Cloud Mining Question | Bitcointalksearch.org

Mabsark

legendary

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Quote from: Sam the Man on January 13, 2015, 10:09:10 PM

I'm changing all the time with what I use and what I do

I have just started on here now

http://minethatcloud.com/

Seems pretty good and the people seem to know what they are doing

It's really hard to know where to stay and go so I always just look for deals that are the most suitable, I would'nt wanna stay to long on one place but I know alot of people
do, It depends really on how much hash I want to buy.

Until they provide some evidence of legitimacy, they're just another ponzi, as is cloudminr.io too by the way. With Cex.IO halting mining the other day and Hashnest halting mining today, AMHash and Bit-x are the only legitimate bitcoin cloud mining services left. There are also a few hosted services like KNC Cloud which offer fixed length contracts for say 6 months or a year.

As for why companies would offer cloud mining instead of just self mininig, they make a guaranteed profit up front instead of having that profit spread out over a period of time. For manufacturers services like AMHash, Bit-x and Hashnest, it's not really any different than selling miners.

tmfp

legendary

Activity: 1932

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"Common rogue from Russia with a bare ass."

There are two types of cloud miners looking for business, those that mine and those that say they mine.
Puppet has an informative thread which attempts to analyse which category any scheme is likely to fit into.

https://bitcointalksearch.org/topic/cloudmining-101-ponzi-risk-assessment-878387

From a quick look, I'd say that http://minethatcloud.com/ doesn't do too well on his scoring system.

With the current BTC price/difficulty circumstances, I'd say that if XBTC/Ghs price is a level at which a genuine miner would be able to sell mining contracts and stay viable, then any offers below that level should be looked at with suspicion.
The difficulty is establishing what X is, especially given that the only significant variable is cost of electricity and maintenance.

picolo

hero member

Activity: 1022

Merit: 500

Quote from: BTCXE on December 30, 2014, 11:20:14 AM

Quote from: finlon on December 30, 2014, 10:59:12 AM

Even after the price being low, I see some sites say that it will be profitable and a positive ROI will be earned in 5-6 months.
Is that true?

I would say yes, but take that with a grain of salt. The actual earnings depend from way too many volatile factors (mining rate, difficulty, BTC price) to tell for sure how much ROI will be made. My sources and experience tells me that 70-150% ROI is possible, however IMHO the biggest problem is you just cant tell what your earnings are gonna be worth, you can only tell for certain you will have SOME Bitcoin earnings.

I would say you aren't guaranteed profit in your first 3 months, but you are guaranteed a stream of revenue in BTC which, provided major unfavorable changes in those aforementioned volatile factors don't occur, should turn you a profit. If you think BTC will be worth 50$ in a years time, dont waste your time. If you want to steadily generate bitcoin and believe that the price will stay the same or increase, then it can be profitable

Yes, and you have many risks involve because you are trusting others with your money but if you chose the correct mining company, you pay a relative low price and they charge low maintenance fees, you should ROI nicely within 3-4 months if the difficulty doesn't go up a lot more than expected.

Sam the Man

newbie

Activity: 28

Merit: 0

I'm changing all the time with what I use and what I do

I have just started on here now

http://minethatcloud.com/

Seems pretty good and the people seem to know what they are doing

It's really hard to know where to stay and go so I always just look for deals that are the most suitable, I would'nt wanna stay to long on one place but I know alot of people
do, It depends really on how much hash I want to buy.

dsly

full member

Activity: 168

Merit: 100

Quote from: finlon on December 30, 2014, 10:59:12 AM

Even after the price being low, I see some sites say that it will be profitable and a positive ROI will be earned in 5-6 months.
Is that true?

Most cloudmining sites(if legit) can guarantee profits in the next one year . But it would be uncertain after that, as the difficulty might change.
Even when the halving occurs in 2016 , it might be a whole different scenario, and we might have different miners by then.

BTCXE

member

Activity: 69

Merit: 10

Quote from: finlon on December 30, 2014, 10:59:12 AM

Even after the price being low, I see some sites say that it will be profitable and a positive ROI will be earned in 5-6 months.
Is that true?

I would say yes, but take that with a grain of salt. The actual earnings depend from way too many volatile factors (mining rate, difficulty, BTC price) to tell for sure how much ROI will be made. My sources and experience tells me that 70-150% ROI is possible, however IMHO the biggest problem is you just cant tell what your earnings are gonna be worth, you can only tell for certain you will have SOME Bitcoin earnings.

I would say you aren't guaranteed profit in your first 3 months, but you are guaranteed a stream of revenue in BTC which, provided major unfavorable changes in those aforementioned volatile factors don't occur, should turn you a profit. If you think BTC will be worth 50$ in a years time, dont waste your time. If you want to steadily generate bitcoin and believe that the price will stay the same or increase, then it can be profitable

finlon

sr. member

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Even after the price being low, I see some sites say that it will be profitable and a positive ROI will be earned in 5-6 months.
Is that true?

BTCXE

member

Activity: 69

Merit: 10

IMO with cloudmining, you'll make a profit once BTC price goes over 500$ or so, if not you're unlikely to make a loss (at the current rate) but the earnings will be marginal.

Also, be wary of fake sites and pyramid schemes. Cloudmining seems like a service designed by Ponzi gods themselves. Here's a useful link on how to avoid scams:

https://bitcointalksearch.org/topic/m.9697654

on a slightly different note, check out Hashcoins.com in the New Year. They are a reputable mining & hardware company in my town (Tallinn) and I have some insider info that they will be launching a cloudmining service in early January, with some sweet incentives for early customers. If you want I can connect you with them, or just keep an eye on their website

ranochigo

legendary

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Crypto Swap Exchange

Quote from: picolo on December 30, 2014, 07:52:58 AM

Quote from: dsly on December 30, 2014, 04:22:45 AM

Quote from: picolo on December 29, 2014, 01:24:55 PM

Quote from: mindrust on December 29, 2014, 10:34:13 AM

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

cex.io profits because they have a huge maintenance costs. Cloud mining services that are small and smart can still profit because they keep the costs very low.

I think like rano said, being small is more hard to survive, unless they have big amounts of gears.
It would probably become expensive for them.

If you are small you have lower costs, it could just be a handful of people with no salaries or taxes to pay and a very small rent

The small rent part is incorrect. You have to rent a space at a datacenter which would not be cheap, considering the power usage. I doubt much people would be willing to be there manage the ASICs with no salary. Also, website design, ddos protection and hosting is not cheap.

picolo

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Quote from: dsly on December 30, 2014, 04:22:45 AM

Quote from: picolo on December 29, 2014, 01:24:55 PM

Quote from: mindrust on December 29, 2014, 10:34:13 AM

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

cex.io profits because they have a huge maintenance costs. Cloud mining services that are small and smart can still profit because they keep the costs very low.

I think like rano said, being small is more hard to survive, unless they have big amounts of gears.
It would probably become expensive for them.

If you are small you have lower costs, it could just be a handful of people with no salaries or taxes to pay and a very small rent

activebiz

hero member

Activity: 518

Merit: 500

cloud mining contracts are all not profitable. u need around 1000gh/s per day to make 0.01btc daily.
at current prices you have trust the company to stay in operation about 150days to be in profit.

dsly

full member

Activity: 168

Merit: 100

Quote from: picolo on December 29, 2014, 01:24:55 PM

Quote from: mindrust on December 29, 2014, 10:34:13 AM

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

cex.io profits because they have a huge maintenance costs. Cloud mining services that are small and smart can still profit because they keep the costs very low.

I think like rano said, being small is more hard to survive, unless they have big amounts of gears.
It would probably become expensive for them.

ranochigo

legendary

Activity: 3038

Merit: 4418

Crypto Swap Exchange

Quote from: MP3030 on December 29, 2014, 02:59:39 PM

Yes im new to mining as well, and was doing some research on cloud miners. On the site it looks very profitable, but like what was posted above some sites stopped taking new clients or just disappeared meaning there is no way to contact them, or the site has errors in certain places. I want to really test it out to see how it works, but im really interested in building my own cloud mining service as well. I just need to see how it works.

Cloudmining should NOT be profitable. You are either having calculation errors or the site is trying to scam you. If cloudmining is profitable, why would they rent it to people to make a profit? Creating a legit cloudmining service requires alot and alot of funds. You would have to get alot of ASICs, have money for datacenter rent since you cant run it at home. It isnt easy managing hundreds or thousands of mining hardware.

MP3030

newbie

Activity: 1

Merit: 0

Yes im new to mining as well, and was doing some research on cloud miners. On the site it looks very profitable, but like what was posted above some sites stopped taking new clients or just disappeared meaning there is no way to contact them, or the site has errors in certain places. I want to really test it out to see how it works, but im really interested in building my own cloud mining service as well. I just need to see how it works.

picolo

hero member

Activity: 1022

Merit: 500

Quote from: mindrust on December 29, 2014, 10:34:13 AM

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

cex.io profits because they have a huge maintenance costs. Cloud mining services that are small and smart can still profit because they keep the costs very low.

enryk

full member

Activity: 168

Merit: 100

GreenCoin

Quote from: mindrust on December 29, 2014, 10:34:13 AM

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

I think if the site is legit, then it would still be profitable, however now to be profitable you would have to spend more time to get a higher ROI.

mindrust

legendary

Activity: 3276

Merit: 2442

Cloudmining used to be very profitable when the btc price was 600$ or more.

Now Btc price ~300-320$, Cloudmining services having hard time... Probably most of the site owners even cant profit anymore.

picolo

hero member

Activity: 1022

Merit: 500

Quote from: enryk on December 29, 2014, 09:54:35 AM

Quote from: btcremix on December 28, 2014, 08:46:30 PM

be very careful. For the last two days few services just "disappeared"..

Can you add details about sites that disappreared? I heard only about pbmining that happened a few days back, but nothing in the last 2 days.

pbmining is still here but they pay 1/10th of the expected mining revenue.
Cloudmining can be very profitable for the cloud mining company and the clients if it done right.

enryk

full member

Activity: 168

Merit: 100

GreenCoin

Quote from: btcremix on December 28, 2014, 08:46:30 PM

be very careful. For the last two days few services just "disappeared"..

Can you add details about sites that disappreared? I heard only about pbmining that happened a few days back, but nothing in the last 2 days.

btcremix

newbie

Activity: 28

Merit: 0

be very careful. For the last two days few services just "disappeared"..

Topic: Cloud Mining Question (Read 1275 times)