Mining

Genesis Mining admits bearish crypto market makes its service unprofitable

The world’s largest cryptocurrency cloud mining platform – Genesis Mining – says that because the cryptocurrency market remains bearish, its Bitcoin contracts are no longer profitable.

The cloud mining provider cites price volatility in the world’s first cryptocurrency which dropped from $20,000 in December 2017 to circa $6,500 currently.

Genesis can’t influence crypto prices

“As a hash power hosting service, we can only influence one out of the three main factors that determine mining rewards, and that is the infrastructure.

“Genesis Mining has always strived to deliver the best deals by deploying the most efficient technology available at the time. The market price of Bitcoin and the mining difficulty are factors we cannot control.”

The mining firm remembers that “Bitcoin went into a downward trend around January. This trend combined with the heavily rising difficulty around April and May reduced mining outputs even further. As a result, some user contracts are now mining less than the daily maintenance fee requires to be covered, and thus they entered the 60 days grace period, after which open-ended contracts will get terminated.”

The crypto market will recover

Genesis says that the idea of offering a discount is to show “we are well aware of the situation”, which it believes will change.

“As strong believers in the industry and its potential, we are certain the market will soon recover. We want to help you to keep mining!”

For further details on how to upgrade and the discounts, please click here.

Olivier Acuña

Olivier has been writing for over 30 years. He has been based in six countries working for major news outlets including the Guardian, UPI & AP. He has covered massive earthquakes, presidential elections, immigration, and taken photos standing in the middle of shootouts between drug cartels, gone undercover to investigate organised crime, interviewed presidents, former presidents, heads of international organisations.