Cloud Mining Questions II

[Zoltan Almighty]

This is my second thread(the first one is deleted) about how to calculate profitability on a cloud mining site.

As they strictly avoiding to answer for any questions about profitability,and they are providing super vague answers.
I purchased a few contracts there to see how things are going before I send more btc in.

Now I'd like to conclude it somehow,that this  cloud mining company is a decent one,just they have a very bad and rude customer support.
Or this cloud mining company is a Ponzi scheme
All of this without to name them first,just to keep the biasses as neutral as possible

As a beginning here is the original thread salvaged and uploaded in PDF:

https://www.scribd.com/document/413987132/Cloud-Mining-Questions-Page-1
https://www.scribd.com/document/413987329/Cloud-Mining-Questions-Page-2

and here is the thread about my deleted original thread:

https://bitcointalk.org/index.php?topic=5156596.0

Looking forward to all the great discussions:)
@bones261 @Primenumber7

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[DarkDays]

This is not a service you are providing, so I suggest you move it to service discussion or the reputation section, else this thread too will be deleted.  There is a reason for which moderators delete threads, most of the time it is because they do not follow the guidelines.

[Zoltan Almighty]

Recently,like yesterday midnight.
I had the idea to put all of the mined BTC into a 2x long position.
To hedge the decreasing daily payouts from the cloud mining company.
As I noticed if the price going up then my daly payout is decreasing.
This seems to me a logical solution.
What do you think?

[Steamtyme]

So I don't recall how far you got into the profitability calculator stuff but without knowing what your daily maintenance fees where or any other daily fees you were incurring it's hard to help. If you have your contract pointed to a PPS pool (if given the option) then your earnings dropping by 10% doesn't make sense. Here is a reply I gave somewhere else to round out my impressions of cloud mining.

I mine, so I have a pretty good handle on how to be profitable doing so. If you can't profit by either mining at home or having your miners hosted you are better off buying coins. Hosting is different from cloudmining because you own the gear, your just paying them because they have lower electrical rates to offer.

Cloud mining, you are essentially paying off somone else's gear for them. The contracts are weighted in favor of the provider and allows for them to terminate early without refund if profitable. You can sometimes find a way to make a slight profit through cloud mining if they are offering a discount or promo price at the time you go to purchase, but these are still risky and not guaranteed.

The last one I saw someone post positive earnings for was Bitdeer.

As I noticed if the price going up then my daly payout is decreasing.
This seems to me a logical solution.
What do you think?

Not to mix trading and cloud mining. The price in USD shouldn't directly affect your daily payout in BTC, until price pushes up the network hashrate which pushes the Diff up.

[Zoltan Almighty]

This was enlightening
I spent time at the whattomine and the bitcoinwisdom calculator with not much success.
The maintenance fee is in my case:
: 0.001$ / 10 GH/s / 24h
I did not get any answer regarding mining pools..
I have 262281 GH/s hashrate for one year

[Steamtyme]

If you go here and put in nothing but your hashrate it gives you an estimate of what you would roughly expect in reward for btc per day/week. Further than that is subject to difficulty rise. Apart from that it looks like you are paying .1$/TH per day, so about 26.20$ daily maintenance fee.

It shows you should be earning .0089 BTC daily not including any pool fees, transaction fees or maintenance fees.


How do you pay the maintenance fee? Is it deducted automatically from your earnings? If so they may be using an unfavorable exchange rate.
With no answer about mining pools it seems they are directing the hashrate which isn't really great. You are paying for it and should be able to point it where you want

[1Referee]

As I noticed if the price going up then my daly payout is decreasing.
This seems to me a logical solution.
What do you think?

It depends on how 'lucky' a pool is to find blocks. If a pool finds less blocks today, your daily payout will obviously decrease because there is less that it can pay you.

I'm not sure how they calculate the maintenance fees and how fair it all is, but the rate at which blocks are found is crucial and can't be measured by calculators perfectly. In that regard, always keep in mind that payouts can be higher or lower with so many variables playing a role of importance.

[Zoltan Almighty]

@1referee
I have to say I was not aware of the crucial importance of a mining pool in the whole process till now

@steamtyme
The maintenance fee is deducted from the daily payout in BTC.
But in the contract they are counting the maintenance fee in USD.
That one for me seems right,I did not went into it,but everyday it is a smaller amount.
I think because the BTC price is getting higher.
I did checked on your link (I appreciate it,big thx:)which you kindly provided the calculator and meanwhile the calculator is forecasting 3,2
On the cloud mining site my forecast is 2,6 at the moment(it was originally 3,2)

[Zoltan Almighty]

I have a bit of an update in the meantime.
I got a message about the mining pools involved.
Which says the management decided not to provide any information about that.
I was invited the company here for discussing further if they wish to do it.
I’m super curious:)

[Steamtyme]

Well I would say at this point it would be beneficial for you to name the cloud mining provider you've bought from.
This way people can look deeper at their contract and terms. It might help uncover the reason for your drop in rewards or at least more about their payout structure. To me there are a few red flags the biggest being they don't want to reveal anything about the pool information. Without this there is no way to verify that you are actually getting the hashrate you paid for; especially when there are discrepancies.

I don't think that your rewards are based on pool luck, mostly because over a given time you should see just as many high reward days as low reward days and they should have an average near your estimated earnings. A lot of pools out there offer a PPS (Pay Per Share) structure that provides a steady consistent reward based on shares submitted and a 12.5 BTC block reward. They often keep the transaction fees, which is okay if it's known. Difficulty adjustment could be a factor but the largest jump up we've seen in the last 6 weeks I think was 5% and that was I believe 3 weeks ago.

[carlfebz2]

Well I would say at this point it would be beneficial for you to name the cloud mining provider you've bought from.

I wanna know it as well because we cant really make such precise or good suggestions if we dont know which cloud mining site we are talking to because high chances that OP is talking with some scam cloud mining rather than on a currently old running cloud mining companies.

[Zoltan Almighty]

I'm certainly leaning to reveal their name too of course:)
I mean not much else left if I'd like to at least see what's going on.

[Zoltan Almighty]

Allright,I did just received an email from the company to do a review about them on trust pilot.
I did it of course.
You can see the review here:
https://www.trustpilot.com/review/iqmining.com
I guess everybody know the name of the company now.

it is IQMINING.COM

You can find them here and all of the details about them:

https://iqmining.com

[Steamtyme]

Okay. Well that's easy enough to see why your payouts changed and fluctuate so much. You are not mining BTC, you are being paid in BTC. So the profitability calculators I said to look at aren't really relevant for this.

Without buying into a contract it's hard to tell, but reading their FAQ's they mine altcoins using profit switching which is really just chasing the most profitable coin after the fact and hoping it stays that way. So your payouts will probably fluctuate wildly. Not to mention I don't know if you can track which coin they mined to see if you are being paid a full reward. To this point it looks like you've been paid, so as long as that carries on you are getting the service you paid for.

[Zoltan Almighty]

I see.Thanks for taking a look into it.
Unfortunately they don't telling me which coin they mining.Nor any information about any mining pools involved.
What I know that I have an SHA 256 PRO contract.
The mining payouts they are not fluctuating,but nicely decreasing.

[xilopupoma]

I see.Thanks for taking a look into it.
Unfortunately they don't telling me which coin they mining.Nor any information about any mining pools involved.
What I know that I have an SHA 256 PRO contract.
The mining payouts they are not fluctuating,but nicely decreasing.

Hi, I have a SHA-256 Pro contract, today both the fees and earnings have changed significantly, they have doubled !!! Has it happened to you too?

[Zoltan Almighty]

@Xilopopuma

Yes indeed.
But somehow that doubled daily payout,which is showing on the balance transaction section.
Did not went credited into the actual account balance.Otherwise I did notice it.
As everyday I send every btc out.
I did double checked this with a friend of mine who have the similar contract.
It is the same for him too.
On the balance sheet the payment doubled but it does not get credited into a real account balance.
Could you please check if thi i the ame ituation with you?

I find this discrepancy even more concerning.
I mean at least till now,the daily payouts minus the maintenance fee was precisely showing up on my balance.
Not anymore..
Theoretically I can have quadrupled daily payouts showing up on the transactions balance,it does not matter if it does not show up
on the balance where i can withdraw it from

Update:

I just checked and it seems this increase of the double amount of daily payout was fixed.
Right now it is showing the proper amount,instead of the doubled one.
It seem it was a bug.
I did not mind tough if this bug actually turning up on my withdrawable balance:D

[examplens]

Allright,I did just received an email from the company to do a review about them on trust pilot.
I did it of course.
You can see the review here:
https://www.trustpilot.com/review/iqmining.com
I guess everybody know the name of the company now.

it is IQMINING.COM

You can find them here and all of the details about them:

https://iqmining.com

I see many fake positive reviews there. I can't believe in reviews like "Very good invest..." or "The best cloud mining company. Recive profit every 5 days for my contract. I recomendation this site." Feedbacks like these is a warning to me.
Also, there are a few people who complain that they withdraw very little of the money invested.

[tmfp]

Unfortunately they don't telling me which coin they mining.Nor any information about any mining pools involved.

So basically you are just trusting that they are telling the truth when they say what they are doing?
Crypto 101: Don't trust, verify.
A brief look at them gives me no reason to believe they are mining anything.

I have 262281 GH/s hashrate for one year

You gave them about $6000 then, when did you do that?
How much of that have you got back so far?

[badykvik]

This is my second thread(the first one is deleted) about how to calculate profitability on a cloud mining site.

As they strictly avoiding to answer for any questions about profitability,and they are providing super vague answers.
I purchased a few contracts there to see how things are going before I send more btc in.

Now I'd like to conclude it somehow,that this  cloud mining company is a decent one,just they have a very bad and rude customer support.
Or this cloud mining company is a Ponzi scheme
All of this without to name them first,just to keep the biasses as neutral as possible

As a beginning here is the original thread salvaged and uploaded in PDF:

https://www.scribd.com/document/413987132/Cloud-Mining-Questions-Page-1
https://www.scribd.com/document/413987329/Cloud-Mining-Questions-Page-2

and here is the thread about my deleted original thread:

https://bitcointalk.org/index.php?topic=5156596.0

Looking forward to all the great discussions:)
@bones261 @Primenumber7

A lot of things are confusing about your complain but in order to receive proper advise if that is what you need, you may need to provide some vital informations about the cloud mining company.
1, The name or website address of the cloud mining.
2, Your btc tx id in order for the community to be sure you actually sent sends you stated to the btc address.
We can properly understand your claim if you provide the above information.