Will the halving be the end of cloud mining contracts?

[FUBAR-BDHR]

I was just reading another thread about cloud mining profitability when it hit me.  What is going to happen to all those cloud mining contracts at the halving?  If the price doesn't increase by then won't all the contracts just get canceled like ghash did when the price dropped?

Personally I don't use cloud mining but it's something to think about when helping new people.

[VirosaGITS]

I was just reading another thread about cloud mining profitability when it hit me.  What is going to happen to all those cloud mining contracts at the halving?  If the price doesn't increase by then won't all the contracts just get canceled like ghash did when the price dropped?

Personally I don't use cloud mining but it's something to think about when helping new people.

Yeah unless otherwise mentioned, all contracts such as the one on Hasnest will become invalid at this rate since the profitability will drop by like 48% overnight. Though on hashnest i guess it would be flat 50% since they don't share TXfees (when they dont mine empty blocks )

[Paultango]

Yes the difficulty will surely increase contracts might cant afford to cover those.

[Daimaru]

so it wouldn't be profitable anymore with cloud mining for now?

[Paultango]

so it wouldn't be profitable anymore with cloud mining for now?

Its still profitable if you have free Electricity but if dont its not profitable for you, and the mining difficulty will surely decrease because of miners leaving the pool.

[bitdumper]

Half of the cloud mining companies will shut down.
Your profits will drastically come down.

[leowonderful]

Half of them will shut down or more, but then the other half DOESN'T shut down because they're ponzis or scams, which are the same thing. Best to mine as much bitcoin now as you can since profitability will drop to 50% and most likely your contracts on a cloud mining contract will either be ended or it'll recieve less profit than usual. Most cloudmining companies, assuming they are legit, will try to buy new hardware after the halving so the latter will probably be true since at that time antminer s7s will be making nil at 0.10$/kWh.

[Daimaru]

so it wouldn't be profitable anymore with cloud mining for now?

Its still profitable if you have free Electricity but if dont its not profitable for you, and the mining difficulty will surely decrease because of miners leaving the pool.

so it will be bad for me , i just confused how to get bitcoin if have capital, maybe i'll trading it to altcoins

[philipma1957]

so it wouldn't be profitable anymore with cloud mining for now?

Its still profitable if you have free Electricity but if dont its not profitable for you, and the mining difficulty will surely decrease because of miners leaving the pool.

so it will be bad for me , i just confused how to get bitcoin if have capital, maybe i'll trading it to altcoins

If you are in the USA coinbase sells coins very close to correct value.