F.A.Q.

Frequently Asked Questions :

What is cryptocurrency mining?
A decentralized network of machines around the world that validate the transactions of cryptocurrencies like Bitcoin.

Why do miners get paid?
Miners get paid a commission by cryptocurrency networks for maintaining machines needed to validate transactions. The work involved in doing this is purchasing or building a mining rig, keeping it powered, keeping it cooled and online, and maintaining it so it can run 24/7.

Why should I mine in addition to buying and holding cryptocurrency?
Because you will have more money in the long term. Mining is a great compliment to a cryptocurrency portfolio as your miners continuously earn more crypto coins daily. Simply buying and holding cryptocurrency is also a good investment depending on the coin you choose and whether or not the market value increases BUT the amount you hold will not mature into more coins on their own.

How much do I need to get started?
Typically between $2,500-$10,000 USD depending on model of ASIC or design of GPU rig chosen. Price of equipment often fluctuates with the coin markets and rate of miner commissions.

What are the returns?
Monthly miner commissions for high performing mining rigs and ASICs currently range from about 15-30% of the initial deposit and are based on the miner rig model, the fluctuating market value of the cryptocurrency it mines, the hashing difficulty, the hashing pool(s) chosen, and other important factors such as monthly costs. Monthly costs include power costs for operation and cooling, high speed broadband, security, IT services, and facility costs. It is very important to understand that while there can be periods of lower or higher commission than this range, the resulting profit can be greater or less as a mined coin can gain or lose market value as it is held. This a very subjective topic and returns while maximized should not be assumed until they are in your holdings.

What percentage does MineHorizon keep?
As compensation for the services we provide, MineHorizon keeps 30% of the profit. This leaves 70% profit for you, the miner owner, for simply supplying the initial deposit – MineHorizon does all of the rest of the work for you. This is a much better rate than is offered by any cloud mining service provider and still allows most customers to see their ROI in as little as 2-6 months depending on their investment and the performance of the cryptocurrency market.

How long is the agreement for?
One year. You own your miner at all times. Under the agreement, MineHorizon operates your miner exclusively under the 70/30 split in its facilities for one year. You will have the opportunity to either renew or have your miner shipped to you at the end of each year (365 days) from the day your miner goes live. You will be notified at 60 days and 30 days before your term ends to respond as to your decision.

I get paid commission in crypto, do I still need to pay taxes?
YES. Although digital assets like cryptocurrencies have not been fully regulated, they are considered assets and should be treated as such and the correct amount of tax should be reserved to be paid in accordance with the law. You are responsible for paying your taxes on whatever you earn.

Can I cash out my earnings to my bank account?
Yes. Through crypto wallets and exchanges you can easily transfer your earnings into USD or the FIAT currency of your choosing, and have it deposited or wired to your bank account.

Who owns the miner?
You do. MineHorizon simply purchases or builds equipment on your behalf and operates it within the terms of your agreement. MineHorizon is NOT a cloud mining service. You will be given the actual serial numbers for your equipment, and upon term expiration, if you do not wish to renew with MineHorizon, your equipment with the exact serial number will be shipped to you as per your agreement.

Where is my miner located?
For security purposes MineHorizon does not disclose exact equipment locations. We do currently operate ALL of our mining operations in the continental USA. Transparency is maintained by the fact that you know the exact model, serial number, and hashing power of your equipment and can check rates on third-party miner commision tracking sites that MineHorizon does not control or have influence of.

Do all miners pay the same profit ratio?
No. They all vary. Not only do different models earn more or less than others that mine the same coin, but also some coins are more profitable to mine than others. Some people believe it is good to mine one coin all the time. Others believe it is good to balance your miner rig “portfolio” so if other coins begin to do well or outperform Bitcoin, you can take advantage of earning those as well. MineHorizon supports both strategies and can discuss with you what is a good strategy for your level of experience and available funds.

How long do miners last?
About 2 years or more depending on the model and how well they are maintained. All miners MineHorizon purchases on your behalf are brand new and come with whatever warranty the manufacturer provides. MineHorizon does not do anything to void the warranty. Please note that overclocking miners to get additional profits is a common practice but it DOES void most manufacturers warranties. MineHorizon WILL NOT overclock your machine without your expressed written permission.

 

MineHorizon Procurement Process