If you have decided to mine Bitcoin or other cryptocurrencies in a legit way, without hardware and quickly, you will have to rely on security services. Website: http://bit.ly/cryptolx
The main problem with this type of investment is to make a good decision about choosing a reliable site.
If we take one single look at the crypto world today, we’ll quickly notice that cloud mining is a really hot topic within certain cryptocurrency mining circles. Progressively more and more people want to know various things about cloud mining – how it works, who are the service providers, what are the costs, etc. Naturally, a lot of people gravitate towards free cloud mining, for it seems to be the most attractive option out there.
In this tutorial, we’re gonna talk about all things related to cloud mining. We’ll cover both the basic definitions and the more in-depth stuff. Along the way, I’ll give you some examples of the best cloud mining providers out there, both paid and free.
Since the debate of which one is better – paid or free cloud mining – seems to be an ongoing issue, I’ll also talk about some of the pros and cons that both of those options posses.
What is Cloud Mining?
To develop a full-circle type of conversation and understanding, let’s take it from the top and define cloud mining.
Cloud mining is usually defined simply as a remote cryptocurrency mining service. This service is provided by hosts (people who own and sell the cloud mining service) who have farms (huge collections of mining rigs, usually held in big, designated facilities).
The hosts are usually big corporations that specialize in cloud mining. These corporations buy excessive amounts of mining rig hardware (GPUs, motherboards, processors, etc.) and build hundreds of rigs. Naturally, they are located in respectively sized buildings – huge garages, warehouses and so on. The type of building doesn’t matter – the only conditions are cheap electricity bills and good cooling and air conditioning.
Cloud mining is becoming more and more popular for a couple of reasons.
First of all, it’s very accessible. The average person usually hasn’t got a lot of space or resources required for a successful mining operation. However, with the help of cloud mining, almost everyone can “have” their designated mining rigs that produce revenue over time.
Another popular reason is the cost (or a lack of one). Sure, you could pay someone for their hosting services. However, free cloud mining is also a thing – with this option, you eliminate any possible spendings. Many people don’t have thousands of dollars to spend on their rigs and their maintenance. In such scenarios, free cloud mining becomes a very tempting option.
Paid Cloud Mining vs Free Cloud Mining
Since Bitcoin seems to be the most popular cryptocurrency of choice when it comes to cloud mining, that’s the coin I’ll be using and referring to from this point onwards.
The debate about which one of the two (paid and free cloud mining) is better and more worthwhile is an ongoing topic in the crypto community. While there are arguments that the more you play – the more you earn, free cloud miners emphasize the lack of initial payment as the outweighing factor. Let’s take a closer look at these two types of Bitcoin cloud mining options.
Paid Cloud Mining: Pros and Cons
Paid cloud mining comes in different plans. You, as the customer, pick a plan that suits you the most (some sites and companies even offer custom plans). Then you simply decide on a timeline, unless one is already given beforehand.
Different types of Bitcoin cloud mining plans offer different hash rates. A hash rate is simply the indicator of how powerful the rig is or, in other words, how much Bitcoin it can mine at any given point in time.
Paid cloud miners agree that the initial cost for a contract can be somewhat (or very) expensive. However, they do stress that it all depends on what type of hash rate you prefer. The bigger the upfront payment, the faster the hash rate you will receive and, in turn, the sooner you’ll start noticing profitable results.
The ability to create custom plans also plays a big part in this. A custom plan means that you can choose how much you want to pay or how fast you want the rig to mine. Some companies even offer the option to pick the time of your cloud mining process – you might want to mine for a month or two just to see what it’s like, or perhaps even jump into a lifelong contract.
When it comes to the cons of paid cloud mining, the first and obvious one would probably have to be the price. Paid cloud mining tends to get quite expensive. Depending on the amount of money you’ve decided to invest in cloud mining, even the entry plans could seem too expensive to tackle.