The two angles of Ethereum mining
Typically, Ethereum mining is approached from one of two angles…
The first is to purchase all of your own equipment, learn all of the technicalities, and run a powerful computer with high specifications. This is great for those who love to get hands-on because you essentially have full control over your mining venture and the performance of your system.
But, despite Ethereum taking steps to reduce energy expenditure and allow household computers to mine, it is still costly when it comes to electricity. Plus, it’s no secret that Ethereum is very GPU-orientated (graphics processing unit), so you’ll need to acquire an excellent part to fend off the competition and discover those blocks first.
Now, the second way is much more beginner-friendly. It’s mining in the exact same way, but it’s utilizing a cloud service and tapping into their data center. Subsequently, you can avoid all of the technical jargon, expensive equipment, network issues and high energy bills. There aren’t as many cloud services designated to Ethereum as there are for Bitcoin, but there are still enough for you to secure a wonderful contract.
Moreover, there are still people that are completely oblivious to the advantages of cloud mining for cryptocurrencies. So, what exactly are the advantages of Ethereum cloud mining?
Opting for an online platform to do your Ethereum mining will give you much more flexibility. You’ll be able to choose from six-month contracts, two-year contracts, or even lifetime contracts, depending on how much you want to commit to it. Although flexibility is superb, it’s wise to avoid contracts which include extra fees throughout the process, as they’ll lower the amount of Ether you can obtain.
With cloud mining, there are various contract options with different prices, which means results will depend on your investment capability. If you’re on a budget, you could go for a shorter contract with less bandwidth and reduced mining power and see very limited results. Whereas, if you’re financially able to spend more, you could secure a longer contract with more mining power to discover blocks at a much faster rate.
The main attraction of cloud mining is the ease of use. All you need to do is find a service, such as Genesis Mining, select your contract length and terms, pay the upfront costs, then mine passively as and when you please on their platform. If you don’t know how to mine at all, then cloud mining will shorten the learning curve.