Topic: Cloud mining - page 2. (Read 6868 times)

Here's a scenario for you to ponder: You give me 1BTC now, and within the next year I might give you back 0.5BTC in total, spreading out my payments to you in decreasing amounts during that time.

If you think that's a good idea, then cloud mining is for you.

Replace BTC with any other coin you want and play that same scenario again.

so say away from cloud mining ?
there are other algorithms like scrypt

is any scrypt cloud mining company with good ROI ?

A lot
Negative

How many Cloud mining services there are?
and what their ROI ?

This plus the fact that the mining capacity is almost always overpriced when compared to rates you can get buying miners elsewhere.

Cloud mining is what's called a confidence trick. Apparently many people aren't aware of how that works so here's a wikipedia article: https://en.wikipedia.org/wiki/Long_con

Basically they gain your confidence by giving you regular payouts, if you're lucky it will be close to what you first put in, and then once they have gained your confidence, you will be eager to invest more, which they can then use to pay off new users (some of whom you probably bring them by referrals ) until they reach what they consider to be a nice amount to run off with. The longer they keep the con going the more they can make off with in the end. Almost all of these operations are run by people who will never reveal their identity, won't show pictures or any sort of proof that they have mining equipment, and if you question them a little to look for proof, they will probably just say something to the effect of "well everyone whos already with us is getting paid and happy so if you don't trust us you are free to go elsewhere, we don't really need your business". PBMining is a great example of a well executed and still running longcon (i don't expect it to last 5 years, but if they do good for them) , Markets.cx is a not as long term example because it only lasted a month or so, but it's operators still got away with lots of money without ever having tor prove who they where, or that they had any equipment, they just said "we're cex.io for litecoin" and people hopped right on in thinking they would trade ghs (or mhs i suppose) and get a great deal... nope Chuck Testa.

Cex.io is probably legit in the sense that they have hardware. You can even redeem it from them, though i imagine anyone who is willing to pay such a premium has no idea how to actually use the hardware if they got it. So their confidence trick isn't so much about running off with peoples funds, but getting those funds so they can buy more hardware to use for themselves.  Which is a pretty honest con, but still a con.

If you really wanted to mine without having your own hardware, the best options out there are to rent hashing power directly from intendant miners, who sell them on markets like http://nicehash.com and http://betarigs.com. These services allow you to rent hashing power for hourly, daily, or weekly shifts, So you don't have to wait a year to see if you'll profit. You'll still have to pay what the market price is, but its usually fairly close to what they would be expected to earn back in that time period and you're buying it is more to lessen the risk of the miner whos selling it (because you can earn more or less than they would depending on what pool you use and how lucky it is that day). You won't make a living off it, but you'll probably make a small profit if you have patience and buy when the market rates are lower.  I don't call these services "cloud mining" because you actually get control over what pool they mine, and you are usually renting from independent mining equipment owners and smaller farm operations, and that sets them apart from the cloud operators in my book. They are just "rentals" like you could rent a car or a truck, use it for the day and then give it back. If you keep renting cars all day every day its way cheaper to buy a car, but if your just looking to move a couch over the weekend its probably a better idea to go to uhaul instead of a dealership.

TLDR: try http://betarigs.com, you can test them out for a day or less and see if you make a profit, and if you don't that money at least goes to an independent miner somewhere and you aren't out a whole bunch of money.

You should not need to have to try something if you are investing your money in it.

Google is not always able to tell you for sure what is legit and what is not.

The best answer to know anything is to try.

And, use profit calculator to see if you are making profit or not.

And, google as well to know if the cloud miner sites are scam or not.

For mining lifetime will likely be much less then 5 years.

In 5 years having 1 TH/s of capacity would likely generate next to nothing on even a monthly basis.

Don't know who's living in fantasy land but as the talk was about cloud hashing, just gave the fact of cheapest cloud hashing service. I prefer using own hardware and everyone does what they will.

Since we're living in fantasy land, cryptsy's are 'lifetime', 'lifetime' > 5 years

The time you buy the hashes is 5-years and it is the cheapest hashes on net. Nothing to do with n00b attraction, just to sell cheap hashes for everyone wanting to cloudhash instead of own hardware. You get yours after every week's sunday.

5 years ? in this type of business ? While the price is smaller than the price on cex.io at least you can trade the Gh when a more profitable solution appears on the market. Paying for a 5 year contract is crazy and seems to be designed to attract noobs.

Well... less profitable.

p2pool is great invention and just if pool are good and nice for users - p2pool rules and no mather what is more profitable than solo mining.

Good thread, now I can see why there is less people who are willing to join pools
Is it difficult to mine by yourself?

the 20% i have used is +20%/ difficulty change
http://bitcoinwisdom.com/bitcoin/difficulty says +12,54% at next change and http://allchains.info/ says +9,09% for next change
so I would assume it is 10-12%

your difficulty adjustments are way off.  +20%?  over what?  a month?

if you look at the last 6 months, the average is more like 60%.

that gives you a little over $1 in 12 months (*or more like $3, it'd be $1 if you started next month)

i was being generous with the difficulty level earlier.   i guess we can be generous again and say that the current difficulty still has 2 more weeks.  you'll make $1.25.  after that, you'll make 0.9375, then 0.70, then 0.53, 0.395, 0.296, 0.22, 0.167, 0.125, 0.093, 0.07, 0.053, 0.04, etc.  So, no, you never make your money back.

and even if you did just barely manage it, you'd be better off investing in something else.

(& just looked at first 8 days of current diff level, looks like a 20-25% hike to me)

using http://bitcoinwisdom.com/bitcoin/calculator
Diff increase +20%/increase
Pool fee 0%
Power usage 0
GHs price 0.0089

That gives you a ROI @ about end of this year.

It looks like next diff change is going to be ~10% so that helps shortening the ROI a little bit

Uh, maybe if that 0.0089BTC per GH (!) is for two years?...   in one year you should expect to net about $5 from it.

ed:  Oh, I see... it's 5 years.  OK, then it's about break even... you'd earn next to nothing in years 2-5, but it should be enough to cover the initial cost...

well, not really, because of inflation and better investment opportunities

not to mention the huge leap involved in assuming this place will be around for 5 years

ed2:  if it was more profitable to use it then to sell it to chumps, that's what they would do.  just sayin.

Cloud mining on PBMining has worked well for me
- 0.0089BTC/GHs. price adjusted at difficulty changes
- Weekly payouts
- Good customer service
- Refferal program

5 Year Mining Contracts at PBMining: 0.0089 BTC/GHs!