Keep your Bitcoin safe!

More and more often I hear about the hack of an exchange, a virus on a computer or a keylogger that resulted in the loss of Bitcoin and other Cryptocurrencies.

With the enormous increase in interest, also the number of hackers and malicious software has increased. Keep a moment to get yourself familiar with security measurements to make sure your bitcoin are safe.

Hardware Wallet

The best way as an individual to store your Cryptocurrencies is most likely on a Hardware Wallet. You get the safety from cold storage with the convenience of an online wallet.

Right now the two most popular products are the Ledger Nano S and the TREZOR, each which their own advantages and disadvantages but both of them are excellent products. You can find a comparison between Ledger and TREZOR.

If you a decent amount of Crypto; don't wait for it to go wrong but take steps BEFORE it goes wrong. Store your currencies safely on a hardware wallet.

My payout on Genesis Mining (BTC)

Most people know that I am a secret believer in Cloud Mining. Actually, I am quite the fan as this made me a lot of money. But most people still think it is a scam and you should not trust it.

For me, numbers talk. And I will share the numbers with you once more. A few weeks ago I already published an article about the ROI of Genesis Mining.

Genesis Mining payout - 29 days

I will share with you the payout of my last 29 days, with some averages and decline over time.

Dates: 06-06-2017 till 04-07-2017
Mining Company: Genesis Mining
Cryptocurrency: Bitcoin / BTC

Hashrate: 13.9 TH/s

Costs total Hashrate: €1649 (use the discount voucher SP12V8)

Total payout 29 days: €264,44

Average payout per day: €9,12

Average decline over 29 days: -0,25%  

So in case the payouts would be the same I would break even at 1649/9,12 = 180 days. Everything after that will be profit. And remember, the contracts on Genesis Mining are unlimited for Bitcoin. Meaning, as long as they are profitable they will keep running and provide you payouts. That is a pretty quick return on investment!

Mining Difficulty

As we all know the mining difficulty becomes higher over time, so lets take the average decline of -0,25% over 29 days into the calculation. I have took the average payout of €9.12 per day and diminished this by 0.25% every day.

After 100 days you still earn €7,14 per day; after 200 days you still earn €5,54.
It takes almost 900 days to go below €1 euro payout per day.

After 1 year you would have earned: €2184,93.

This is all based on the BTC value of today. If the BTC value will increase, so of course will your earnings! As BTC is estimated to keep increasing in value the payouts will most likely also be higher.

A screenshot of my daily payouts. I get around $10 per day and have already received a total worth of $1237.

Get started with Cloud Mining

I have tested many different cloud mining companies and Genesis Mining is by far my favorite. 

You can start small and analyse your own payouts. I usually buy 2.5 TH/s per go as there is a different price bracket here (you will get more for less).

1) Go to Genesis Mining

2) Choose your package, I usually take 2.5TH/s (different price bracket)

3) Use the discount voucher SP12V8 for a 3% discount !
4) Create account and perform payment (using CreditCard or transfering BTC).

5) Fill in your BTC-address in your account. Payouts will be daily (with a minimum payout).

6) Sit back and relax. Your wallet will be filled daily with some extra BTC.

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Genesis mining Payout over the last 29 days:

0,00400565
0,00396804
0,00394334
0,00399075
0,00385894
0,00387917
0,00386111
0,00377669
0,00380657
0,00384352
0,00388615
0,00393858
0,00392546
0,00393835
0,00393141
0,00386453
0,00386236
0,00387422
0,00397625
0,00387444
0,00407272
0,0041429
0,00414517
0,00424228
0,00425036
0,00426117
0,00424784
0,00428553
0,00428008

Kraken withdrawal Fee

It seems like Kraken has increased there withdrawal fees as of today

Kraken BTC Withdrawal Fee

When you want to withdraw your BTC funds from your kraken account you have to pay a fee. Until yesterday this used to be 0.0005 BTC, which comes down to around $1.20 per transaction.

Since today it seems they have increased there fee to 0.0025 BTC, an increase of 500%!

This means that for every BTC transaction you will now pay almost $7.

It almost seemed they made a mistake an instead of cutting in in half (which would be 0.00025) they have now increased it by 5 times.

Bitcoin transaction fee

With the enormous increase in interest over the last few weeks the transaction fees has also gone up, as more and more transaction are being placed which cause demand on the system. Paying a transaction fee of over $7 however seems to be incredibly high and might hinder the potential growth of Bitcoin (and other currencies).

Unless Bitcoin solves this issue it might become a big issue over time.

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Note: I have reached out to Kraken and are waiting for an explanation about their fees. Hopefully I will have an answer soon.

Cloud mining Ethereum

As earlier shown my ROI with Bitcoin, I will also share some information about the mining of Ethereum through Cloud Mining.

Cloud Mining Ethereum

• Investment: $ 87.30 - 3% discount (use discount code SP12V8)
• Date investment: 15-05-2017
• Term: 2 years
• Company: Genesis-Mining
• Hashrate: 3MH / s

Payment during first days:

• 0.00289270 ETH
• 0.00282044 ETH
• 0.00290937 ETH
• 0.00273747 ETH
• 0.00276735 ETH

Say that the average is around 0.0028 ETH per day with an investment of 87.30 USD. At the time of writing this is about $ 0.59 per day. If so, you have returned your investment within 87.3 / 0.59 = 148 days

The term is 730 days, which would amount to a total payout of $ 430.70. Not bad for an investment of no more than 90 dollars.
Of course, this depends on the value of ethereal and the difficulty of ethereal mining (see the figure below).
At present, the value seems to rise a lot faster than the difficulty, which would mean that the payout would be even higher than the already estimated $ 430.

Difficulty Ethereum over time

Investing in Ethereum - Mining

So if you want to mining Ethereum, Genesis Mining seems to be a good option! Investing is possible from 30 USD.

1. Go to Genesis Mining
2. Choose a package from 1 MH / s
3. Use the SP12V8 discount code for 3% discount
4. Once the payment is complete, the mining begins for you. You are now paid daily at your address of your choice.

ROI with Genesis Mining

Return on Investment with Genesis Mining

If you have read my Dutch blog about Bitcoin you will know that I am quite the fan of Genesis Mining. I have tried over a dozen Cloud Mining platforms and this one clearly stands out for me (fast customer service, easy user interface, daily payout, fast payment processing, reliable, sustainble).

As people have been asking me about the actual payout of Genesis Mining I have decided to give you some of the details so you can see this for yourself.

How much money do I make with Genesis Mining?

I started out with a Hashrate of 6.4 TH/S, which will costs you around 860 USD (if you use my discount code SP12V8). The daily payout in January 2017 was:

• 0.00213061
• 0.00209107
• 0.00206448
• 0.00210628 

Let's call this an average of 0.0021 BTC, which would be worth around $4.8 as of today.

I have multiple accounts, but this one was opened on 01-2017. If you add up just these 5 months you would get a total of 5 x 30 x 0.0021 = 0.315 BTC. A total value of $735. And this is just in 5 months!

This would mean I would break-even in 6 months, and anything after that is pure profit.

Of course, it is not as simple as that. As the difficulty of Bitcoin increases the payout will be lower. So it is expected to go down over time. 

Now, since Bitcoin has been only going up two things have happened. One, each BTC you mine is of course worth more, but also the relative costs of electricity and service fees has gone down (as this is a fixed fee). This means that as Bitcoin goes up you make even more money with your investment.

Is Genesis Mining still profitable?

OK so before I talked about the profit in the first few months with 6.4TH/S. 

Let me now run the numbers again today, so you can get a feel of how much the difficulty changes over time.

Payout in May 2017:

• 0.00213892 
• 0.00208977 
• 0.00208404 
• 0.00200499

As you can see the payout is pretty much the same. It might have gone down by an average of 0.0003 BTC per day, but the payout is still high and definitely worth my money. As I have been investing ever since I started it is hard to tell you exact figures, but I should break even within a few weeks and start making money from there on. 

As a matter of fact I have just invested in another 5 TH/s as I believe the investment will be worth it.

Discount on Genesis Mining 

Don't forget to use my Discount Code so you can save 3% on all your purchases at Genesis Mining.

The code is: SP12V8

Happy mining!

How do I earn money with Bitcoin?

Now that Bitcoin continues to rise in value, more and more people are wondering how to earn money with this particular currency. Making money with Bitcoin is very easy at the moment, and there are possibilities for picking up. However, it is important that you know what you are doing and you do not work unnecessarily.
Below are three methods to earn money with Bitcoin. Of course, none of these ways offers warranty, but personally I have earned a nice salary with a combination of these 3.

TRADING

Bitcoins trades refer to the regular purchase and sale of Bitcoins. This can be weekly, daily or even per hour. It's about building a good feeling for the market and understanding how the market moves. Buying at a low point and selling at a peak is an incredibly fast way to earn a lot of money. Although a lot of money is available here, it is also the most risky way. When you make a wrong estimate, you can buy just before the market goes down, when your bitcoins thus decrease in value.

Tips for trading

Emotion
When trading, it is very important to ignore your emotion. Most people suffer from emotions, and that's exactly what you should not do. When the market is moving for some time, many people want to jump on board and buy bitcoins. However, the market is an ongoing up and down movement. Is the market going well? Then there is a chance that this will decrease again afterwards. Against the feeling of your emotion, it is often better to sell when it has risen sharply, and to buy properly when it has fallen sharply.

Protect yourself
Be sure to protect yourself when trading. Make sure you minimize risks and do not lose too much. When taking a short position make sure you set a stop loss so that the losses can not increase too high. You make a guaranteed loss at the time of the stop. But you prevent them from getting so high that you are in trouble.

How can I trade?
Trading can be on several good and reliable platforms. Personally, I am the most fan of Kraken, with many possibilities. You can go short, lung, stop loss, limit, etc. Take the time to get acquainted with the possibilities and do not jump in too quickly. Invest with small amounts to see if you've mastered it. When you make a regular profit, it's an idea to increase your investment. Another option was on Bitcoin.de. This site may be better suited for beginners because the possibilities are limited. Cracking can initially be a bit intimidating.

A good site to track the Bitcoin / EUR value per second is:
Https://bitcoinwisdom.com/markets/kraken/btceur

LONG-TERM INVESTMENT

Is trading nothing for you? A long term investment can definitely be worthwhile. With a coin worth increasing, it's easy to earn money. If you bought Bitcoin a year ago, your investment has now doubled! That's a lot more than the 1% interest on your bank account.
The question then is how long and how high Bitcoin's value will be, but the overall consensus is that it will only increase in the long term. For a long-term investment, you buy a certain amount of bitcoins and just let them stand. If the market rises, your value also rises.
The moment of investing is important. Sometimes a weekly investment, for example, every Monday is a small amount. This prevents you from buying at a peak. Do you already have a better feel for the market? Then try the investment at a low point and let your Bitcoins increase in value. Who knows how much it's worth in a few years.

MINING

Now that Bitcoin's value is almost 1800 EUR / BTC, mining has become more interesting. See here for more explanation about mining. Because mining as an individual can be complicated and costly, I usually recommend experimenting with Cloud mining. That way, you can invest an amount of investment in a company that was for you. Of course, there are some costs involved, but thanks to their experience and expertise they can often earn more than you could as an individual. Investing can already be from 10 euros and you can pay the bitcoins daily to a bill of your choice.
After testing several mining companies, my tip is to mining with Genesis mining. I myself started a few months ago and have almost returned to my investment. Every bitcoin I earn from here is pure profit.

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Do you have questions or comments about this article? Ask them below and I will try to answer them personally

Which coins can I mine using SHA-256 and X11?

SHA 256

There are many kinds of Cryptocurrencies; en also multiple ways to mine them, like SHA-256 and X11. With SHA 256 you can mine the following coins:

Bitcoin (BTC)
Zcash (ZEC)
Curecoin (CURE)
Mazacoin (MZC)
Peercoin (PPC)
UniversalCurrency (UNIT)
eMark (DEM)
Titcoin (TIT)
Joulecoin (XJO)
HAMRadioCoin (HAM)
Zetacoin (ZET)
Digitalcoin-SHA-256 (DGC)
Freicoin (FRC)
Terracoin (TRC)
Tigercoin (TGC)
Myriadcoin-SHA-256 (MYR)
Unbreakable (UNB)
TEKcoin (TEK)
Acoin (ACOIN)
Unobtanium (UNO)
Namecoin (NMC)

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X11

Besides SHA-256 you can also mine using X11. The X11 algorithm uses mostly graphic cards (GPU) to mine coins. You can mine the following coins using X11:

Dash (Darkcoin)
StartCoin
CannabisCoin
SmartCoin
ConspiracyCoin
Europecoin
GiveCoin
HashCoin
LimeXcoin
Logicoin
Muniti
Nyancoin
Quebecoin
XCurrency

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Read the Dutch (NL) version about SHA 256.