People are now obsessed with crypto currencies to the extent of doing anything possible to get something in their crypto wallets because they now believe this is the way to go in this Era.
There are so many way of getting crypto currencies and this include MLM were people invest and are later paid or Ponzi schemes were people invest and then start recruiting so that their network grown and its survival depends on the size of the network which will also increase the money being injected in to the scheme.
You can either buy your crypto currencies from the exchangers and just store in your crypto wallet or you can invest in crypto mining firms and get rewards from your mining investment either on daily or weekly basis depending with the payment plan used in that firm.
What is crypto mining?
This is a process of adding transactions from different crypto currencies to a digital LEDGER on blockchain and verifying them. This process requires heavy machine with adequate hardware and electricity, but this process is power consuming, therefore costly to do crypto mining. The mining can also be done on mobile phones which run on android software.
What are crypto mining firms?
These are the companies with crypto mining farms and they are into the crypto mining business. The mining process requires very powerful hardware and this is costly and it requires well established companies as it requires more money to invest.
How do mining firms operate?
Most of the mining firms’ offer cloud mining services to their investors so the investors will have to select the investment package preferred and this will show the hash rate and the price of that package and you will also have to select the crypto currency coin you want to mine.
Then after you setup how you want to be paid, either you select auto reinvest or you will be paid daily after setting up your preferred wallet.
Is it profitable?
Maybe in the long run it is profitable but on the short term basis it is not profitable, it’s not something you invest on and expect to enjoy profits after a few months, it will take you years. The mining firm absorbs the mining costs so for it to realize profits it will take them years. So for them not to incur much losses they will have to pay less to their investors for them to survive in the business.
How riskier is it?
Investors are on the verge of losing money as it will take them year to recover their initial investment as the process is costly to the mining firm so their mining contracts can last for 2 to 5years, but if the investment period is that long a lot can happen and you might lose your hard earned money for example just like what happened with The Bitclub Network, investors lost millions of dollar as the company just varnished. Other mining firm might be lying when they do not own even a single mining firm.
Conclusion
If you are to invest in crypto mining firms it’s wiser to do a proper research and invest money which you do not expect to use soon as this process takes years. There are MLM and Ponzi schemes which promises investors that they will pay higher rates over night, beware of those better run with your money because if you don’t they will prey on you.
