Bitcoin (BTC) Cloud Mining Services
What Is The Bitcoin Cryptocurrency?
Bitcoin, sometimes referred to as BTC, can simply be defined as a digital currency and international payment system. It’s the first serious digital currency to operate in a decentralized manner. What this means is that the currency is not managed by a central bank from a specific central system.
The Bitcoin network works on what is called a peer-to-peer system. In simple terms, this means that transactions happen directly between users of the system without requiring anyone to go between.
How exactly does this system work if it doesn’t have a third party like a bank managing the transactions and how do I ensure that my investment is safe? Transactions are validated by a sophisticated network referred to as a blockchain. Think of a blockchain as the Internet which connects different users through hardware and software in a secure environment.
How Bitcoin Started
The idea of Bitcoin started becoming public towards the end of 2008 when an individual or entity known as Satoshi Nakamoto announced through an email that they had been working on a novel electronic payment system that would work on a peer-to-peer basis.
Things started getting serious in 2009 after the release of an open source software which made Bitcoin accessible to a greater majority. In 2011 the Bitcoin price was only 30 cents. An investment of just $100 could turn investor into a millionaire just seven years later. Very few people would have believed this and hence, very few people can claim the type of rewards that Bitcoin cloud mining has given to those who took the risk then.
From then on, Bitcoin grew into a currency that can be exchanged for products and other currencies. By the end of 2017, it was being reported that more than 100,000 companies accept bitcoins.
The Bitcoin Price
Ever since its inception, the rise in the Bitcoin price can only be described as phenomenal. Someone who purchased bitcoins to the value of $100 in 2011 would have ended the same year with a value of $1,573.32. This value would escalate to $4,503.29 at the end of 2012.
If this individual held on to their bitcoins, they would end 2013 with a value of $252,497.48. The big downfall in 2014 would have reduced this value to $106,565.60. If this individual was brave enough to hold on to their investment, 2015 would have pushed it to $132,000.
The fortunes continued to rise through 2016 were the value ended at $257,977.42. The real reward would have been seen by the person holding on to this same $100 investment on the 17th of December 2017 when its value would have shot to an unbelievable $6,594,267. Since then, the value of the currency has seen great volatility but the initial $100 is still worth several millions.
The fact of Bitcoin price growing could be an answer the popular question; is Bitcoin mining profitable?
How To Mine Bitcoins
It’s understandable if beginning investors itching to get some information on how to start Bitcoin mining after having a basic idea of what Bitcoin mining is.
- Buy the custom mining hardware, this comes as cards that you insert into the computer you’ll be using for mining.
- Create a Bitcoin wallet, it is advisable to make use of a local wallet so that your transactions remain secure, examples include Armory and Bitcoin-QT.
- Secure your wallet through by storing it in a password protected device because if you lose the wallet, you’ve literally lost your investment.
- Make a decision whether you’ll join a pool or you want to do this on your own. It’s much easier when you join a pool than to try and work on your own.
- Download the program you’ll use for mining, most of them are open source and hence free.
- The mining process puts pressure on the computer which could easily lead to the temperature escalating, so you need to keep this in check.
- Once you’ve started mining use the Bitcoin ROI calculator to check if you’re making a profit.
Ways And Technologies Of Mining Bitcoin
There are different methods available for mining bitcoins. The great thing is that you can use your own central processing unit (CPU). However, since graphics processing unit (GPU) became available, many cloud miners have realized that CPU mining is unprofitable with the number of bitcoins that can be mined using this method becoming lower.
It’s much better to use the power of GPU which is about 200 times faster when compared to CPU. However, the use of field-programmable gate array (FPGA) is even more efficient when compared to both CPU and GPU. A major advantage of this technology is that it uses lower amounts of power while its hash rankings are relatively higher.
BTC Cloud Mining
If the whole process of mining on your own seems rather cumbersome, why not use the services of a cloud mining service. These services give you an opportunity to rent out mining capacity for a specified amount. These are referred to as contracts.
Let’s check out some of the best mining services where you can get great contracts for your cloud mining needs. You can also search for more using the phrase Bitcoin cloud mining review 2018 to get an idea of what those who are using them think about them.
Before choosing one of cloud mining companies have a look at a few tips to help you identify a good cloud mining service for Bitcoin.
- Check user reviews.
- Check its user base, the more people and companies on it, the more likely that it’s legitimate.
- Does the service give you a chance to use a calculator that will give you an idea of your BTC profit?
- How long has the company been in the cloud mining business? The longer they have been around the better.
- Services that have addresses which can be verified are also more likely to be legitimate.
- Find out what other investors are saying about the services’ downtime and reliability.
The HashFlare mining services offers contracts at different prices. On this service, The SHA-256 Algorithm Miner, a one year contract, will cost you $1.20 per 10 GH/s with maintenance fees of 0.0035 $ / 24h and payment in BTC is automatic.
Genesis cloud mining services offer you a chance to select from 4 contracts of which one of them permits you to custom make according to your preferences.
- For $179 you get the Gold Starter contract delivering 1,000 GH/s.
- $845 gets you the 5.000 GH/s Platinum mining contract.
- If your pocket is sli deep you can go for the Diamond contract for $3,975 and this one promises the highest profit.
- Check out the custom plan which allows you to create a contract based on your own needs.
- All open-ended contracts attract a maintenance fee which is currently fixed at $0.00028 per GH/s per day.
Bitcoin is one of the over a dozen cryptocurrencies you can mine on Eobot. This cloud mining service promises that it will allow your computer to relax as its cloud solution hashes and mines your bitcoins from as little as $10.
Some of the advantages you get from this service include:
- Using of their hardware hosted in the cloud.
- Getting updates by the minute.
- Rental lengths ranging from just one day to 60 months.
- Payments using either Bitcoin or Epay.
Bitcoin Cloud Mining Without Investments
You’ll be glad to know that you can also start mining Bitcoin mining even if you don’t have any money to invest upfront. You can check the Google play store to find out some apps which allow you to mine Bitcoin for free.
It’s clear that many people have made handsome fortunes investing in Bitcoin since it was established; you too can still become part of the action. Who knows, a few years down the line, you may have a great story to tell.
Why should people pay attention to BTC cloud mining? There are more and more retailers who start to embrace Bitcoin as the currency of the future. A number of businesses have run promotions where they were offering discounts to people buying with bitcoins. As Bitcoin online mining becomes even more popular, more businesses are likely to follow suit.
For instance, the wealthiest man in Asia, Li Ka-Shing, has put his money on the popular Bitcoin processor Bitpay. Another wealthy individual, Marc Andreessen, the well-known tech entrepreneur is reported to have invested over $50 million in different Bitcoin mining companies.
It’s hard to believe that the price of Bitcoin will ever see the type of profits which have been seen in the last five again, but for the moment it is one of the most stable digital currency which shows a great returns to its investors.