In a time not so long ago, you could spend a few hundred dollars on specialized hardware and make a nice profit mining cryptocurrency. However, with the industry now over-saturated, it’s almost impossible to get a look. In this article, we look at Bitcoin cloud mining and how to make 100e per day with crypto.
Bitcoin cloud mining platform
WEWE Global is in the business of providing cloud mining while using the technology developed by the IT and cryptocurrency experts. The main product concept is an efficient device of disparate computing resources. We tend to unite investors, including newcomers, on a single platform. The trust of our customers is based on obvious evidence: they honestly get their income every day.
- Invest online from anywhere
- Get your money back safely and instantly
- Control your miners from any device, be it desktop or mobile
This is because the mining space is dominated by a small number of players – most of whom are based in China. With that said, you still have the opportunity to make continuous profits through mining by sharing your resources with other investors.
Known as “cloud mining“, there is no requirement to purchase hardware or to provide electricity. Instead, you simply buy “hashing power” and you will receive a share of the profits – depending on your investment.
Note: Cloud Mining is an unregulated field, so there are heaps of platforms that have no other intention than to steal your money. Hence, tread with extreme caution before signing up.
What is Cloud Mining?
Cloud mining is the process of mining cryptocurrencies like Bitcoin and Ethereum without having to buy any hardware. Typically, the hardware required to mine cryptocurrency on a DIY basis can cost thousands. Additionally, with the underlying blockchain increasing its difficulty levels over time, newly purchased hardware devices will soon need to be replaced with even more powerful devices – subsequently rendering your investment redundant.
Next, you need to consider the cost of running your hardware. At least because you’ll need to have it running 24 hours a day to have a chance of making a profit. As such, powerful mining devices require an obscene amount of electricity to operate, which is yet another cost that will affect your long-term ROI. This is where Bitcoin cloud mining comes into play.
Bitcoin Cloud Mining In its most basic form, Bitcoin cloud mining allows you to access the cryptocurrency mining space from the comfort of your home – without having to buy hardware or consume electricity. Instead, you will invest capital in a fully-fledged mining operation that already has the required framework to mine successfully.
This way, you will receive a share of the mining profits – depending on the amount you invest. This allows you to see a return on your investment from day one, as Bitcoin cloud mining platforms usually pay out daily. You will then have the opportunity to reinvest your earnings, which means you can benefit from the fruits of compound interest.
However, it is important to emphasize that the Bitcoin cloud mining space often operates like the Wild West. While there are many established and trusted platforms out there – many are not. In fact, there have been countless cloud mining platforms that simply disappeared overnight – taking investor funds with them. Therefore, you must tread with extreme caution.
What are the advantages and disadvantages of Cloud Mining?
- Cryptocurrency mining without the need for hardware.
- No electricity consumption required.
- Invest as little or as much as you want.
- See the return on your investment from day one.
- Select the cryptocurrency you want to cloud mine.
- Get a share of mining profits proportional to your investment.
- Lots of shady cloud mining sites.
- The potential profits are extremely low.
How do Cloud Mining platforms work?
Before joining a cloud mining platform for the first time, it is important to have a firm understanding of how the process works. Therefore, we recommend that you refer to the following detailed instructions.
Note: In the cloud mining examples we give below, we use simplified numbers and calculations. This is to ensure that you understand the process as a whole.
1. Choose a cloud mining platform
The first port of call will be to choose a Bitcoin cloud mining site that meets your individual needs. The best way to do this is to perform enhanced research on the platform – such as how long the site has been up and how the reviews are in the public domain.
We’ve presented some tips on what to look out for in a Bitcoin cloud mining site below in our guide. Alternatively, we also list our top picks for the best cloud mining sites of 2022 towards the bottom of this page.
2. Open an account and deposit money
After choosing a cloud mining platform you want to use, you will need to open an account. In most cases, you will only need to provide an email address and choose a username and password. This is because cloud mining sites have nothing to do with fiat currencies – so they don’t need to ask you for personal or financial information.
You will then need to deposit some money, with cloud mining sites usually supporting a range of cryptocurrencies to choose from. The process works the same way as a third-party crypto exchange, to the extent that you will need to transfer the funds from your private wallet.
- Click on the cryptocurrency you want to deposit on the cloud mining site.
- Copy the unique deposit wallet address to your clipboard.
- Go to your private wallet and paste the address.
- Enter the amount you want to deposit and then transfer the money.
- Your cloud mining site should be credited within 10-20 minutes.
3. Choose a Cryptocurrency to Mine
Once you have chosen a cloud mining platform that you want to use, then you will be able to make an investment. Cloud mining sites usually allow you to mine several different cryptocurrencies, each of which will come with its pros and cons.
For example, while mining Bitcoin offers more stability than other cryptocurrencies in the market, mining a less popular alt-coin offers potentially greater upside potential.
Note: There are several factors to consider before choosing which cryptocurrency to mine – such as the minimum hash rate, contract size, and expected return. We will cover this in more detail later.
Once you find the crypto you want to cloud, you need to decide how much money you want to invest. Once you do, you will receive the money from your account balance and the investment process is complete.
4. Get your share until the contract expires
In the vast majority of cases, you will need to invest for a minimum period of time. Known as the ‘Contract Period’, this dictates the length of time you will need to lock in your initial investment. This works similarly to fixed rate bonds in that you will receive your interest payments throughout the term and the principal amount of your deposit at the maturity date of the contract.
However, most cloud mining platforms will distribute your share of mining profits on a daily basis. This will happen every day until the contract expires. When it does, then you will receive the full principal amount.