"CryptoNick" at 17 years old becomes the a Bitcoin Millionaire overnight
Did you miss the Bitcoin Rally? Well, you may have missed one of the largest single asset appreciation in history, but its not too late to profit from the Bitcoin revolution. With 17 year old Youtuber kids mining over several million dollars a year, is cloud mining Bitcoin profitable for you? What is cloud mining Bitcoin?
When Satoshi Nakamoto invented the Bitcoin system, he purposely allowed for only a finite number of Bitcoin into the system, which is 21 million Bitcoin. Hence, with the limited number of supply in the system, and the increasing demand for Bitcoin as a stored digital currency, simple economics states why Bitcoin has been reaching skyrocket prices of late. With this total supply, Satoshi allow for the system to allocate a limited supply each year with computers mining for these unallocated tokens. In simple terms, for every block chain decoded, a release of 12.5 Bitcoin would be release from the system. This 12.5 number is allocated for 2018, 2019 and 2020, and then significantly drops again to only 6.25 BTC per block.
Fig1. Source: https://en.Bitcoin.it/wiki/Controlled_supply
With Bitcoin rising from $1000 to over $19,000 today, what started as a gamer part-time hobby of mining Bitcoin has turned into a multi-billion dollar gold rush of mining Bitcoins. With today advance 16 nm technology combined with specialized ASIC machines, cloud mining has displaced the at home hobbyists on mining. Simply put, you do not have to deal with rent, electricity cost, cooling and the maintenance of the machines. You can purchase a contract that allows you to lease their equipment for 1 year time frame. Lets see how this works.
Here is a sample payout for a Bitcoin mining contract at difference intervals:
As you can see, at a Bitcoin price of $19,000 USD per BTC, an average annual return on a $100 contract is $511.49 or a 411% return on investment (ROI)! This calculation is taking into account a 18% Pool Fees and at the current difficult level set by Bitcoin. As more and more people enter the mining pool, the difficult level can increase, causing the ROI to drop accordingly. For a $10,000 contract, you can make up to $76,341 a year. Is Bitcoin mining profitable today, you tell me!
Of course, the price of Bitcoin is volatile and dependent on market conditions, so lets takes a look at our breakeven point.
Based on the table above, keeping the difficulty level the same, the price of Bitcoin would have to drop to $3,735 on average for you to break even with the contract. Similar to an asteroid that can hit the planet, but I would consider those odds to be quite low.
Based on this data, I would conclude Cloud Mining for Bitcoin is a very profitable venture today or at least unit 2020, so go out there and join the Bitcoin revolution. Start small, and learn as much as you can before investing your money.
All data was collected on 12/18/2017 from Hashflare. The price of the cloud mining contracts are in limited supply and may change in price with market demand. The price of Bitcoin is extremely volatile so please base your decision on current market data.
Hashflare was used for the collection of this data. The author has no affiliation with Hashflare. The views expressed herein are exclusively those of the author, and are not meant as investment advice and are subject to change. No part of this report may be reproduced in any manner without the express written permission of the author. Information contained herein is derived from sources we believe to be reliable, however, we do not represent that this information is complete or accurate and it should not be relied upon as such. All opinions expressed herein are subject to change without notice. This information is prepared for general information only
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