With the promise of the moon for its users without the need to purchase expensive mining equipment, the cloudmining industry has been experiencing its ups, and recently, its downs. While the ostensible scams and pyramid schemes in the cryptocurrency space are damaging and ultimately bad for Bitcoin, the concept of mining “in the cloud” can be beneficial to the long-term growth of the ecosystem. What is Cloudmining? Put simply, cloudmining is when you buy processing power that is generated at remote data centers. Many users have opted to mine “remotely” in this way since it offers no additional electricity costs, …

Mining computer designer and cloud mining operation Cointerra files for bankruptcy, leaving debts up to 50 million USD and potentially 999 creditors unpaid. The Bitcoin mining sector is now in dire straits due to the raising operating costs of mining combined with the recent price drop. Cointerra, the manufacturer of the TerraMiner series of mining computers, has filed for Chapter 7 bankruptcy in the United States. The filing comes two weeks after the start-up was sued for US$1.5 million by C7 Data Centers Inc. over unpaid invoices. The bankruptcy process will see the company's assets liquidated to pay its creditors. …

Art By: Jing Jin Cloud mining is risky business. Bitcoin mining in general can be risky business, but cloud mining in particular requires a lot of trust. Essentially, you are sending someone money on the promise that they will send you more money back. There is a lot of talk about hardware and cloud mining and state of the art facilities with giant server racks filled with powerful ASICs. At any given service, those things may or may not exist and few things can be done to make sure they exist. Hashie.co, a cloud mining service that claims over 40,000 …

Art by: Jing Jin The cloud mining prices wars are heating up and KnCMiner is throwing its hat into the ring with the lowest price in the industry: US $0.62 GH/s. There are some caveats to that price, but it is extremely competitive regardless of which way you cut it. KnC is known primarily for their ASIC mining hardware. Like many companies who realized that mining at home is simply not feasible or cost effective for many users who are interested in mining, they have recently got into cloud mining, and this new deal, announced late last week, has them …

Cloud mining company FracMine announced Wednesday that it will hold a crowdsale of colored coins that will then allow the company to sell hashing power at just more than 1 USD per GH/s. The crowdsale will help recoup the cost of the ASIC miners FracMine purchased, a cost that will be divided up into fractional units called FRAC shares, which will then be issued on the Coinprism colored coins platform. There are 450,000 FRAC available for purchase in this initial offering. Each FRAC costs US$1.03, and one FRAC buys a user 1 GH/s of hashing power. That 450,000 GH/s of …