Crypto Mining Platform Genesis Mining To Drop Unprofitable Bitcoin Contractsbr>
Crypto cloud mining platform Genesis Mining has announced that it will soon end its lowest tier bitcoin mining contracts.
Genesis Mining, which is registered in Hong Kong, calls itself the “largest cloud bitcoin mining company.” Their services allow customers to purchase mining contracts, which allow them to mine bitcoin and altcoins through a cloud-based computer network. The company’s mining farms are based in Iceland, Canada, and Bosnia.
In a blog post, the mining firm said it will be terminating open-ended contracts for customers who are mining less than the daily maintenance fee. The company claims that the downward trend of bitcoin around January and the heavily rising mining difficulty around April and May resulted in a reduction of mining outputs.
“As a hashpower hosting service, we can only influence one out of the three main factors that determine mining rewards, and that is the infrastructure,” the company said. “We’ve 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. 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.”
Genesis is offering customers a chance to upgrade their existing mining contracts to Radiant contract terms with a premium discount. The Radiant bitcoin mining upgrade price per 1 TH/s has been lowered from $285 to $180. The new Radiant contracts, however, require a five-year term.
“The pricing of Radiant was constructed for the sole purpose of keeping your hashpower running even in the toughest market conditions,” Genesis said. “The idea behind this offer is to show that we are well aware of the situation. 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!”