Many experienced members of the crypto community find Fflakmining suspicious since it is another crypto cloud-mining operation. The problem with cloud mining isn’t just that it’s difficult to make money from them mathematically; they’re also the preferred “tools” of scammers who can pay their victims in an ever decreasing trickle until they build up a large enough pot to close up shop and disappear with the profits. The majority of cloud miners are unprofitable, even if they are legitimate.
Unfortunately, fflakmining.com’s business model fits perfectly into the above mold. While we cannot confirm the validity of several claims of payment posted in the comments sections of reviews, the operation appears to be paying its clients at the moment. Everything is well in line with the model described above, however. On the fflakmining.com website, or elsewhere, no solid evidence of mining activity can be found – preferably a public mining address.
Fflakmining.com: What Does It Offer?
Cloud mining contracts, in a nutshell. Here we are talking about mining ETH, BTC, LTC, and Monero, and there are different contracts available for each crypto. In accordance with the operator, the contract with the lowest minimum investment is the one with BTC, which requires $10 per 100 GH/s. In this contract, users can expect $0.11 in their accounts within 24 hours after they “start mining.” The return on the contract is 1.1% per day. The user will obviously have to wait at least 90 days (3 months) before he or she can earn back the principal in this way.
Profits won’t start rolling in until the following day, even though the site states that they will do so within a day. It is only after 3 months of using fflakmining.com that one can expect to earn any kind of profit. After about a week, the 1.1% per day deal seems too good to be true, adding up to 33% per month. Over the long run, the maths seem to be a bit too generous because the contracts last for three years.
There are several other crypto contracts available, but they all offer slightly different terms.
There are fees associated with the deal, but according to the calculator on the site, they are only about $17.17 per year, so for a $10 contract, the company will make $36.64, which is a profit of $36.64. Taking out the principal, the clean profit amount is still $26.64, which obviously is too good to be true.
Instead of investing $10, imagine someone investing $100k. This person would end the year with clean profits of $266,447. Doesn’t seem likely, does it?
Despite the fact that the site warns that the whole transaction may lose profitability as variables change, the deal appears to be profitable. Until things turn profitable again, mining will be suspended here. This little fact makes us uncomfortable on our part.
Money-back guarantees are offered by this operation, which makes it a no-brainer in their case. Since their users are only ever supposed to receive a trickle of money, they can easily continue to pay until they gather a significant amount of money.
Furthermore, Fflakmining provides a 15-day trial period for its users to evaluate the whole process. The hashpower and profits accrued during the trial contract can be kept if you upgrade to a paid contract afterwards. This period has also been devoid of mining proof.
Fflakmining.com’s Strengths
It’s important to note that Fflak Mining is quite transparent when it comes to their employees. There are pictures and names of their leadership listed on their website. A company called Cointech Ltd. is behind the operation, though little information about it is available. In the About Us section, the website mentions that Fflak was founded in 2012, and its website is named fflak.com.
Question Marks and Red Flags
Based on everything we know about the operation, its corporate background is anything but transparent. The New World Tower, 16 Queen’s Road, Central, Hong Kong, is where Cointech Ltd. is headquartered, but another company under the same name is registered in the UK. Despite the fact that one would think the Hong Kong-based Cointech Ltd. would have left a rather prominent online footprint since 2012, there is no information available online about it.
A couple of months have passed since the real cloud mining scheme was set up at the main site, which is indeed five years old. Located in Sao Paulo, Brazil, the company was registered in August 2017 by Ronda Fisher.
They have a stock photo of a corporate team on the same page as photos of the Fflak team, which makes no sense. If a company had offices and employees, uploading a picture of them pondering tablets and notepads would be relatively easy.
This review began by emphasizing that the operator offers no proof of mining. The Data Centre section does contain a video of a mining farm, but anyone can find and upload it within minutes. A public mining address is considered solid proof in this regard.
Disputes
Having been around for less than two months, Fflakmining.com hasn’t built up much of a reputation yet. According to what little user feedback is available, it appears that the operation is returning clients’ funds as promised – for now. Steemit’s crypto scam page lists fflakmining as a “fake cloudmining scam,” though.
Popularity
SimilarWeb ranks Fflakmining at 166,133, indicating that it has a fairly large following. Russians, Brazilians, Americans, Indians, and Indonesians make up most of the site’s traffic.
Review of Fflakmining
From what I can see, FFLAKmining.com could turn out to be a cloud mining operation that paid off in the beginning, only to go bankrupt later on, taking most of its users’ money. As the operation does not provide any physical proof of mining, the technology could not generate profits. As far as we’re concerned, that’s a capital offense.