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jr. member
Activity: 96
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June 03, 2021, 11:57:45 AM
#8
According to my own research in the field of mining, I see an asic mining machine ($ 1000) generates about ($ 4) per day, let’s ridiculous dialogue about electricity I see online in some countries, Electricity is very cheap and some are very expensive. This is not the problem. Mining looks very profitable 0,4% per day is not bad. Ie: Why does not someone, even an honest "one" from this forum, establish this project, the members pay bitcoin (the interest is paid as they both agree) and he takes care of the rest of the things, What's the risk in that? And why is all cloud mining fraud?

What can happen that might spoil this, would the miners explode, for example? Grin

okay I will attempt to explain it as best I can. It is a long explanation.

Give me a minute to compose my thoughts.

Bitmain is the largest builder of gear.

Bitmain cut three deals this year.

With hashnest
with viabtc
with bitdeer.

I estimate they control more than 20% of the worlds hash in :

Eth
Btc
Bch
Ltc/Doge

They build good asic miners.
They were selling s19pros which mine btc and or bch for 2k before the rally
They were selling L3+ for 300 usd back in the day
They now make an Eth e9 and most likely it cost them under 3k to build it.

why is any of the above important?

simple they can have 200% of the miners needed to mine

BTC
BCH
LTC/DOGE
ETH

the gear is cheap for them. by not selling it to regular miners. they make mining cheaper for them selves and difficulty is lower for themseleves.

they then list gear with really long delivery dates and if mining profits for them are high they make them arrive later.

worse yet no one audits them.

so say they run 1 eth e9 miner to handle the eth contracts they have.

it makes 330 usd a day for 2800 watts

say they have an extra one and they run it making the same 330 usd for 2800 watts.


they use that 330 usd to buy btc.

and the 8 s19pro contracts that cost 3300 watts each are shut off.

they save 8 x 3300 watts. they pay the contracts with eth that purchased the btc.

they can juggle from btc to bch to eth to ltc/doge.

no one audits it.  this makes them pretty much unbeatable if you try to run a cloud mine against them.

i have 10 s17 pros doing 560th. the best way for me to profit is mine and cash out.

for me to do better i would need to do what bitmain is doing juggle the contracts around.

so rather then rent my 10 s17 out for a cloud i simply mine them.


thats the best way to explain it.

note i said bitmain juggles its contracts from gear to gear. i can not prove it.


but i can prove they if they chose to juggle the contracts like i say they do they have the ability to do it.

so they can do it if they want to and save lots of power and money if they do it.

only someone with extra cheap gear can do it.

and it only pays for a major builder to do it.



1000% truth...
i have bought directly from Bitmain miners that they did not even bother to clean from the Chinese dust.
so when they came to use in new original boxing they had very high temps.
To our surprise we understood that these miners were used for at least six to ten months and not just quality tested.
also in another direct again purchase from bitmain the delayed my delivery for nearly 20 days in high profits.
that to be said you all now now when you buy a new miner,  Bitmain already mines with the next generation
and as we all know if you want to predict the future just create it.
also the fact that nobody audits them its  a problem.
a lot of money pass and nobody knows if they are shared equally on the pools.
but thats the situation and we know it.

 


legendary
Activity: 3164
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May 12, 2021, 02:32:47 AM
#7
And why is all cloud mining fraud?

this is a subject that for some time I asked myself the following question:

1 - we have sites that declare themselves to be doing cloud mining, but in practice they do not show any mining equipment and promise absurd profits. obvious ponzi scheme

2 - we have cloud mining sites that show mining equipment, but I ask myself: how can we be sure that they are not a ponzi scheme? because they may be selling hashpower that they don't have. I am not a miner, but I wonder if it is possible to discover that some legitimate cloud mining has become a ponzi scheme?

legendary
Activity: 2394
Merit: 6581
be constructive or S.T.F.U
May 11, 2021, 10:48:36 PM
#6
Most of them doesnt proof any pool and link tx . they are runing bussines based on ponzi scheme and only providing basic mining calculation.

While most cloud mining is nothing but scam, the legit ones such as viabtc or bitdeer actually do own the mining gears, it's a question of whether you are actually renting a mining gear or just the hashpower equivalent, to the client it doesn't matter as long as you get the promised hashrate for the duration agreed upon without any price change, to the service provider it does not make sense to be running what you call a ponzi, because if the hashrate you rent in theory starts making a fortune they will go bankrupt.

That is one of the main reason why most cloud mining services who do NOT own mining gears go broke when they payouts get too large, they are counting on the price of bitcoin as well as the profitability, in general, to go down, in that case, if you pay $1000 and they have to pay $900 during the duration of the contract, they get to keep $100, but with the legit once who have been here for long, they probably understand the risk and won't give you a contract they can't back with real hashrate to avoid a scenario where your $1000 worth of hashrate for a whole year, starts to make $1000 a month.

Quote
if they can make good profit with their mining why they rent it ?  

This logic is terrible, the same as saying "if ASICs make money, why sell them"?, by renting the mining gears you are guaranteed to make a profit regardless of what the market does, while it does reduce your potential profit - it's a great hedge against bitcoin volatility.

If I own 100 gears and I pay $1000 in power per month, and someone offers to rent 50 gears and pay me $1000 a month, I'd most likely accept it, because if my other unrented 50 gears start making less than $500 I would still be in profit and that person who paid me $1000 a month is going to take that loss on my behalf, it makes perfect sense to sell cloud mining contracts.

Cloud mining also provides instant liquidity to the owner of the hashpower, if my gear is projected to make $1000 a year and I get $900 upfront, that isn't bad a deal at all, think of all the things one can do with $900 for a whole year.
 
With that being said, I am pretty sure most legit cloud mining companies will run the numbers to the minimum risk on their side, it's almost guaranteed that renting that power will yield more profit than mining regardless of the market condition, I did run the math for Viabtc mining contracts last year (can't find it anymore) and for Viabtc to lose and the average joe to win, some weird things had to happen, it's like 70% success rate for Viabtc.
legendary
Activity: 4256
Merit: 8551
'The right to privacy matters'
May 02, 2021, 02:52:06 PM
#5
Most of them doesnt proof any pool and link tx . they are runing bussines based on ponzi scheme and only providing basic mining calculation.
I'm not a miner and have never used cloud mining services, so perhaps I shouldn't peep my head into this section and comment, but the above reason is what I've always understood as to why most cloud mining operations are scams.  If you think about it, if one of these operations doesn't provide you with any info like what was mentioned above, it's the perfect setup for a Ponzi scheme (or a flat-out scam).  And given how many scammers there are in the crypto world, you can bet your ass that method has been discovered and exploited to its fullest.

Back when I got interested in bitcoin, there were tons of threads about cloud mining, and it seemed like they were invariably all scams.  And in 2021 it seems like most people have learned their lesson about entrusting their funds with anyone offering cloud mining services--that's what it seems like; I don't know that it's actually true.  I hope it is, because I don't think these scammers have suddenly grown a conscience and started to offer legitimate mining contracts.

the best they are doing is what bitmain could be doing with BTC.BCH,LTC-DOGE, ETH.

Since bitmain maybe innosilicon can play the switch to the best gear trick as they make the miners  all the rest of them are all most likely playing ponzi games.

So yeah you can sign up with a bitmain cloud company such as bitdeer,hashnest,viabtc and basically help them get rich or you can buy and hodl.

legendary
Activity: 3500
Merit: 6981
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May 02, 2021, 09:51:45 AM
#4
Most of them doesnt proof any pool and link tx . they are runing bussines based on ponzi scheme and only providing basic mining calculation.
I'm not a miner and have never used cloud mining services, so perhaps I shouldn't peep my head into this section and comment, but the above reason is what I've always understood as to why most cloud mining operations are scams.  If you think about it, if one of these operations doesn't provide you with any info like what was mentioned above, it's the perfect setup for a Ponzi scheme (or a flat-out scam).  And given how many scammers there are in the crypto world, you can bet your ass that method has been discovered and exploited to its fullest.

Back when I got interested in bitcoin, there were tons of threads about cloud mining, and it seemed like they were invariably all scams.  And in 2021 it seems like most people have learned their lesson about entrusting their funds with anyone offering cloud mining services--that's what it seems like; I don't know that it's actually true.  I hope it is, because I don't think these scammers have suddenly grown a conscience and started to offer legitimate mining contracts.
copper member
Activity: 152
Merit: 1
May 02, 2021, 02:06:16 AM
#3
According to my own research in the field of mining, I see an asic mining machine ($ 1000) generates about ($ 4) per day, let’s ridiculous dialogue about electricity I see online in some countries, Electricity is very cheap and some are very expensive. This is not the problem. Mining looks very profitable 0,4% per day is not bad. Ie: Why does not someone, even an honest "one" from this forum, establish this project, the members pay bitcoin (the interest is paid as they both agree) and he takes care of the rest of the things, What's the risk in that? And why is all cloud mining fraud?

What can happen that might spoil this, would the miners explode, for example? Grin

Most of them doesnt proof any pool and link tx . they are runing bussines based on ponzi scheme and only providing basic mining calculation. and if you talk about rent mining there is many services still running you paid what you rent . i have rent mining in nicehash and using it for mining new coin. renting some hash power for low diff block might be still making profit. if im using it for mining bitcoin these days its not make any good profit or maybe less than what we paid.

if they can make good profit with their mining why they rent it ?  Cheesy even the legit one who provide cloud mining such cex.io suspended their services .
CMIIW
legendary
Activity: 4256
Merit: 8551
'The right to privacy matters'
May 01, 2021, 04:41:16 PM
#2
According to my own research in the field of mining, I see an asic mining machine ($ 1000) generates about ($ 4) per day, let’s ridiculous dialogue about electricity I see online in some countries, Electricity is very cheap and some are very expensive. This is not the problem. Mining looks very profitable 0,4% per day is not bad. Ie: Why does not someone, even an honest "one" from this forum, establish this project, the members pay bitcoin (the interest is paid as they both agree) and he takes care of the rest of the things, What's the risk in that? And why is all cloud mining fraud?

What can happen that might spoil this, would the miners explode, for example? Grin

okay I will attempt to explain it as best I can. It is a long explanation.

Give me a minute to compose my thoughts.

Bitmain is the largest builder of gear.

Bitmain cut three deals this year.

With hashnest
with viabtc
with bitdeer.

I estimate they control more than 20% of the worlds hash in :

Eth
Btc
Bch
Ltc/Doge

They build good asic miners.
They were selling s19pros which mine btc and or bch for 2k before the rally
They were selling L3+ for 300 usd back in the day
They now make an Eth e9 and most likely it cost them under 3k to build it.

why is any of the above important?

simple they can have 200% of the miners needed to mine

BTC
BCH
LTC/DOGE
ETH

the gear is cheap for them. by not selling it to regular miners. they make mining cheaper for them selves and difficulty is lower for themseleves.

they then list gear with really long delivery dates and if mining profits for them are high they make them arrive later.

worse yet no one audits them.

so say they run 1 eth e9 miner to handle the eth contracts they have.

it makes 330 usd a day for 2800 watts

say they have an extra one and they run it making the same 330 usd for 2800 watts.


they use that 330 usd to buy btc.

and the 8 s19pro contracts that cost 3300 watts each are shut off.

they save 8 x 3300 watts. they pay the contracts with eth that purchased the btc.

they can juggle from btc to bch to eth to ltc/doge.

no one audits it.  this makes them pretty much unbeatable if you try to run a cloud mine against them.

i have 10 s17 pros doing 560th. the best way for me to profit is mine and cash out.

for me to do better i would need to do what bitmain is doing juggle the contracts around.

so rather then rent my 10 s17 out for a cloud i simply mine them.


thats the best way to explain it.

note i said bitmain juggles its contracts from gear to gear. i can not prove it.


but i can prove they if they chose to juggle the contracts like i say they do they have the ability to do it.

so they can do it if they want to and save lots of power and money if they do it.

only someone with extra cheap gear can do it.

and it only pays for a major builder to do it.
jr. member
Activity: 49
Merit: 25
May 01, 2021, 04:21:06 PM
#1
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