The bitcoin cloud mining industry has been gaining momentum recently, as the popularity of cryptocurrency is growing. There are many mining startups, conferences, and events where people talk and share their experiences in crypto. As a rule, the demand for cryptocurrencies causes the emergence of cloud mining platforms with specific tools and services. Now people can engage in bitcoin mining without spending money buying expensive mining equipment and setting it up.
However, mining with farms is becoming increasingly unprofitable. The cost of maintenance exceeds the revenue, so investors do not invest money in the development of platforms. Users buy cryptocurrencies. Cloud mining service HashFlare is the market leader in terms of reviews and business transparency. In general, this company has an ambiguous reputation with a dubious history. In this regard, in this article, you will learn in detail about cryptocurrency mining on the HashFlare platform, its features, and disadvantages.
Cloud mining platform Hashflare: description
Hashflare is a bitcoin cloud mining platform where users can rent hash rate mining equipment. Plans are available for five major cryptocurrency algorithms:
Since 2019, the company has stopped selling hash rates and mining coins. In general, the company is likely to leave the mining operations business. So let me remind you once again: users cannot use Hashflare services because the organization does not sell hash rate and coins.
This article describes the key indicators of the cloud mining company Hashflare, its statistics, and features. It is worth noting that investing money in mining through Hashflare is not a reasonable investment. For this reason, investors are better off investing in a more profitable platform or buying cryptocurrency for storage. Below are all relevant items on Hashflare.
Carefully study all data so as not to lose money and time on the scam.
- Cloud mining in a Nutshell
- Cryptocurrency mining organization Hashflare
- Hashflare: mining operations and tools
- Pros and cons of Hashflare company
- Reviews and social media
- Final words
Before you know the Hashflare platform and its cloud mining contracts in detail, read the term cloud mining and its essence.
Cloud mining in a Nutshell
Against the background of general interest in the topic of cryptocurrency mining, it is becoming more and more difficult to earn funds on your equipment with a limited budget, and more and more time is required for its payback. In the context of the constant appearance of new players in the market, some ASIC miners no longer bring the desired profit. However, recently, it has become possible to rent cloud mining farms and start earning funds without purchasing equipment yourself.
In general, cloud mining is a collective term that refers to the process of renting a miner from a platform that takes on the responsibility and hassle of running the device. People do not need to buy bitcoin. As a result, users divide the funds received and gave the part to the mining company. These are so-called contract payouts.
As for my attitude to cloud mining, most of these companies are scams. They work according to the following scheme: they pay you the money of new users and then suddenly close the business (you can see here, here, and here).
Undoubtedly, there are still mining platforms with a good reputation and positive reviews on the market. For instance, Genesis Mining company is one of them. In this context, the Genesis platform is a legitimate and popular service, but not a profitable one. It is not a cost-effective investment, as it does not pay off in 99 percent. In this case, it is better to buy bitcoin and altcoins to stay in the black.
Some users assume that cloud mining is the only reasonable way to get cryptocurrency and minimize their risks with such an investment. On the one hand, it is a modern solution for users who are confident in the stability of the chosen payment method. Indeed, bitcoin mining sites are a kind of analog of investing in stocks, but with much more favorable forecasts regarding their price. On the other hand, there is a possibility of losing an amount due to fraudulent Ponzi schemes.
Cryptocurrency mining organization Hashflare
Hashflare is a cloud mining cryptocurrency company with popularity and success in the market. Another crypto expert mining company called HashCoins owned the Hashflare service. Unfortunately, many customers cannot view information about the Hashflare management team due to a lack of data. Through the mining platform’s website, you can rent high-power mining equipment for a small maintenance fee. In this way, you will receive passive income in proportion to your payouts and maintenance fees.
It is no secret that the Internet never forgets anything. Hashflare initially appeared on the market in 2015 and quickly gained the recognition of users in its sector. Since 2016, Hashflare has been operating as an independent enterprise with its mining contracts. According to current estimates, about 150 thousand customers a month use the services of the mining platform. HashFlare LP was registered in the UK with an official website Hashflare.io.
The features of cloud mining with Hashflare are that even a technically untrained user can start mining on the portal. The company takes care of all work:
- The setting up the mining hardware with its hash power and powerful CPU resources.
- The maintaining performance.
- The choosing the pool allocation.
At the same time, people protect themselves from the troubles associated with mining at home, such as noise, heat, or space.
A mining pool is a must-have for cryptocurrency mining. It is almost impossible to earn money on cryptocurrency mining on your own, so miners create groups with the combined computing power. After finding a block, participants get a reward according to their contributions. You should consider that the Hashflare equipment link with the necessary pools. You only need to set the percentage of allocated power to make calculations daily.
Hashflare: mining operations and tools
Let’s look at the features of the Hashflare platform and its mining contracts designed for customers. This approach allows you to better understanding the service and choose the best one in advance.
Let me remind you that until 2019, the cloud mining company allowed users to become customers through the conclusion of a mining contract. To date, it seems that the company no longer offers agreements. In general, the main principle of choosing a mining contract is its profitability. By the way, the income from mining can be influenced by several factors, depending on the type of mining contract. Below is information about the mining contracts of the platform.
Hashflare mining contracts
Hashflare offers a choice of three contract options (three types of mining power). If we talk about Bitcoin mining (BTC) on SHA-256, your income will be affected:
- Current mining difficulty
- The payment of directed power for mining
Revenue from Scrypt contracts for Litecoin cloud mining (LTC) depends on:
- Current mining difficulty
- The payment of directed mining
- The market rate of cryptocurrencies (Bitcoin, Litecoin)
Contracts in this category also provide additional service and electricity charges, which are $0.005 for every 1 MH/s. The maintenance fee is automatically deducted from the balance at the time of accrual of the collected funds.
The ETHASH, EQUIHASH, and X11 contracts do not provide for any additional maintenance fees. Such a mining contract is required for mining Ethereum and Ethereum classic. For a mining operation, it is necessary to constantly monitor changes in the factors influencing the production of the selected cryptocurrency. You can reinvest the coins in time to buy another more profitable contract. Use the best contract option also for DASH cloud mining and Zcash cloud mining.
To make it easier to decide on the choice of the contract for the purchase and its parameters, the developers of Hashflare recommend using calculators for mining (on the website Hashflare.io).
Account registration through browser
To get started, you should register on the official website of the service. The user must also have a digital wallet to withdraw cryptocurrency since this is the only way to withdraw funds. It is not difficult to become a HashFlare member and register because this procedure does not impose any special requirements. After completing the registration, you get access to your page. The personal page is the place where all the money management operations take place.
After making a choice, the user will see a window with a calculator. You should choose the amount of purchased capacity and the cost of the entire purchase. The next point is payment, after which the process of generating income begins. As a rule, at the end of the first day, the user can see the result of their investment. You can make an instant withdrawal to your digital wallet, but experienced users prefer not to make hasty operations and reinvest in the next stage.
By the way, the system provides ample opportunities to replenish the internal account. When buying a new contract, you can pay for it using:
- Account balance on the company’s website
- Cryptocurrencies on a personal BTC wallet
- By bank transfer or from a debit card of any payment system
- By credit card of any system
- The service allows you to withdraw money only to a bitcoin wallet
In this case, the output is carried out only in manual mode. To get money, you need to specify the address of your wallet and go to the appropriate section of the menu, specify the amount. If the funds are sufficient for a minimum withdrawal, you will get an email link to your email address.
The company has also developed special protection mechanisms against hacker attacks. Unfortunately, many people are exposed to threats from scammers, and they lose their investments. The most common is DDoS attacks, which break into the systems of any platform and organization. For this reason, Hashflare has developed DDoS protection for all users. Scanning for vulnerabilities will help you identify problems and reduce risks. Therefore, each person’s page correlates with such a mechanism.
Pros and cons of Hashflare company
In the Hashflare review, it is also necessary to mention such a point as the best bitcoin miners (equipment). According to many characteristics and a positive review, the following devices are leaders: the Antminer S9 and the Antminer S19. These efficient miners function for bitcoin mining and produce about 13 TH/s of power. For example, the purchase of the Hashflare equivalent is equal to $ 1040, and the purchase of a bitcoin miner is $ 853. However, this cost does not include the cost of electricity, installation, and delivery process. Therefore, users should choose a miner based on their wishes and preferences.
ЩToday, to calculate the amount of bitcoin, it is better to use a multifunctional bitcoin calculator. As a rule, the 13 TH / s of capacity (without electricity costs) brings about $ 222 per month. At first glance, it seems that this is a profitable business. Nevertheless, this is without taking into account the costs of maintenance, delivery, and electricity.
Indeed, if we consider the cost of electricity ($0.0035 per every 10 GH/s of SHA-256), the amount decreases and equals $ 85. Thus, it is worth thinking a few times before you start mining. Considering Hashflare services, payments are accepted in dollars, and payouts are made in bitcoin. With a stable bitcoin exchange rate, unfortunately, users will not receive any payouts and coins. Such a business becomes like money laundering and scam.
1) Bitcoin growth
In the modern world, the development of bitcoin and other cryptocurrencies reaches a peak. Many people invest in the purchase of bitcoin, a miner for mining and other devices. The world is changing and is not the same as before. However, the growth of bitcoin determines the decrease in income. It follows that users are increasingly facing difficulties and earn fewer bitcoins in the total amount. There is a strong relationship between price and mining difficulty.
2) Bitcoin decline
In this case, the situation becomes even more difficult. If the cryptocurrency exchange rate falls, you also run the risk of not receiving payouts from crypto services. You can take a look at the graphs where the correlation of the indicators is clear. For instance, the fall in the crypto exchange rate occurred against the background of the switch of miners to Bitcoin Cash.
Someone calls the company Hashflare a scam because the developers of this service have thought everything to the smallest detail. If you read the current contracts, maintenance fees, you can find a lot of ambiguous things. Firstly, the contract’s term on the site HashFlare.io does not limit the number of miners used. The contract is valid until the expiration date and benefits have expired. Also, according to the rules, Hashflare can terminate the document and close access to the account. To this, you should add the company’s right to cancel payouts and access to pool allocation if users violate the agreement.
Summing up, if the price of cryptocurrencies falls and you do not earn funds, the company will cancel the agreement. Such a moment can seriously affect profitability (remember the situation of bitcoin falling by 80 percent).
3) Hashflare: scam or successful investment
Any company tries to disguise its flaws and shortcomings. However, people are not naive because they are convinced from personal experience that it is not worth investing in Hashflare. This service is not a profitable and reasonable investment.
In July 2018, Hashflare announced the termination of its mining services and the shutdown of equipment under SHA-256 contracts. The main reason for such an announcement is the difficulty of making a profit. Perhaps an alternative option is holding (buying) bitcoins since no one can take your payouts. You do not need to enter into contracts and spend time studying the terms and conditions. Your freedom is your time and possession of coins.
4) Mining on video cards (GPU)
Having some idea of how to make money on a video card, you should know which video adapters are best suited for mining. An excellent GPU option is the AMD Radeon fifth series and higher. Since the total earnings will depend on the performance of this device, it is better to get flagships.
If you decide to mine using even the top-end graphics card, its performance will not be enough. You will spend a very long time before you get 1 BTC. For example, if the Radeon HD 7970 GPU is used, your result will be about 555 MH/s, and the daily production will be at 0.0031 BTC or 80 cents. At the same time, it should be borne in mind that during mining, electricity consumption increases. Therefore, this method of mining cryptocurrency is considered impractical. It is better to get acquainted with the GPU, its advantages and disadvantages in advance.
Reviews and social media
For all similar companies, it is better to apply the following rule: “trust but verify.” Therefore, before you start registering and entering into a contract, review the customer reviews. As for Hashflare, due to the referral program, the feedback is often ambiguous and fake.
Firstly, there are a lot of negative reviews about the company’s activities. By the way, the TrustPilot review notes a large number of fake positive reviews about Hashflare. If you consider at least one negative review, you will find complaints about profitability, fraud. In addition, the problem area of the service is the lack of customer support.
Indeed, every reputable and stable mining platform should have a great support service team. This mechanism allows you to create a foundation between the service and customers and to ensure trust. For this reason, I would not recommend using Hashflare. No one will tell you what to do in case of problems and force majeure situations.
By the way, Bill Gates spoke ambiguously about mining companies and cryptocurrency in general. In 2018, he stated in an interview that the anonymity of cryptocurrencies is not useful. He explained that the authorities’ ability to detect money laundering and tax evasion is a good thing. In his opinion, the speculative wave around crypto coins is too risky for those who play for a long time.
The most revealing situation regarding money laundering is the story of the Dominican Group. Several Dominicans organized a network to use a false and fraudulent scheme (creating 912 SLP). They constantly forged documents and forms either on behalf of the speakers or offshore companies. In the Dominican Republic, Sandra Caesar, Kimora Renata Harris, Deborah Merina Grant participated in this event. For instance, Sandra Caesar has 14 current and former records as an employee of the firm. In 2016, the United States filed a complaint about the confiscation of money belonging to several companies, including Korwald Transit LP, SLP.
To sum up, although the service is legitimate, it is better not to invest in this business. In the situation with Hashflare, the answer is clear: do not trust this service. Unfortunately, there are far more cases of deception than success. It is not even a negative rating but rather a mathematical calculation of earnings on the platform. Indeed, it is unlikely that you will be able to earn money through Hashflare.
Also, your wallet address never appears on the public blockchain, and nobody knows how many coins you have. In a world where large corporations trade, your privacy is an important factor. Secondly, this coin is ready to become a base for other projects. It is ERC20 and ERC223 compatible and supports smart contracts, which is the future of cryptocurrencies.
You can verify the algorithms of other coins via Hashflare to better understand the process. However, I repeat that investing in cryptocurrency mining is not a profitable business. Do your due diligence so that you don’t take any more risks.
Is Hashflare IO legit?
The Hashflare service is legal and operates based on contracts. Some positive reviews show the success of mining development. However, legitimacy does not equal responsibility and success. You are unlikely to earn funds through the Hashflare platform. You will spend more on maintenance fees and rent.
Does Hashflare still exist?
Unfortunately, there is no information about the closure of the service or its operation. In 2018, the platform’s founders announced the termination of current contracts due to a lack of profit. In 2019, it was announced on the official HashFlare page that the service intends to continue its activities. However, since then, there have been no signs of life from HashFlare.
Is Genesis Mining worth it?
Genesis Mining is the largest cryptocurrency cloud mining platform in the world. The user can rent “hashing power” in the form of a two-year contract from Genesis for one time. In turn, customers receive daily payments of any specific cryptocurrency for which they have purchased an agreement. The site is reputable and has a large number of positive reviews. However, again, cloud mining is not the best investment option. Use the Bitcoin buying and selling tool to get rich.
How can I withdraw money from Hashflare?
To transfer funds from your balance to your wallet, you need to make a withdrawal. You can create one withdrawal per currency every 24 hours. To do this, you will need to follow these steps:
- Go to the user panel and select “Dashboard.”
- Find and click the”Withdraw.”
- Select the sum and click “Withdraw.”
- Go to your mailbox and click on the link to confirm the withdrawal from the system.
As a rule, you can withdraw any sum from your HashFlare page. However, each withdrawal is subject to transaction fees to the blockchain for transaction processing and confirmation.