Topic: Genesis mining just collapse? (Read 427 times)

Investing in cloud mining is a very risky business and one has to becareful and also has the mind to face the risk before going into it. If the whole genesis mining will collapse then you should see why others are not safe. I can imagine how much investors will lose if this turned out to be truth and how this is going to affect their views on cryptocurrencies and blockchain technology!

Im with genesisi mining since they started and they always paid me on time.
are u a member of GM or u are here just to troll and raise posts counts ?

do a better research if u really want to know about gm , or keep trolling with no proofs

Just want to ask from someone who has invested in genesis mining rather than speculate from others who have never invested, it's a good information. May I ask other questions?
It's almost 2 years, how long it takes for your contract to reach ROI at that time? Whether everything goes well regarding the payment or some payments ever missed/lost? The last thing, it's such a secret, do you have a contract more than 15 Th?
Thanks for sharing this with us.

These are the stats of my first Bitcoin Contract on Genesis Mining
Order Date:
2016-04-27 16:12:44
Contract Start Date:
2016-04-27
End Date:
 ∞


this brings you what ?



regards

Yep. The 2 reasons they give really don't prove anything.

They may have a mining center that has been on camera that they exhibit to the public. But with their services being ever expanding and the amount of contracts they are signing expanding, there is a high likelihood of them running a fractional reserve with their miners.

Plus, you have no way of verifying that you are getting paid what they're actually getting paid from their mining pool, since they do not audit that data ever.

Genesis mining seems to be suspended in one US state only, and has not collapsed yet. But the risk is always there and I won't invest my money into Genesis Mining for sure.

All cloud mining companies are very risky investments. Depend on trust, because as a business, they do not have so many guarantees about their services. They are very close to ponzi schemes. Even in mining companies that own large farms it is much more lucrative to leverage what they receive and create a ponzi scheme than to have a legitimate business. Ponzi sold stamps until he realized that nobody was interested in the business to the point of investigating how it worked if the profit was exorbitant.

May I ask, how long you have been invested on genesis mining?

Like I said, 90% is just unrealistic speculation.
Most people? Like 90% you have mentioned? Lol
I always read over and over again on genesis twitter account where people complaint about their payment reduced or missing, but on the other hand, many people ask for new contract as well, genesis can't just open a new contact without new ASICs or GPUs, it's a positive sign that they provide the services it offers fairly. And most people who didn't reach ROI at all due to they have a low hashrate that can't even generate enough bitcoin as the difficulty keep increasing these days.
Honestly, I want to buy a contract but seems like it's too late now.
I have some friends who have bitcoin contract on genesis mining (over 20,000 GH/s) and they have reached ROI less than 6 months because of bitcoin price spike to $19,000 few months ago.
Look, it's not a speculation, it's a proof based on people who really involved.



Honestly, I want to buy a contract but seems like it's too late now, but I have some friends who have bitcoin contract on genesis mining (over 20,000 GH/s) and they can reach ROI less than 6 months because of bitcoin price spike to $19,000 few months ago.
Look, it's not a speculation, it's a proof based on people who really involved. Yes, my friends still gaining profits until today.
If you never invest on genesis or at least has a friend who did, than you don't know about it.

I don't talk about cloud mining in general, it just my point of view on genesis mining.


have mentioned above, genesis can't just open a new contract without new ASICs or GPUs, and genesis have some rules about their mining contracts.
I don't think any miner want to reveal their mining addresses, I don't know either, but you can figure it out if you have a friend who get payment from genesis.


I don't think genesis mining is a Ponzi scheme.
You can check their twitter, their youtube channel, some YouTubers who ever visited genesis mining farm on Iceland, and so on.

You getting your payment has nothing to do with that. They just won't be able to serve people in South Carolina anymore, and that's really it. If we have to believe them, their main operations are being carried out in Iceland.

As long as that is the case, people will keep getting paid, and that's obviously assuming they actually run a large mining farm, which I highly doubt. They might be mining, but not on the scale they want people to believe.

It would be nice to see other states follow South Carolina as well, because that would really decrease the overall reach of genesis mining. If later turns out that they can't offer contracts anymore, their real face will be revealed.

If they are actually mining, they can just continue doing so for themselves, but in case it actually turns out to be a scam, which a lot people believe, they will shut down their entire service and just leave with millions in the bank.

Legally speaking, not much will form an obstacle if you read through their terms.

i just got payed for my bitcoin contracts on genesis minigs !
so they still operating they just moved there farms away from usa .....



regards

On general means we do really know that cloud mining investment wont really be a good thing specially for long term profits thinking off that they do have already the duration.Genesis isn't dead yet since its still operational.They do some recent issues towards US which I do see they do really deserve such thing.Sooner or later its expected or somehow anticipated that these cloud mining businesses would really collapse if there were no more investors,thinking off that mining difficulty continuously to rise up.

Cloudmining has always been a scam there is no way for it to produce profits over the long term, but people do not want to listen, so I do not know if Genesis mining is going to last for a long time that will depend if they can keep getting people to invest their money with them, what I know is that is a terrible idea to invest your money there, if you want to mine then get some equipment and if you don't want to bother with that then just buy bitcoin or whatever coin you want.

No confirmed report of it going under. Yet.

I do think that it's suffering from some regulation, which is good to see. But it's only from the state of South Carolina that their regulatory pressures have been coming from, and nowhere else have shown any tendency to regulate cloud mining yet.

I think this will change in the future. And genesis could be hard hit by it. Right now, all the contracts are sold out. IMO it doesn't mean much and i think it's them trying to create artificial demand for themselves.

But regardless of any of this, whether it's going down, Genesis is not a good investment. It could be a ponzi scheme, it could be running on fractional reserve, who knows. And even if it's legit, you're not going to make a profit by investing in it. It's a trick for the noobs.

It may not be 90% exactly, could be more, could be less, but it definitely isn't anywhere near the figures you mentioned. Based on your figures, cloud mining would be somewhat worthwhile, but that's not how the reality is. The reality for most people is that they don't even reach their break-even point as I have said before.


Lol, you are a dreamer. Many people aren't gaining profits at all, but just suffering from their own idiotic investment in cloud mining. That service will remain operational as long as fools decide to invest in it, and that has been going on for years. As long as money flows in, they'll keep mining hot air. If they are as transparent as you say they are, please tell me where they mining addresses are.... People have been looking to know this for years, but no one found out yet.


Look up the definition of a ponzi scheme.

Genesis was a scam since the beginning. Some people may be defending it by giving 2 constantly repeated examples of why they are legit.
1. They have real miners and are mining
2. They are paying

Both of these things aren't worth much if you know how the scam is built. You offer people lifetime contracts, borrow money from them, buy miners, once people are close to ROI you shut the contract down saying it's not profitable, you keep the miner and all the coins from this point.
The only reason why they're still here is that people can't read, do research and count.

Stupidity will only be acknowledged if people end up losing money. If they gain money from doing stupid things, they'll think it's good, and as result will continue with it. Bitconnect just didn't care anymore, because they were quite near the date a lot of the early birds would be able to withdraw their initial investment, and that's obviously something Bitconnect wouldn't allow to happen, which would then confirm people's thoughts, that it is a scam indeed. Genesis Mining doesn't have any of that exposure, and thus are likely to remain 'mining' for plenty of more years. Cloud mining in general is a very strong product. It's almost impossible for services offering cloud contracts to lose, where they legally have made sure they are well protected as well.

Even though they are still operating at this time, I wouldn't be surprised if they'll just stop their "mining" operations because of the cease and desist order handed down to them. If you think about it, this is pretty much the same as what happened to Bitconnect. They also received that kind of order and tried to be business as usual for a couple of days. After that, they just announced out of nowhere that they'll be closing their company. I'm expecting this to happen also to Genesis Mining.

Oh boy, I will be expecting many people to lose their money on this one because of the court order. This will be a bloody one.

If you're talking about genesis mining will terminate 90% contracts before investors reach the break-even point, it's purely unrealistic speculation. You may say 10-30%, but 90%? I don't think so.
Genesis mining has running for around 5 years since 2013, it is the most transparent cloud mining company compared to others, doesn't mean it's the most profitable but many people gaining profits till today, at least they still provide the services it offers.

How about, they pay customers with their own invested money? There is no way we can prove it, but maybe it ever happen if mining business doesn't go so well and bitcoin price falls down but the difficulty keeps increasing.

Since too many companies and ICOs going on the market these days, want to enter the mining business, the difficulty will increase even higher and it may not so profitable if you want to buy a little but hashrate on cloud mining.

Hmm wonder why exactly. They gamble big on crypto always going up and it didn't happen? Seems like the big miners, of all the miners, should be able to turn a profit.

I had a few bitconnect coins myself and it was stress-fully waking up to all the scam alerts, too bad i was tied up in their coins locking strategy, just $300 - how i wish i had participated in a crypto start-up.

It's a pretty old video showing nothing but a mining farm, where nothing even remotely hints at them actually owning all that, or even a small part. It might very well be that they just host a few miners there, and that's really it. They refuse to publicly show their mining addresses, and that alone is a sign that something shady is going on. If they were really a major party in the mining industry, they would be visible as such, and also have some sort of saying over the process, but nothing of that to see.


The thing with cloud mining is that mining farms who are mining anyway, don't actually pay people out with mining rewards, but they pay people out with their own invested money. For example, if you buy 1 BTC worth of contracts, they will slowly give you back small chunks of that 1 BTC, but not enough in order to be able to walk away with profits. Their terms are set up in such a way, that probably +90% of the people will have their contracts terminated far before they reach their break-even point. In other words, actual mining farms earn their mining rewards + people's investments in cloud mining contracts. It's a win win situation for them.

https://www.youtube.com/watch?v=qDNt9epVIRM
there is no enough info but the video above is kinda a good proof
but the whole concept is shady , like personally if I had mining equipment that making me good money why do I want it to offer them for other customers ??
the only reason that makes sense is that if it's more profitable for me if I let people rent my devices 

How do you know they have an 'actual' source of income? Aside from people's assumptions about them actually operating a mining farm or not, there is nothing that actually proves them to have that source of income. I have been looking for 'their' mining addresses for quite a while now, but thus far I haven't been able to find even one address where their block rewards are being sent to. I may even be of believe that they use people's money to rent mining gear from actual mining farms, but there is nothing that allows me to prove it, just like people can't prove that genesis mining is actually mining with their own gear. It has been subject to discussion for years now....

yeah but difference is that bitconnect is a pure ponzi with no proof of income at all while genesis mining is a shady company but they do actually have a source of income
in general I strongly support the cease and desist cause many fall into the lies of cloud mining , even genesis mining do mine but their rates are a rip off

Same thing was done against a well known company called bitconnect in North Carolina stating it was a  ponzi scheme.

This would be the common word or alibi which "contracts now not profitable" same as you said which would result into pending investment into your account because they can anytime manipulate or adjust that maintenance fee or whatsoever attachments which would really be used into their alibis. Sudden prohibition of US state towards them and other cloud mining sites was just right.

First if you want to invest on mining there is nothing worthy mining site is available. You may get the information like genesis and hashflare seems but I have friends who lost contract account genesis mining itself.
If you want mine some coins first you need to find the best GPU miner and get the details and start with it. Mining with graphic cards would be more profitable. Now the best time to mine all the coins.

It is sustainable as long as fresh capital is being pumped into GM, and GM can profitably mine with the hardware they potentially may have.

GM is an obvious scheme with some potential mining activities, where HashNest is backed by one of the largest mining farms that we currently have. At the end of the day, it's people's fault to invest in something that they can't directly liquidate on that platform to take out whatever is left of the contract value. The only thing these people can hope for is that a delusional being will buy over their account, with the risk of having the original owner claiming back its account. Investing in GM is exactly like throwing your money in the dumpster, where in this case you at least don't give scammers the incentive to continue their illicit practices.

The crypto market offers too much freedom currently, and that will drastically change in the forthcoming years. I am fairly sure that within 5 years, all these shitty services will be outlawed if they aren't willing to register themselves properly, and obviously, they won't, and that I am very happy with. Less scum services means less victims, even if they on purposely invest in obvious schemes.

For clarification it only looks like they have received the ban from South Carolina. "March 9th Genesis Mining was ordered to immediately cease and desist offering unregistered securities in South Carolina." Genesis Mining, Ltd. is permanently barred from participating in any aspect of the securities industry in or from the State of South Carolina.

However, it should be noted that the securities laws on South Carolina are hardly different than any other state in the United States. It should be interesting to see how this plays out.

As per

Don't make the erroneous assumption that, because people who buy cloud mining contracts from Genesis find ROI difficult to achieve, that therefore Genesis aren't making money themselves or that pure mining is unprofitable.
That's the whole point; Genesis' business model is

1) Sell mining contracts to provide capital to buy mining equipment
2) Mine
3) Keep majority of profit
4) Throw a bit of dust to investors


They never had hardware in that State. Read what the situation actually is, why not.


or this thread

https://bitcointalksearch.org/topic/cease-and-desist-order-on-genesis-mining-in-south-carolina-3114931

Genesis and every other cloud mining are businesses that are not profitable. No one has ever made ROI with them except the ones that joined in the early days. Later Genesis kept the same scheme for cheating people, they paid correctly for a few months and then because of electricity , network difficulty and maintenance cost they shut down your miner.

Genesis collapsing for real will be soon , as this kind of business is not sustainable. Here you are doomed , you cannot sell your power like in Hashnest to limit the damage.

Cloud mining contracts and company themselves are quite unstable because of their unstable business model and lack of transparency.

Legal pressure around ICO, mining are also growing and this is one early example of legal threat to cyrpto mining. With the recent shutdown of bitconnect which is just another story, government are looking seriously at other cloud mining business which are offering profit over virtual mining like genesis mining.

Genesis mining is still running but I don't have and will never have any investment there, so even if GM goes off I will not be surprised.

It would take a lot more than that to collapse Genesis. It's literally a giant corporation with so much hardware and finances to back them up. As user above says, they were asked to stop in one US state, doesn't mean they can't just pack up their mining rigs and ship them off elsewhere. Sure, they'll lose some profits for a few weeks at most, but trust me, they are going to find a way to get back to profitability. Worse still, they will likely pass the losses on to their customers by suddenly saying "contracts now not profitable". In fact, that's the easy way out. Just see what happens with all these cloud mining scams.

I wouldn't call it "collapse", but they just recently received a cease-and-desist order.

More about it here: Crypto Miner Genesis Hit With Cease-and-Desist Order
or here: South Carolina Wants To Ban Genesis Mining Over Unregistered Securities

I heard on a gambling website when someone on their chat room from a person who has been telling of the formations of bitcoin's ups and downs announced that genesis mining went under.
Any truth to this speculation statement?

I am not with them so can not log in to an account to verify this is true.
From what they tell their customers in a news announcement usually when you log into the site.