Homework-Task 5 - Steemit Crypto Academy (@besticofinder ) - Introduction to Cryptocurrency Mining - Part 2
Hello all steemit friends. this is my first homework assignment week 5 which is cloud mining lectured by @besticofinder
I am not an experienced cloud mining person, but I have tried several times. and I want to share my knowledge about cloud mining.
Talking about mining, there are many misunderstandings, mining is only about bitcoin, even though there are many other crytocurrency that can be mined.
Mining or mining is the process of verifying transactions such as bitcoin and adding it to the block on the bitcoin blockchain itself.
Now the miner's job is to solve the dreaded puzzles of block quests and solve certain math problems using their mining equipment.
If they succeed in solving a math problem or a complicated puzzle, they are entitled to a reward or a prize in the form of bitcoin.
There are several ways to mine cryptocurrency.
First is Solo mining, where you need your own hardware, and usually hardware is certainly not cheap.
Now, for those of you who like mining but don't want to be complicated, you can consider cloud mining.
Cloud mining is something that is loved by the crypto and bitcoin community, because cloud mining makes the mining process easier and also less complicated. By using cloud mining, we can avoid the hassle of using our own devices without having to think about the location, electricity costs and the noise of machines that are noisy. So in this case cloud mining is certainly much better. So in this caseBut we also need to be careful in this case that there are so many fake sites under the guise of cloud mining which actually make us not profitable but instead stumped.
Now, for those of you who like mining but don't want to be complicated, you can consider cloud mining.
Cloud mining is something that is loved by the crypto and bitcoin community.
To choose a cloud mining platform, it is not too easy, for now there are two cloud mining platforms that I know are still legit, such as Hashing24 and IQmining. On these platforms we can pay a number of rental fees for the mining equipment they provide, then the mining results can directly enter our account.
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hashing24 is the choice for people who want to try cryptocurrency mining without the fuss, they believe that everyone should be able to experience the benefits of cryptocurrency mining and also get access to the latest technology and industrial-scale data centers easily using a pc or mobile phone.
Then how does it work?
we only need to go to the website hashing24.com then register to get the admission, then you choose to use cloud mining which is based on the hash power.
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IQmining is a platform that provides cloud mining services, as well as forex options and cryptocurrency trading.
IQmining is a smart cloud mining service developed by various cryptocurrency enthusiasts and blockchain experts to provide affordable and most efficient mining services with frequent profit payments for small and large investors.
IQmining offers payouts in bitcoin and ethereum every day, and you can also choose a pro contract to earn 20% interest annually. In addition, you can also choose to reinvest the mining results that you get so that the results will continue to grow so that you are more profitable.
Discussing the advantages and disadvantages of cloud mining depends on whether the platform we are using is legit or not.
so if for example a scam, of course we will not be profitable, because there are so many sites or platforms that have a ponzi theme, which usually they take money that is used by new users to give to old users and themselves after they feel that enough money has been collected, they will square off to take all the money away. so be careful.
The following considerations can be used as a basis for choosing mining outside of your home:
Cloud mining certainly doesn't make the room noisy, there isn't a single rig standing in your house. Everything is controlled remotely with just a computer.
Reducing the electrical load at home, because mining requires large electrical power. So it is not suitable if it is built at home electricity rates.
No need to worry about hardware damage or replacement. Because everything has been provided by cloud mining service providers.
We are free to do activities outside the home without having to think about the conditions of the mining rig. No need to worry about network problems and frequent power cuts.
The advantages of cloud mining are tempting, but it should also be noted that there are downsides to this system.
What needs to be questioned, if a service provider offers cloud mining endlessly.
This is what is sometimes still blurry, there is no clarity where the mining location is.
And one thing to remember, the devices and power sources used are quite large in the construction of cloud mining.
Don't rush into calculating the advantages of cloud mining, there are many cases of scams or scams out there.
Some of the following problems are most often experienced by crypto miners when renting cloud mining:
Most often experience fraud or scam, where the web host is not clear and mining operations are opaque.
It is certain that the advantages of mining coins are less or less than building your own mining rig. Because some of the profits will be deducted by a daily bill which includes maintenance costs and electricity expenses.
Cloud mining contracts may suddenly be terminated due to inappropriate bitcoin prices. It all depends on the market price of bitcoin, a value that is too low is unlikely to cover operating costs.
The difficulty level of bitcoin continues to increase every month. So that the number of hashs that we lease can not be comparable and the period of profitability increases.
It is possible that the investment value will not return in a matter of months or because the selling price is not comparable.
Like the Eobot site, it currently offers extended cloud mining contracts for 10 years which previously were only 5 years.
This step was taken to prevent the increase in electricity bills and the level of mining difficulty that continues to increase.
In theory, cloud mining makes a profit no faster than building your own mining rig.
For example, cloud mining calculations at Eobot will produce the fastest profit over 3 years.
The calculation is assumed with the difficulty level and the current bitcoin exchange rate.
If any cloud mining provider offers a much faster advantage, the system is questionable. Is it a scam, HYIP, or maybe embracing a multi-level system.
Most ordinary people are stuck on the lucrative side, after the investment earned is just the opposite.
Please note that tokens cannot be mined, those that can be mined already have their own blockchain. So if a token that is built on top of another blockchain cannot be mined. more or less like that.
Cc: -
@steemitblog
@steemcurator01
@steemcurator02
@besticofinder
Hello @fikar1213 ,
Thank you for submitting homework task 5 ! You have discussed what is cloud mining , how it works and with advantages , disadvantages .. nice work .. keep it up [6]
Thank you
Thank you very much for your support, I really appreciate it.
Thank you very much
For your support, I really
Appreciate it.
- fikar1213
I'm a bot. I detect haiku.