Cloud Mining Earnings October 2014
October 2014 Cloud Mining Earnings
Our cloud mining net income (after maintenance fees) for October 2014 was 9.955603698 BTC.
Our September 2014 cloud mining earnings were 7.608116 BTC, so we experienced an increase of 2.347487698 BTC in cloud mining earnings.
A detailed breakdown of our cloud mining earnings are as follows:
Using today's exchange rate of LTC/BTC=0.01093, 837.922281607 LTC is 9.158490538 BTC (91.99% of Earnings)
Product Name/Hash Rate : ASIC 1K6X Anniversary (4 sets ordered) / 864 MH/s
(2) Genesis Mining (Account 2) : 0.75743816 BTC (7.61% of Earnings)
Product Name/Hash Rate : Altcoin Mining Contract / 100 MH/s
(3) PB Mining : 0.039675 BTC (0.40% of Earnings)
Product Name/Hash Rate : 5 Year Contract / 100 GH/s
This month, we omitted, cloud mining services with mining payouts less than 0.0306 BTC, or $10 at the current Bitcoin price of 1 BTC=$327.
Our Total Cloud Mining Income is Now 17.563719698 BTC.
This is our second month since we began reporting our cloud mining income in September 2014. Total mining income has reached 17.563719698 BTC.
At current Bitcoin price of 1BTC=$327, this is $5,743. We had a total of $5,743 in cloud mining earnings in September and October, 2014.
Our October 2014 cloud mining earnings of 9.955603698 BTC was $3,255.
However, we don't plan to exchange our Bitcoins for USD.
Our plan is to hold on to our Bitcoins for a very long time:)
Why October 2014 Earnings Were Better than September 2014 Earnings
October 2014 earnings of 9.955603698 BTC were higher than September 2014 cloud mining earnings of 7.608116 BTC.
We believe there are 2 reasons for this:
(1) Rise in difficulty was almost covered by FREE share multiplication at Litecoin GEAR
Nearly 92% of our cloud mining earnings came from Litecoin GEAR. During September and October, Litecoin mining difficulty rose from 27,024 on September 1st, 2014 to 39,642 on October 30th, 2014, about a 147% rise in difficulty.
However, Litecoin GEAR offers FREE share multiplication feature to compensate for rising difficulty levels. There was a FREE share multiplication event on September 24th, in which our shares were multiplied by a factor of 1.35, an effective 135% rise in hash rate.
Thanks to the x1.35 FREE share multiplication, the impact of difficulty on our payouts was minimal.
(2) There were 5 payouts from Litecoin GEAR in October as opposed to 4 in September
Payouts from Litecoin GEAR are on Fridays now, and October had 5 payout days instead of 4 in September. This has had a big impact on October 2014 earnings.
How Diversification is Working Out
In September 2014, we concluded that diversification was needed, since 91% of our earnings were from Litecoin GEAR. Most of our eggs were just in one basket!
While we were and are very satisfied with our results at Litecoin GEAR, we believe that diversification is essential in any investment including cloud mining contracts.
Today, we have yet to diversify, and 92% of our October earnings are still coming from Litecoin GEAR.
However, throughout October 2014, we were testing new services such as GAW's Hashlet Prime, ZeusHash for scrypt cloud mining, and GAW's Hashlet Genesis and Bitmain's Hashnest for Bitcoin cloud mining, to see which services would be suitable for us to diversify our cloud mining contracts to.
Although nothing is concrete yet, we are making progress in the number of companies/services we can choose from. We will provide more updates once our options are narrowed.