Should it be invested in ICO projects or mining? A question that one of your pupils is still unable to answer ...
It is necessary to mining for digital money production. Digital money is obtained in two ways. Mining and cloud mining ... Everyone has some knowledge about mining, you can mining anywhere you want with the necessary equipment. Of course, the most important point here is that there is a lot of electricity consumption. As a result, the cost of production is very high.
You have the opportunity to rent very high-tech equipment with the cloud mining. Rental fees vary according to the performance of the equipment (hash rate). With this method, it is possible to earn "fiat" currency equivalent to digital money or virtual wallets. (Paper money issued only by government decision)
Option 1: You bought very expensive equipment for mining. You also decided to calculate the cost of electricity and make Bitcoin mining. It is quite possible to do this in your home mining. How long do you have that yearly profit?
If you calculate the electricity consumption at the lowest kW / hour and you do not include inflation into your business, your annual income will be at most 40 percent. Some of your earnings may have been nice, but these pricing are for the most trouble-free mining, and unfortunately there is no such mining. First of all, the price of electricity is not the same in every city or even every district. Since the equipment will overheat, you will not be able to work full day as cooling will be necessary. Cooling of hardware is a waste of time and money. It should also be noted that every device is likely to fail.
Option 2: With cloud mining you do not have to buy expensive equipment and you do not have to worry about electricity costs. You can find the best service provider for your budget and start mining by paying a monthly, 3 month, 6 month or yearly rental fee. If you think of Bitcoin mining as an Ethereum mining because every day it's difficult for everyone to know, you can earn 60-70% per year. Mining is not that easy, is it? Electricity, equipment failure etc. There is no such problems. But there are also some risks in cloud mining. These:
In this type of mining nobody sells you electricity at a cost price. The profit margin of the service provider means you are also experiencing loss of revenue.
Service providers will receive commissions from the digital money you will issue. In short, you can never get all of the digital currencies you have issued.
Service providers can leave work for any reason or without any reason. Unfortunately, this is not something you have in your hands. For this reason, there is a certain risk. I would like to point out to you, our valuable readers, that 90 percent of cloud mining service providers are created with the aim of fraud. They work without trouble for a few months. Later on they will disappear with the money they have collected and you will never find it again.