35MH/s and then to decided to add another 15MH/s. The contracts are for just one year. Hashflare also allows you to change the percentage of hash power you desire in each pool. If you see one pool performing better, you can put an increased percentage into that one.
The price for 50MH/s was $1,090, but I got more bang for my buck because I paid in Bitcoins and the value of my Bitcoin purchase appreciated. This resulted in my Bitcoins went further and, in reality, effectively lgwlug me around $900. Let’s go conservative and take the higher amount of $1,090.
The calculator on the site predicts that in the current price of Ethereum ($223) I might make $2,358 off my $1,090 investment. That type of return makes it worth the risk in my opinion.
Again, because I am just a lasting investor in Bitcoin24mining is Authorised And Regulated I view this as a solid possibility to diversify your portfolio and concurrently make an effort to earn some passive income. Take into account that cryptocurrencies are extremely volatile which can wildly impact your potential profit. Do your research first. If you are a lasting investor in cryptocurrency, this seems to be a worthwhile play.
In terms of crypto currency and mining for coins, the existing adage of “time is money” holds true more than ever before. This has to be inside the forefront of your own thought process when deciding how you will should go concerning this process. Ensure you select a data center that will understand how valuable your uptime is!
In the long run, a real data center will have not only battery backup, but a secondary power source, for instance a generator. They’ll also have network redundancy. These are generally 2 more things which will end up being valuable in your experience. Save yourself the worries of power consumption, electrical consumption and also the anxiety about downtime for your equipment. Colocate your equipment and begin earning your coins!