Quote from: Phildo on June 17, 2015, 09:45:11 PM

Quote from: exoro on June 04, 2015, 10:02:13 PM

I am still a bit skeptical on how great cloud mining is. The biggest part that confuses me is: why are people renting out the space instead of mining for themselves?

I've heard that genesis-mining.com is pretty reputable. To my knowledge, it allows you to buy GH for a one-time price. You get paid as long as what you're mining surpasses their electricity costs.

Is cloud mining even worthwhile? I just don't see how you could make a profit from it. BTW, I'm not looking to make big bucks off mining. I'm just looking to make a few bucks here and there without a huge initial investment.

Part of the reason I am interested in cloud mining is because I'm not too fond of the initial cost of mining hardware(ex. the $500 price of an AntMiner s5).

Any insight would be greatly appreciated.
Thanks!
Grin

You are asking the right questions. Why would people rent out the miners if they were profitable? how could it be a smart move for the cloud mining company and the user? They are passing off all of the risk to you, and even if you make the right end of that bet, and difficulty stops increasing and the miners are profitable, they can fuck you over because they have your money, the miner you paid for, and the coins that were mined.

Why are you interested in mining at all? If the answer is get coins, why not just buy coins? I don't think these cloud mining operations (legit or scamtastic) really support any of the other reasons for mining, so just bite the bullet and buy hardware.

If for some reason you still want to do cloud mining. Make them show you evidence that they are actually mining (because all the ponzi ones will run out of money eventually). They should have an address that has freshly mined coins, and they should pay those to you. They should be able to show you pictures and video of the miners running. The payouts should match reality. pool luck, difficulty changes, hardware breaking down, being replaced, being upgraded should make it so that the payouts are not really consistent.

At this point, I'm giving up on mining altogether. After all the hours of research that I have done, mining just seems to be an arms race of who can get the biggest and baddest hardware. It just doesn't seem sustainable in the long-term.

However, what I have been interested in is Bitcoin trading. It seems pretty easy and doesn't require you to invest a lot of money. I made a couple bucks today when the price of Bitcoin went to $252.