Crypto Academy Week 5 Homework Post for [@besticofinder]
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Welcome to one more post that corresponds to my Week 5 Assignment for teacher @besticofinder, last week we dealt with the topic of mining and today we will delve into it a bit more from a mining point of view.
What is cloud mining?
Unlike the other types of cryptocurrency mining, cloud mining is ideal for people who do not want to involve the hardware or software of their computers, they also say it is quite recommendable for novice cryptocurrency enthusiasts, as lack of knowledge leads to losses most of the time
From what I understood, after reading several articles and finding out through other sources such as friends who are involved in the Blockchain, we can say that companies, organizations, among others, are the ones that offer these services to mine through contracts or shares and it must be emphasized that it is remote, through access to a processing data capacity shared between users and the company that provides the service.
Source
We can classify cloud mining in three different ways:
Purchase or Lease of de Hashing Power Before explaining this procedure, I want to define that the Hash Rate is the unit in charge of measuring the energy necessary for the Bitcoin Network to work. Here the user chooses the amount of hash he/she wants to acquire for a determined or indefinite time without the need of owning a physical or virtual computer. It is usually the preferred option for users with little knowledge in the crypto area.
Hosted Mining Users leave their mining equipment in charge of the companies, which take care of the maintenance and electricity supply, due to several factors, it can be more profitable than mining from home.
Virtual Private Server (VPS) Here a private server is rented for the user to install a mining software, the hours of operation, currency, etc. must be agreed upon.
What are the best cloud mining platforms?
Ranking the best companies that offer this mining service in the cloud is not usually almost precise, since with the passing of time new companies emerge with better offers, or simply companies tend to offer different features that are better suited depending on the user.
However, I have found out about several current companies and I have compiled the ones that seemed to me to be the best.
Genesis:
It has its beginnings since 2013, so we can conclude that it is one of the oldest still standing today, it offers mining services in different cryptocurrencies such as Ethereum, Zcash, Monero, Litecoin, Bitcoin and Dash.
Hashnest.
It is one of the most popular today, despite being based in China, it has employees and offices in different parts of the world, it serves through an application that can be downloaded from the cell phone. It was launched in April 2014.
CCG Mining
Also very recognized, more recent than the previous ones however it has several years of experience since it was founded in 2016. It has 6 branches in different countries in Europe and allows mining of different cryptocurrencies such as BTC, MONERO, ETH, ZCASH, LTC and BCH.
Discuss the advantages and disadvantages of cloud mining?
It should be noted that the advantages and disadvantages of cloud mining depend largely on the company you work with and the type of cloud mining you wish to acquire.
Years ago cryptocurrency mining faced several challenges that influenced its profitability for users who purchased these services or simply created their mining equipment, however, I have noticed that its profitability has improved quite a bit and has grown exponentially users who engage in cryptocurrency mining.
Advantages of cloud mining.
If you are not an expert in the world of cryptocurrencies and want to get involved in this world, cloud mining is a good way to start having profits at the same time that you acquire more knowledge, however I do not recommend you to start mining without having a basic notion of the Blockchain and its operation.
It is ideal for people who live in areas that have high electricity costs or do not have the necessary equipment for mining (Hardware), you will not need coolants, graphics cards, power supplies, etc.. You will also avoid the noise and heat created by the equipment, if you were planning to mine from home.
You will avoid that the components of the mining equipment become obsolete over time.
Disadvantages of cloud mining.
Nowadays it is very common to find companies dedicated to scams, more and more are appearing every day and as cryptocurrencies become more famous, these companies/organizations will not stop appearing.
Revenues are usually not very high and cryptocurrency mining is becoming more and more complex as the difficulties in mining cryptocurrencies increase.
This factor is a personal opinion: users limit themselves to learning about this cryptographic world as they see a "simple and quick" solution to get involved without the need for basic or technical knowledge. Also cloud mining contributes to centralization in a certain way, however, it is a moral issue more than anything else.
Source
Thanks so much to SteemitCryptoAcademy for this initiative and certainly to Professor @besticofinder for the immense effort he makes for Steemit users, there are many people who appreciate these classes of Cryptocurrencies and the Blockchain network. I invite you to read the original publication and participate in the task if you wish.. clic here
Cc:-
@steemitblog
@steemcurator01
@steemcurator02
@besticofinder.
> Mentions:- @booming01 @booming02 @booming03 @booming04
What is cloud mining?
Unlike the other types of cryptocurrency mining, cloud mining is ideal for people who do not want to involve the hardware or software of their computers, they also say it is quite recommendable for novice cryptocurrency enthusiasts, as lack of knowledge leads to losses most of the time
From what I understood, after reading several articles and finding out through other sources such as friends who are involved in the Blockchain, we can say that companies, organizations, among others, are the ones that offer these services to mine through contracts or shares and it must be emphasized that it is remote, through access to a processing data capacity shared between users and the company that provides the service.
Source
We can classify cloud mining in three different ways:
Purchase or Lease of de Hashing Power Before explaining this procedure, I want to define that the Hash Rate is the unit in charge of measuring the energy necessary for the Bitcoin Network to work. Here the user chooses the amount of hash he/she wants to acquire for a determined or indefinite time without the need of owning a physical or virtual computer. It is usually the preferred option for users with little knowledge in the crypto area.
Hosted Mining Users leave their mining equipment in charge of the companies, which take care of the maintenance and electricity supply, due to several factors, it can be more profitable than mining from home.
Virtual Private Server (VPS) Here a private server is rented for the user to install a mining software, the hours of operation, currency, etc. must be agreed upon.
What are the best cloud mining platforms?
Ranking the best companies that offer this mining service in the cloud is not usually almost precise, since with the passing of time new companies emerge with better offers, or simply companies tend to offer different features that are better suited depending on the user.
However, I have found out about several current companies and I have compiled the ones that seemed to me to be the best.
Genesis:
It has its beginnings since 2013, so we can conclude that it is one of the oldest still standing today, it offers mining services in different cryptocurrencies such as Ethereum, Zcash, Monero, Litecoin, Bitcoin and Dash.
Hashnest.
It is one of the most popular today, despite being based in China, it has employees and offices in different parts of the world, it serves through an application that can be downloaded from the cell phone. It was launched in April 2014.
CCG Mining
Also very recognized, more recent than the previous ones however it has several years of experience since it was founded in 2016. It has 6 branches in different countries in Europe and allows mining of different cryptocurrencies such as BTC, MONERO, ETH, ZCASH, LTC and BCH.
Discuss the advantages and disadvantages of cloud mining?
It should be noted that the advantages and disadvantages of cloud mining depend largely on the company you work with and the type of cloud mining you wish to acquire.
Years ago cryptocurrency mining faced several challenges that influenced its profitability for users who purchased these services or simply created their mining equipment, however, I have noticed that its profitability has improved quite a bit and has grown exponentially users who engage in cryptocurrency mining.
Advantages of cloud mining.
If you are not an expert in the world of cryptocurrencies and want to get involved in this world, cloud mining is a good way to start having profits at the same time that you acquire more knowledge, however I do not recommend you to start mining without having a basic notion of the Blockchain and its operation.
It is ideal for people who live in areas that have high electricity costs or do not have the necessary equipment for mining (Hardware), you will not need coolants, graphics cards, power supplies, etc.. You will also avoid the noise and heat created by the equipment, if you were planning to mine from home.
You will avoid that the components of the mining equipment become obsolete over time.
Disadvantages of cloud mining.
Nowadays it is very common to find companies dedicated to scams, more and more are appearing every day and as cryptocurrencies become more famous, these companies/organizations will not stop appearing.
Revenues are usually not very high and cryptocurrency mining is becoming more and more complex as the difficulties in mining cryptocurrencies increase.
This factor is a personal opinion: users limit themselves to learning about this cryptographic world as they see a "simple and quick" solution to get involved without the need for basic or technical knowledge. Also cloud mining contributes to centralization in a certain way, however, it is a moral issue more than anything else.
Source
Thanks so much to SteemitCryptoAcademy for this initiative and certainly to Professor @besticofinder for the immense effort he makes for Steemit users, there are many people who appreciate these classes of Cryptocurrencies and the Blockchain network. I invite you to read the original publication and participate in the task if you wish.. clic here
Cc:-
@steemitblog
@steemcurator01
@steemcurator02
@besticofinder.
> Mentions:- @booming01 @booming02 @booming03 @booming04
Hello @imagen ,
Thank you for submitting homework task 5 ! You have explained the topic well giving a clear idea. nice work [6]
Thank you
Thanks to you professor!