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Novices to Cloud Mining for Bitcoin: cloud mining vs hardware mining

Novices to Cloud Mining for Bitcoin: cloud mining vs hardware mining

​Once upon a time, mining especially cloud mining for bitcoin was just entertainment between geeks and some blockchain technology developers. But with the influx of capital, the cryptocurrency world is increasingly involved in the financial world. Whether we like it or not, mining as an emerging industry has developed rapidly. Many novice miners see that mining is making money, and they want to get on their cars and buy mining machines to start mining, but we must first understand that the pros and cons of cloud mining vs hardware mining, and that mining is not an industry with very low barriers to entry.
The influx of countless miners has greatly increased the computing power of the entire network of digital currencies, and it has been unable to compete with others alone. Instead, countless miners gather for warmth, build mining farms, connect to mining pools, and contribute computing power and cloud mining for Bitcoin. After the coins are mined, everyone contributes according to cloud mining for Bitcoin.
Generally speaking, there are three ways for novice miners to participate in cloud mining for Bitcoin between cloud mining vs hardware mining:
Cloud mining: Large mining farms divide their self-purchased mining machines into smaller computing power contracts according to their computing power, and users can purchase cloud mining contracts to perform cloud mining.

Mining machine leasing: users rent one or more mining machines from the mining farm for cloud mining for Bitcoin, eliminating mining-related procedures such as purchasing, consigning, loading and unloading, operation and maintenance, maintenance, migration, and access to mining pools.
Mining machine hosting: The user buys the mining machine by himself and looks for the mining farm hosting. In each link, the participation of the "user" is higher, the user has more freedom of choice, and the relative cost is slightly lower.
For novice miners who are new to mining, know little about the industry, and lack resource channels. This type of group is not suitable for buying mining machines and looking for mine trustees. Because there are many links, they are large and small. There are also many pits. For example, mines do not start up at the agreed time, increase electricity prices for various reasons, misappropriate users’ mining machines for cloud mining for Bitcoin under the guise of power outages, and repair machines.
Relatively speaking, cloud mining for Bitcoin and mining machine leasing is more friendly to novice miners. Not only do they have no pits for mining machine hosting, but also have fewer funding requirements.

At present, some domestic mines specialize in providing cloud mining for Bitcoin and mining machine leasing services. They have established mines in areas with low electricity prices to get lower electricity prices, and dispatched professional operation and maintenance teams to provide 7x24 technical support services in the mines. From a novice miner’s point of view, this is a recommended mode. All the processes of putting the mining machine on the shelf, powering on, starting up, connecting to the mining pool, operating, and maintenance, repairing, and removing the shelf are all taken care of by the miner. You only need to pay attention to the operation of the mining machine on the client-side, extract the daily mining output, and after accumulating more experience, then expand the investment to purchase the mining machine by yourself.
Because the power consumption of the mining machine is relatively large, it is the main expenditure during the mining period, and the electricity price is directly related to the cloud mining for Bitcoin cost and the payback period of the mining machine. Residential electricity costs are relatively high (about 0.6 yuan/kWh), while large-scale mines such as cloud mining providers are established in areas with abundant power resources such as Sichuan, and signed low-cost power supply agreements with hydropower stations, which can control the power cost.
Therefore, it is recommended that novice miners start cloud mining for Bitcoin by purchasing cloud computing contracts from large mining farms and leasing mining machines, and slowly accumulate cloud mining for Bitcoin experience so that they can avoid detours and avoid some risks.