Topic: Warning - investing in cloud mining GHS with cex.io will lose money - page 2. (Read 57804 times)

So no need in trading, won't get much on CEX.IO anyways but maybe not, I dunno, anyway have to have a lot of money so to trade for good!

Let's talk about mining instead, you can just simply buy 1000 GH/s * 0.0052/3.22$ = 3220$ you'll lose 0.26$ (as I remember for maintenance) which will be worth 260$ per month!

Then the funniest thing goes, by using this: https://alloscomp.com/bitcoin/calculator you can calculate & see



Which means that so to get your 3220$ back you'd need approximately 12 months including 0.26$ maintenance fee, so 12 month will be wasted for nothing & only after 12 months you'll start to make some little profit!

3220/547=5.8 months let's take 6

6*260=1560$

3220-1560=1660

If I'm wrong & made some false calculations & so on pls feel free to remark me, I'll be glad!

Otherwise I don't see any sense to use CEX.IO although a team & site are very cool!

I got out at .041...

Fortunately, someone over at Scc saved my buttocks and I've been making a steady average of .5% a day on what I used to have invested at CEX.  TheRue is very good at explaining "Bad Maths" and when you combine the BTC difficulty with the CEX business model and the really poor attitudes of Admin and staff... it was a no brainer to dump what I had at CEX and go to Scc.

It's vaugely like CEX where you buy mining shares and can trade them on the site's exchange.  That's about where the similarity ends though.  Scc has software that analyzes the profitability of the top 40+ Scrypt coins every 60 seconds and actively mines the top 3-5 coins.  The coins are exchanged and you're paid in btc... every 10 minutes. NO MORE LOSING PROFITS TO MAINTENANCE FEES!  Since it's scrypt coins, the blocks come in at several per second so there's never a long, money sucking, wait between blocks.  The variability of scrypt coins and the fact there are multiples of them at any time... increases the profitability for a much longer time than any single coin can provide.  Just Awesome!

Come on by and meet staff that's happy and helpful (What a concept, right?) and a community of people that are helpful and happy as well.  Really a great atmosphere change from the trollbox at CEX. Wow!  Accounts are free at Scrypt.CC?ref=baagt and ref links don't change your profits... they DO help me out in a much needed way and I'm sure you'll love it there!

Any service that is mining a single coin has this same issue.  You can switch to LTC mining operations but the rise in difficulty is still there, just slower than for BTC.  The real money these days?  It's in Multi-Mining Scrypt coins!

Check the boards for other posts of mine... I have a few on here regarding Scrypt.CC?ref=baagt where I'm invested now.  Been tracking their progress in beta the last almost 2 months now.  Week or two more and they'll be ending Beta.  The bummer is that although they'll have the bugs fixed and the new site face up... all the cheaper beta KHS will be gone when that happens.  Doh!

Won't hurt to come check it out... open a free account Scrypt.cc?ref=baagt and then come by an IRC chat some of us have to help answer your questions.  Webchat.freenode.net/?channels=#scrypt.cc.  Most of us have been in chat on Scc for almost 2 months now, so we've been around to talk with Admin the most and pick up the most answers.  Come pick our brains... happy to share!

See you there and...

Keep it Clean!
p.s. Absolutely LOVING IT THERE!

The price of GHS is overpriced and (long term) trending down faster than the mining rewards can compensate.  If you buy, chances are that you won't be able to sell them at a higher price. Only a retard would think that that is a good idea to buy. The only reason that it works is that there are enough fresh retards trying to get in that they push the price up. I hope that if they are thinking of buying GHS they will read this first and do the sums and stay away.

And I will protect cex.io. They do really good job.

And this is my sotry and my own experience:
https://bitcointalksearch.org/topic/mining-with-cexio-or-why-do-i-not-believe-skeptics-378439

PS. I'm still trading on cex.io

Well I'm pointing my 10GH/s rig to their pool and I'm making more with their pool mining than BTCGUILD and Triplemining. And the GH/s that sits in my account while I wait to sell on the market minning for me is like you said interest. Win Win all around... Not sure why more people aren't doing this...

cex.io is like any other investment I agree. The gh/s you have should only be for short term and I view it more of an interest to my coin than a profit maker. Buy and sell to make a profit that is where you make money not mining.

What about the part where the GH/s you purchase goes towards your worker and their pool has 0% in fees... Also the fact that you earn other crypto currencies (NOT just NMC).

The fact that something carries risk doesn't mean it's gambling. Risks can often be estimated and, if necessary, hedged against. Most investments are not at all gambling.

You pay for the right to mining proceeds. You may resell those rights. Just because there's no actual contract involved doesn't make the mechanics of the investment any different from a mining contract.

That's speculating, not investing. The long-term trend on mining contracts is down. The proceeds from mining have to exceed the decrease in price. Will they? No. At best you may be able to offload the contracts to someone who is worse at math than you.

You don't really know what a contract is, do you?

Investing is sort of gambling. 99.9% of investments have some form of a risk and you are willing to to accept that risk (lost), FYI if you actually read anything you would see CEX.IO  IS NOT a mining contracting company. I serves as a pool and trading GH/s. THERE IS NO CONTRACT. I purhcase today at .42 then sold .44 BTC.. That's a one day profit.. Also the .42 that I invested is from the bitcoins I mined on their pool..........

Mining contracts and similar constructs will always be in a declining price-trend. If you're banking on "buy low and sell high", you're betting against the trend and while you may hit some fortunate timings of short-timescale dips and peaks, it is essentially just gambling. Not investing.

My sentiments exactly why don't the haters in this posting understand that... I swear I hate the BTC retards.

CPU cloud mining have fixed price.

The problem is they have a marketplace where they own almost the entire sell side.  An exchange is a meeting place where buyers come to be matched up with sellers, not where a seller dumps their wares for more than they are worth. There is no price discovery here. They sell ONLY because it is more profitable than mining, which they are doing anyways.

I calculate about the same results...    0.0175 BTC/GHS or lower to make $$.   I can only assume that everyone there is holding on hoping for more suckers to enter the market.

I have yet to understand how CEX adds GHS to the market....   I'm guessing they drop it in for a guaranteed profit?

Something smells funny with CEX.IO...

I don't see why it would. It might bounce around a bit but the difficulty is increasing so the return is diminishing.

I have ghs in that site and was wondering it the price would increase in 2014?

I have updated the calculations at the current difficulty. I used 0.068 btc per GHS and 650 US per btc which gave an initial investment of US44.2 the expected return considering reduction was US-33.15 (note i use the expert setting). This means if you spend 1 btc to buy ghs you will probably only ever mine 0.25 btc! To break even the price needs to be 0.0175 btc per GHS. This game of chicken holding GHS to trade is getting ridiculous.

About to increase the Bitcoin mining difficulty so Th/s gonna be the minimum.

The difficulty is set to rise 30% in a few hours but the price is still 0.068 btc/ghs