Home Beginner Cloud mining and how you could benefit from it?

Cloud mining and how you could benefit from it?


Cloud mining is a bitcoin generating process that allows people to earn Bitcoin without necessarily having powerful mining hardware, sophisticated software or bandwidth. This is facilitated by companies that have Bitcoin mining hardware and that are offering contracts for cloud mining. These companies have mining hardware in remote data centers from which cloud miners purchase the output of Bitcoin mining power. In simpler terms, cloud mining is a simplified model of Bitcoin mining that allows more people to hop on the bitcoin and altcoin mining bandwagon. Cloud mining is an optimal option for those who find the cost and technicalities of hardware-software integration for real mining purposes daunting.

Also: tips and strategies for conducting successful ICO marketing.

Since its advent in 2009, Bitcoin has threatened conventional mediums of exchange particularly money as we know it. The decentralized nature of Bitcoin and the ease of transaction that comes with it has seen Bitcoin and other cryptocurrencies gain major traction in recent years. Digital coins, unlike conventional money, are mined in a rather sophisticated way, which requires advanced integration of software and hardware. The hardware, software, and electricity power requirement for this process is too high for most people to engage in the mining process.

Some companies offering cloud mining contracts

To engage in Cloud mining which is also known as Cloud Hashing, one must evaluate certain factors. First, one must determine the contract provider they intend to work with. There are several companies offering cloud-mining services. Some of these companies will be highlighted in this section for comparison purposes and not an endorsement.

Hashflare mining company offers SHA-256 mining contracts, but the company recently issued a statement stating that the SHA-256 contracts have been exhausted. Consequently, sale or purchase of these contracts will be suspended until new hardware is delivered to their data centers.

Genesis mining is the biggest Bitcoin and crypto-cloud-mining contract provider. The company offers three Bitcoin mining plans including Zcash mining contracts.

Minex is a cloud-mining provider that offers an innovative aggregator of blockchain projects whose presentation is often in a simulation game format. Instead of contracts, Minex offers Cloudpacks for purchase. An index from sets of cloud mining casinos and lotteries among others are then built using the Cloudpacks.

What next after choosing the contract provider?

After determining the provider, one must then determine what contract they want to purchase. For instance, one can choose between a 500GH or 1000GH contract and what period they want the contract to last. Most of the contracts offered are for a one-year term, but some providers offer shorter contracts for Bitcoin and Litecoin. Though the definition of cloud mining and all it entails might seem extremely daunting and risky by definition, it is in fact not that risky according to the CEO of Genesis Mining, Marco Streng.

The contracts for cloud mining contracts are often sold on per hash basis. While the cloud mining is an opportunity is an approach that allows for Bitcoin mining it is important to note that there are factors that determine profitability in cloud mining. For instance, pay per GHash/s would be 0.0012BTC/GHS for a 24-month contract. Additionally, difficulties realized sometimes in the Bitcoin network is another major factor that affects the profitability of cloud mining for both parties. The measure of the difficulty involved in finding a hash below a given target is what is referred to as Bitcoin network difficulty. Change in Bitcoin Network Difficulty happens after 2,016 blocks or every two weeks.

Benefits of cloud mining

Despite the complexity and difficulties involved in cloud mining, the cloud miner stands to enjoy certain benefits.

  • The miner does not incur the cost of electricity involved in real mining, which is often very high.
  • One does not need to deal with the daunting task of integrating sophisticated hardware and software to mine.
  • The hardware used in real mining produces high amounts of heat which one does not have to contend with in cloud mining.
  • Additionally, the miner will not have a problem regarding disposal of mining equipment when mining ceases to be profitable.

There has been an overwhelmingly high number of Bitcoin cloud mining frauds. Therefore, engagement in cloud mining is subject to the ‘caveat emptor’ principle. Investing in Bitcoin and altcoins through direct purchase and mining is quickly becoming a go-to investment. While in the rush to get a piece of this action one must not forget to perform their due diligence, lest they fall victims of Ponzi schemes.


  1. Hello ,

    I saw your tweets and thought I will check your website to find more information.
    I’m also interested in this topic and have recently started my journey as young entrepreneur.
    Maybe you can adivise me.
    I’m looking for the ways on how to promote my website.
    Can you recommend something what works best for you?

    I also want to improve SEO of my website. Maybe you can have a look at my website and give me an advice what I should change: http://janzac.com/

    I have subscribed to your newsletter. 🙂

    Hope to hear to you soon.

    Jan Zac

  2. I just could not leave your site before suggesting that I actually enjoyed the standard information an individual provide for your guests? Is gonna be again incessantly in order to check out new posts

  3. One thing I have actually noticed is always that there are plenty of misguided beliefs regarding the banking companies intentions when talking about foreclosed. One fable in particular is the fact the bank prefers to have your house. Your banker wants your hard earned money, not your property. They want the cash they loaned you having interest. Steering clear of the bank will undoubtedly draw some sort of foreclosed conclusion. Thanks for your publication.

  4. Today, I went to the beach front with my kids. I found a sea shell and gave it to my 4 year old daughter and said “You can hear the ocean if you put this to your ear.” She placed the shell to her ear and screamed. There was a hermit crab inside and it pinched her ear. She never wants to go back! LoL I know this is entirely off topic but I had to tell someone!

  5. Thanks for writing this awesome article. I’m a long time reader but I’ve never been compelled to leave a comment. I subscribed to your blog and shared this on my Facebook. Thanks again for a great post!

  6. We absolutely love your blog and find the makority of your
    post’s to be just what I’m looking for. Dooes one offer guest writers to write content available for you?

    I wouldn’t minnd composing a post or elaborating on some of the subjects you write regarding here.
    Again, awesome web site!

  7. I have been exploring for a little for any high quality articles or blog posts in this sort of space . Exploring in Yahoo I at last stumbled upon this website. Studying this info So i?m glad to exhibit that I have an incredibly excellent uncanny feeling I came upon exactly what I needed. I such a lot undoubtedly will make sure to don?t fail to remember this site and give it a glance on a constant basis.

  8. Thanks for posting this awesome article. I’m a long time reader but I’ve never been compelled to leave a comment. I subscribed to your blog and shared this on my Twitter. Thanks again for a great post!

    • Thanks. We try as much to be informative and educative as possible using simple language. Referrals to friends colleagues would be much appreciated

  9. Thank you for publishing this awesome article. I’m a long time reader but I’ve never been compelled to leave a comment. I subscribed to your blog and shared this on my Twitter. Thanks again for a great article!

  10. I think other web site proprietors should take this site as an model, very clean and magnificent user friendly style and design, let alone the content. You are an expert in this topic!

  11. It’s a shame you don’t have a donate button! I’d definitely donate to this fantastic blog! I guess for now i’ll settle for bookmarking and adding your RSS feed to my Google account. I look forward to new updates and will share this website with my Facebook group. Talk soon!

  12. Hey! This is my 1st comment here so I just wanted to give
    a quick shout out and say I truly enjoy reading through
    your blog posts. Can you recommend any other blogs/websites/forums that cover the same topics?
    Appreciate it!

  13. Hi there, I found your blog by the use of Google at the
    same time as searching for a comparable subject, your site got here up, it seems to be good.
    I have bookmarked it in my google bookmarks.
    Hello there, just was alert to your blog through Google, and located that it’s really informative.
    I’m gonna watch out for brussels. I will be grateful for those
    who proceed this in future. Lots of other people will likely be benefited
    from your writing. Cheers!

  14. Woah! I’m really enjoying the template/theme of this website. It’s simple, yet effective. A lot of times it’s tough to get that “perfect balance” between usability and visual appeal. I must say you’ve done a very good job with this. In addition, the blog loads super quick for me on Chrome. Excellent Blog!

  15. Hi there, just became alert to your blog through Google,
    and found that itt is really informative. I’m going to watch out for brussels.
    I wll appreciate if you continue this in future.
    Many people will be benefited from your writing. Cheers!

  16. Hello there, I discovered your web site via Googleeven as looking for a related matter, your website got here up, it appears good.I have bookmarked it in my google bookmarks.Hello there, simply turned into alert to your blog via Google, and found that it’s really informative.I am going to watch out for brussels. I’ll appreciate in the event you proceed this in future.Lots of folks might be benefited out of your writing. Cheers!

  17. you’re really a excellent webmaster. The website loading
    pace is incredible. It seems that you are doing any uniqe trick.
    Also, The contents are masterwork. you have performed a excellent task on this

  18. Simply wish to say your article is as astounding. The clarity in your post is simply cool and i could assume you’re an expert on this subject. Well with your permission let me to grab your feed to keep updated with forthcoming post. Thanks a million and please carry on the gratifying work.

  19. You actually make it appear so easy with your presentation but I find this
    matter to be actually one thing that I feel I would never understand.
    It kind of feels too complex and extremely wide for me.
    I am looking ahead in your next put up, I will try to get
    the dangle of it!

  20. I’m not sujre where you’re getting your info, but great topic.
    I needs to spend some time learning more or understanding more.
    Thanks for great info I waas looking for this
    information for my mission.

  21. Excellent beat ! I would lie to apprentice whilst you amend your website, how
    can i subscribe for a blog website? The account aided me a applicable deal.
    I hhad been a little bit familiar of this your broadcast offerdd
    brilliant transparent concept

  22. I don’t even know how I stopped uup here, but I thought this poost was once great.
    I don’t recognize who you’re however defijitely
    you’re going to a well-known blogger in case you aren’t already.

  23. Do you mind if I quote a couple of your articles as long as I
    provide credit and sources back to your website? My blog site is in the exact same area of interest as
    yours and my visitors would really benefit from some of the information you present here.

    Please let me know if this alright with you. Cheers!

  24. Iím impressed, I have to say. Actually rarely do I encounter a blog thatís both educative and entertaining, and let me let you know, you will have hit the nail on the head. Your concept is excellent; the problem is something that not sufficient persons are talking intelligently about. I am very glad that I stumbled throughout this in my search for something referring to this.


Please enter your comment!
Please enter your name here