Post
Topic
Board Development & Technical Discussion
Topic OP
Trustless cloud mining
by
miner2251
on 16/01/2021, 16:25:30 UTC
For now, there are many services that offer cloud mining. The scheme used here is as follows: at first, you deposit coins to some website and then they are showing you some growing numbers. You can withdraw funds after reaching some value, you can also stick with some free plan or purchase some paid option, that will speed up your mining, depending on this item's price.

The problem with this type of sites is that most of them are just scams, you can deposit some coins, you can even withdraw them for a few months, but then, suddenly the whole website can disappear and reappear under completely new address.

It seems that blockchain also provide solution for this type of service. Instead of depositing coins to some cloud mining address, you can send them to some 2-of-2 multisig. Then, they can make sure that funds are really deposited, but at the same time you can make sure they just don't run away with your coins. And then, they can show you some growing numbers, allowing also some purchases of mining equipment or withdrawing coins.

If you decide to withdraw some of them, you can just create a new transaction spending coins from the multisig input and all they have to do is just signing it. More than that: if they want to gain your trust and show a good will, they can periodically create a transaction that allow you to withdraw all already mined coins and they can sign it.