Archive for the ‘Cloud Mining’ Category

Genesis Mining With New Lower Prices and Fees

19, Jan 2015

genesis-mining-new-btc-hashrate-prices

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.

– You can get more information about the cloud mining services offered by Genesis Mining here…

ZeusHash May Stop Offering Cloud Mining Services

15, Jan 2015

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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.

CEX.IO Temporarily Suspends Cloud Mining Services

12, Jan 2015

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CEX.IO has just announced that they are temporarily suspending their Bitcoin cloud mining services at the time of the next difficulty increase. We can’t say we are surprised by that news coming from CEX.IO as the company already had quite high maintenance fees, apparently due to the use of older mining hardware that is not so power efficient anymore. We just did not expect to see one of the largest cloud mining service provider to temporary stop their cloud services due to mining not being profitable anymore, so the platform will continue to operate as a crypto currency exchange. Below is a quote of the official information that they have published on their blog:

Taking into consideration our users’ interests, the recent Bitcoin price drop, as well as the upscaling of the mining difficulty, CEX.IO Bitcoin Exchange would like to announce a temporary suspension of cloud mining services provided by the platform at the time of the next difficulty increase.

According to the 11.5. paragraph of CEX.IO Terms of Use:
“Mining with using User’s Gigahashes can be stopped by CEX.IO if the amount of the Maintenance Cost exceeds rewards for each mined block or if the mining is economically inexpedient.”

Thereby, all GHS formerly purchased by CEX.IO users remain their absolute property, with appropriate figures reflected in users’ profile balance. Additionally users will be able to manually enable mining with Gigahashes by their own choice.

“Suspension of CEX.IO cloud mining service is only a forced temporary measure, the result of cloud mining costs exceeding mining profit,” Jeffrey Smith, Chief Information Officer of CEX.IO. “Currently all cloud mining/maintenance costs are directed to the Hardware provider, hence, we are open for negotiations with additional mining hardware providers, who can offer favourable terms. And, as soon as we get an opportunity to upgrade mining hardware, or come to more efficient terms with energy suppliers, cloud mining process will be automatically resumed.”

Meanwhile, CEX.IO will continue operating as full service exchange platform for trading cryptocurrencies and fiat money.


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