UPDATE: AuroraMine has closed up shop and allegedly run off with 11 million dollars. I called it as A HYIP but it didn’t even last 30 days. I never invested money into it so no loss for me. The less than $1 I accrued from the free 100 GH/s hashing power has gone with them. A salutary lesson in “if something seems too good to be true, then it probably is!”.
Yesterday I signed up with AuroraMine.com. They offer 100GH/s of hashing power to all new members (joining doesn’t cost anything).
That amount of hashing power earns about $0.12 per day. It’s not a huge amount by any stretch of the imagination, but it is free money.
The image above shows my earnings in my free account (no Bitcoin deposited) after 22 hours.
If you’re good at recruiting people under you, then you’ll earn a 10% commission bonus – 6% on direct referrals, 3% on level 2 referrals and 1% on level 3 referrals. This applies to hashing power only. People deposit Bitcoin to their accounts to buy additional hashing power and it’s that you get a percentage of.
More hashing power means more Bitcoin earned.
The company claims that they pay 10% of your deposit every day. That means you’ll double your deposit in 10 days. The accounts are Lifetime, so there are no fees to maintain accounts.
That level of return puts this firmly in High Yield Investment Program (HYIP) territory and the actual lifetime of this type of company is relatively short lived. The level of payment would just seem to be too high to be sustainable.
However, if Bitcoin continues to increase in value at the rate it’s been going the last few months, this company could be around for a while.
The minimum investment (should you want to put money into it) is $6.58.
Deposits and withdrawals are in Bitcoin only. There are no fees.
You can also deposit your earnings back into the system to compound your earnings.
Minimum withdrawal is 0.0003 of a Bitcoin. So for a free account where you deposit no Bitcoin yourself, you could withdraw 0.0003 Bitcoin every 10-12 days.
It would take 55 days to accrue $6.58 in earnings that you could then deposit back into the system to start earning more Bitcoin, faster.
Whether this company will still be around in 55 days is another question.
HYIPs can be very profitable if you get in on them very early in their life. The key is to withdraw your initial investment as soon as possible so you’re not out of pocket and then reinvest your profits in the program.
After that it’s also worthwhile regularly withdrawing a percentage of profits so you don’t lose everything if the company goes belly up. Anywhere between 10% and 50% is good.
But the longer the time between when a HYIP launches and when you sign up, the greater the likelihood that they’ll run off with whatever money you invest with them.
Filed under: Bitcoin Mining