On July 18, 2016 I invested around $2100 for buying a 13 TH/S mining power in Genesis Mining. At the time the price of the power was different from the current one. I am a researcher, so looking up for information is what I do for living. I did my own research on which cloud mining company is legit, and I picked Genesis Mining.
Yes, Genesis Mining is a legit company for many reasons and the company’s website says them all. First, they accept debit or credit card payments. I tried that option myself with a VISA debit card. However, when someone orders via debit/credit card, his/her payouts will be held for a 30+2 days. Genesis Mining does so “because of fraud and security reasons” (Service).
Second, the company’s office is in Hong Kong, but their mining facilities are in Iceland. This is a very wise choice because Iceland is a nature-friendly country and is known for its renewable energy program that supplies residents with electricity, which is helpful for mining of course (Aldred, 2008).
Third, customer service is available in the website whenever people need assistance or have questions in mind. The staff usually replies my ticket submissions within 10 minutes to 2 hours max. Sometimes I do not like the answer of the reply, but I will discuss this below once I finish talking about the advantages.
Fourth, Marco Streng, the CEO of Genesis Mining is all over YouTube, very popular in the field of cloud mining and a clever person. Other team member profiles can be found in the “About us” page of the website. It is to be noted that Genesis Mining team members travel worldwide for giving conferences, presentations and spreading the message of BTC love. The last one I recall was in April, 2017 in Jakarta, Indonesia (Blog, 2017).
Fifth, the most thing that can confirm the legimaty of the company is that I have been receiving payments so far. Here I am, after almost one year later, Genesis Mining is still sending me payments, which is great. However, this begs the question of whether I was able to gain a return on investment (ROI) or feel content about everything so far. The answer of the former is yes, but the answer of the latter is a big fat NO.
This section will discuss the cons of using Genesis Mining. Before initiating your payment to purchase hash power, you agree on certain terms and check a small box. In other words, this is the binding digital contract between you and Genesis Mining. The contract stipulates that I should get paid on daily basis. However, that term was breached several times. Sometimes I get paid daily and sometimes I get paid each two or three days. When I got in touch with them to ask why this happens, they replied by telling me that there is usually maintenance going on and that I should expect that to happen in the future.
As a researcher I failed. I focused on investigating about the legitimacy of the company only. I was so blind to study in depth the issue of: buying and holding Bitcoins vs. cloud mining. Let us calculate how much money I could have earned if I used the $2100 to buy and hold Bitcoins.
In July, 2016 the price of 1 BTC was around $700. $2100 ÷ $700 = 3 BTC. The currency price of one BTC is around $2,800. Multiply that number by 3= $8,400 (the money I could have made if I bought and held). On the other hand, how much have I earned from Genesis mining so far? $3,770. This is now equivalent to 1.34 BTC. Can you imagine the difference? Do you feel what I feel? I really do not want to see anyone go through what I have been through. Cloud mining is useless. Morale of that story: Buy coins and hold.
Please note that I also earned that amount of money ($3,770) from Genesis Mining because the price Bitcoin skyrocketed, which affects the payouts positively. What about those dark days when there is a panic selling or when the crypto-market bubble bursts? Trust me, you will feel so bad and ask yourself “why the hell I have been earning $1 or $2 daily for a while now after investing thousands?”. With the increasing difficulty of the Bitcoin, the $1 or $2 might even disappear by time and you might get your contract terminated, even if you choose the lifetime mining option (difficulty, 2017). To try to overcome such problem sometimes people upgrade their hash power, hoping that they could earn more. Unfortunately, they end up paying for the upgrade from their payouts.
Some people out there, in YouTube and other social media, will try to convince you that cloud mining is amazing. Also, they might give you a discount code that you can use should you get convinced. This discount code allows them get paid for the referrals, so they will get bonuses if you and others get convinced.
If you like my article, please upvote and follow me. If you disagree with everything I mentioned, or if you are still convinced that cloud mining is profitable, then please do both of us a favour and use my code in Genesis Mining hHTOY7. You will get a %3 discount on your purchase.
Bibliography:
Aldred, J. (2008, April 22). Iceland's energy answer comes naturally. Retrieved June 14, 2017, from The Guardian: https://www.theguardian.com/environment/2008/apr/22/renewableenergy.alternativeenergy
Blog, J. B. (2017, May 10). DinarDirham | Konferensi Blockchain dan Crypto Currency, 10 May 2017, Jakarta. Retrieved June 14, 2017, from YouTube:
difficulty. (2017, June 13). Retrieved June 13, 2017, from Bitcoin Wisdom: https://bitcoinwisdom.com/bitcoin/difficulty
Service, C. (n.d.). Customer Service Center. Retrieved June 14, 2017, from Genesis Mining: https://www.genesis-mining.com/customer-service
