CEX.io Halts Cloud Mining Service Due to Low Bitcoin Price

[Elwar]

Cloud mining....your bitcoins are in the cloud.

Just don't ask for them.

They're on the line.

[aerobatic]

Approach bitcoin in any centralized way of doing business is very dangerous, soon many large firms will go broke and mining back to the hands of home miners. Home miners are not fiat profit oriented, while large organizations are not

what you said makes no sense.   professional miners have lower costs than home miners because they use scale and location to their advantage.  if the professionals get priced out because of the low btc price, there is no way that home miners can take up the slack as their costs are significantly higher, and it'd be very unprofitable.   home miners aren't a 'charity'.  they mine for the reward, not just to power the network.  if it was significantly unprofitable, home miners can't afford to do it.   (and if they want bitcoins, they would just BUY them, for less cost than mining them).

[mayax]

only few home miners afford hardwares of over 30K.

otherwise, you cannot be on profit. also, you cannot be on profit if you sell the Bitcoin for 200 USD...

http://blockchained.com/profit/index.php

[arvindr]

only few home miners afford hardwares of over 30K.

otherwise, you cannot be on profit. also, you cannot be on profit if you sell the Bitcoin for 200 USD...

http://blockchained.com/profit/index.php

Looks like the price drop would demotivate a majority of  people from mining as it won't be profitable at all.

[sandpaper]

Approach bitcoin in any centralized way of doing business is very dangerous, soon many large firms will go broke and mining back to the hands of home miners. Home miners are not fiat profit oriented, while large organizations are not

what you said makes no sense.   professional miners have lower costs than home miners because they use scale and location to their advantage.  if the professionals get priced out because of the low btc price, there is no way that home miners can take up the slack as their costs are significantly higher, and it'd be very unprofitable.   home miners aren't a 'charity'.  they mine for the reward, not just to power the network.  if it was significantly unprofitable, home miners can't afford to do it.   (and if they want bitcoins, they would just BUY them, for less cost than mining them).

Luckily a lot of home miners do it on a small scale but enough to make an impact especially with the turn off of some. I know for awhile I had no electric cost because of a fixed rent and could get away with using inefficient machines. That could still be the case for a lot. Solar / wind powered should also not feel the effects nearly as much if at all. What's it matter if the price goes to $200 when you have 2kw solar dedicated to it (already paid off).

[ensano]

Approach bitcoin in any centralized way of doing business is very dangerous, soon many large firms will go broke and mining back to the hands of home miners. Home miners are not fiat profit oriented, while large organizations are not

what you said makes no sense.   professional miners have lower costs than home miners because they use scale and location to their advantage.  if the professionals get priced out because of the low btc price, there is no way that home miners can take up the slack as their costs are significantly higher, and it'd be very unprofitable.   home miners aren't a 'charity'.  they mine for the reward, not just to power the network.  if it was significantly unprofitable, home miners can't afford to do it.   (and if they want bitcoins, they would just BUY them, for less cost than mining them).

Lots of home miners have free power and are only running under 1TH as a hobby.  There'd still be plenty of power securing the network if the big farms shut down.  

Personally I'm hoping for a price of 1-150$.  This would see the farms disappear very fast

[mayax]

free power? can you please give an example of free power. do not tell me about solar power because it is not free.
you need an expensive investment for that and it's not working if you live in Sweden or even in Eastern Europe where 6 months is winter.

[Gleb Gamow]

Pizza Hut Halts Services Due to Poor Sales and Customer's Seeking Out Cheaper Pizzas (prepaid coupons now null and void)

US Hookers Halts Services Due to the Decline of the Ruble (prepaid coupons now null and void)

Buggy Whip Inc. Halts Final Line Due to Advent of Automobile: Sex Whips Lines Not Affected (prepaid coupons now null and void)

Tokyo McDonald's Halts Frappuccino® Sales Due to Lost of Its Whale Customer Base (Can't Even Give Them Away Thanks to Stigma Attached to Them) (prepaid coupons now null and void)

[ensano]

free power? can you please give an example of free power. do not tell me about solar power because it is not free.
you need an expensive investment for that and it's not working if you live in Sweden or even in Eastern Europe where 6 months is winter.

My rent is all inclusive.  I pay x amount per month regardless of the amount of power I use.


I have free power.  I've identified 4x 15 amp breakers that I don't use so theoretically I can run 6000 watts at my place with only the upfront cost of the equipment.

[mayax]

and how much profit do you make now?

[ensano]

and how much profit do you make now?

I don't mine.

You asked for an example of free power.  There it is. 

[ensano]

and how much profit do you make now?

Also, I don't know if you're aware but there's a thing called a "bitcoin mining calculator".  What it is is essentially a calculator that calculates the potential earnings for bitcoin.  You can use it to see if something would be profitable to mine with.

https://bitcoinwisdom.com/bitcoin/difficulty

Try playing around with it with a $0.00 electricity price and 0% pool fee.  If you can purchase equipment at $.20/GH then it's a solid investment

[n3rvi0zz0]

Bitcoin total hashrate at 07:22 Time +0 293,976,66

Im following the total hashrate of the network, yesterday goes from 330 to 292, today bitmain will start shipping the new miners, i waiting for the big fall the price of the coins goes under 50 usd at least for couple of years, in time the reward of the block still the same (25) bitcoin will lost value because the people drop his coins cheap are the BIG FARMS.

Also the second open fire its the inflation they dont put limit to the manufacturation of miners, (BITMAIN, SPONDOLIES, KNC MINER) they build 50 petahash of miners in 3 months, they burn the network the difficulte raise level nobody can imagine and after that they sell the hardware like new.

like that be sustainanble its a dream.

All the people contribute to kill bitcoin have full wallets of btc already they drop his profits now because if the trains goes from the station they wanna be covered for millions of usd to start another bussiness.


The crypto currencie world are changing, we not are more blind, we know the only one makes profit in the Bitcoin Mining are the Companyes build the hardware.



 


Now we need to lost thousands and thousands, because mining became a joke.

[tokeweed]

expecting more BTC based companies to close shop in the coming weeks.

[jubalix]

miners are going to get schooled in what term they have to consider their investment over. The next generation of miners will be much more carefull in not overdoing it.

[n3rvi0zz0]

anyway i hope someone build a stong coin to get the place of bitcoin

the only requirement wherever its your hashrate you will get the same reward, the point of have a cryptocurrency its be anonimous safe and fair


bitcoin long time ago wasnt fair for the miners

[Bitcoinpro]

surely they understand this is a very temporary downturn in prices,

and due to the very big run up in prices over the years

its only a technical bear market not a real one

[jubalix]

surely they understand this is a very temporary downturn in prices,

and due to the very big run up in prices over the years

its only a technical bear market not a real one

a good % of people don't temporary downturn in prices or the converse. Most are sheeple

[Collymore]

So what happens with the people owning Gh's now?

You loose your investment? ^frown^ or are they going to buy up all the remaining GH's at a reduced price? ^Grin^

I wonder what it states in their terms of service about this? If it does state they can do it then I guess people are screwed.

[MUFC]

It's sad to see the reality of what effect the price drop can have on businesses. I guess this won't be the last company to close due to it. With that in mind is cex a legit cloud mining operation? I'm not familiar with each operator but many are known or seem to be ponzis and they inevitably collapse at some point anyway.