The only reason why people will want to mine a cryptocurrency like the Bitcoin is to make profits. However, the truth is that the money which miners will have to spend for buying costly mining hardware and maintaining a mining rig and the high power costs for mining can make mining less profitable than you think. People have been interested in mining the Bitcoin because they have already got a stake in the cryptocurrency mining world. There are some companies in Bitcoin mining which sell hash power to others in exchange for a fee and they want to be in control of the entire mining operation. But whether you mine solo or with a mining pool, there are many risks associated with the mining operation. There are also many risks when you decide to go with Bitcoin cloud mining.
What are the key advantages of choosing Bitcoin cloud mining services?
In Bitcoin cloud mining, the companies will sell hashing power to miners. So, miners can lease the computing power and mining equipment for a fee. In such a type of mining process, the miners will not have to worry about maintaining mining hardware and software, or pay for heavy electricity bills or deal with bandwidth issues. All mining will be done remotely within the cloud. The miners are spared of the regular hassles of maintaining a mining rig such as overheating issues, electricity costs, and installation hassles. Moreover, miners will not have to bear the excruciating noises being emanated from the mining machines round-the-clock. Since machines will not have to work all the time to mine coins, there is no problem of overheating and you will not have to handle ventilation issues. You will also not have to be bothered about selling off hardware once these are no more profitable.
What should you be careful of when choosing Bitcoin cloud mining contracts?
Strange as it may sound, Bitcoin cloud mining can actually be hazardous if you are careless. There are many illegal mining services which offer scam contracts. These companies shut down their operations suddenly and fail to return you profits on investment. So, you must check for their reputations well before you sign on a contract.
Sometimes the cloud mining companies cannot make enough profits to handle their expenses and they stop their operations. This is a problem for miners because as miners who have chosen cloud mining, they do not own the hardware and software. Besides, they do not have the power to change this hardware or software.
At times the cloud mining company may not be mining anything at all. They can instead simply calculate your payouts depending on the difficulty levels and offer that to you. It may also mine merge other digital currencies and refuse to share those profits with miners. Finally, the company can even shut down its operations completely before the contract is over.
The best way to be sure you do not end up getting cheated is to verify the reputation and check the sites of the prospective cloud mining providers. You can look at their ‘About Us’ sections to get a fair idea about the people behind the company. When this page cannot give you much information it is hard to trust the company in question.
You should also make sure that the provider website shows up within the first few searches in your preferred search engine. Any reliable cloud mining services will have high page rankings. Moreover, the site must have a well-designed interface and you can check for testimonials from both their current and new clients.
The data center will be at the heart of any successful mining operation and a tour of this mining facility can help you decide whether a company is reliable or not. There are many providers that keep their mining farm locations secret, citing security reasons. However, when you cannot even get to know the cities where the mining farms are located, you should take it as a red flag.
Finally, a reliable Bitcoin cloud mining service will focus on deploying robust security arrangements as a lot of money is being dealt with here. There should be concrete steps to prevent the occurrence of DDoS attacks. So, ideally, the company must use two-factor authentications for the wallet. New users should be made to enter a captcha and use strong passwords and genuine email IDs. When these are not insisted upon, it should be taken as a warning that the site is not very secure.
Prices of cloud mining contracts are another factor to consider when choosing a Bitcoin cloud mining One aspect of this price is the fee which miners have to pay to get the hash power and this is either paid regularly or charged a single time. The other aspect is the maintenance fee which will cover power costs and cooling costs for mining equipment. High cloud mining prices do not mean better services.
I was referred to Powerhouse Mining by one of my Wealthy Affiliate friends. The WHOIS results tell me nothing, but the domain was registered from July 7th this year (which isn’t a long time!!).
They don’t give away free hash power which actually is a positive thing. I’ve invested some Bitcoin into it and I’ve chosen ALTCOIN mining to start with but I will diversify in the future.
Shockingly I’ve updated this post since I wrote it. Make sure you are sitting down. But this actually looks genuine. There are quite a few people on Youtube showing investments into this. I have to admit to really swinging from “what the hell is this?” to being satisfied that it’s worth testing out.
Although the site design is pretty unprofessional in its looks the systems behind it seem solid and the openness of the owners to be on live video feeds is reassuring.
Here’s just one video I found on youtube.
Darren has even made his Facebook public plus there is a very active Facebook group.
They are using a combination of bulk buying from cloud companies and their own mining rigs, which is fine, so they have a scalable capacity.
I think the honesty and openness of the videos compared to the scams I’ve seen is very reassuring. So I’ll see how it goes, but as always, BUYER BEWARE. Make your own evaluations! If you invest, do it at your own risk. But at least with this, you can talk to the people running it through Facebook.
There is talk as well of trading investment plans as well in the videos which will be very very interesting.
I have to say it I’m quite excited about this one! BUT invest AT YOUR OWN RISK and do your OWN DUE DILIGENCE. only invest what you can afford to lose.
Update 27th October
The site is offline at the moment as explained in THIS video.
I’ll post an update again when it’s back online! ? If you want to be notified just like our FACEBOOK PAGE and you’ll get notified.
It is so rare to discover something I’m actually excited about. With cryptocurrency, it is SO easy to get scammed. Even things that look legitimate turn out to be scams. I’m getting pretty good at spotting them being that I’ve been doing it for a few years.
I watched the Powerhouse Network Update on youtube last night. Which was very exciting, it was good to see the whole panel discussing the future of the network.
It’s early days yet. I’ve made a small investment of $30 and showing $1.02 profit. Some of this from referrals but mostly from mining altcoins. Note this is more profitable than mining Bitcoins. So if you’re starting with a small investment that’s where to start because it’s more difficult to mine Bitcoins than Altcoins.
They are introducing mid-November or so the Trading Tree which looks very exciting but as I don’t have any more information about that apart from what is in the youtube video.
I will definitely be making a larger investment with Powerhouse.
Mining is nothing but the process of solving blocks or complex mathematical problems by making use of computing powers from specialized mining devices. In mining, user transactions are verified and then added to a blockchain which works like a public ledger. Rewards are given to the miners who have successfully solved the problems and these are the crypto coins. While in the case of Bitcoin, rewards will be in the form of Bitcoins, in Ethereum mining, rewards are in the form of Ether coins. To know whether it is actually profitable to mine Ethereum, it is advisable to check the Ethereum mining profitability beforehand. This is possible when you use online mining profitability calculators.
How is Ethereum mining different compared to Bitcoin mining?
When there was an unprecedented spike in prices of Bitcoin, more and more people started mining this cryptocurrency. But, when they had mined for some time, it was realized that the mining processes had become sluggish and mining hardware required high-end maintenance and lots of electricity. So, the miners were keen to explore alternatives and this is how Ethereum mining came to be.
One of the key differences between Ethereum mining and Bitcoin mining lies in the fact that Bitcoin mining can be done with specialized hardware but Ethereum mining is done using GPUs. The Ethereum network is ASIC resistant and users are therefore not able to use dedicated hardware like in the case of Bitcoins. just like those having higher investment powers can produce superior mining rigs for mining the Bitcoin, similarly those having high-end GPUs can easily install a far more powerful mining rig. It is also possible to mine Ether using traditional CPUs. But this is not too productive and this is why mining with GPUs became more popular.
Ethereum mining is popular as it does not need very high-end costly devices and hardware which can burn a hole in your pocket. In short, Ethereum mining may be practiced at home as well and the energy demands for this mining are found to be lower than that of Bitcoin. Since it is easier to mine Ether, profits are also higher. While you may be expected to make some initial investments, these are much lesser when compared to investments for Bitcoin mining.
To know Ethereum mining profitability, you will need to use online mining calculators. You can enter different inputs in these online tools like hash rates, power consumption costs, hardware expenses, cooling costs, the current Ethereum price, mining difficulty levels etc. For mining, you will need to get specialized Ethereum mining hardware and software, an Ethereum wallet and Ethereum mining pools.
Finding out about Ethereum Mining Profitability:
The Ethereum mining calculator refers to a simple calculating device which can help you understand whether mining Ethereum will generate profit for you or not. It will tell you how many others you can generate through mining using specific hardware. For getting accurate results, you will have to consider electricity costs in the area were the mining rig is installed and the configurations of your mining rig.
It is important to understand that cryptocurrency mining is never an easy decision because miners must take into account all kinds of risks in it before they start out. With mining calculators easily available these days, it is possible for miners to verify the profitability of any cryptocurrency to make plans in advance. While the calculator is undoubtedly an excellent resource for the new miners in the business, it is equally useful for those who are already mining Ethereum. Since cryptocurrencies are dynamic by nature and many factors are constantly changing, like difficulty levels and current market prices, it is necessary to monitor Ethereum mining profitability all the time.
A key factor which can change your fortunes is the Ethereum price. Ethereum is considered to be the second largest cryptocurrency in the world but is prone to market volatility. It seems to be slightly more stable as compared to the Bitcoin which witnesses sharp rises and falls in its price. So, for those who are just starting out in the cryptocurrency mining business, it is crucial to know about this price volatility. When the demands rise for Ether, prices go up and when demands are low, prices automatically fall. But, unlike Bitcoins, Ethereum is not limited in number. This is perhaps why this cryptocurrency is more stable than the Bitcoin.
Among the factors which influence mining profitability of Ether the more common ones are prices of Ether in the market. The higher these prices, the better the profits you can make and when the prices fall, the profits are also lower. Costs of mining hardware will also influence the profitability. Mining is an expensive task and it needs high-end machinery which can cost you a fortune. Besides, power costs must also be taken into account to determine profitability. In mining, a lot of electricity is consumed and this is why countries which can offer low-cost power supplies are attracting miners.
So thanks to Mark who invited me to look at this. It seems strangely familiar.
The domain was bought a year ago from Verisign, but the site has not been up long.
Creation Date: 2016-10-02T16:33:09Z
Ok – Warning bells:-
a. – Genesis and Powerhouse do not give away Free Hashpower. b. -There is no company address or anything more than a website – they don’t even bother having a UK Limited company (which normally tells me it’s dodgy). c. – There are no terms and conditions or about us.
I can almost guarantee this is a scam site. Just because they are so backward at coming forward. I’m always nervous of faceless websites.
I think with this one I’m not going to invest at the moment. I’ve got my free Hashpower and I’ll see if I can’t withdraw a small amount.
If it’s still here in a year, that might be more interesting. But when people don’t want to reveal who they are it’s a no. The site FEELS like Splititminng which had so many fooled, including me.
I have confirmation that Powerhouse Network is Paying!!! Not only that my small account has been earning. I have someone who has just received 0.02 BTC or so out in a payout. There is a lot of excitement about this one – but it is an investment site. You want to put in a good amount of BTC.
There are quite a few developments on the way, and I love the way the owners are constantly on video talking about the progress. Now, ok we had that with others that turned out to be a scam. However, this one is GENUINELY based in the UK.
So I’m happy with this as one of my BTC/Altcoin mines, at the moment I’m mining Altcoins with it.