Bitminer.io – Scam or legit: Full Analysis
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Cloud mining is the process of mining Bitcoins without having to use software or hardware. Simply put, it is outsourcing the Bitcoin mining process. It is a suitable option for those who have no technical know how or want to circumvent the costs and labor involved in the mining process of Bitcoins.
This is where Bitminer comes in using the website Bitminer.io. It is one of the cloud mining sites that provides this particular mining solution. Bitminer is a leader in the cloud mining industry.
It uses the latest algorithms to make as much Bitcoins as possible and has strategically placed data centers in Europe, China, and the USA to maximize on mining power and lower electricity usage.
To start mining using Bitminer.io, all one has to do is sign up and provide the wallet address and the process of generating Bitcoins begins!
What is Bitminer.io?
Bitminer offers mining services by engaging the use of specialized hardware and immense computing power thus scaling the operational costs.
Bitminer is a bitcoin mining company. It’s registered under the name Bitminer Cloud Eu LTD and headed by Giacomo Bugini. Bitminer was launched in 2016 and has its headquarters in London. The company started as a cloud mining company where members could pay to receive dividends in Bitcoins. However, after numerous studies and testimonials from users, the company shows all the signs of a scam.
How do payouts work out?
There are two ways of mining Bitcoins through Bitminer.
You can join Bitminer’s free account and start earning bitcoins on a daily basis. All you have to do is sign up with Bitmer.io and earn 0.0006 BTC daily. Once you reach their payout amount, you can then withdraw your bitcoins. Unfortunately, numerous reports show that Bitminer does not process withdrawal requests, meaning all the bitcoins they claim you are earning are fake.
Bitminer offers four premium accounts to earn more bitcoins with their mining pool. The first account costs 0.01 Bitcoins and promises a return of 0.0012 bitcoins a day. The second account costs 0.1 bitcoins and promises a return of 0.015 bitcoins a day. The third account costs 0.9 bitcoins and promises a return of 0.15 bitcoins a day. The most expensive account costs 5 bitcoins and promises a return of 1 bitcoins a day.
Each of Bitminer’s accounts has an affiliate marketing bonus.
Affiliate Partnership program
Investors get paid a referral bonus whenever his or her referral partners upgrade their Bitminer version. There are 5 versions available for payouts:-
- Free account: Bonus 20%
- Version 1.1: 30%
- Version 1.2: 40%
- Version 1.3: 50%
- Version 1.4: 100%
Is Bitminer a scam?
Unfortunately, all signs indicate that Bitminer.io is a scam. There are numerous signs to show this. For starters, Bitminer was founded by the same company, StartMiner, which turned out to be a scam. In the UK where Bitminer is headquartered, the government agency responsible for company licensing, the Companies House, lists Bitminer as an ‘active proposal to strike-off.’ A company listed as ‘active proposal to strike off’ is usually headed for bankruptcy and in the last stages before it’s closed down.
While Bitminer could move its offices somewhere else and continue to exist like it has done in the last two years, there are many signs that indicate it’s not genuine. On many bitcoin forums, for example, its members complain that almost no withdrawal request has been processed in the last one year. Despite this, Bitminer has a page where they appear to show withdrawals processed in the last few days.
Bitminer’s pyramid scheme is also a sign of its illegitimacy. The company seems to get most of its funds through a pyramid scheme where members who pay higher for the scheme are promised higher returns for their affiliate marketing efforts. In essence, the more you pay Bitminer, the higher your chances of paying. Bitminer emphasizes on their scheme so much that they have a contest that rewards the best affiliate marketers.
As if those are not enough signs, Bitminer’s rewards for their mining pool are ridiculous. They pay you 0.0006 every day for doing nothing. For an account that cost 0.01 bitcoins, you stand to earn 0.0012 bitcoins a day. By that system, you get your money back in 10 days. Bitminer’s most expensive account cost 5 bitcoins and you can earn your money back in 5 days. By earning 1 bitcoin a day, you could earn 365 bitcoins in one year. With bitcoin valued at $9,000 at the time of writing, you will have earned $3.285 million within one year of investing in Bitminer.
By comparison, a more legitimate cloud mining company like Hashflare only pays about 10% of your initial investment every month for a period of only one year. If you invest 5 bitcoins’ worth of money on Hashflare, you can only earn $4,600 per month. This goes on to show how impossible it’s to earn the money Bitminer promises.
Bitminer is a bitcoin-only mining company. They only offer bitcoin mining contracts and no altcoins. They offer five types of contracts as summarized below:
|Version 1.0||Version 1.1||Version 1.2||Version 1.3||Version 1.4|
|Purchase price (BTC)||Free||0.01||0.1||0.9||5|
|Affiliate bonus||20% if upgraded||30%||40%||50%||100%|
BitMiner is close to two years in operation now. My suggestion is that new member wishing to join to do so by Version 1.0 which is free. When some Bitcoins accumulate to the minimum withdrawal level, please withdraw and start again or move on.
In this Bitminer.io review/analysis, we have gone through user comments that withdrawals are not possible, despite balances showing in the Bitminer wallet.
Bitminer user interface
Bitminer has a great looking website. It’s professionally designed and enhanced for ease of use even to beginners. When you visit the website, Bitminer.io, you will realize that it’s a very straightforward website. They have a well set-out menu, a quick sign up process and a bar where you just key in your bitcoin address to start things off.
Bitminer is also very open with their generous mining contracts and affiliate programs. In addition, their site is set up to support nearly all major languages. In short, when it comes to a website’s user interface, Bitminer is good.
Is BitMiner safe?
Bitminer is not exactly a safe website. They have HTTPS encryption but nothing much to keep investors’ funds safe. When you create an account, you get a bitcoin wallet where your funds are deposited on a daily basis. However, the website holds private keys to your account and only they can release your coins. This creates lots of problems when you need your bitcoins.
Any withdrawal request has to go through the company, and they can reject to process your request. The company does not provide any details of how they secure bitcoins, meaning they could have insecure hot wallets.
Nearly all reviews about Bitminer are about not getting paid. From as early as January 2017, numerous investors have complained of not getting paid. The company’s reputation is at rock bottom, meaning that the chances of you getting paid after investing in their mining contracts are also low. In addition, the company’s financial trouble in the UK indicates that Bitminer probably does not mine enough money to pay back investors.
There are few legitimate companies with a poor reputation as Bitminer does. And with no communication from Bitminer to prove its legitimacy, their community trust will continue to decrease.
Security and verification
Phishing is rampant on the site. Malware has been detected. Just as it is easy to enter into this kind of mining, so it is to get scammed.
There are no verifications carried out, and as already mentioned earlier, all that one requires starting earning is to sign up and give their wallet address and maybe pay some little initial investment cash. This is clearly a trap to attract as many small investors as possible and use their ash to generate more for the owners first to cater for their mining expenses and dish out in bits to the “lucky” investors.
The real hardcore mining is elaborate and taxing, and even if one does not undertake the actual mining, the uncertainty of fluctuations in prices during the trading process is quite something to hold one’s breath. Why then would fixed guarantees on returns be assured in such a volatile industry? Please consider thoughtfully.
Users aptly describe Bitminer’s customer support as poor. Bitminer does not have a public customer support forum where members can exchange ideas or raise queries and have the owners respond. Instead what is available is a customized support page where an individual posts a question and is answered individually. From the complaints on other forums, it appears no answers are forthcoming.
The uptime is 99% which is quite good. The processing speeds are okay as satoshis are earned per minute. Balances reflect on the wallets daily. However, when it comes to withdrawals, a problem arises. The withdrawals are hardly ever met and those that do go through take days to weeks. This is not the promise though when one is being lured to launch in.
How to use Bitminer
From a customer’s standpoint, you should go about using Bitminer very cautiously. The following ways can earn you some money on Bitminer.io, though there’s no guarantee of you getting anything. Bitminer has already been flagged as a scam by many. But if you want to try out their services yourself, here is the process:
- Visit Bitminer.io and click ‘Start’ on their menu bar.
- Enter your Bitcoin address as requested.
- Your account will be credited with 0.06028 Satoshi.
- Bitminer will ask you to upgrade your account or Go to your account.
- If you choose to upgrade, you will be prompted to choose a mining contract.
- Select a mining contract and the site will give you directions on how to send a specific amount of bitcoins to their addresses.
- Once complete, allegedly, you will receive your first payment after 24 hours.
In a Nutshell
Bitminer is a pyramid scheme that operates like a Bitcoin mining company. There is no proof that the company owns Bitcoin mining rigs except a picture of the company’s CEO in front of a mining rig. The company offers unrealistic returns for investing in their mining contracts but very few people have been allowed to withdraw bitcoins stored in their accounts. The way Bitminer operates also casts doubt about their legitimacy. Most legitimate cloud mining companies assign contracts based on hash rates per second (the language used in bitcoin mining). The legitimate companies tell you how many hash rates per second your account attracts and how long it will take before your contract is unable to pay you back.
However, Bitminer promises an extremely high number of returns per day. They set a specific number of returns, which is also not possible with bitcoin mining. The returns earned through mining bitcoins vary based on many factors and it’s not possible to get the same returns on a daily basis.
Finally, Bitminer’s poor reputation, failure to process withdrawal requests and suspending users’ accounts for no reasons all show that it’s a company no one should want to be associated with.
Thank you for reading our Bitminer review above. If you enjoyed it, we have many more reviews on our site. Visit us regularly and you will find fresh content every time.