Introduction:
This article presents a strategy to optimize profits in cloud mining by utilizing expected service fees to purchase computing power and regularly paying the service fees with Bitcoin output. This approach aims to lock in a lower cost of computing power while increasing mining output over time, combined with additional gains from rising cryptocurrency prices.
Investment Strategy Principle:
In the case of keeping the initial investment amount unchanged, maximizing the proportion of computing power costs and leaving more service fees for future installment payments can lead to the purchase of more computing power, thus maximizing leverage and investment returns.
Purchasing Computing Power with Service Fees:
Allocate the funds originally intended for service fees to acquire more computing power, thereby securing a greater amount of computing power at a lower cost.
Regular Partial Payments of Service Fees:
Utilize the generated Bitcoin from mining operations to periodically pay a small portion of the service fees. As cryptocurrency prices rise, this approach ensures the ability to sustain continuous service fee payments.
Selling Output to Cover Service Fees:
As mining output increases and cryptocurrency prices rise, sell a portion of the generated output to cover additional service fees, thereby obtaining higher net mining profits.
Investment Strategy Comparison:
| Initial Investment | Product Purchase Cycle | Service Fee Payment Scheme | Maximum Purchased Hashrates | Output Equivalent | Static Output Rate | Subsequent Service Fee Investment | Actual Profit (= Output Equivalent - Initial Investment - Subsequent Electricity Fee Investment) |
| Plan A | 10000 USDT | 180 days | Full payment | 820T | 10702.8 USDT | 110.85% | 0 | 702.8 USDT |
| Plan B | 10000 USDT | 180 days | Initial payment for 10 days, subsequent payment in installments | 1950T | 25,450.2 USDT | 125.74% | 13,691 | 1759.3 USDT |
Summary:
Under the condition where the initial investment amount remains constant, it is advisable to maximize the proportion of Hashrate part by reallocating funds originally intended for service fee payments towards purchasing additional hashrate. This approach aims to lock a larger quantity of low-cost hashrate. By allocating a greater portion of the service fees for future installment payments and simultaneously utilizing the output to periodically cover the service fees, it leads to amplification of investment leverage and an increase in investment returns.