I am pretty new to bitcoin and have basically been using faucet sites to get started.
I know faucets are slow and labourious but at least they are giving me an insite into how bitcoin works
Cloud mining is something that i am seeing advertised a lot.
People will say it is a scam
Some people will say it is not a scam I know that
I would just like everyones opinion on it if that is ok
So is cloud mining a scam yes or no
Reasons why appreciated
Many Thanks
No it's not scam. It's pretty clear bussines model that works but was misused multipletimes to scam people.
I think it was around 2015 when a big boom in cloudmining started and so many doubtful cloudmining services appeared (most of them was just ponzi schemes). Lot of people fell in and got robbed. Thus marked all cloudminings as scam.
This would never happen if people would investigate a bit more.
Two big red flags are: affiliate system and free hashes to start. Once you these two it's 99.9% scam.
Secondly you should investigate whether the company is actually mining. Anybody can claim he is mining but unless proves it you cant trust him.
Hasnest, BW and bixin (those are the only cloudmining I trust) are really mining BTC ( you can check it using any chain explorer).
Moreover hashnest and BW are ASIC manufacturers (which makes me sure there is no scam attempt at all).