What is cloud mining?

Cloud Mining is the process of mining concurrency utilizing a remote datacenter with shared processing power. This type of cloud mining enables users to mine bitcoins or altcoins without managing the hardware.

Why mine in the cloud instead of buying and managing my own hardware?

The following are the advantages of cloud mining over buying your own hardware:

• The remote datacenters are built in places with the cheapest power. So, it might cost you less in the long term to cloud mine than to pay for the electricity where you live
• Cloud mining is silent, but mining ASICs are very noisy! Because they generate a lot of heat, they typically have a lot of fans running and sound a lot like vacuum cleaners
• With cloud mining, you don’t have to deal with the heat. When you run physical hardware, managing the heat is troublesome. Typically you will need to buy duct fans and blow the heat out the window. These fans also add to the noise and require additional power.
• Cloud mining does not require rewiring your house. To run your own ASIC, you might not have the right kind of power outlet. Many mining ASICs require 220V power outlets. In the United States, we typically have 110V outlets.
• With cloud mining contracts, you can typically buy hashpower in small increments. This allows you to more easily manage your risk. You can invest a very small amount of money and reinvest some of the profits in additional hashpower. Being able to buy say $10 to $100 more in hash power is a small risk compared to spending $4000 on an ASIC that may or may not be profitable.