June 2017… by chance I come across a reportage on german television which gets me hooked and makes me curious…
Whereas messages about bitcoin rising against Euro or USD don’t get my interest, the reportage about the bitcoin mine in Iceland draws my attention.
I lookup for the company behind the bitcoin-mine in Iceland (which is not named in the reportage) and come across „Genesis Mining“. I study their website, check for their reputation. Although there are some postings to be found, where they are called „scammers“ I decide to start my private mining operation, with the glorious amount of 50 USD payed by credit card ( 5 $ fee added ) , which means 30 Days no payout…
Lesson 1 learned: start your mining operation by paying with Crypto-Currency
With Bitcoin around 2500 Euro i have some fear that the rate will go down yielding my mining operation unprofitable…
And down goes the rate but Genesis keeps mining and I start to develop some trust into this unknown company and business model…
Bitcoin keeps rising and profits accumulate
After the 32 days of waiting, Genesis sends me 0,003243 BTC = 3243 bits BUT my wallet (COPAY) tells me that „The transaction amount is too small compared to current Network fees“. Thats because the fees are high and because their transaction is longer than normal, it takes 2917 Bytes and the Bitcoin fee is around 200 satoshi for a byte of transaction.
Lesson 2 learned: do the math…
The bitcoin which was said to help webmaster receive small money, which was said to give you the opportunity to buy a beer is no more. Paying 2, 3, 4 Euro for a transaction sounds like good old banking fees
Those are the days of the imminent segway fork and those are the days of the Genesis-mining-crisis
my next payout from genesis 0,00175 BTC would cost me a fee of 0,02 BTC… this is maybe because it is 27000 bytes long…
If you are not familiar with 0,02 BTC, that is around 70 Euro fee for a transaction of around 6 Euro…
The segwit decision did not help to lower high bitcoin fees so i start to look for other possibilities of investing in bitcoin cloud mining and come across Hashflare. So far their service is good and they have the opportunity to accumulate and to reinvest the bitcoins instead of sending them through the bitcoin network and then sending them back.
Lesson 3 learned: if you want to reinvest your profits it would be wise to choose a service which makes this possible
where as Hashflare is working fine i try to re-assign my mining at Genesis mining to Dash, this yields the first payouts from Genesis ever which really come to my wallet (Exodus) without too much fee and „transaction amount is too small“
Lesson 4 learned: if Bitcoin fee is too high look for any other way to receive the small amounts from mining (as a beginner)
Hopefully I will follow my journey to better numbers in Cloud mining profits.
I will keep you Steemians updated