Genesis mining was founded in 2013 an is one of the oldest Bitcoin companies around. It’s definitely one of the most well known companies when it comes to cloud mining.
The miners on the farm are able to mine Bitcoin, Ethereum, Dash, Monero, Litecoin and Zcash.
So, is it profitable to cloud mine Bitcoins?
Since there are six different currencies that can be mined I want to focus only on Bitcoin cloud mining for the moment since I believe it’s the most popular product on Genesis Mining
2014-2015 Bitcoin difficulty vs. price
Bitcoin price: down 2.45x
Bitcoin difficulty: up 34x
2015-2016 Bitcoin difficulty vs. price
Bitcoin price: up 1.36x
Bitcoin difficulty: up 2.5x
2016-2017 Bitcoin difficulty vs. price
Bitcoin price: up 2.29x
Bitcoin difficulty: up 3.05x
As you can see the difficulty is always going up, no matter what’s happening with the price. And for the past 3 years it’s been going up more than what the price itself has.
So should I mine Bitcoins at home instead?
If you mine at home with the same hash rate (1.19 TH/s) at today’s difficulty you’d be making twice as much. However, you will be paying for the hardware, cooling and maintenance for yourself. So it’s not safe to say that mining at home would be profitable as well.
Genesis Mining
The company seems legit but I doubt if it’s a good investment. Seems like I would be much better off just using my money to buy Bitcoins instead of using it for cloud mining contracts. If Bitcoin’s price goes up – I would be making more money, and if it went down, I would be losing less.
The not so legit mining companies will probably show greater profits because they usually hold stop paying at some point.
Keep in mind that this review was made especially for mining Bitcoins, other currencies may still be profitable in these cloud mining schemes.