With tight competition coming from Genesis Mining and ViaBTC, Hashflare is pushed to offer competitive plans for the customer base. Like their counterparts, the cloud mining platform depends on its reputation and on cryptocurrency market trends. Thus, we made this review to compare the Hashflare with other service providers, like Genesis Mining and ViaBTC.
Read on, as we investigate different coin programs, the price of the plans and potential profit figures that you can make using the platform’s services. 2017 was a record year for cryptocurrencies and cloud mining investments. Read more about what will happen to cloud mining during 2018.
General Information about Platform
Owned by HashCoins, the Hashflare opened its online business in 2015, offering cloud mining plans and services for cryptocurrency traders. The platform offers four cryptocurrencies for the cloud mining plans. Programs themselves are divided into 5 distinctive products, Scrypt, SHA-256, Ethereum, Zcash and DASH cloud mining programs, as shown below.
Hashflare is right in the middle when it comes to a number of cryptocurrencies that you can use for cloud mining, two less than Genesis Mining and one more than ViaBTC. The contract duration stands at one year, which is a shorter time than at Genesis, as the other platform offers 2-year deals.
As with other two platforms, there is no verification process set upon you if you wish to use the plans. Service is globally available, while the accepted payment methods are bitcoin deposit, wire transfer, credit card and Payeer. Hashflare thus has an upper hand in deposit section, as Genesis Mining uses only credit cards and bitcoins, while ViaBTC uses solely cryptocurrencies.
Scrypt Cloud Mining
The Scrypt cloud mining offers bitcoin contract using the mining service based on Scrypt’s algorithm of the company. The plan lasts for 1 year and the maintenance fee stands at 0.005$ per day. The payout is expressed in BTC coins, which is made on daily basis as well. The minimum amount of hash power that you can purchase is 1MH/s ($7.5) while the maximum is 10 GH/s ($75.000).
SHA-256 Cloud Mining
Bitcoin has another cloud mining plan, which concerns the company’s mining services using the SHA-256 algorithm. The said program has a minimum of 10 GH/s ($2.2) while the maximum is 100 TH/s ($22.000). The contract length stands at 1 year while maintenance fees that you need to pay daily are 0.0035$. This plan also pays you BTCs on daily basis.
Ethereum Cloud Mining
Ethereum cloud mining program uses GPU rigs as mining algorithm, while the contract length is 1 year, as all other plans at Hashflare. There are no maintenance fees that you have to pay. The minimum amount of power stands at 100 KH/s ($2.2) while maximum amount that you can purchase is 1.000 MH/s ($22.000). The payout is automatically done on daily basis, expressed in ETH coins that you would get on your Hashflare wallet.
Zcash Cloud Mining
Zcash program also uses CPU rigs for mining and there are no maintenance fees. The plan offers minimum 1 H/s for a price of $2.0 while maximum amount that you can get is 10.000 H/s for a price of $20.000. The payouts are made in ZEC currency on daily basis to your balance.
DASH Cloud Mining
DASH plan offers DASH mining services that are based on an X11 algorithm. There are no maintenance fees and payouts are expressed in DASH crypto coins, paid to you on daily basis. The minimum amount of hash power to start the program is 1 MH/s, which costs $3.20 at the moment. Please note that the plan is out-of-stock for the time being.
Is Hashflare Cloud Mining Profitable?
For this instance, we shall use Scrypt and SHA-256 mining plans for a one-year contract worth of $100 as an experiment. Both are bitcoin cloud mining programs, albeit using different algorithms, as shown below.
It is worthy to note that no matter the amount of hash power, the profit margin does not decrease or increase, as it is the case with Genesis Mining. For coin daily yield, we use the calculator from www.bitcoinwisdom.com, as it provides the closest realistic returns for the used hash power. For bitcoin value, we use CoinDesk’s price tag.
As you can see, SHA-256 is definitely a choice here, while Scrypt mining can land you a loss no matter what amount you wish to invest at this stage. Since maintenance fee and price of the program is fixed on a unit of hash power, the more hash you buy, the more these fees will be. It follows the same trend. The same can be said for SHA-256, with the difference being the lower maintenance fee.
With the loss of 251% and positive ROI 531%, it serves as a reminder that losses are definitely a reality in cloud mining. The risks associated with the investments in Hashflare mining operations are also very real. The bitcoin price can fall down in value in months to come, giving you lower profits. The difficulty of mining might increase as well, giving you less of coins on daily basis.
Since its start of operations in 2015, the Hashflare has been operating on the set purchase plans and features without any major changes. There have not been any major issues regarding the platform, but the company, much like Genesis Mining, keeps its milestones, mining farm locations, and other relevant information a secret.
Pros and Cons
Payouts are made exclusively in cryptocurrencies and on daily basis. You can withdraw these coins at any time but do be aware that you should also include network fees when withdrawing them to your external wallets.
Compared to Genesis Mining, the Hashflare does offer a bit higher profit yield than its counterpart. The availability of different deposit methods and the plan values is crucial, as you can decide just how big you really want your investment to be. On the other side, according to the current market trends and details, you will incur losses if you use Scrypt mining pool. The ROI for SHA-256 seems to be 530% but that does not include increasing difficulty or other risks. All in all, it is a legitimate platform for you to play. Just keep in mind that calculation of the profit figures should be done before you choose the program.