Bitcoin cloud mining also known as cloud hashing allows users to buy mining capacity of hardware from data centers. Thus, miners can perform their tasks and enjoy the benefits of bitcoin mining without the usual software, hardware, electricity usage issues, bandwidth and other issues of mining aside the online issues.
In bitcoin cloud mining, miners mine bitcoin remotely in the cloud. This equally means that they don’t need to pay for hosting, heat, and installation and maintenance issues.
Benefits of bitcoin cloud mining
- You don’t have to deal with extreme heat
- Noiseless as there is no continuously humming sound of fans
- You don’t bother with electricity costs
- You don’t have to get stuck with mining equipment to sell if mining becomes less appealing
- You don’t have to worry about on-time delivery of bitcoin mining equipment
Cons of Bitcoin mining
- Not easy to verify the transactions or mining operations that occur in the cloud
- If you are enthusiastic of building your own bitcoin hashing system, you won’t have that opportunity with bitcoin cloud mining
- Your profits or returns well decrease since you will have to pay some mining charges to the cloud operators
- The bitcoin mining contract can prevent you from performing further action. It can equally prevent the payment of your accrued mining funds if the pricing is very minimal
- You don’t have any bitcoin mining software.
- You cannot change the bitcoin mining software, the right to do or not do it rest on your cloud provider
You need to consider these differences and see if what you want is to make money online by engaging in regular bitcoin mining or cloud mining.