All About BTC, LTC, ETH mining as well as other alternative crypto currencies
The cloud mining service Genesis Mining has announced an interesting options to its users that have purchased Scrypt cloud mining hashrate – an option to transfer the Scrypt hashrate into SHA256D hashrate. With the current low Litecoin exchange rate and the high network difficulty a lot of services offering Scrypt cloud mining are close to being unprofitable resulting the in the cancellation of these contracts. While the Scrypt cloud mining hashrate at Genesis Mining is still bringing some prfoit, though not much, the service has decided to offer users the ability to convert their Scrypt hashrate to SHA-256 hashrate. So you can turn 1 MHS into 1 GHS, something that may not seem like a very good offer considering how much you had to pay for for 1 MHS as compared to 1 GHS, but with the current low profitability for Litecoin on the longer term it might not be so bad with the chances that soon your Scrypt mining contract might be terminated if it becomes unprofitable and this trend lasts for 20 consecutive days.
There is a bit of catch though, you have only 3 days from now to make your decision if you want to make the switch from Scrypt to SHA-256 cloud mining hashrate at a rate of 1 MHS for 1 GHS. After that this offer will most likely not be available and it is up to you to decide if you should take it or not as there is still a chance that Litecoin may recover and become viable to mine it again. The only thing you need to do is login to your account and click on the Transfer Hashpower button in your contro panel. A word of warning though, clicking on the button will immediately transfer the Scrypt to SHA-256 hashrate, there will be no confirmation required and you will not be able to reverse your decision. So make sure you carefully decide if you should take up on that offer or not.
While some cloud mining companies are terminating their contracts or are in the verge of doing leaving many not very happy customers, others like Genesis Mining are apparently here to stay. They have just announced new lower prices for the Bitcoin cloud mining hashrate that they offer along with lower maintenance fees for the existing and new customers. The new prices are as follows: 50 GHS are available for $24.49 USD ($0.49 per GH/s), 1000 GHS for $469 USD ($0.47 per GH/s) and 15000 GHS for $6750 USD ($0.45 per GH/s) this is down about 30% from the old prices. Furthermore the maintenance fee has been lowered from $0.002 USD down to $0.0015 USD per GHS per day, or with other words this should save you 25%. You can also use our special promo code – CryptoMiningBlog5 that will give you an extra 5% discount on every purchase at Genesis Mining to get even better prices.
Earlier this month Zeushash has stopped all Scrypt cloud mining contracts due to the maintenance fees exceeding the mined coins for a long period of time. Today the service has warned its user that the same can happen with their Bitcoin cloud mining contracts as well. This is a direct result from the low Bitcoin price that was observed lately along with the relatively high maintenance fees of the service. As per the contract terms the Bitcoin cloud mining contracts can be stopped if the fees are higher than the profit for a period of 10 days. If this happens, though not seeming that likely today as the Bitcoin price has been recovering a bit, it would essentially mean that the ZeusHash platform will not be offering anything to the tens of thousand customers it claims to have. ZeusHash still sells GHS cloud mining hashrate, though they are warning users not to purchase any hashrate for the moment. If they stop offering Bitcoin cloud mining after they stopped with Scrypt, then this would essentially mean that the service will have nothing to offer to its customers.
At the moment it seems that other cloud mining services may start having trouble with the profitability, so they either need to optimize their operations or there is a chance they may get out of business. Most of the cloud mining services offering “Lifetime” cloud mining contracts do come with a term that if the maintenance fees exceed the profit made from the mined coins these contracts can be terminated. So as a result the user interest in cloud mining services has decreased quite a bit lately, the same goes for the purchase of ASIC mining hardware and even building GPU mining farms. There is however a chance that this not so favorable situation at the moment may actually end up helping the whole crypto currency ecosystem by helping normalize things after the very rapid growth that we have observed in the past year… we’ll have to wait and see.