Two questions which are currently trending if you are in cryptoworld .
Whether should I buy bitcoin ? or mine it ?
Let me breakdown that question for you with my experience .
I was completely new to bitcoin until a few months ago . Even though I have heard about bitcoin at very early stage when it was below 100$ . During that point of time I had no clue what does mining and even more that what is bitcoin!
Fast forward to 2017 June , I finally decided to spend few dollars to experiment this . At that point of time the bitcoin was trading at 2000 USD per coin .
I had only invested around 100$ but I made my first lesson with in weeks. I sold with just 20$ profit and with 4 weeks time it doubled.
So the curiosity has rised to the roof to learn more about bitcoin and anything related with it . Then I reached bitcoin mining .
During July 2017 I had start researching about how to create a bitcoin mining farm myself but soon enough I understood I require a lot of ASIC miner to even start mining . To get hold of one was even more insane and then setup would be a pain .
CLOUD mining to the rescue . As a new person after reading few articles I understood the best websites which supports mining are Genesis and HashFlare . I brought hashflare for a smaller contract but went with Genesis mining with 15TH to start with . Bitcoin was trading around 4250 $ and if I would puchased I would have received roughly 0.44 BTC . I had made the calculated risk to move forward to mining based on the assumption that I will be able to break even around 150 days . But sudden rise in Bitcoin value the USD amount had break even at 75 days but my calculation for bitcoin breakeven still looks positive for 150 days even with increase in difficulty .
As we speak today genesis mining is not providing any contracts , but Hash flare does . I have increase the hash rate to 65 Th since then , which is almost 140 $ a day after the maintence and electricity .
The new contracts of Hashflare looks so cheap at current point of time based on my below calculation . Again there are so many bitcoin calculators are just giving you false hope by showing inflated returns . Truth is they are not taking difficulty into account . But my calculation does .
While I write this post bitcoin is trading at 17250$ , hence as a starter to a bitcoin investment if I am planing to buy 3000$ worth, I would be receiving 0.1739130435 BTC .
But If you are mining in Hash Flare , current contract price for 1 TH is 150$, in which you can buy 20TH . With difficulty taking to account and rise 8% every 2 weeks I see a net return of 0.308 BTC after an year. Hence even if the bitcoin remains the same price we are seeing a return of 77% . This will leverage in case of event where bitcoin price fall to 10000$ you still be at par, but in an event if bitcoin reaches 40000$ end of 2018 you are seeing 310% profit which means 12320$ even though bitcoin have just risen 100%. Break even on above calculation would happen with respect to bitcoin roughly around 100 days. Note I have given a very high incremental percentage of difficulty , the difficulty could be even lesser than that with historical data which will allow to break even even much faster time.
Overall I have positive experience from Mining , which I am seeing a passive income every day of $140 which could increase over the period of time.
You can purchase the hashflare contract from the below URL
https://hashflare.io/r/40E4F76F-buybitcoinmining
Hopefully, I have made easier what decision to choose at current market