CloudMiningInfo- CloudMiningInfo
Bitdeer Review: Legit and Reliable mining for Everyone
Updated: Nov 5, 2021
Today we will analyze the BitDeer bitcoin cloud mining contracts, see how reliable they are and how the cloud mining service works: registering, buying and making a profit.
About the company
I have no doubts that BitDeer is an absolutely legal company that will supply hashrate to users for years. The "News" page contains a huge number of links to articles from such sources as: CNN, Bitcoin.com, Yahoo Finance, Nasdaq, Forbes and Bloomberg.
I came to the conclusion that BitDeer is closely related to Bitmain and, in fact, BitDeer is a subsidiary of this giant.
In an article from January 26, which I found on a Russian-language cryptocurrency portal, it says that:
Jihan Wu stepped down as CEO and chairman of the board of directors of Bitmain. As part of the agreement, the Bitdeer cloud mining platform has spun off from Bitmain, along with mining farms in Norway and the US, which will be run by Jihan Wu.
Jihan Wu will become the president of Bitdeer, Matt Kong will take over as CEO, and Zhang will lead the Antpool mining pool, which will also operate independently of the company. This separation is carried out in order to optimize Bitmain's business model in order to simplify the initial public offering (IPO).
Whois
There are no complaints about the website either - it was created in 2013, and the data is public.
Bitdeer in social networks
The social activity of Bitdeer is at a good level. They have been on Twitter (@BitdeerOfficial) since July 2018 and have already published 760 posts and have over 8,000 followers.
Additionally, CEO Bitdeer has also been on Twitter (@JihanWu) since February 2015 and has 115,000 followers and has posted 991 tweets as of October 14th.
Also, Bitdeer also has its own Facebook page (@bitdeerplatform), created in December 2018.
Reliability conclusion: Scam or Legit?
As we can see, the company is very public:
news on large sites
regular updates on social networks
CEO is a well-known personality in the mining world, co-founder of BitMain, MatrixPort.
the website was created a long time ago
All this leads us to the conclusion that our investment in such a service will be reliable and there will be no problems with making a profit.
Support team and Telegram channel
The easiest way to get answers to questions about the service and help from Bitdeer Administrators is to subscribe to their official telegram channel (Bitdeer_Official), which as of October 2021 has 1,900 users.
In addition to regular Bitdeer customers, you can write a personal message to the Social Administrator Cindy F (@CindyFeng), who will solve any of your problems and answer your questions.
Registration on the Bitdeer website
To take the first step towards Real Cloud Mining, you need to go to the registration page.
After you get to the registration page, you need to create your account using your email or your mobile phone.
How does Bitdeer work?
Bitdeer acts as an intermediary between you and the Mining Farms. They agree in advance for what price real Mining Farms will lease you a miner (in the case of cloud mining), or for what price they will host your miner (in the case of cloud hosting)
In addition, after the purchase, you do not receive BTC or other cryptocurrencies that you mine on the "internal" wallet of the Bitdeer website. It just doesn't exist.
Your mining is carried out on the site of a third-party pool, which you can monitor, and payments are made directly to YOUR wallet address, which you indicate when you purchase a Mining Plan.
Cloud mining plans: Classic and Accelerated
On the sales page, you can buy Classic or Accelerated plans:
Let's see what is the difference between these plans:
Acceleration Plans costs less than Classic
In the Accelerated plan, before the return of the initial investment, you receive 100% of the mining income, and after the return, you share the excess income with Bitdeer.
Electricity fees can be different - in this example, in the Сlassic Plan, it is higher, but it can be vice versa, depending on the type of mining device.
Characteristics of classic mining plans - what do they mean?
Let's take a look at the characteristics of a mining plan:
The type of mining device that will be rented for mining the BTC
The number of days for which the rental agreement is concluded
The number of units of hashing power
Contract price without electricity bills
Price per contract per day without electricity charges $ 3666 / 50 TH / 360 days = $ 0.2037 /T/D
Electricity price per 1 TH per day $ 0.0703 * 50 TH = $ 3.52 daily * 360 days = $ 1265.4 total
Data from the BTC.com website about how many dollars per day mining 1 TH earns. But the fact is that this is not entirely true. They take information from here:
But no one says anywhere that the pools take 4% of the commission from the income when the contract is working. Thus, the client does not receive 0.00000591 BTC for 1 TH per day, but 0.00000567, which, if the BTC is $ 62,000, is 0.3521 USD/T/day...
8. Static Revenue Rate is a metric developed by Bitdeer to show customers the expected mining income. But let's explore it.
It is calculated like this:
(0.2037 + 0.0703) * 50T * 360d = 4932 USD total cost
0.3677 * 50T * 360d = 6619 USD total income
Now, to test the formula, simply add 45.83% to the original investment.
4932 USD + 45.83% = 7192 USD. Oooops.
The correct value will be the calculation according to the formula:
(Total income - Total cost) / Total cost.
Then we get 34,20%.
Check:
4932 USD + 34.20% = 6619 USD. That is correct.
But if we try to take the Static Output with 4% commission from the mining pool, then we get:
(0.2037 + 0.0703) * 50T * 360d = 4932 USD total cost
0.3521 * 50T * 360d = 6338 USD total income
(6338 USD - 4932 USD) / 4932 USD = 28.51% of Static Revenue Rate.
Why the website contains incorrect data about the Static Output and why the Static Revenue Rate is calculated incorrectly - I do not know. Hope this gets fixed.
Acceleration Mining Plans
Bitdeer Sharing Ratio
In the Accelerated plan, before the return of the initial investment, you receive 100% of the mining income, and after the return, you share the excess income with Bitdeer.
This percentage can be different - from 30 to 70%. In our example, set to 50% value.
This means that every day of the contract, Bitdeer will calculate how many dollars (!This is important!) The user has received and wait for the amount of income to reach the purchase amount. After that, the user will receive 50% of the income.
To understand everything thoroughly - let's take a look at my personal Accelerated Mining plan.
It has the following parameters:
And was bought for 0.02488467 BTC:
We get general statistics:
Date: July 26
Mode: Accelerated 50% Share Ratio
Hashpower: 50 TH/s
Days: 150 days ($777.9 USD- $30 discount = $747.90)
Electricity: 150 days pre-paid ($1.39 daily, $207.90 total)
Cost: 955.80 USD
At rate: 38400 BTC/USD
Paid for: 0.02488467 BTC
Mined days: 100
Cumulative: 0.02089964 BTC
Days remaining: 50
As you can see, having invested 0.0249 BTC at the moment, I returned 0.0209 BTC back, and there is still 1/3 of the contract duration. But how is the refund period calculated?
Bitdeer believes that this amount has already been received back, because the calculation is not based on the total purchase amount, but on the deduction of the electricity bill.
For understanding, let's take July 26-28, the first 3 days of the contract.
In general, Bitdeer calculates as follows:
On July 26, 0.00006263 BTC was received at $ 37,264, which equals $ 2.33. Electricity $ 0.35
Total per day = $ 1.99 Total per contract - $ 1.99
On July 27, 0.00025479 BTC was received at $ 39,484, which equals $ 10.06. Electricity $ 1.28
Total per day = $ 8.78 Total per contract - $ 10.77
On July 28, 0.00027254 BTC was received at $ 40,025, which equals $ 10.90. Electricity $ 1.39
Total per day = $ 9.52 Total per contract - $ 20.29
The moment that 20.29 reaches 777.9, the payback point will be reached.
The payback point was reached on October 23rd.
We can see that before that day our profit was 100% of income, and after that it was 50% of income. Let's understand what happens after the payback point.
On October 23 0.00018264 BTC was received at $ 61,301, which equals $ 11.20. Electricity $ 1.39
Total per day = $ 9.81 Total per contract - $ 783,04 (more than 777.9)
On October 24 0.00018052 BTC was received at $ 60,851, which equals $ 10.99. Electricity $ 1.39
Total per day = $ 9.60 / 50% Share ratio = $ 4.80 Total per contract - $ 787,84
When writing this article, I was confused by the fact that with the total income for October 24 - 0.00018052, the client receives 0.00010165, which is more than 50% of the mining income and is $ 6.19 USD but not $ 4.80.
The difference is just $ 1.39. Thus, it turns out that Bitdeer takes only 50% of the net profit of the day, also compensating for 50% of electricity consumption.
This is strange enough because the info says:
My output = Total Output (0.00017505 BTC, $ 11.01) - Bitdeer Share (50%) = 0.00008752 ($ 5.5 usd) - electricity $1.39 = 4.11 USD
But in reality it happens like this:
My output = Total Output (0.00017505) - (Bitdeer Share (0.00008752) - half of electricity fee (0.00001104)) = 0.00009854 BTC which is $ 6.20, but not $ 4.81 (net output). And only now we subtract $ 1.39 and get net output of $ 4.81
The manual describing the operation of Bitdeer's Accelerated Plans contains the following data:
From the second paragraph, we understand how to count:
Total Output 0.00017505 - 0.00002207 = 0.00015298 / 2 = 0.00007649 BTC - Bitdeer share
Total Output 0.00017505 - 0.00007649 = 0.00009854 - User share
Net output for user = 0.00009854 - 0.00002207 = 0.00007649 BTC = 4.81 USD
Thus, we figured out that after reaching the payback point, Bitdeer receives exactly the same amount as the user receives. The payment for the price of electricity is also divided in two.
When will the Acceleration plan be most beneficial to purchase?
Think about this.
At the time of purchase, the BTC rate was 38400.
And you need to get $ 777.9 to reach the payback point.
The calculation of the daily net profit is in dollars, then, in theory, the lower the rate, the longer we will receive 100% of the income from mining the Accelerated Plan.
If the BTC rate increases, as in our case, then we tend to the payback point faster.
And so it turned out for me:
Date: July 26
At rate: 38400 BTC/USD
Paid for: 0.02488467 BTC
Payback point: 88th day
Mined days now: 100
Cumulative: 0.02089964 BTC
That is, now I receive 50% of the income and 50 days of mining remain, which will bring me about 0.005 more BTC on average. Then, in the end, I will get about 0.026 BTC, which is more than my initial costs of 0.02488467 BTC and will be minimal, but satisfied.
But if the BTC rate had not grown to 62,000, but had been at $ 40,000, then I would have received 100% of the income longer, since I would have been slower to reach the payback point, which is calculated in dollars.
And if the BTC rate fell to $ 20,000, then perhaps all 150 days I would never have reached the payback point in dollars, but at the end of the contract, on the 150th day, I would have found about 0.03 mined BTC, which is much more, than the initial investment of 0.02488467 BTC.
In my analyzes, I never rely on the BTC rate. It doesn't matter at all. I cannot control it.
The main thing is to invest, say 0.01 BTC at the time of purchase, and get more than 0.01 BTC back after the end of the contract. We do not mine dollars, but BTC, this is important to remember.
It turns out that mining on Accelerated contracts:
It is more profitable when the BTC rate decreases compared to the moment of purchase.
It is more unprofitable when the BTC rate increases compared to the moment of purchase.
This leads to the conclusion that the Acceleration Plans are a good hedge against the risks of a depreciation in the BTC exchange rate.
If the exchange rate falls during the duration of the contract, you will earn more BTC.
If the exchange rate increases during the duration of the contract, your portfolio will receive a smaller increase in BTC, but significant in dollars.
The main thing is, in any case, to get more BTC than you had or could have bought on the exchange at the time of the purchase of the mining contract.
Payout rules and Pool selection
When you buy a contract for BTC cloud mining in Bitdeer, you can choose the pool in which your contract will be mined.
At the moment the choice is:
BTC.com
ViaBTC
f2pool
Antpool
BTC.top
But not always there is a choice of all pools when buying a mining plan - the choice will be given to you on the order page.
So what's the difference when choosing a pool? Does some one bring more income or not? What to choose? I'll explain now.
The income in the pools is the same
All pools deduct 4% of the mining commission (this is not written anywhere, but it is)
Pools have different terms of payment to your personal wallet
Terms of payments from mining pools
Far, far away, in the Bitdeer manuals you can find information about the differences in pool payments, you can read it yourself at the link.
Personally, in this whole table, I am only interested in the 1st column - BTC Payments. As we can see the value of 0.005 has BTTS.com, f2pool, Antpool. The highest value is 0.01 in BTC.top and the lowest is 0.001 in ViaBTC.
These values mean that BTC accumulation threshold, after which the mining pool will transfer to your personal wallet. The higher the value, the less often translations will be made.
So, as of November 04, 2021, a standard contract for 50 TH/s mines approximately 0.0002825 BTC per day. Then it is easy to calculate the regularity of payments of each pool for a hashpower of 50 TH/s:
BTC.com = 17.7 days
ViaBTC = 3.5 days
f2pool = 17.7 days
Antpool = 17.7 days
BTC.top = 35.4 days
We can conclude that it is worth choosing the ViaBTC pool whenever possible. All other things being equal, but ViaBTC makes transfers to the client more often.
Payment rules after the end of the mining plan
This is one of the most frequent questions from users - what will happen to their BTC if at the end of the work the minimum amount for payment has not accumulated.
The answer is quite simple and is also described in the Bitdeer manual at the link.
Within 5-7 working days, you will receive ANY amount of remaining BTC to your Personal Wallet from the balance of mining pools:
ViaBTC
f2pool
Antpool
BTC.top
As for the BTC.com pool - it will pay the balance only within 30 days and if it exceeds 0.0005 BTC.
As of November 4, 2021, the price is 0.0005 BTC - 31 dollars at a rate of 62000 USD/BTC
Thus, if the balance on the balance is below 0.0005 BTC, your money will not be paid and will remain in the BTC.com pool.
It is better not to use the BTC.com pool in order to avoid losing a part of the mined BTC.
Conclusion - which mining pool is better?
Considering all of the above, we can make a pool rating:
1st place - ViaBTC (0.001 minimal threshold, 3-7 working days for any amount of remaining balance)
2nd place - f2pool (0.005 minimal threshold, 3-7 working days for any amount of remaining balance)
2nd place - Antpool (0.005 minimal threshold, 3-7 working days for any amount of remaining balance)
3d place - BTC.top (0.01 minimal threshold, 3-7 working days for any amount of remaining balance)
4th place - BTC.com (0.005 minimal threshold, 30 days for payment of balance over 0.0005)
The difference in payment rules for Accelerated mining plans
Slightly different conditions apply to payments of Accelerated Plans:
Let's build a rating right away:
1st place - ViaBTC (0.001 minimal threshold before and after payback, 3-7 working days for any amount of remaining balance)
2nd place - Antpool (0.002 minimal threshold before and after payback, 3-7 working days for any amount of remaining balance)
3d place - BTC.com (0.005 minimal threshold before and after payback, 30 days for payment of balance over 0.0005)
Thus, ViaBTC will always be the best mining pool choice for you.
Mining pool acts as a third party
You can visit one of my plans for 30-day mining on the website of the ViaBTC mining pool and see the statistics and how your plan will look after purchase:
For example, on ViaBTC pool we will have 3 tabs: Home, Earnings, Payments.
On the home tab, you can see general information about the miner and make sure that it works.
Miner outages sometimes happen, but every hour of downtime of the mining plan is automatically compensated in a ratio of 1 to 1.
Example: if the Plan should finish work on January 1 at 10 am at the time of purchase, but it was recorded, for example, 25 hours of downtime for the entire time of the plan's operation, then he will finish work on January 2 at 11 am.
In this tab, you can monitor the statistics of work and charges on a daily basis.
And on the payout tab, you can see when and how much BTC was transferred to your personal wallet.
In the ViaBTC pool, payment occurs when the threshold of 0.001 BTC is reached. But if your plan has finished working and there is less than 0.001 BTC left on the balance, they will still be paid to you, but within 48 hours from the end of the mining plan.
Conclusion: as you can see, Bitdeer itself acts as an intermediary, and payments go to the client directly from the mining pool where the user's miner works.
In addition, with such a system, the client can have no doubt that mining is really being done. Many scam-"cloud mining services" are based on a pyramid scheme, and cannot boast of such transparency, proving the reality of mining.
Article is under construction (4th of November).
Visit Back soon!
Articles, that may be usefull for you:
1# Latest Detailed Mining Plans Analysis
2# BitDeer Reliability Review
3# Revenue History
4# BitDeer Promo: September 2021: Exclusive 30-days Mining Plan and $ 50 Coupon for all users
I wish you a profitable investment and the right decisions!