Cloud Mining ROI at Genesis Mining - Oct. 11th Daily ROI 0.84% - TOTAL ROI 28.92% After 25 Days of Cloud Mining！
Cloud mining ROI at Genesis Mining was 0.83% for Oct. 11th, 2014. We have 3.1801595384 BTC invested for 100 MH/s of Scrypt cloud mining, and our daily mining results were 0.02655897 BTC, which was 0.83%.
Our total earnings from Genesis Mining is now at 0.9196824 BTC. This is a TOTAL ROI of 28.92% after 25 days of cloud mining.
30% return in less than 1 month in the form of payouts is unheard of in traditional investments such as public stocks or real estate (even in annualized returns, 28.92% is too high).
These kind of returns are only possible because the crypto cloud mining is still very young (less than 2 years old), unregulated, and the number of investors involved is very small compared to traditional investment vehicles.
Another point to remember is that while 28.92% in payouts has been paid, the principal of the investment, which is the hash power, is a depreciating asset.
Unlike real estate or stocks, which are usually appreciating assets where the value of the asset goes up over time, cloud mining contracts or hash power, if considered as an asset, are depreciating assets by nature that go down in value over time.
For example, around April of this year, Genesis Mining was selling 1MH/s for $180. But, 6 months later in October 2014, they are selling 1MH/s for $14.99. The price has gone down by more than 1/10!
We purchased our the current mining contract from Genesis Mining at $14.99/MH/s and the price has stayed the same since, but we wouldn't be surprised to see the price of $1.50/MH/s 6 months down the road by April, 2015.
It's important to keep in mind that the speed of value depreciation is very high, and that your principal will lose its value very quickly.
Because this is the case, we believe it's important to
(1) Choose a cloud mining provider carefully based on price per hash rate. If you look at hashrates offered by cloud mining companies, there is a big difference in price per hash rate! If you are looking for ROI, it makes sense to buy where mining power is cheapest, while also taking into factors such as transparency, ease-of-use, frequency of payouts, etc.
-Litecoin GEAR : $.5.76/MH/s ('ASIC Share 1K6X - Anniversary' with discount coupon 'anniversary1yr')
-GAW Miners : $15.95/MH/s ('Multi Hashlet', Hashlet Solo)
-ZeusHash : $15.99/MH/s ('LTC Cloud Node Contract')
(2) Choose a cloud mining company that allows trading of hash power. Some cloud mining companies allow trading of mining power between users while others don't. Since hash rate is on a steady downward trend, it may be wise to make a strategic decision to sell your hash power to finalize gains at some point. Currently, among the services we have tried, those offering trading of mining contracts are
and CEX.IO is also known for its trading feature for GHS.