Quote from: BitcoinJacob on December 16, 2016, 02:22:56 AM

Quote from: merelcoin on December 15, 2016, 02:24:44 PM

It might just have been that the pool got lucky the first time you tried, and hit a couple of blocks the first time, and the second time (when you bought a lot more hashpower) they got unlucky and hit less blocks.

Mining is all about longterm averages, especially on older, well-established coins and pools.

Thank you for your answer. I was wondering if anyone would respond.

--Jacob

This subforum is a bit quiter than the rest of bitcointalk Wink

Anyway, as a general rule, be carefull when buying hashrate online. There are honest companies that sell hashrate, but try to imagine the following imaginary situation:

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You are the proud owner of 11 Alchemist 96Mhs ASICs, producing about 1000 Mh (= 1Gh/s scrypt).
https://bitcointalk.org/index.php?topic=1206400.0 teaches us that this beast theoretically consumes 900W, so let's take 10Kwu power consumption per hour for our 11 miners producing 1 Gh/s.

Since you have a mining farm, i guess you're in a country with very good electricity rates, or you have a really good deal, so you only pay 4 cents/Kwu

I used coinwarz to see what you would make running this farm:
http://www.coinwarz.com/miningprofitability/litecoin/?hr=1000000&p=10000.00&pc=0.04&hrn=300.00&pn=420.00&pcn=0.1000&e=CEX.io
You would make $37/day, after your electricity costs you could keep $28/day. Offcourse, you still had to make the investment of buying 11 alcheminers, cooling, electricity, a controller, network switches, shelves,... and it'll take you at least an hour a day maintaining everything.

Now my question: knowing that you'll only make $37 a day, would you EVER rent out this gear for less than $37... Offcourse you wouldn't... If you would rent out this equipment, you would ask at least $40/day.

When I would rent out your machines, and pay $40/day, you would already know that, on average, i could only make $37/day, so i would lose $3/day renting out your machines (on average).

---END IMAGINARY SITUATION---

Now, does this mean you cannot make a profit renting out hashrate? Sure you can, but only if you find a seller who doesn't really care about following the difficulty of scrypt coins, or maybe if you could instamine a new coin, or maybe if you're really, really lucky with solomining. But in general, on average, you'll lose money with renting out hashrate.

Oh yeah, also, be very carefull with cloud mining companies... Those ones are usually a scam. Stick with the well known P2P hashrate renting sites. I personally had some good experience with miningrigrentals in the past (about 1.5 years ago, i used to sell some hashrate via them, i stopped doing it since, because my power price rose to much).