How bitcoin cloud mining works?
Cloud Mining, as the name suggests is usage of shared processing power so as to run them from remote data centres. You need BTC wallets, systems and internet connection for it. There are 3 types of cloud mining:
- Leased Hashing: Where a person leases some part of the hashing power without sharing his hardware resources.
- Hosted Mining: Where the provider leases the mining machine.
- Virtual hosted mining: Where a person creates his virtual private server (VPS) to install the mining software. This is the most used method.