Cloud mining is the form of obtaining digital currency by buying or renting the mining capacity of machinery in a distant, isolated data centre. It is usually more convenient for the user as opposed to traditional mining, as there is no physical involvement required. It allows users to get coins without dealing with any offline challenges.
Potential coin production of cloud mining can be affected by 5 factors. Three of them are fixed and dependent on the facility.
- Facility hash rate;
- Power consumption;
- Electricity cost per KW/h.
The two others are market factors which consist of:
- Coin price;
- Network hash rate.
Unfortunately, the last factor is unpredictable and brings a certain share of risk into cloud mining. But hey, scared money makes no money!
Coin price is the primary variable responsible for coin production output. If it increases, the coin attracts more miners, and more miners cause an increase in network hashrate and hence mining difficulty. This potentially brings lower mining outputs, but the margin of price increase usually compensates for that.
If the coin price goes down, the incentive for mining also slows down. Some miners may experience losses, i.e., when the miner consumes more energy than it actually earns. In such a case, a good incentive to turn off the miner, to fix losses, in turn, leads to a drop in network hashrate and decrease in mining difficulty. The coin production increases in this case, but that does not mean higher returns, as the coin price decreases correspondingly. This scenario benefits long-term players in case the coin price eventually rises.
The correct counterparty
The cryptocurrency market is on the rise. Bitcoin has more than tripled in value in 2019, moving from under $4,000 at the start of the year to a little under $14,000 in June. In the earlier part of 2019, however, altcoins seemed to be performing strongly, with many calling the trend “altseason.” The market still has a lot of room for expansion, so it is important to choose the correct counterparty to cooperate with.
-”The mining market is always evolving. We fully support the technology itself and its goals.
On the whole, we recognized a tendency to switch from house mining to cloud mining as the network difficulty grows. There was little competition on the market and we decided that our knowledge and experience of successful development of large businesses would help to bring this technology to the masses with all the consequences.
Therefore, we began to create a company that provides all kinds of services in this area. Now CryptoUniverse is a multifunctional service for cloud mining with contracts starting at just $50” – says Nikita Gribkov, Vice-President of the company.
Cryptouniverse.io practices flexibility to ensure that the client earns independently from the market situation; that’s why the price of the contract changes continually in relation to market factors.
Crypto universe is able to offer the best possible deals because of their full control of facility-related factors. Currently, they own a 20 MW facility in Kirishi, Leningrad region with more than 12,000 ASIC miners and are working on launching another site with 67,000 miners together with technical partners in Irkutsk region. The company benefits from the lowest electricity price in the country, because of the lucrative long-term contract for the supply of electricity with the regional government and close location to a powerhouse.
Cloud mining with CryptoUniverse
The main ideology of the project is to allow people to quickly and clearly obtain, receive, and own cryptocurrency. The company strives to make mining as easy as it can be for the customer. All that is required is to register on the website, make a deposit, choose the desired contract and the amount of TH/s. CryptoUniverse offers a wide range of BTC and LTC cloud mining contracts with options available for every budget.
- Standard rates, with a different starting minimum, depending on the hashrate, or with a fixed hashrate amount. The contract’s length affects the price in direct ratio, but the service fee is lower.
- “VIP” rates. This is a modification of the standard fares – but with a lower price and service charge, for profitability maximization.
- Tariff “2025”. This contract is valid up to January 1st, 2025. It is recommended for professionals in the field of long-term investment. The main feature is that it can be put up for sale using the “Hash Rate Auction” option, which is not available for other types of tariffs.
Most recently, the company updated its cloud mining contracts and added 2 new with the option of prepaid service charges. New contracts allow to receive 100% of mined funds without any additional payments and provide better control of the mining process.
Cryptouniverse also offers an opportunity to purchase mining equipment. The acquisition of a physical unit of equipment lets the buyer return the funds partly by reselling the miner after the hosting contract expires. With the growing cryptocurrency rate, the market price for professional mining equipment tends to rise. If we take for instance Bitmain Antminer s17, its price used to fluctuate around $2000 when it first came out, but now they are selling at as high as $4000 at the official online store. Hence the customer will be able to make additional profit on top of the profit made on mining itself.
Moreover, there is cashback available on different options at different times. Be sure to check the website regularly to be aware of the most attractive offers.