Crypto exchange StormGain has launched a new cloud miner tool which currently looks set to pay out 10 USDT every 10 days* .
They say, "This unique, innovative feature enables users to mine their very own cryptocurrency right from their phone."
Now if you are on the Pi Network or were mobile mining Electroneum this may not sound unique, but let us take a look at what they are doing.
How do you mine on StormGain?
After installing the StormGain app and registering an account (It takes moments, no KYC for me so far) you just log into the app, click More on the bottom right of the screen, then click Cryptominer and press "Start mining" on the new screen. That's it, you are mining Bitcoin.
So long as you remember to hit the "start Mining" button every every four hours you will keep mining Crypto and once you have mined Bitcoin worth 10 USDT you can withdraw it.
Reading the small print.
I am highly skeptical that there is any real mining going on, it feels like a promotional budget being dripped out gradually, dressed up as mining. Maybe there is a mining rig, maybe not, either way it is free crypto right?
Lets look at what StormGain say in their app.
How it works?
1. Cloud Miner performs all operations on StormGain's Bitcoin mining hardware without using your phone battery or CPU.
Ok, makes sense, they do the mining, you get a share for interacting via the app.
2. Mining speed depends on StormGain's cloud servers; the speed is limited by the number of StormGain users participating in the mining process.
Hold on, the speed is limited by the number of users? If they really are mining, the hashrate (speed) would be pretty constant. But wether it is a mining righ or a promotional budget it is fair to say the capacity is fixed so the more users there are the smaller the share each earns per four hour session.
3. Every 30-40 minutes, depending on the bitcoin block production time, mining profit is equally distributed among all users participating in the mining process.
Ok, so if you are in the the 'mining' session, you'll get some USDT credited.
4. After you've mined Bitcoins in equivalent of at least 10 USDT, click the Withdraw button. We'll credit profit to your account in 72 hours.
Ok, a minimum withdraw, that's not unusual. 72 hours to credit it feels a bit long.
5. The payout may be limited or blocked at the Company's discretion based on our anti-fraud engine.
Hmm, they need to protect themselves but that's a pretty broad get out clause - still they are giving you free money right? StormGain do say elsewhere that 99.9% of these payments are made.
6. Mining profit will be credited to your USDT trading account. Please note that this profit could be used for trading purposes only, no withdrawals or exchanges are allowed.
Hold on... so here is the rub. It seems you can never withdraw your mining earnings directly, you have to successfully trade them, then you get to keep the profit - not the mined income that you made. So as I understand it if you mine USDT 10, trade it numerous times, making it the equivalent of say USDT 20, they will deduct USDT 10 from your withdrawal. It is not clear exactly how this works across currencies.
7. All trading profit made with the mined cryptocurrency belongs to you and may be exchanged or withdrawn without any limitations.
Ok, so once you have profit from trading your mined USDT, its yours. But when does that profit get realised?
8. If you experience any issues, please contact us by email.
Thanks for the offer, but lets not rush, i need to mine 10 USDT and try this first!
Conclusion
Real mining or not, at current payout rates, for people prepared to keep hitting the button every 4 hours, StormGain will give you 10 USDT in just over a week to trade with. That will let you practice trading, and perfect your strategy. Plus unlike their demo account you get to keep your profits.
That's not a bad deal. Why not give it a go?
* Assuming you do not want to alarms to trigger free mining sessions in the middle of the night.
