What is Bitcoin Cloud Mining?
So you’ve caught the bitcoin bug, eh? You want to mine bitcoin but you don’t have the room, time, or money to purchase and maintain the hardware necessary to do it yourself. If this sounds at all like you, then bitcoin cloud mining might be a good alternative.
In a nutshell, cloud mining lets you mine bitcoin via a remote datacenter with shared processing power. It’s sort of like hosting a website. Instead of having the physical server hardware at your house, you pay the hosting company a fee to remotely access and use the resources on their servers to host your website.
Types of Bitcoin Cloud Mining
As of this writing, there are three types of cloud mining:
- Hosted mining – you lease a physical mining server that is hosted and maintained by a provider.
- Virtual hosted mining – you lease a virtual private server (VPS) and install your own mining software.
- Leased hashing power – you lease an amount of the mining power (also called hashing power) generated by mining hardware hosted in remote datacenters. This is by far the most popular method of bitcoin cloud mining.
It is providers of this third form of bitcoin cloud mining that we will be reviewing.