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The profitability of cloud mining of cryptocurrencies in 2022

The profit from cloud mining is the profit that a miner receives by mining cryptocurrency using the leased hash power. This depends on several factors, in particular, the available hashing power, the commission, the cryptocurrency exchange rate, and others. No less important factors are the size of the initial investment, the correct choice of the coin and its prospects in the digital coin market.

What is Cloud Mining?

The increasing complexity of cryptocurrency mining, the requirements for equipment and its price make miners pay attention to another direction – cloud mining. It is based on a data center that has huge premises with equipment used for mining cryptocurrencies. The hashrate is rented to users for a certain price.

Cloud mining companies offer several options that differ in hash power and cost. The higher the initial investment, the greater the return. At the same time, profitability depends not only on the hash rate but also on other factors.

Qualified personnel with mining experience maintains equipment in data centers. Such companies are based in regions with low tariffs, where there are no problems with heat removal. For example, in the northern regions of Russia, in Siberia, in some European countries, the USA, Canada, Iceland, Kazakhstan. With the growth of the customer base, the capacity of the data center also increases. The equipment used is optimized.

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How to start making a profit from cloud mining

Unlike classic cryptocurrency mining, cloud mining does not imply the need to buy video cards or ASIC miners, create farms and spend time setting them up. In this type of mining, investments and the ability to predict cryptocurrency rates in the future come to the fore. Miners choose a plan and a coin for mining. After payment, they receive a certain hash rate. Other issues are resolved by the data processing center.

The algorithm for generating income using cloud mining looks like this:

  • The choice of cloud service, the study of opportunities, options and commission fees.
  • Filling out an application for the selected plan and the check out.
  • Receiving payments to a cryptocurrency wallet.

This way of earning money is an opportunity to avoid the race for high-performance equipment against the background of increasing complexity. Data center employees are engaged in purchasing, configuration, optimization and other work. Representatives of the cloud service also perform the tasks of legal regulation of work and payment for electricity. The miner is obliged to make payments in a timely manner, taking into account the concluded contract.

It is important to choose the right data center and give preference to proven companies in order to minimize risks. For example, HashMartIQ MiningHashing24ECOS MiningSHAMINING, where users regularly receive transfers without delays. They can monitor the process of cryptocurrency mining with the help of special reports. At the same time, the latest ASIC chips and modern equipment are used. They guarantee high performance at an affordable price. The average profit can reach 30-40 percent or higher.

Cloud mining and high profitability attract scammers. You need to be careful when choosing a partner company. If a company offers a high profit in a short time, it is most likely a scam. Such services often attract users and subsequently disappear.

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Calculating the profitability of mining

Purchasing hash power in the data center is a kind of investment that requires preliminary calculations. The investor should estimate the size of future profits and possible risks. Before investing, it is advisable to calculate the ROI or payback ratio. It shows the potential return or loss on investments and is measured in percentages. For calculations, you need to know two things – profit and cost.

To calculate the ROI, the investments are deducted from the income received, and the result is again divided by your costs. The resulting number is multiplied by 100%.

Let’s consider these indicators separately:

  1. Income the amount received by the user of the cloud service from the use of purchased hash power. In other words, this is the profit from mining.
  2. Investments (costs) – funds spent on the purchase of a contract in a data center. The volume depends on the cloud mining tariffs and the selected hash rate.

The investments also include costs for the purchase of hash power. All that’s left is to calculate the profitability of cryptocurrency mining. For this, a cryptocurrency calculator is used. It makes calculations according to a special formula, which takes into account the main aspects, namely:

  • Performance of the equipment used (purchased hash power);
  • Commission fee of the used mining pool;
  • Equipment maintenance fee;
  • Power consumption;
  • The cost of electricity and the amount of consumed kW/h;
  • The difficulty of mining;
  • The current rate of a digital coin;
  • Payments for the block received during the mining process.

Having the necessary data at hand, enter them into the special fields and click the button “calculate.” In the case of cloud mining, filling in all the fields is not necessary. It is enough to indicate the total hash rate, service charge, and commission fee. Other fields, such as the rate, the difficulty of the mining process and the block reward should be automatically filled.

Hashing24 Mining Calculator

The result shows the monthly profitability. In order to calculate ROI, you need to use the formula mentioned above. The higher the rate, the better. For example, mining profitability of 60% shows that, with $10,000 invested, the miner receives 16,000. In other words, the net income is $6,000.

What determines the profitability

Size of the profit is variable. It depends on many factors. The following aspects affect the profitability of mining in a cloud data center:

  1. Hash rate. A person chooses what hash power to buy on a cloud service, taking into account financial opportunities. The larger the amount paid, the higher the hash power. Accordingly, the amount of earnings also increases.
  2. Block reward. The aspect is individual for each cryptocurrency. In many cases, it decreases with increasing difficulty. For example, in the case of Bitcoin, it dropped from 50 BTC in 2009 to 12.5 BTC in 2016. In the future, it will decrease.
  3. Difficulty of mining. With increasing hashing powers in the cryptocurrency network, the difficulty of mining coins also increases. In the case of Bitcoin, this aspect increased from 1 TH/s in 2009 to 12.97 TH/s at the time of writing this article. The greatest leap occurred with the appearance of ASIC miners.
  4. Service charge. Many cloud mining services charge a certain amount (percentage) for the maintenance of equipment and the employees’ remuneration. This aspect is also taken into account in the calculations and affects the outcome indicator.
  5. Cryptocurrency rate. The main influence on the profitability of mining is provided by the cost of the digital coin. It depends on the demand for coins, the behavior of large players, the news background, the messages of large countries about the prohibition/permission of turnover of digital coins, etc. With an increase in the exchange rate, the total profit of mining also increases.
  6. Pool commission fee – the percentage that is charged for participating in the extraction of digital coins.

The above mentioned main aspects affect the profitability of cloud mining. When mining cryptocurrency on private equipment, other factors are also taken into account – the cost of electricity, the cost of collecting the farm, etc.

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Summary

Before starting mining, it is important to make a profitability calculation for a particular cryptocurrency. However, when analyzing the result, it is important to remember about changes in the exchange rate. The value of digital coins tends to increase. Payments are made in coins, which can be stored in your wallet. You only need to wait when the cryptocurrency rate begins to increase. That is how hundreds of thousands of people have already become millionaires.

An important factor is the right choice of cloud mining service. It is necessary to take into account the company’s transparency, the period of its existence, hash power, commission fee and speed of withdrawal.

The Best Cloud Mining Platforms & Pools

The leading cloud mining platforms offer convenient services, profitable contracts for mining Bitcoin and other profitable cryptocurrencies; Crypto Mining Pools.

HashShiny

HashShiny - World's leading Bitcoin cloud mining. The faster, safer platform to mining Bitcoin. HashShiny offer a cloud-based solution for mining crypto currency for all types of users. More than 2,100,000 people mining here. HashShiny aims to extend business to the entire Cryptocurrency industry chain in the future and serve global users with technology innovations. New user get 5TH/S Bitcoin hash rate for Free.

Hashing24

Hashing24 - Bitcoin Cloud Mining with Most Advanced ASICs. Hashing24 provides turnkey renting solutions from the largest cryptocurrency mining data centers. Official reseller of industry leading companies. Data centers in Canada, Norway, Iceland, and Georgia. The newest ASIC chips. Air and immersion cooling technology. Ultimate performance at low cost. 100% uptime guarantee. Payout is based on overall network hashrate. Simply register an account, decide on the contract specifications (duration, hashrate, maintenance), make payment with fiat, bank wire or crypto and mine BTC instantly.

CCG Mining

CCG Mining is a platform for mining the most profitable cryptocurrencies. Contracts for cloud mining of Bitcoin, Bitcoin Cash, Ethereum, ZCash, Monero, Litecoin. The mining process allows you to reach the highest level of hashrate to increase your capital. CCG provides one of the highest hashing computing capacities in Europe. CCG provides customers with B2B and B2C services, simplifying the work. CCG Mining offers two ways to make a profit: Contracts for Cloud Mining and Mining Rigs. The price and duration of the contract depend on the selected coin for mining.

SHAMINING

SHAMINING offers modern cloud mining of bitcoin and other cryptocurrencies with instant payments; profitable contracts for bitcoin mining. Assembling your farm from special computers is an extremely expensive process that requires a lot of technical knowledge. The SHAMINING project comes to the rescue, which takes all the technical work on itself, offers a convenient service, transparent tariffs and excellent quality of miners. Choose the best GHs mining contract and start your cloud mining, get passive income, payouts to your cryptocurrency wallet every day.


EMCD Mining Pool

EMCD is the largest cryptocurrencies mining pool for sha256, Scrypt, Ethash and X11 in Eastern Europe with a capacity of more than 1.6 EH/s and offers one of the best commissions on the market of mining popular cryptocurrencies, minimum payment thresholds and the ability to receive daily accruals. EMCD operates on the FPPS+ model, which allows users to maximize their revenue from mining in the pool. The EMCD pool supports mining a large number of Proof-of-Work coins.

Bitland.pro

Bitland.pro is a highly profitable cloud mining platform without mandatory replenishment with guaranteed security of digital assets storage. Bitland was founded in 2017. The main office is located in Canada, Ottawa, and the main mining servers are located in Iceland and Canada. Choosing Bitland you get: Mining Bitcoin, Dogecoin, Litecoin, Tron and Tether; Recharge replenishment with Bitcoin, Dogecoin, Ethereum, Litecoin, Monero, Tron, DigiByte, Tether, Zcash, Perfect Money and Payeer; A random bonus from 5 Gh/s to 50 Gh/s is available depending on the level (from 60 to 5 minutes).

IQ Mining

IQ Mining is a cloud mining service developed for affordable cryptocurrencies mining. Cloud mining of Bitcoins, Ethereum and Altcoins. IQ Mining platform combines cloud mining with daily payments and Forex margin trading, options and cryptocurrencies, giving the opportunity to multiply potential income. IQ Mining is offering a wide selection of cloud mining contracts. Mining contracts with payouts in the most popular and trusted cryptocurrencies, 100+ altcoins and also a contract with a fixed payment in USDT. Choose a contract now and get the first payment to your crypto wallet tomorrow.

OKex Mining Pool

OKex Mining Pool - The leading crypto mining pool with 11 assets, as well as PoS assets, and daily revenue. Earn more with stable mining, real-time data, and hedging. Thanks to the unique architecture and advanced technologies, OKEx mining pool effectively prevents various attacks and maintains stable operation. The pool relies on PPS+, FPPS, and other settlement models, so you automatically get revenue daily and can check real-time revenue data. OKex guarantee reliable 24/7 mining service thanks to the multi-node deployment around the world and professional technical team.

Binance Mining Pool

Binance Mining Pool is a comprehensive service platform dedicated to improving the income of miners. Secure and Transparent - Hashrate is displayed in real-time while the Binance security team safeguards your assets. Steady Earnings - Using the FPPS, PPS+ model and instant settlements, you can avoid fluctuations in earnings. Comprehensive Service is committed to improving miners' income, closing the gap between mining and trading, and providing a one-stop mining ecosphere.

CryptoUniverse

CryptoUniverse Cloud Mining is a multi-functional cryptocurrency cloud mining service; leading hash rate and mining equipment provider with 3 data centers and 41000+ ASIC miners. Service is a partner of the world's largest exchange, Binance. Has been created in 2017 on the basis of one of the most powerful data centers in Europe with a capacity of more than 48 MW. Promotes absolute transparency in work. 


ECOS Mining

ECOS-M is a high-tech platform, specialised in sharing computing power. Here are key features of the service: ECOS mining capacities work in partnership with the largest mining pool - BTC.com; a transparent system of using real computing equipment on mining farms; flexible system of mining - contracts.
ECOS Mining Platform is a resident of a free-economic zone with special tax conditions. ECOS Cloud Mining gives an opportunity to lease real capacity of equipment for BTC mining. The advantage of ECOS Mining among similar services is in the lowest commission at service operators, competitive value of electricity and the absence of tax encumbers.

BITDEER

Bitdeer is the world's leading computing power-sharing platform, where users are provided with a full range of cloud mining solutions. This alleviates users' from complicated processes, such as the procurement of mining equipment, the logistics of transport, power management, and the operation and maintenance of the mining farms. Users will be able to place an order and enjoy the services with a single click.
As the world's first platform delivering real computing power to the smallest 1 TB, Bitdeer features traceable computing capacity, direct mining payment, straightforward and transparent pay outs, and customizable service plans. Bitdeer provides genuine, transparent, secure and convenient services, making it possible for anyone to take advantage of mining.
Bitdeer has served users from over 200 countries and regions around the world with monthly traffic of over 2.5 million. Bitdeer also operates hundreds of thousands of specialist mining machines from professional mining farms in Europe and America. Bitdeer not only ensures stable and consistent operation, but also strives to provide top-notch computing power-sharing services to its customers worldwide.
In strategic partnership with Bitmain, an industry-leading mining machine manufacturer, Bitdeer aggregates the world's top mining pools from across the world, such as BTC.com, Antpool, F2Pool, ViaBTC, and BTC.top, aimed at providing users with more flexible mining options.


HashMart Cloud Mining

Hashmart is a simple and affordable cloud mining service; it is based in Cyprus; it offers contracts for mining Bitcoins and Ethereum from data centers in Siberia (Russia). Hashmart uses the technologies of leading companies and manufacturers of the industry, such as Bitmain. You get maximum performance at low cost. Hashmart does not require any additional fees for paying for orders or for withdrawing funds in cryptocurrency. Hashmart provides the best possible cloud mining experience with a substantial hash power of 150.5 Ph/s. Zero risk of downtime, advanced ASIC chips that allow you to mine coins in the most efficient way. Choose your plan, specify the required hash power and start mining with Hashmart today! Hashmart offers several mining contracts, which differ in hash power, service fee and some other details. The most popular options are a 12-month bitcoin plan and an open plan, providing performance of 300 Gh/s and 250 Gh/s, respectively. The higher the hashing speed, the more mining opportunities that you can take advantage of. Therefore, be sure to carefully consider your options when choosing a contract. 


Gate.io Cloud Mining

In August 2021, Gate.io launched a cloud mining service that will allow users to purchase cloud mining contracts starting from $47 and receive income equal to 70% of annual profit.
Gate.io is a leading global asset exchange, including fiat trading, crypto-crypto trading, margin trading, Futures, ETFs, Hodl & Earn, Startup and much more, as well as Cloud mining. It provides you with secure, reliable and transparent trading services and real-time market information for hundreds of digital assets, including Bitcon, Litecon, Ethereum and others.

APOLLO Miners

Apollo Miners is offering a wide selection of mining contracts. Mining contracts with payouts in the most popular and trusted cryptocurrencies, 100+ BTC Coins and also a contract with a fixed payment in USDT. Choose a contract now and get the first payment to your crypto wallet tomorrow. Apollo Miners provide a dynamic mining solution to clients, as well as a smart fund with flexible time and investment amount. Apollo Miners platform combines mining with daily payments through cryptocurrencies.


MinerGate Mining Pool *

*) Note: MinerGate is a GUI miner.
MinerGate, a multicurrency mining pool with a broad spectrum of products, has been successfully operating since early 2014; provide user-friendly mining software, reliable 24/7 support service, and a helpful community; support 4 major mining algorithms, including Ethash, Equihash, CryptoNight & Scrypt. Currently, MinerGate host 11 mining pools for every supported coin, and a merged mining pool designed especially for CryptoNight ASICs. The core insight that led MinerGate to success was the CPU-mining adaptability, which allowed thousands of hundreds of cryptocurrency enthusiasts to effectively mine coins on decent home PCs, regardless of the dominance of powerful mining farms. MinerGate provide its services in two main forms: simple GUI desktop miner, and CLI console mining solution for more experienced miners. It’s attracting over 400,000 of active users monthly and this number continues to grow. Mining pools:Monero XMR, Grin GRIN, Bitcoin BTC, Ethereum ETH,Ethereum Classic ETC, Zcash ZEC, Litecoin LTC, Bitcoin Gold BTG, Block Producer EOS, TRON Representative TRX, ICON Representative ICX.