Which cloud mining platform is the best?

It is a well-known bitter truth that traditional mining investment has a high entry barrier and a hefty capital requirement. These drawbacks have deterred many people from participation.

In recent years a brand new investment method has emerged. Major mining farms and mining machine operators started to divide their mining power into smaller units. Users can buy small shares flexibly. This new trend is called ‘cloud mining’. When a user buys a small share of mining power, he or she is automatically entitled to a corresponding portion of the digital currencies mined by the total mining power in the mining farm. For example, if a large mining company wants to quickly recoup its capital, it can divide its mining power into 100,000 units. Each unit contains 1T mining power with a 1-year contract cycle. The daily cryptocurrency mining output will be credited to the mining power buyers. In this way, individual investors can participate in mining with nominal funds. This benefits both parties. This method is also considered a type of asset securitization.

Cloud mining reduces the burden and simplifies the operation for the users. It allows the user to easily participate in digital currency mining. Users no longer have to suffer from the cumbersome model of traditional mining.

The lowest price is not always the best price

Currently, most cloud mining platforms on the market are centralized. These platforms charge high commissions. It is also possible that these platforms might run away with users’ money at any time. If a platform has no physical mining machine or only has a small number of mining machines but the platform can still payout daily mining income to its users. This platform might in fact embezzle new users’ payments to pacify old users. Such a non-transparent operation of centralized platform creates a hotbed for frauds. Many confused users were beguiled by the low price of such dodgy platforms. Those trustworthy decentralized cloud mining service platforms such as DMEX might not offer the lowest price. However, exceeding the users’ expectations, they can reward the users with more professional services and higher returns.

Although decentralized mining platforms are selling mining power at a higher price, they often have a rich variety of promotional activities to reward their users. For example, beta tester rewards, blind box lucky draws, buy-back promotions, and platform token rewards. These rewards are more valuable than the small differences in mining power prices. Centralized cloud mining platforms are prone to deceitful manipulations. Decentralized cloud mining platform has unique advantages. When we choose cloud mining platforms, we must choose a decentralized platform with a good operation model, sufficient financial strength, reliable equipment quality, transparent mining power data, and abundant financial instruments. We must look beyond mining power pricing and look further into the platform itself.

DMEX platform’s core technical advantages

To target the issues of the existing centralized cloud mining industry and the root cause of these problems, DMEX platform will adopt smart contracts bookkeeping and mining power tokenization to tackle these dodgy practices with a technical approach.

1. DMEX platform uses ETH smart contract combined with ERC721 protocol to tokenize the mining power, i.e. mining power NFT. DMEX also creates a brand new ARC (Accounts Receivable Cycle) risk-control model to fix the flaws of the traditional cloud mining industry.

2. Smart contracts will upload all user data onto the blockchain. Including mining power purchases and mining income cycles. Miners are required to transfer daily Filecoin mining incomes to a multi-signature account controlled by DAO. Users will automatically receive mining incomes in their NFT possessions via the cross-chain bridge. Smart contracts will also record every user transaction activity on the platform, such as purchases and cash-outs.

This bookkeeping method is based on the Ethereum smart contract. It gives users full control over their effective mining power, actual mining income, and platform transaction history. The smart contract will guarantee the transparency of users’ transactions. It can also protect data authenticity and validity as well as prevent data-tampering.

3.The core technology combines ETH smart contract with ERC721 protocol to tokenize mining power, i.e. mining power NFT. This allows for precise categorization and standardization of mining power. On one hand, this method greatly reduces the entry barrier to mining power investment. Users are now free to choose the right product compatible with their financial situation. On the other hand, mining power can be traded and transferred. It becomes a liquid asset. Thus, mining power transaction becomes free to participate, easy to cross borders and resistant to censorship.

4.The platform adopts the DAO (Decentralized Autonomous Organization) governance mechanism to operate, manage, and develop the platform. DAO will supervise the mining process and the income distribution of mining power NFT. This is also the key module of cloud mining.

5.The platform has rigorous risk control management. It creates a brand new ARC (Accounts Receivable Cycle) risk-control model to fix the flaws of the traditional cloud mining industry.

6. The platform issues platform token DMC. Each DAO organization member can enjoy the platform’s income dividends in the future. The platform will strive for a win-win method to share the platform’s income with DMC token holders.

IPFS distributed storage is a great project with a promising potential to transform the data storage industry in the near future. At present, the platform will focus on mining FIL tokens in its preliminary stage. In the future, the platform will expand to more high-quality mining machine assets such as Bitcoin and Ethereum.

The DMEX platform is indeed superior in multiple aspects. For those who want to purchase mining power, DMEX is the best option to buy and start earning mining income right away. With the prosper of the crypto market after the Bitcoin halfing, everyone should make good use of their capitals and make a wise choice to join the cloud mining venture.

DMEX is a decentralized mining power financial service platform utilizing DAO and smart contract to provide innovative DeFi and NFT products.