Cloud minings and the fallacy of the lifetime contracts. Many people thought they would earn passive income by the end of their lives, but in fact they earn few satoshis every day and decreasing until the *lifetime contract* is finished because mining difficult and operational maintenance costs.
And they dare to say some people make profit from cloud mining investment. Of course they did, they invested in cloud mining when btc was 400 dollars, received half of the total amount of btcs invested back, but with btc at 6000-14000 dollars range price. In this kind of business the investor is paying the mining business to make profit exclusively for themselves, it doesn't return any profit to investors!
Most people think that there's got to be some kind of value in these mining contracts, at least when they start. I think it's basically just betting that the value of Bitcoin will always go up and that the difficulty won't get harder than it already is, which we know is a fallacy because it's almost always been going up. I used to think that cloud mining was a viable means of earning BTC, since I used to use sites such as, I think it was CEX.io(?), and it's where I put my first few earnings into, but I eventually realized that it would never pay off and I was able to walk away without losses because I could just sell the hashing power.
I kind of want to feel bad for people that get baited into these kinds of scams, but that's what happens when people think that something too good to be true is actually a good deal. There is no value in mining contracts and, sadly, too many people buy into the lifetime ones thinking it's a great deal.
Companies do whatever makes them the most $, and if they're willing to sell their hashing power instead of using it to mine for themselves, you know that it's more profitable for them to
not mine. If they won't mine, why should you?
