Posts Tagged ‘ZeusHash’

ZeusHash May Stop Offering Cloud Mining Services

15, Jan 2015

zeushash-bitcoin-cloud-mining-warning

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.

ZeusHash Scrypt Cloud Mining Situation Still Not Good

27, Dec 2014

zeushash-christmas-website

We have apparently reached the 10 consecutive day moment with the mined Litecoins being lower than what the maintenance fee for the Scrypt hashrate at the ZeusHash cloud mining service. The 10 day period has been extended with extra 5 days to see if the negative trend will chance, though this currently seems not very likely to happen with the exchange rate of LTC still going down even though the network difficulty is fluctuating. After the extra 5 days end unless we see some improvement and the Scrypt cloud hashrate starts making profit again the mining hashrate will be taken offline, but the MHS that have been purchased will remain in the user’s accounts and the mining might be resumed again next year if SCrypt cloud mining becomes profitable again. Below is the quote of the announcement that ZeusHash has sent to the users of the service regarding the situation:

Dear miners, we are sorry to inform you the daily payouts of your MHS contracts have been lower than maintenance fees for 10 consecutive days. As we negotiated with our partners, we will wait for another 5 days to see if there’s any change in the current situation. If it continues for another 5 days, we have to shut down all the miners. But we won’t cancel your accounts and your MHS will be freezed there. We will try to introduce more advanced miners and MHS contracts in the coming New Year for more of your profits.

Do Not Buy Scrypt Cloud Mining Hashrate at ZeusHash

24, Dec 2014

zeushash-scrypt-not-profitable

A few days ago we have warned you that ZeusHash May Start Terminating Scrypt Cloud Mining Contracts due to the fact that the value of the mined coins is lower than what you need to pay as a daily maintenance fee. According to the terms of the Scrypt cloud mining contracts if this continues for 10 consecutive days your “lifetime” Scrypt cloud mining contract may be terminated. This has been continuing for the last 7 days, so only 3 more are left before ZeusHash starts terminating existing contracts if the trend continues. The problem is that ZeusHash still sells Scrypt cloud mining hashrate to users, even though they are aware of the situation and the high probability that even if you buy now not only you will not be earning anything back at the moment, but in 10 days your new contract may be terminated as per the conditions of the service you have agreed with. So stay away from the Scrypt cloud mining offers from ZeusHash for the moment and you might want to be careful with other services for mining Litecoin. The reason for the recent development and the fact that Scrypt cloud mining at ZeusHash is not profitable anymore is the low exchange rate of Litecoin and the high maintenance fees that the service has for LTC. Do note that if this trend continues other services that offer “lifetime” Scrypt cloud mining hashrate might be affected as well and start terminating their contracts. So at the moment and current market conditions it is wise not to think about investing in Scrypt cloud mining hashrate at all and most definitely stay away from ZeusHash Scrypt cloud mining. The recent drop in the Litecoin network hashrate and difficulty did not help in making the situation better…


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