The rapid progress of all technological areas makes mining today more difficult with each passing day. More recently, users successfully mined on their home computer, making a decent profit, but today even some farms or collective pools are unprofitable.
A new era in the field of cryptocurrency mining is gradually coming, called cloud mining. Many users are increasingly considering this option as the most optimal, since it has a number of positive properties.
Let’s take a closer look at the essence of cloud mining, the principles of its functioning, its qualities and, of course, the most suitable services for such profitable activities.
The emergence of cloud mining
Due to many important factors, this particular option for mining some electronic currencies is gaining increasing popularity. The principle of the technique itself is simple. The user does not need to upgrade his PC with expensive items.
It is enough to conclude a temporary contract for the use of computing power belonging to a specialized service. Such companies have data centers (farms) primarily located in countries where the climate is temperate and electricity is inexpensive.
The idea of cloud mining was not realized immediately. At the beginning of the cryptocurrency boom, an ordinary computer consistently generated income. With the development of technological solutions, such a scheme began to become unprofitable. Single miners began to unite into communities (pools) in order to jointly create large hardware capacities for efficient mining.
This option is complex, since it implies strict adherence to some important points (responsibility, synchronization, suitable equipment, good Internet line, etc.). There are many difficulties, so getting a good profit is not guaranteed.
Such obstacles have contributed to the monopolization of the profitable sphere by giant mining farms, which have modern technology that provides enormous computing power. Smaller players had to find new ways to make money. Thanks to these difficulties, cloud mining emerged.
Web services that provide the opportunity to use cloud mining provide users with all the conditions for mining in-demand, popular electronic money without large investments of their own funds.
Nuance! Dash, ethereum, bitcoin, zcash and litecoin are mostly mined in the cloud. Some companies charge a commission percentage to offset their costs associated with servicing equipment and paying for electricity!
The principle of operation of mining-cloud
It’s easy to understand how the whole scheme for mining crypto money works when using cloud mining.
There are four key steps.
1. Initially, the company purchases modern equipment and configures it optimally.
2. Then, a website is created to attract customers. All thematic, useful information is provided in the relevant sections:
– conditions for concluding a contract;
– information about the corporation;
– command structure;
– technical capabilities;
– prices for services;
– instructions, articles, etc.
3. An interested user registers, selects the conditions he needs and rents computing power.
4. If the miner correctly chose the asset to mine, then all parties make a profit.
Nothing complicated.
Positive qualities of cloud mining
The home “cloud” method, compared to the usual option for mining cryptomoney, has undeniable advantages:
– there is no additional load on the home or work electrical network. Electricity is not consumed in parallel with normal consumption:
– equipment, devices, mining programs and other components of the service are already configured. A client registered in the project who has paid any tariff only needs to connect his own PC to the system;
– there is no need to study the intricacies of the process, or to deeply analyze the nuances of the effective use of computer equipment. There is no need to search for profitable fair prices, collect and configure modules for mining;
– there is no noise or overheating in the workplace;
– you don’t have to follow news related to the cryptocurrency market in order to control the production of coins;
– the effect of worry about purchased equipment (breakage, obsolescence, repair, etc.) is eliminated. All these concerns are taken care of by the company with which the contract is concluded;
– an excellent option if the cost of electricity in the country is high;
– immediate start of mining crypto money after paying for the rental capacity. The contractual conditions set by many online cloud-mining services require even new miners to sеlect personally convenient modes and criteria for the agreement;
– unhindered accessibility for users who want to make money on cryptocurrency.
It is beneficial that large investments are not required for cloud mining. You can start with minimal tariffs, and then, under favorable conditions, it is advisable to develop.
These advantages are ideal if the digital asset is chosen correctly. With an optimally positive outcome, where a good rate of crypto assets is assumed, the rental costs will pay off quickly, and then there will be only profit.
Good to know! With virtual currencies from the middle part of the rating, it is usually possible to double your investment in 6–11 months!
Don’t neglect referral programs, which also generate income. Depending on the terms of the service, the user who lured a new client will receive some stable, constant percentage of the income of his referral.
In the second part of the material, which we will post by the end of the week, we will talk about the disadvantages of this approach, including.
