Topic: [2015-11-05]CEX.io : Official Statement on Cloud Mining (Read 324 times)

Dear Users,

Please be informed that despite considerable Bitcoin price growth, it is still not enough for profitable Bitcoin mining, taking into account current difficulty and maintenance cost.

Take a look at the following calculations:

There’s an average number of more or less 3,600 BTC gained from mining each day. The hashrate is currently about 480,000,000 GH/s. Thus, the expected Bitcoins/month with 1 GHS can be calculated this way:

1 GHS/overall network hashrate * Bitcoins generated per day * 31 day

1GHS / 480*10^6 GHS * 3600 BTC per day * 31day = 0.0002325 BTC ~ $ 0.09 per month (at 400 USD/BTC rate)

Meanwhile, 1 GHS maintenance per month is $0.105/month. Thus, mining is not profitable at the moment. Moreover, the estimated next difficulty increase is in about 1 week. Provided the Bitcoin price won’t change much, there is no positive forecast for profitable mining in the nearest time.

Note that the calculation is very approximate and can be negatively changed by pool luck. Moreover, not only the price has to go up, but also flatten out at a certain level, for mining to be truly profitable.

At the moment, owners of cloud-based GHS on CEX.IO are free to choose 2 options:

– let CEX.IO decide the mining behaviour (where we will be monitoring the mining difficulty and Bitcoin price and switch your GHS cloud mining power depending on profitability);
– control cloud mining at their own risk (enable on their CEX.IO Profile > GHash.io tab (https://cex.io/trade/profile#miner) > Turn off Let CEX.IO Decide > Turn on cloud mining).

Please pay attention that you fully undertake the risks when choosing the second option.

http://blog.cex.io/news/official-statement-on-cloud-mining-14758