I took four companies, very well known in the market, to my study in this post. It was exciting to see that not only the cheapest electricity was not, after all, the only thing that did matter in my choices into what I invest.
I took Hashshiny, Genesis-mining, Oxbtc, and IQmining for my study in BTC mining contracts. Bitcoin is, after all, the most popular cloud mining cryptocurrency. I also went shopping a little bit other crypto mining power in the end but let us start with the Bitcoin, the King of Coins.
All these companies are very trustworthy and legal in their businesses.
Hashshiny (established 2016) offers two years contract to bitcoin miners, IQmining (since 2016) gives you options from 1 year to lifetime contracts, and genesis-mining (founded 2013) goes for 18 or 30 months mining options. OXBTC (founded 2014) is usually offering three years of contracts (I have one for a long time already), but there are also many fascinating variations in their packages.
Hashshiny tells that they have over 760.000 customers at the time of writing this. Genesis-mining says that they have over a staggering 2 million customers, OXBTC instead over 600.000 miners, and IQmining I couldn’t find an exact number, but I assume hundreds of thousands.
I started to calculate the package prices and electricity prices, and I took two years of mining time to compare and what I should buy after my calculations.
Hashiny 1000 USD, 44 TH/s 2 years contract, maintenance fee 0.04USD / TH/s / day
Genesis-mining 966.5 USD, 19.5 TH/s 18 months contract, zero maintenance fees.
Oxbtc 966 USD, 23 TH/s, three years contract, electricity 0.0364 USD / TH/S / day, management fee 5% from profit.
IQmining 928 USD, 42.1 TH/s, 2 years contract, maintenance fee 0.1 USD / TH/s / day
Today’s (14.9.2020), Bitcoin mining profitability is 0.0865 USD per day.
Here are the daily profits for each company’s packages mentioned before. All maintenance and electricity fees have been deducted already from these profits.
Hashshiny : 2.05 USD / day
Genesis-mining : 1.69 USD / day
Oxbtc : 1.15 USD / day
IQmining : -0.57 USD / day
Contract lifespan profits are next:
Hashshiny: 1494 USD
Genesis-mining: 911 USD
Oxbtc: 1247 USD (5 % management fees have been deducted)
IQmining -415 USD
Two of the companies are profitable investments with today’s mining profitability. Hashshiny and Oxbtc.
1000 USD investment to Hashshinys package pays back in 489 days after it gives 494 USD profit.
Oxbtc, 966 USD investment, is paid after 838 days, and it gives a profit of 281 USD to you after that.
Hashshiny gives a 6% discount to new customers, and Oxbtc gives a 15% discount to new miners. Use my links to get those discounts if you like. With these modifications, Hashshiny has paid itself back in 469 days and its profits to 534 USD. Oxbtc takes 713 days to pay back and returns you 431 USD after that.
Conclusion: the cheapest electricity does not mean that the product is the most profitable. The most affordable hash power doesn’t mean either that the product is best in the market. Also, calculating the electricity, management, or maintenance fees can be quite challenging. Do your homework carefully, and with a calculator, then you will invest in the best product at that moment.
With the pros and cons below, I hope that this blog post was useful to you. Based on my calculations today, I would invest in Hashshiny or Oxbtc from the cloud mining companies. I advise everyone to do their due diligence always before investing.