Bitcoin Forum

https://bitcoinwisdom.com/bitcoin/difficulty (https://bitcoinwisdom.com/bitcoin/difficulty)
According to this, difficulty went down on Jul 17th, and now BTC price it's over 7k, the point where they say contracts would be profitable again.
But still no payout from them, "SHA-256 payout (BTC) less than maintenance (BTC)".
Are them completely gone?

With cloud mining contracts, it's not just the difficulty that you should take in to consideration. You also need to take note of the "maintenance" fees. Basically what they want you to do is to probably deposit more money for you to be able to receive the payouts, which is one of the many reasons why cloud mining is frowned upon here on bitcointalk and on other communities. It's really unlikely for you to profit or even breakeven with cloud mining contracts.

Yes, that's true. But their fees for BTC are fixed to 0.0035 USD per 10 gh/s.
That's why right now it should be profitable.

it is a little drop in difficulty which doesn't change much and the price rise is not that big either and it just happened. I don't know about Hashflare but these cloud mining sites usually have weird fees with a lot of rules that is always in their favor not the user's.


the main reason for that is because they always end up becoming a Ponzi scheme because they can not make enough money to justify their own costs and earn any kind of profit.

I have the same problem with Genesis Mining i have 0.25 TH and the daily amount i earn is stopped from 06/04, i talked with the customer service and they said that my daily amount of satoshies doesn't pay the maintenance fee and also say i have to wait 60 days to see if the bitcoin price goes up then maybe my contract working again

Cloud mining has always been a scam , the majority of people never earn back their investment amount.

It is like this, if cloud mining was really profitable why are they selling it , instead of just mining it.

 

my thought on BTC is that era of digital is over. As for hashflare, those guys are pretty good, market was just low

That's actually true, hashflare resumed contracts. Mine is working now) Many of cryptoenthusiasts are actually predicting higher peaks for bitcoin. There is a significant amount of volatility now, but I believe BTC should regain the astonishing heights it reached before.

Sounds inspiring!

Are the contracts still profitable/open, and if so, by how much per TH? I just did a quick calculation assuming $0.0035/10GH maintenance costs, and it seems mining's currently significantly unprofitable at the moment with the fees Hashflare's stating on their site here (https://hashflare.zendesk.com/hc/en-us/articles/203047771-Maintenance-and-electricity-fees-MEF-).

I expect the contracts will be closed down again (if they aren't already) if BTC's difficulty continues to increase and prices continue downwards- you probably won't even make enough to withdraw the way things are going right now. Who knows where the price is going from here; I hope it won't be a repeat of 2015, but I can see that happening this time around, though the circumstances and environment are different now.

Not profitable, the fees is bigger and mine get 0 profit now. Looks like they not opening new contract now for sha-256 because out of stock, since only ethash on buy option.

IIRC its cost about $60 before they out of stock, and looks like still same for now, since today price is $0.60 for 10 ghs.

Since we all have more than enough evidence to know that these guys, or any other cloud mining service provider for that matter, don't actually payout on actual Bitcoin mined, then we know that they will (can) only pay out when there's money to pay out. If contracts are closed, then no new money's coming in. If Bitcoin prices are down, then they're probably not able to mine enough to sell (again, assuming they're actually generating any mining income).

Smart thing for these miners to do now, which I'm sure some already are, is to just switch off on their entire operations. They've pretty much closed out all contracts now, my prediction for their next move: Open up "new contracts". Fresh monies they'll get when they reopen lets them buy heavily into Bitcoin at low prices. Reopen mining, pay off bills, next Bitcoin surge, they're way in profit.

I bet you they're doing this a lot more than we think they are. That's why they can never be transparent.

OP, I'd like to remind you that cloud mining sites, especially Hashflare, are shady businesses and even outright scams based on their track record of manipulating customer contracts, and also raising minimum withdrawals to prevent people from getting out, all the while having no solid proof that they are actually mining at full scale.

With that in mind, it is entirely possible, if not probable, that Hashflare and other cloud mining companies are fabricating payouts based on what they can afford and make profit on. That would explain why sometimes you see no correlation between payouts and difficulty/price.

Again, once you enter into a cloud mining contract, it's a completely lopsided deal in terms of who has control over your earnings. It's completely up to the cloud mining company to determine your daily payout, as they do not need any proof of mining whatsoever.

That's nice answer, I wish I had some time ago, but, in life you need to make mistakes to learn.
When I entered HF in december i thought they were a reliable company, maybe I was just taken by the euphory of bitcoin going moon, will be more cautios next time.
Hashflare definetely had a very bad attitude towards his customers, like you said shady business.

Exactly.

People still don't understand that cloud mining schemes, even those that have actual hardware running, don't pay users with their mining rewards.

In all cases people are being paid with funds coming from previous investors, and as long as there are enough dumbos willing to invest money in cloud mining, people will continue to get paid. In the same way, if there aren't enough dumbos providing liquidity, the cloud mining scheme will come up with all sorts of nonsense reasons to reduce payments or not pay people at all. You can't win as investor, the house does.

I don't like the business model of Hashflare, limited contracts to one year are not customer friendly and their bonuses were also not helpful. People investing during the bonus phase made a huge loss, avoid Hashflare! I don't recommend this company.

There are much more better opportunities to earn from mining. Some companies offer mining ICOs where you buy tokens and receive the mining dividends in your wallet where you hold the coins. So these coins work like contracts and are also not limited to a year, it's lifetime and you can sell them later like normal coins. This better model is a big advantage compared to cloudminers.

Here I've made a list of ongoing projects: https://bitcointalk.org/index.php?topic=4907656.0

man, I also made the same mistake, I invested in hashflare and saw the profit calculator that showed me huge profits, but the day after my purchase I realized that my earnings were very few and every day it seemed mine gains were being reduced. I started getting stressed out with what I was seeing and I gave up using cloud mining


Oh they have another strategy: "to make many promotions", see the case of geneisis mining:

Genesis Mining Compels Certain Customers to Upgrade BTC Mining Contracts (https://cointelegraph.com/news/genesis-mining-compels-certain-customers-to-upgrade-btc-mining-contracts)