• Never invest money you cannot afford to lose as there is no guarantee you will get it back at all, let alone a profit.
• You will not get your original investment back at the end of the mining contract. You are purchasing a service in the form of a cloud mining contract, and unlike directly purchasing cryptocurrency, there is nothing tangible you can sell outside of the coins that you have mined during that contract lifetime.
• Profit should be based upon the amount of coin that your mining contract has produced, and the value of that coin will vary depending on when you decide to sell that coin for funds on the open market.
  • Your payout from mining is in coins, not in USD. Those coins may be worth more or less than your invested USD. Without telling the future, there is no way to guarantee a profit.

Risks of Investing

• You are speculating that price of mined coins will go up, so you are buying a contract to mine coins. The value of those coins may not rise, leaving you with less value than the cost of the mining contract.
• HashFlare could unintentionally go out of business before you make back your investment.
• HashFlare could intentionally go out of business before you make back your investment.
• HashFlare could be victim of a “hack”, stealing any coins that are in their possession before you withdraw.

Benefits of Investing

• No hardware investment needed
• No need to run hardware locally to avoid power costs, heat and noise pollution
• Limited liability of only risking what you externally invest for the life of the contract
• May be able to acquire more coins than what you are able to purchase for the same investment capital.

Getting Started

Research HashFlare and the benefits and risks of cloud mining contracts.

1. Visit the Hashflare website
2. Click on “Register” in the top right corner
3. Fill in the account information, and save your password.
4. Enable 2-Factor Authentication options under settings
5. Review the amount of hashrate you want to purchase, and before purchasing determine if an active discount code exist
6. Click the “Redeem” button and enter in the discount code to determine if it is still active.
7. Proceed to payment and choose how you want to fund your account.
   1. If you are using BTC, be sure to send the exact amount plus fees you expect. Also note that depending on the network activity, this method may take several days to complete as a “pending” order.
   2. If you are using a Credit Card be aware of the verification process
8. Be aware that once you have completed your purchase, your hashrate will show as active in the dashboard, but the other statistics such as forecast will not update till after the next payout period which is 24 hours.

Re-Investing

Re-Investing is when you are purchasing additional hash power with the proceeds of your existing mining contract. Essentially you are not buying hash power with external funds, but are using your existing balance to purchase more mining hash power.

Auto Re-Invest

You can enable your account to automatically re-invest using your balance to purchase hash power as soon as your balance meets the minimum requirement for the mining contract type.

Manual Re-Invest

Manual re-invest is when you use the site to manually purchase more hash power from your BTC balance.

Auto vs Manual reinvestment

A benefit of automatic reinvestment, is that you can choose to “Set it and forget it” and your account will automatically purchase new hash power as your balance allows. This allows you to set it, and not need to check back on your account each day to trigger the purchase of more hash power.

However, if you manually re-invest, you can choose at time time and more importantly, what USD/BTC price to re-invest at. For example when BTC to USD is higher, since hash power is a flat rate, you can get more HP for less BTC. The reverse is true, if BTC to USD price is lower, you get less HP for BTC spent. By monitoring the daily pricing, you can choose when you feel the most optimal time is to re-invest. As an additional benefit, if there are any active HashFlare codes, you can redeem those codes during your manual purchase, which could yield a savings.

Should you re-invest?

While re-investing can help increase your daily payout amount, but purchasing additional hash power, you must be aware that you only make a profit on the BTC you withdraw from your HashFlare account. If you re-invest all your proceeds, but withdraw nothing, you end up with no profit for example. Striking the right balance of risk and reward that is personal to each account owner is crucial for any cloud mining strategy.

Re-Invest Strategies

Reinvest Daily for 50% of contract, then withdraw

Essentially take the first 50% of the days of the contract, and reinvest daily to build up hashrate over time. Then for the remaining 50% of the contract, withdraw daily to secure your earnings.

• Pros
  • You are adding incremental hashrate without needing to invest external funds
• Cons
  • You take all the risks over the lifetime of the contract without every withdrawing for the first half of the contract.

Return initial USD investment, then reinvest, then withdraw

Exactly as the strategy says, withdraw until you have your initial investment back, and then reinvest there on after.