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Cloud mining is an advanced strategy that takes cryptocurrency investments to the next level! That means you have to invest a little more – but the return could be much higher! (Remember, as with all forms of investment, you may not get back what you invested. And always seek professional financial advice before parting with your money.).
Let’s take a look at what cloud mining is – and how to start investing with it!
- What is cryptocurrency?
- How is cloud mining different from buying crypto?
- Where do I start cloud mining?
- Further investment tips
What is cryptocurrency?
Cryptocurrency is a hot topic these days! You’ve probably heard of BitCoin – but did you know that there are many other cryptocurrencies out there too?
The idea is that the currency is not a local currency like pounds sterling or US dollars. Instead, it is digital and international – and can (theoretically) be issued anywhere where this crypto is accepted as a means of payment. It uses blockchain technology to “mine” currencies. Blockchain uses many different computers to mine and manage the currency – which makes the cryptocurrency more secure.
There are THOUSANDS of different cryptocurrencies available – you can check them all out on CoinMarketCap.com to learn more about each of them.
Crypto is popular because it takes central banks off the market. That means it is separate from the money’s inflation control, which is controlled by the central banks. Other people don’t invest in crypto because they want to spend it at some point – but because they want to sell it when the price goes up! We’ve all seen BitCoin go up sharply lately, and if you invested in this currency ten years ago, you could be very rich now!
You can invest in cryptocurrencies by doing the research you want and setting up a wallet, e.g. B. with CoinBase. Transfer your real money to this wallet, and then you can buy cryptocurrency from there. Alternatively, you can also invest through a trading platform like eToro. For more information, see our guide to cryptocurrency investing.
How is cloud mining different from buying crypto?
Cloud mining is the next step in investing in cryptocurrencies. Instead of just buying the cryptocurrency equivalent (as you would with stocks and shares), you are part of the creation process!
Computer servers mine currencies using blockchain technology. This is how the cryptocurrency is “made” – and you can use this process with a little skill. You can make more in your cryptocurrency without putting any money in the currency – instead, you mine it. The more complex a hashtag puzzle is to solve, the higher the crypto reward for the miner.
However, this requires a lot of technical skill. If you don’t really know what you’re doing, it can seem too complicated to start mining. There is a solution, however: cloud mining.
Where do I start cloud mining?
Instead of mining the currency yourself – which is time-consuming and expensive – you can rent a server that has already been set up!
This takes all of your technical know-how out of the situation. So you only benefit from the results of mining without having to familiarize yourself with the specifics of blockchain technology.
Shame is one of the places to do this. According to their website, all you have to do is log into Shamining, select the contract type, and wait for your miners to work. Depending on how much you want to pay, you can choose from a lite plan to a heavier plan. You rent the servers for as little as $ 0.0109 per GHz / s of processing power (the higher-powered ASIC miners are more expensive, but you can get a higher return on investment – as with any investment, a higher risk can mean a higher return!).
Shamining mint BitCoin, an established cryptocurrency trusted around the world. Once you have signed up, you can start receiving funds into your account with daily withdrawals. BitCoin has an equivalent dollar value – so with shamining you can earn BitCoin which you can transfer to your online wallet for real money.
Further investment tips
If cryptocurrency isn’t for you – or you want to learn how to diversify your portfolio using other investment strategies, try these articles out next!
* This is not financial or investment advice. Make sure to do your own research and speak to a professional advisor before parting with money.
