Genesis mining day 16 - valuation going DOWN

in chainbb-general •  7 years ago 

It is day 16 on my 10mh ETH clouding mining (investment: USD 291), as the difficulty continues to increase, the unit per day has remain unchanged from 0.0062 to 0.0062 (~6% decrease).

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The good news is that ETH remains at high 200s which inflate the current value even the unit per day is getting less and less. Finger cross that it will still time for me to break even and at least to get some return back after the contract ends.

For the current projection, I make

14.54% return for capital

breakeven period is around 3.67 months

This assumes:

the price remains unchanged
difficulty remains the same

Therefore the projection is likely to be overestimated but good that the contract is for 2 years and therefore still plenty of time to make up.

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Eth price jumped and the mining difficulty will go much up definitely, making our mining proceeds down
maybe considering having your own mining rigs would be better than having cloud mining

I have always wondered how exactly people make money using Genesis, and how it makes sense for them to do the mining for you if it's profitable for you other than in some case where they need capital upfront as if you are loaning them money. To me it has always seemed like you are playing against their speculations on the value increasing vs the difficulty in mining increasing, and I suppose there is some money to be made there if that is the case but then I would rather just put money into an exchange and trade coins, since it's kinda the same thing except I can pull out of it a lot faster and in some cases make a lot more doing it. $200+ in an exchange can do a lot with some trading.

i know, but too bad i am a very lousy trader and have no confident in my own trading skill.

You could always consider getting some paid out in steem instead! Think of where the price of steem will be in a years time! Also you could use the steem to purchase steem power in the meantime, then convert it back later when the price of steem is better! Just food for thought! ;-)

That is a good idea. Let me do that now. Thanks.

You're welcome dude :)

Build your own, dont go Genesis.

If you ask me today, i will do just that. However there are few things. First, it is very hard to get gpu now so everyone is waiting for gtx 1060 (mine edition) 2) i am still not sure what to expect if i put many of the gpu at home. Would that be too hot (many means 10+ 6gpu miner).

So, how long do you think it need to cover the bill?

As it is projected, it is around 3.5 months, when i purchase it 15 days ago, the breakeven period is around 5 months. But you know the price has been rising so it shorten the breakeven period. However it also come with lesser units.

i'm using eobot :)

What is that about ? :)

It is a company that mines deiffirent cryptocurencies since 2013 this is my dashbord :

Since 2013. wow. as someone pointed out previous, it does pay out daily. So i guess you are making heaps on there. So you can also choose what currency to pay out too?

yep my friend i have a contract of 5 years i hope this site will last until 2025

so i guess you have already got back your principle + return? way to go brother!!

yep i did im thinking now about storage mining : siacoin and Burstcoin they are profitable

storage mining means GPU mining i guess? sorry i am too slow to catch up :(

I was detoured from cloud mining because of the low returns

Yes it is low return. I think the moment i know about cryptocurrency which is 15 days ago, the first thing i do is to purchase that. It has been ok so far. But then i know more like gpu mining, steemit and stuff. The learning curve is very steep.

cloud mining are giving lesser and lesser profit. hold mined coin for long term.

agree, i join cloud mining at first as I have no idea about cryptocurrency, but since then the learning curve is steep. but ultimately i want my own mining rig.

  ·  7 years ago (edited)

Hi @wilkinshui , I also started mining with 4mhs 2 months back. I immediately realized it was not going to be as profitable as I originally thought. I did see a very considerable decrease in returns from the first month to the second, it almost halved. Today I decided to re-allocate the hashpower to ETC and see if the return is better than that for ETH.

Thank you for sharing. I think my contract could not allow let me to switch, so i will need to stick with eth before eth turns into pos. But good that you join 2 months ago, which may mean that you are sitting at a comfortable seat as the coins have been increasing so much.

Not really, I've barely mined 0.4 ETH (it's a 4Mhs contract). I mined 0.15 in one month, afterwards the returns halved, perhaps due to the crazy market.

Your contract should allow you to change. If you want to, just go to the mining allocation section, select Ethhash then allocate the desired percentage to ETC.

However I just did that today, tomrrow I'll see whether the return is better.

thanks. so i can choose ETH or ETC to mine? the other says (auto) what does that mean? thanks man

Yes, you can chose these two for mining. The ones that say AUTO won't be mined, if you chose them, your plan will mine ETH then it will be exchanged to the coin of your choise

Sorry bout that. It will shoot up again. NO worries. I'm following.

thanks man, i hope so too. but with today, it seems the difficulty just up and up.

Nice post. I would love to hear more from those who have invested. What did they invest in, and for how much. Also did they scale up, and how fast. I just started today personally with the 30 mh/s package for 870.00 US or so.