What is Cloud Mining?
Cloud mining is a process of mining cryptocurrency through the computing power from other sources, including a cloud mining service provider. Traditional methods of crypto mining require expensive mining equipment and computers that consume high energy. It led to issues related to sustainability and lower profits.
Using crypto cloud mining service means cloud miners never have to worry about managing complicated hardware mining equipment. Using crypto cloud mining services involves renting out hash power – a metric used to evaluate the processing and mining power of a network. Cloud mining allows users to earn money without heavy cloud mining investments. However, miners require a GPU or ASIC (Application Specific Integrated Circuit) to set up mining rigs. The ultimate objective of cloud miners is a cloud mining service to add single blocks to the blockchain by clearing complicated mathematical problems that require heavy electrical, mining, and computing power. Additionally, crypto miners get mining earnings through rewards directly into their accounts.
In this article, we will explore the best cloud mining sites in 2023 and discuss different topics related to cryptocurrency mining in terms of how they work, some useful metrics, advantages, and risks.
Importance of Cloud Mining
Cloud mining sites offer cloud mining services that are essential for various reasons. They offer a secure and convenient way to mine cryptocurrency from any part of the world using a stable internet connection. It is essentially useful for users who do not have access to proper mining hardware or resources to mine cryptocurrency independently locally. In addition, cloud mining sites provide more powerful mining equipment and higher hash power than users can afford. It means they get an additional bang and value for money when using the best cloud mining websites. Lastly, cloud mining technology services help eliminate the problem of uncertainty associated with crypto mining and encourage widespread adoption. With these mining services, users often do not have to worry about high costs since the providers of mining services secure cloud mining investments.
Best Cloud Mining Sites in 2023
Bybit: Transparent Fee Structure for Cloud Mining
Bybit is by far the best mining site in 2023, based in the Virgin Islands of Britain, offering one of the best user experiences with several incentives for active users. Although Bybit currently accepts only a few cryptocurrencies, the cloud mining platform will soon add more options in the coming years. It has a crisp and transparent platform for users to engage in smooth and legal mining, Bitcoin, Ethereum, and other cryptocurrencies. However, although Bybit does not charge any deposit fees, users may have to pay mining fees for the transfers they make on the platform. Bybit cloud mining also allows users to get into ETH mining at a low entry price. All they have to do is purchase the required amount of hash rate they want and harvest Ethereum from the cloud.
Best For (USP): Secure and legal cloud mining platform
- Risk-free environment to experiment and learn about cloud mining devices
- Advanced tools suitable for users with technical knowledge
- Lots of educational resources and free economic zone for beginners
- Has a convenient and intuitive proprietary cloud mining platform available on all devices.
- Minimum entry threshold
- Lacks necessary mechanisms to protect user’s interests
- Get access to Ethereum mining starting at $100
- Less worrying maintenance, operations, and hardware costs, including lower electricity consumption.
- Multiple subscription plans, including 7, 21, and 42-day plans
- Convenient crypto mining offering hash rates to data centers with shared computing power
Pricing: It’s based on trading volume and VIP level
Payout Frequency: Within 24 hours
Fraud Risk: Low
Minimum Investment: No minimum requirement
Minimum Payouts: Depends on chosen crypto
Supported Platforms: N/A
BeMine: Eco-Friendly Cloud Mining Practices
BeMine was established in 2018 as a unique cloud mining company based on the principles of security, modern approach, and transparency, allowing users to buy up to 1/100 of the share of a particular ASIC at reasonable prices that can be advantageous for mining starters. BeMine mining software allows users to buy and sell digital currencies and mining hash rates. It is one of the fastest mining hardware with 13-day free mining on AntMiner S19XP. At BeMine, users can instantly buy miners and mining contracts for 48 months and calculate their profits using the built-in calculator.
The platform also features a two-level referral program that gives 7% of the purchases made by the referrals in level 1 and 3% deposited into their account of all the purchases made by their friends in levels 1 and 2.
Best For (USP): Minimum learning curve, mining consultancy
- Provides easy and simple access for a seamless mining process
- Suitable for beginners with minimal learning curve
- Native token Pawā provides generous discounts
- Minimizes electricity consumption in mining cryptocurrencies
- Users can buy a part of ASIC miners
- Below par customer service
- Free cloud mining only for 13 days
- 13-day free mining on AntMiner S19 XP
- Referral purchases offer users a chance to earn commissions of up to 7% higher than other cloud mining companies
- Has integrated crypto exchanges for easy buying and selling of crypto
- For data centers having 70 mW/h total capacity, ensuring efficient and reliable mining operations
- Electricity cost of $0.054 kW/h that automatically gets deducted from users’ accounts
- Several deposit methods available including MasterCard, Visa, Bitcoin, PM USD, and others stablecoins and altcoins.
- Service fees:- 0.057 USD per kW/h
- Withdrawal fees:- 3% to 7%
Payout Frequency: Daily
Fraud Risk: High
Minimum Investment: $61 one-time payment
Minimum Payouts: 0.005 BTC
Supported Platforms: N/A
HashShiny: Customizable Cloud Mining Contracts
HashShiny was established in 2016 to allow users to find profitable mining farms and pools using the newest GPU rigs and ASIC miners. It has six different mining plans for professional mining rigs, including SHA-256 cloud mining, X11 hash cloud mining, Scrypt cloud mining, ETCHash cloud mining, Equihash cloud mining, and Dogecoin cloud mining. The platform also features a mining calculator to calculate the profits based on the current value of crypto and the mining hash rate.
HashShiny also features a robust platform with a highly intuitive and easily navigable user interface with professional mining tools and advanced features. It supports a variety of payment methods, including Visa, Maestro, PayPal, and Bitcoin. However, although HashShiny has data centers in different parts of the world, it does not provide its services or sell its products to users in mainland China.
Best For (USP): Safe and fast automated mining
- A wide variety of cloud mining packages for all kinds of users
- Convenient and secure way of owning crypto through customized mining solutions
- A wide range of payment methods, including Visa, Maestro, PayPal, and Bitcoin
- Fluctuating rates of profitability
- Subject to risks of fraud and other misconduct
- May charge higher fees and other additional costs
- Lowest price on electricity and purchasing costs
- Convenient pool allocation allows easy finding of the most profitable pools
- First payouts start within 24 hours and thereafter continue daily
- Live hash rate graph gives live data in real time
- Mining Switch grants control over mining process
- Fully functional Apple and Android apps integrated within the system
- Newest GPU rigs and ASIC miners
Pricing: $0.5 per 10 GH/s for SHA 256 Cloud Mining, $0.55 per 100 MH/s for X11 Hash Cloud Mining, $0.35 for 1 MH/s for Scrypt Cloud Mining, $0.25 per 100 KH/S for ETCHash Cloud Mining, $0.15 per 10 SOL/s for EquiHash Cloud Mining, and $0.80 for 1 MH/s for Dogecoin Cloud Mining
Payout Frequency: Daily
Fraud Risk: Low
Minimum Investment: $10
Minimum Payouts: Instant to 2 hours
Supported Platforms: N/A
Hashgains: Global Cloud Mining Network
Hashgains is a licensed cloud mining company that offers new-age mining equipment and simplifies the overall mining process of BTC, ETH, and other cryptocurrencies. The cloud mining machine helps users hit massive profits while offering excellent visibility into all investments. It offers free cloud mining as well as monthly and yearly subscription plans to suit all kinds of users. Although it is still in its initial stages of development, it sells a variety of products and services in the crypto mining industry. Hashgains runs its data centers with the help of renewable energy. Users must note that the mining process begins within 24 to 72 hours after their payments have been confirmed. The money gets issued to their wallet once they have fulfilled all the fundamental cloud mining conditions.
Best For (USP): Best for free cloud mining
- Excellent dashboard for easy monitoring of hash rates
- Processes deposits, and withdrawals instantly
- Above-par customer support
- Low-cost crypto mining
- Too many scams and security breaches
- Website may not be fully functional
- Low cost for support and maintenance
- Easy mining of Dogecoin, Bitcoin, Litecoin, Ethereum, and other altcoins
- Supports a variety of payment methods, including MasterCard, Visa, and digital currencies
- Simple and beginner-friendly user interface and dashboard that monitors revenue and hash rates
- Excellent customer service offering technical knowledge and assistance
Pricing: Starters plan at $29 mH/s, Topaz plan starts at $125, Ruby plan starts at $625 per 25 mH/s, $2,500 for 100 mH/s
Payout Frequency: Monthly
Fraud Risk: High
Minimum Investment: $30
Minimum Payouts: N/A
Supported Platforms: N/A
How to Choose the Best Cloud Mining Site
Define Your Goals
Before choosing the best cloud mining sites, users must consider their mining goals which depend on several factors like power efficiency, noise level, and hash power. Depending on individual circumstances and goals, users must proceed to set their budget and choose the type of crypto mining and mining scale.
Before selecting any cloud mining site, it is imperative to research the chosen company thoroughly. Check out the pricing structure and evaluate the fees to mine cryptocurrencies. Conduct extensive online research of the chosen cloud mining sites and browse through reviews posted by past customers to get a brief idea of the mining platform’s trustworthiness in providing mining cloud services. It is also important to check their security measures for successful and safe mining operations.
Check Customer Support
The best cloud mining sites generally provide efficient customer support via different channels, including live chat, email service, and phone support. Check the availability of customer support of the chosen cloud mining sites to minimize downtime caused by any difficulty in mining your preferred crypto that may arise at any time during mining operations.
Understanding the terms and conditions of the chosen cryptocurrency mining site removes the uncertainties that may arise after registering with the top cloud mining platform. In case of unfavorable terms and conditions, such as a long lock-in period can limit users’ profits or control over their investment funds.
Calculate Potential Returns
Cloud mining platforms offer different packages based on the computing power users are willing to rent. Remember, the more computing power they rent, the higher will be their potential returns. However, the cost also increases. Hence, it is important to calculate the potential returns before using cloud mining products.
Start Cloud Mining
After all the above important factors have been considered, users can go ahead to choose the top cloud mining platform, select a suitable minimum investment package, and a cloud mining pool, pay for mining cloud service, and set up their mining hardware to start mining cryptocurrencies.
How Does Cloud Mining Work?
Cloud mining platforms allow users to mine crypto by renting a part of the computing power in data centers set up for cryptocurrency mining.
To understand how cloud mining contracts work, check the steps mentioned below:-
Selection of a Cloud Mining Provider
There are thousands of cloud mining sites available in the market, most of which are scams. Hence, users can also try a reliable Bitcoin mining platform offering cloud service and conduct diligent and thorough research.
Choose a Mining Plan
The top cloud mining sites have various packages based on the hash power and computing power requirement. Note that high computing power gives potential returns but at a higher cost.
Mining operations offer rewards that are distributed among the users based on how much of the total computing power they own. To receive crypto mining rewards, users must create a wallet compatible with their chosen cryptocurrency.
Contract Duration and Renewal
Cloud mining sites vary substantially in terms of contract duration and costs depending on the type of cloud mining products being used. Typically, the best mining sites in 2023 offer monthly or yearly contracts that may cost anywhere between a few hundred dollars and a thousand dollars. The exact cost depends on the amount of computing power the platform provides and the duration of the crypto cloud mining contracts.
Useful Metrics in Cloud Mining
Hash rates refer to the number of calculations a miner can deliver in a second. A higher hash rate increases the chances of finding the subsequent blocks in a blockchain network and getting rewards. A hash rate is measured in terms of hashes per second or H/S. However, generally, it is represented in large units, such as megahash (MH/s), kilohash (KH/s), gigahash (GH/s), petahash (PH/s), exahash (EH/s), and terahash (TH/s).
Mining difficulty refers to the level of difficulty that miners face while trying to find the next block in a blockchain. The level of mining difficulty changes over time based on the number of miners that are currently operating. A higher mining difficulty requires more hash power to mine the same number of cryptocurrencies.
A block reward is the amount of crypto that miners receive for mining a fresh block. It is important for users to learn about the block rewards since it directly impacts their potential earnings. Remember that some crypto, such as Bitcoin and Litecoin, experience an event known as halving that takes place every four years, dividing block rewards into half.
It is a well-known fact that cryptocurrency mining consumes heavy energy, which can lead to considerable costs for mining crypto and other operations of all sizes. Energy consumption for cryptocurrency cloud mining is measured in terms of Watts. The mining set-up’s efficiency is measured in J/TH or joules per terahash. This indicates the amount of energy that crypto-mining hardware requires for computation. Efficient hardware requires lower joules per terahash leading to lower energy consumption.
Taking part in cryptocurrency mining pools through a cloud mining contract typically has pool fees associated with them. Fees for mining pools reduce a miner’s earnings; hence, it is important to understand this metric and how important it is to maximize returns from a cloud mining contract.
Cloud Mining Calculator
A crypto cloud mining calculator is used to estimate the amount of mining earnings that users can make in a month by performing consistent mining rigs. These calculators help users determine the best options based on the returns they are looking for.
Advantages of Cloud Mining
No Physical Space Requirements
One of the top advantages of using a cloud mining service is that it does not require any physical space to operate. They work by using special hardware devices known as ASICs to solve complex mathematical algorithms. However, a few cloud mining platforms may require some space for miners located in a residential environment.
A cloud mining site often provides users with options to mine various cryptocurrencies. Mining contracts are extremely flexible, allowing users to diversify their cryptocurrency mining portfolios and adjust hashing power whenever required to be able to increase earning potential while reducing mining activities if they lead to lower profits due to market conditions or other factors.
Crypto mining hardware may be costly, and more than often, the technologies become quickly obsolete. In the case of industrial cryptocurrency mining, users do not ever have to worry about additional costs since they are renting the mining software or hardware instead of purchasing them. Most cloud mining sites offer attractive, cost-effective solutions compared to purchasing hardware or other mining equipment and managing the entire setup. Cloud mining sites also provide access to computational power at a much lower cost than purchasing and maintaining independent mining equipment, saving tons of money on electrical energy and other additional costs associated with running an individual’s own setup.
With the best cloud mining company, users can use cutting-edge technology without prior experience. This makes cloud mining easily accessible as users do not require setting up any additional hardware or software. Hence, it becomes easier to mine crypto, especially for beginners getting started with mining rigs. Moreover, there is also greater accessibility to scaling up or down cloud mining contracts based on the user’s mining requirements. This feature ensures users can adjust their mining power to match their investment goals.
Setting up and maintaining a professional mining rig can be time-consuming and complex. On the other hand, cloud mining eliminates the need for any hardware setup, allowing users to start mining with a few simple clicks. Cloud mining companies allow users to access crypto miners from any part of the world conveniently. They are incredibly useful for users looking to move their mining rigs or are frequently traveling.
Risks of Cloud Mining
Lack of Control
While opting for a cloud mining company, users essentially give up their control over the cryptocurrency mining process. The cloud mining companies decide which cryptocurrencies to mine and the best time to sell. However, if the company ever goes out of the market, faces technical issues, or runs into any legal trouble, all the potential profits of the users fall at risk. Overall, cloud mining basically means users depend on their providers’ decisions regarding mining upgrades, maintenance, and algorithms.
Cryptocurrency cloud mining involves the transfer and storage of valuable virtual assets. Hence, security must be a top priority. However, there are major security concerns when it comes to cloud mining space. Cloud mining companies are filled with fraudulent operations and scams where some platforms have taken away money from their customers without providing any service. Hence, choosing a trustworthy and reputable cloud mining platform is crucial to avoid security breaches.
The crypto market is highly volatile, and the value of each digital currency can fluctuate every now and then. This means the cryptos that users earn from cloud mining can dramatically drop in price, affecting their return on investment. Hence, even with the market-leading cloud mining services, there is a chance of facing market risks.
The regulatory and legality of crypto mining activities may vary from one jurisdiction to another. Moreover, the regulatory policies are subject to change. Hence, it is important to understand the existing rules and regulations in the user’s jurisdiction as well as the jurisdiction where the cloud mining company is located to ensure that all parties are compliant with the relevant rules and regulations.
To sum up this guide on Cloud Mining Sites, it is imperative to thoroughly research the chosen cloud mining company before investing heavily in that platform. Check out the platform’s reputation on different cryptocurrency forums, read reviews of past customers, and explore its track record and operations. Any cloud mining website that has an established brand, significant scale, and a long track record is usually more reliable. It is also essential to understand the overall pricing structure of cloud mining contracts, especially deposit and withdrawal fees.
Additionally, consider the costs of equipment, maintenance, and electricity that are typically included in the mining contract price. One great tip is to avoid putting all the eggs in a single basket. It is better to use diversified investment strategies instead of relying on cloud mining for all investment returns or income.
Is Cloud Mining Suitable for Beginners?
Cloud mining involves a solution for anyone without the advanced software or hardware engineering skills required to optimize crypto-mining operations. Cloud mining offers great potential to make money passively for all kinds of users, including beginners.
Is Cloud Mining a Guaranteed Way to Make Money?
It is important to know that, like any other form of investment, cloud mining can also involve high risk without any guarantees of profits. The profitability of crypto cloud mining depends on different factors, such as mining difficulty, fees charged by the mining provider, value of crypto being mined, and cost of electricity.
What Is the Typical Duration of Cloud Mining Contracts?
The typical duration of a cloud mining contract depends on different factors. Miners can opt for selecting contracts with a duration of one year or choose short-term mining contracts that may typically range anywhere between 6 and 24 months in duration.
Can I Mine on My Own if I Want to Stop Cloud Mining?
Yes, one can mine crypto alone, but it is not always a standard approach. Earning block rewards from crypto mining can be hard if you are mining alone. Hence, most miners choose mining pools to increase their profitability.
What Is the Typical ROI for Cloud Mining Contracts?
The return on investment for cloud mining contracts varies from one cloud mining software to another. Generally, you can expect an ROI ranging between $50 to $200 per month, depending on the hash rate and the size of contracts you choose.