Cloud Mining: What Should You Know to Start Earning?
Costly equipment and high prices for electricity have made ordinary mining unprofitable. But there was a solution to this problem — “cloud” mining. What it is and how it works, you will learn in this article.
Cloud Mining: What Is It And How Does It Work?
Cloud mining is an opportunity to make money using the processing power of data centers. In this case, the miner does not need to buy an expensive equipment or software. The user can simply rent the equipment that is installed in remote centers and mine cryptocurrency in the “cloud”. It is possible to make money with cryptocurrency for people who live in countries with a high cost of electricity, as well as for those whose technical knowledge is insufficient to assemble the equipment and customize the software.
Miners who connect to the “cloud” accelerate the mining of cryptocurrency and earn on it. Services that lease equipment, earn on commissions and on rent charges.
The essence of transactions has not changed. The operation is confirmed when it becomes part of the block. The search of one block takes 10 minutes, thanks to the huge capacity and a whole group of people who are pooled.
Types Of Cloud Mining
Some companies provide free cloud mining — the capacity can be used without a rental fee. In fact, these are ordinary cranes (it is a passive cryptocurrency income). Others offer paid services — the company earns on commission and rent for the given capacity.
There are three basic forms of cloud mining divided according to their type:
- Hosting — rent of capacities, which are installed at the supplier;
- Virtual hosting — rent a virtual server and install your software;
- Rental capacity — rent without physical access to hardware and software.
How To Make Money With Bitcoin Mining?
The answer to this question depends on a number of factors affecting the profitability of investments. The most obvious is the cost (which is why the rating of cloud companies is highly dependent on the price). The maintenance fee covers the cost of electricity, hosting and equipment.
On the other hand, the determining factor is the reputation and reliability of the company due to the prevalence of fraudulent schemes and bankruptcies. It will not work if the five-year contract ceases to exist after two months.
Finally, crypto mining profitability depends on factors that no company is able to predict or control: remember at least the fluctuations of bitcoin over the past three years.
When buying a contract, it is better to proceed from the constant cost of a crypto currency, because in order to earn on increasing rate, it is enough just to buy bitcoins and wait for the growth of their price. Another important factor is the power of the entire network. It is determined by the number of hashing operations per second. In recent years, power is increasing exponentially. Whether the growth will continue depends on the Bitcoin course and innovations in the development of special purpose integrated circuits.
How To Start The Mining Money Making?
Before you start mining in the “cloud”, you need to learn reviews about companies and choose the one that seems most reliable to you. It is necessary to understand such concepts as speed of hashing, what algorithms there are. After that, you need to decide how much power you need and how long you want to sign a contract for. Companies mainly offer a contract for a year, some offer from 6 months to 2 years or unlimited contracts. Also you need to make prepayments and sometimes an additional commission. The other aspects will be taken care of by the company.
Nowadays, mining of Bitcoins is the most successful investment, which is supported by the constant growth of the cryptocurrency value. But not all services give the opportunity to mine Bitcoins easily. Below we will list the services that allow mining Bitcoins.
Make Money With Ethereum
Ethereum is quite promising cryptocurrency. It’s time to invest money in the mining of this crypto currency. Last year, its profitability was 200%. The best services for 2018 are Hashflare or GenesisMining.
Dogecoin and cloud mining
Now the cryptocurrency Dogecoin is mined at the same level as Bitcoin. There are a number of projects, which offer modern equipment, a payback of invested funds, a referral program, a lease of capacity, a low threshold for withdrawal of funds.
Services For Mining Money Making
In the list below, you will find reliable and proven services that enable you to mine a lot of various cryptocurrencies. By signing a contract with the service, you yourself choose the cloud of power you need. The most reasonable solution is to register on all services, as they often give out bonuses. This is an excellent opportunity to invest in the cryptocurrency and receive high cloud mining ROI without spending on expensive equipment and not paying bills for electricity.
Genesis Mining is a reliable cloud mining service. This company is very well known in the US and is one of the most “promoted” cloud-mining services.
This service works for a few years regularly paying money to its customers. In general, no one has long had doubts about the reliability of Genesis-Mining, so investing there money you shouldn’t be afraid that the service will close after a while. In the beginning of its work Genesis-Mining sold only contracts for Bitcoin mining, but then expanded its range and now it is possible to purchase capacities for mining BitCoin, LiteCoin, DASH, Ethereum, ZCash and Monero.
The resource was launched several years ago in the wake of the popularity and high cost of Bitcoin crypto currency. However, later he also began working with other cryptocurrencies.
On EoBot.com, registration is available to everyone. After that, the client is provided with a separate inline-office, where he can rent capacity in the company’s cloud service. By paying such a lease, the user has the opportunity to repel investments for a couple of years. Due to the long-term perspective, reliability and originality of the project, it scored a whole community of miners.
We can safely say that this is a reliable and stable project with a transparent system of work, in which the mining of bitcoins becomes available to everyone, without the need to have any technical knowledge about the technology of blockchain.
Many investors and bloggers, based on feedback, invest in HashFlare almost from the moment of its opening and are pleased with it.
The non-standard approach to the mining process attracted a huge number of users to the service. The site’s customers like the simple process of buying or selling computing power. Many people switch to NiceHash from different pools, because, as practice shows, here the income can be higher.
Negative feedback on the Internet is nonexistent. All arising problems or misunderstandings are quickly solved both with the help of tech support, and thanks to other users of the site.
Recently, crypto business has gained immense popularity. Nevertheless, the popularization of digital currencies also has negative consequences. For example, on the expanses of the World Wide Web, a bunch of scam sites appeared that provide their services in the field of cloud mining. Such web resources simply take money from users without providing any computing power.
In order not to fall for the bait of scammers, you need to use reliable and proven mining services. And this section will help you in this. After all, we’ll look at the most reliable sites in it. Below you can see the rating of 2018, which lists the best sites.