Back to Glossary
General TradingC
Cloud Mining
Cloud mining is a method of mining cryptocurrency using rented computing power from remote data centers, without the need to own or maintain physical mining hardware. Users pay a fee to a cloud mining provider who manages the equipment, electricity, and maintenance on their behalf. While cloud mining lowers the barrier to entry for crypto mining, the space has attracted numerous scams, so investors should carefully vet providers before committing funds.
Example
“He signed up for a cloud mining contract to mine Bitcoin without having to invest in expensive ASIC hardware at home.”