Hashflare is a cryptocurrency mining platform. Instead of mining Bitcoin or other cryptocurrencies such as Ethereum or Litecoin on hardware you physically own, you rent hardware in the cloud.
I came across cloud mining a few months ago and I promised myself that in 2018 I would give it a proper go to see if it's a genuine money making opportunity.
My Hashflare Experiment
I'm putting real money into this, albeit, a small amount (as I plan on test driving a bunch of different cloud mining companies).
I've bought a small amount of mining power and plan to report back in this post how it profits over the coming year.
Buying Hashrate
On hashflare and other cloud mining companies, you're not buying physical hardware. You're buying a service. Basically you are paying them a fee to handle the entire mining process. Setting up hardware, making sure it's powered, updating software etc etc.
You just need access to a web browser. They do everything else.
How much does Hashflare cost?
Starting mining on hashflare can be done with as little as a couple of dollars. Although that isn't going to buy you much mining power. At the top end, you could potentially spend thousands of dollars.
When you buy mining power, you buy it for a year. All contacts on Hashflare last for a year.
What can you mine on Hashflare?
You can currently mine Bitcoin, Ethereum, Litecoin and Dash. However all payouts are made in BTC.
The BTC equivalent value of the coins you've mined is deposited into your account daily. It should be noted however, if you've purchased a really small amount of hashrate, it may take a few days to see a deposit as the amount you've mined will be tiny.
Buying more Hashrate
You can choose to reinvest or withdraw your BTC. If you choose to reinvest, that money will be used to start a new contract. For the purpose of my experiment, i'm not going to reinvest so you get a very clear idea of the profitability.
Mining Pools
Hashflare allows you to choose the mining pool you're in. For beginners, it's best to just leave it set as the default option. I plan to test the different mining pools to compare profitability later on.
How profitable is Hashflare?
It depends. The higher the price of BTC, the more you'll most likely earn. I'll post my results here as they happen over the coming 12 months. Currently my forecasts estimates around a 10% return. This is obviously better then what that same money would earn in a bank account, but it really depends on the BTC price.
