What will happen to cloud mining 2018?

What will happen to cloud mining 2018

In this article, we will discuss what will happen to cloud mining 2018 with regards to profitability. Companies that we will analyze and compare are Genesis Mining, Hashflare, ViaBTC, and Nicehash. Cloud mining has been around for quite some time now, taking praises and hits equally. Many would tell you that cloud mining is as profitable as it promises. Others (and a good portion at that) would tell you it is a history, never to be repeated again. This review takes a step further for the year 2018 by implementing short but thorough analysis of the industry.

We take a look at cryptocurrencies and their perspectives for the following year. Then, we go through planned forks, changes and governmental actions regarding the crypto industries. Lastly, we take a look at plans of major cloud mining providers, them being Genesis Mining, Hashflare, ViaBTC, and NiceHash.

We bring it all together into one cohesive conclusion, giving you a final and honest verdict on what will happen to cloud mining in 2018.

Cryptocurrency 2018 Perspectives

Bitcoin

Bitcoin, being the largest cryptocurrency in the world, holds the sway of the market. What happens to the BTC will inevitably spill over to other coins as well. So what will happen to bitcoin in 2018? To start off, we take a look at the planned forks and changes to the bitcoin in the following year. There are 25 planned BTC forks in 2018, with crucial ones being SegWit2X X11 (B2X), planned improvements on Bitcoin Core 0.16, Lightning Network, TumbleBit, and ZeroLink.

These forks propose improvements to the current bitcoin network through increased speed, block sizes, privacy and increased storage networks. The successful implementation of new coins that are related to the bitcoin would increase the adoption of the original crypto as well.

The year 2017 was the year where Bitcoin Cash and SegWit brought large value growth of the bitcoin, as shown below.

What will happen to cloud mining 2018 bitcoin chart

Thus, we expect for the trend to continue.

Lastly, there have been reports on Nasdaq’s plans on including bitcoin future contacts in 2018. The said event would do wonders for the BTCs exposure in the financial markets, probably pushing other stock markets to do the same.

Altcoins

Ethereum already reached a peak of difficulty in 2017, with expected supply cut down happening in 2018. The developers have already expressed a desire to keep the supply stable, thus we deem the value to grow further. Add to that bitcoin’s further development, meaning that many other altcoins would follow the suit.

Litecoin is expected to grow in 2018 as well, due to many important factors. The first one is Charlie Lee’s withdrawal from the LTC control. Providing a more decentralized environment, the developer would inevitably leave the supply to the market, boosting the sales and volumes in return. The second factor is the mining propositions and the general image of the coin being the investment, rather than currency converter, such as the case with BTC. Lastly, the development company would implement marketing team to push the coin further within the crypto markets.

Dash, with almost 5.000% growth in value within the year 2017, has much to look out for in 2018. The coin uses masternodes, individuals whose numbers are steadily growing and controlling the platform. Thus, we expect the coin to grow even further, due to its centralized yet democratic community pushing the Dash forward.

Zcash is not sitting tight while others are playing on the crypto stage. The major plans in 2018 include “Overwinter” and “Sapling”, improving security, speed, and privacy through protocol upgrade. These developments, apart from the general movement of other, bigger coins, would inevitably lead towards ZEC’s value spurt in 2018.

Overall, the value of cryptocurrencies will lead towards your profit or loss when purchasing cloud mining programs. The said analysis, if all current development plans stay true to their word, would lead towards really good profit margins in 2018.

Government Actions

2017 was the year that marked limited yet synchronized reactions of the governmental figures towards cryptocurrencies. Most of these reactions were negative, culminating with Chinese bodies pressuring different exchanges and mining farms to close their operations.

We would deem 2018 a year where two directions will be taken. First will be continued efforts of the financial institutions to try and control the market more than ever before. On the other hand, due to the eco-political struggles, many governments would try and create new crypto coins themselves. In either case, although several restrictions have been created in 2017, nothing stopped BTC or other coins in gaining value. Thus, we deem 2018 to be of the same theme in terms of growth.

What we do expect is increased regulation of the cloud mining services, potentially leading towards the increased program and daily maintenance costs.

Cloud Mining Providers and Their Plans

The following cloud mining providers are the cream top of the industry and their plans for 2018 are crucial for the market. Thus, we made a review of the four largest service providers in the world, them being Genesis Mining, Hashflare, ViatBTC, and NiceHash.

Genesis Mining

In the latest post-release, the Genesis’ co-founder, Marco Krohn, stated that the company remains vigilant and loyal to its cloud mining programs. It is expected for service to keep rising in the price as crypto coins grow over time. The current program pricing plans can be seen below (they start at 28th of February, 2018).

What will happen to cloud mining 2018 genesis mining

Hashflare

Hashflare, unlike Genesis Mining, has more concrete plans for 2018. The first is the introduction of the bitcoin cash as a mining program. It is to accommodate the growing number of customers looking for BCH plan. The company also plans to implement 3D web cameras on datacenters, as to provide proofs of mining operations.

The biggest change, however, is the transfer of the equipment from China & Germany/Europe to a new data center in Iceland. The objective of the move is to bypass the Chinese crackdown on cryptos and find a location that charges lower maintenance fees.

The pricing of the plans are redesigned on daily basis and the said strategy will not change in 2018, as shown in programs below.

What will happen to cloud mining 2018 hashflare

ViaBTC

Chinese cryptocurrency businesses are facing difficulties and ViaBTC is no difference. On January 9th, the company will close its current operations in China and seek mining location elsewhere, with Europe being the first target, according to the multiple news reporters.

The company made an official announcement as well, stating that cloud mining services are to be permanently closed. It is unclear whether the company will pursue the business in the period to come.

NiceHash

Following the recent large hacking incident of $60 million worth, the company announced that during 2018. All of the lost funds would be credited back to the users. The payback would be carried out in stages and parts while cloud services are to return to normal.

The incident has put the dent in the company’s reputation but also on cloud mining as well. The company also announced that increased security will be the prime goal of the year. No other news or plans have been released so far, signifying hard times for the company in the following months.

Bringing it All Together

In this article we have discussed what will happen to cloud mining 2018. Subjects that have been analyzed are forks, contracts, regulations and more. Cloud mining companies that we have discussed were Genesis Mining, Hashflare, ViaBTC and Nicehash.

The cryptocurrency industry is growing and 2018 is set to have new value and volume records crushed. Cloud mining, on the other hand, seems to be developing very slowly if not at all. Plans for 2018n of the big four are small in scope with ViaBTC closing its operations while NiceHash trying to recuperate after the hacking incident.

The governmental negative outlook on the cryptos was felt by ViaBTC and Hashflare, as both companies now need to transfer equipment outside of the country.

Bringing it all together, our final verdict is that cloud mining might be very profitable in 2018 – only if companies do not close their operations first. The general distrust, coupled with lack of concrete plans in 2018 apart from increased costs can hamper the industry greatly. Do keep in mind that a lot can happen in one year, especially where cryptocurrencies are concerned. If you are interested in reading more about cloud mining you can read our blog posts, introduction to cloud mining or make an investment in cloud mining step by step.

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