Bitcoin Price Ruins Cloud Mining and here's the Good News
As we've been following for you here on CCN, Cloud Mining has been taking a beating with the precipitous drop in Bitcoin price over the lasts several months. The profit margins have become thinner and thinner, and now may be non-existent for many in the industry. Some reports have as many as 30,000 miners leaving the industry since BTC has entered the $300-and-below range. Many Bitcoin critics are eager to take this as a sign of Bitcoin's inherent weakness of value. Is that the case? Can this purging of clouded, corporate miners, in fact, be a good thing? In order to take advantage of the....
Related News
It's Sunday again, meaning it's time for another Bitcoin News in Review, where we check out some of the top stories of the week here on CryptoCoins News. This week (10 August - 17 August), we saw a huge drop in the Bitcoin price, more news regarding Mt. Gox, an interesting take on cloud mining, and more. Check out our video and keep scrolling for this Bitcoin News in Review. What's Happening to the Bitcoin Price? After a brief period of stability, it looks like volatility is back. At the time of this writing, one Bitcoin is worth ~$497, an almost $100 drop since last week. A lot of times,....
Cloud mining service providers have been facing hard times ever since the Bitcoin price dropped below $320. Whereas major Bitcoin cloud mining service providers had to shut down operations for an undisclosed amount of time, new companies started appearing all over the internet. XScrypt is one of those cloud mining companies, but it looks like the “company” has gone bust after multiple issues with payouts. Running a cloud mining company is not as easy as it may sound. Not only does a cloud mining operator need access to mining hardware — either self-hosted or remote — but there are tons of....
Spondoolies-Tech is entering the cloud mining market by joining forces with Genesis Mining. The news is big as Guy Corem of Spondoolies has been very vocal about many cloud mining companies being a scam. Guy also does not believe in self-mining as he feels it is immoral to compete with your customers for the Bitcoin rewards. Marco Streng of Genesis Mining is also very positive about the new partnership. As one of the remaining cloud mining services, Genesis Mining has been sticking it out during the recent BTC value drop. They have even gone so far as to allow their customers to exchange....
GAW & Zenminer Cloud mining operations have been 'indefinitely put on hold' [sic]. That is the message that greets the Zenminer cloud users while logging into their portal. Zenminer cloud informs the logged in users that this is a move to protect the user's value and to reduce risk. The reasons given are these two, as shown in the image on the right: Continued mining places customer's value at risk. Customers mining efforts at risk. Thanks to all of the factors mentioned below: Bitcoin Roller Coaster Price fluctuations. Unstable Market Conditions. Diminishing Bitcoin Value. Unbalanced Cost....
A bit of good news came from FinCEN recently, when it ruled that cloud mining services do not have to register as money transmitters. This is good news for consumers who wish to stay out of purchasing mining equipment for themselves and merely rent hashing power in some remote data centre - especially given the struggles that some manufacturers are having. On that subject, as the ASIC mining market is still in its early stages, it has created an environment where many vendors struggle with shipping on time. Logistical issues stemming from the creation of a new industry practically....